Specialized stock indexes, Financial Management

Specialized Stock Indexes

The most regularly quoted market indices are those that include the stocks of the largest listed companies on a nation's largest stock exchange. Examples include the BSE 30, the CNX Nifty 50, and others. However, because of the concentration of a relatively few very large stocks, such indices can give a misleading picture of market trends. Therefore, there is need for more specialized indices for tracking the performance of specific sectors of the market - for instance, there are national indices for technological companies, banks or companies with having high brand recognition or value, or small companies indices.

Sector Indices can be classified on various parameters: they can be classified on the basis of industry, on the basis of capitalization (Large Cap Index/Mid Cap Index/ Small Cap Index), on the basis of ownership (BSE PSU Index), or composition of index published in newspapers like Economic Times, Businessline, etc

 

Posted Date: 9/10/2012 6:45:15 AM | Location : United States







Related Discussions:- Specialized stock indexes, Assignment Help, Ask Question on Specialized stock indexes, Get Answer, Expert's Help, Specialized stock indexes Discussions

Write discussion on Specialized stock indexes
Your posts are moderated
Related Questions
Question 1 Analyse the financial requirements of a FMCG company 2 If you are an investor and are interested in finding out the value of an amount of Rs 10,000 to be received

when asked to calculate return method given cash flow before depreciation how do you do it

Explain the risk-return relationship. The relationship among risk and required rate of return is known as the risk-return relationship.  It is a positive relationship for the r

Concept and measurement of the cost of capital The evaluation of the worth of a long-term project suggests a certain norm or standard against which benefits are to be judged. R

Shareholders versus Managers A Limited Liability company is possessed by the shareholders though in most of the cases is managed by a board of directors selected by the shareho

how do we compute for benefits can derrive out of using lockbox system?

evaluate the importace of leverage in financial management of a small scale company

It is, usually, not possible to totally eliminate both translation exposure and transaction exposure.  In few cases, the elimination of one exposure will as well eliminate the othe

A 16% debenture of R5 000 is redeemable at a premium of 10% after 5 years. The fair rate of return on similar debentures is 14% before tax. Calculate the present value of the capit

Stream of Expected Returns Investment returns can take many forms. An investor must consider all these forms to evaluate an investment option accurately. A brief description of