What is Sensex (BSE Sensex)? - Definition from WhatIs.com


Sensex (BSE Sensex)

Part of the Business terms glossary:

The Bombay Stock Exchange's Sensitive Index, also called Sensex or BSE Sensex, is one of the leading stock market benchmark indices in India. It  tracks the movement of stock prices on the exchange and functions as an indicator of market sentiments.

Launched by BSE in 1986, Sensex consists of 30 components (stocks) that represent, broadly, the composition of the entire market. Each of the scrips is assigned a weightage on the index that is linked to its market capitalization. It measures a particular stock's ability to influence movements in the index. The base year of the Sensex is 1978-79 with the base index value taken as 100 points.

While the number of components has remained the same since its inception, the composition of the Sensex changes periodically as scrips are inducted or removed depending on their market capitalization, frequency and volume of trading and volatility among other parameters.

For a long time the BSE Sensex was the only benchmark index in India for the stock markets until the National Stock Exchange was launched in the early nineties. Its S&P Nifty Index is a much broader index, but the Sensex is still followed as a barometer of market sentiment in India.

This was last updated in September 2012
Posted by: Margaret Rouse

Related Terms


  • cloud computing

    - Cloud computing is a general term for the delivery of hosted services over the internet. These services are broadly divided into three categories: IaaS, PaaS and SaaS. (searchCloudComputing.com)

  • business process mapping

    - Business process mapping is the visual display of the steps involved in a business process from start to finish. (SearchCIO.com)

  • business technologist

    - A business technologist is an IT (information technology) professional with a combination of broad general knowledge of technology along with an understanding of non-technical aspects of a business... (WhatIs.com)


  • Business terms

    - Terms related to business, including definitions about project management and words and phrases about human resources, finance and vertical industries.

  • Internet applications

    - This WhatIs.com glossary contains terms related to Internet applications, including definitions about Software as a Service (SaaS) delivery models and words and phrases about web sites, e-commerce ...

Ask a Question About Sensex (BSE Sensex)Powered by ITKnowledgeExchange.com

Get answers from your peers on your most technical challenges

Tech TalkComment



    Contribute to the conversation

    All fields are required. Comments will appear at the bottom of the article.