Days Range
Company | LTP | Change | Day Range |
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Sector Name | Advances | No Change | Declined |
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The oldest stock exchange in the country, the Bombay Stock Exchange, has been in the business for centuries. This stock exchange company strives to make the process easier for all its investors and traders. With various indices being launched to help with the same, it is essential to understand the meaning of these indices to utilise their potential to the fullest.
To make trading more accessible and to encourage companies to gain financial stability while offering more liquid stocks, the BSE divided companies into three categories based on their relative market capitalisations. These are- LARGECAP, MIDCAP and SMALLCAP companies.
While investing in LARGECAP companies is highly beneficial due to more liquid stocks and readily available buyers, investing in MIDCAP companies might be a slight risk as they are volatile. However, the stocks for LARGECAP companies are not within everyone’s pocket. Thus, MIDCAP company stocks have a huge role to play.
S&P BSE 150 MIDCAP index is designed to track the performance of 150 MIDCAP companies by total market capitalisation, subject to buffers that are there in the BSE 500 but not in the BSE LARGECAP 100. The value of this index will change with the change in S&P BSE 150 MIDCAP share price.
Thus, investing in these companies may seem a bit riskier than the others, but if buying expensive LARGECAP stocks doesn’t seem right to you, this is the way to go. They offer more security than other MIDCAP and SMALLCAP companies for sure!
This index is calculated based on the relative market capitalisation and the buffers that are in play. We use free-float market capitalisation here to calculate the share price. Free float market capitalisation includes the stocks that are currently available in the market and are fluid.
These companies are divided into LARGECAP, MIDCAP and SMALLCAP based on the percentage of total market cap they account for. The segregation is as follows-
For any company to be listed in any of the following lists, it needs to get a clean chit from BSE. This is based on the following criteria-
The value of the BSE 150 MIDCAP index keeps changing with the change in the value of the S&P BSE 150 MIDCAP share price, which is calculated as follows-
BSE 150 MIDCAP Share Price = Total Free-Float Market Capitalisation x Base Index Value / Base Market Capitalisation
Here, the free-float market capitalisation can be calculated as-
Free float market capitalisation= Market capitalisation * Free Float Factor
Ensure that you check all the recent statistics and lists before you proceed to buy the stocks. This is because all these values undergo regular revision and are pretty dynamic.
