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
Embedded Options  is a provision in the indenture that gives the issuer and/or the bondholder an option to take action against the other party.

(a).At the end of three years, how much is an initial deposit of $100 worth, assuming a compound annual interest rate of (i) 100 percent? (ii) 10 percent? (iii) 0 percent? (b).b. A

Due to the complexity of the tasks involved in many projects, communication of responsibility for those tasks is often helped by means of graphical planning techniques.

discuss the applicability operating cycle considering broilers in uganda?

A mortgage may be defined as a pledge of property to secure payment of a debt. Depending upon the terms of mortgage agreed upon between the lender and the borrower, mor

Define the term- Future Cost and Historical Cost Future cost of capital refers to expected cost of funds to be raised to finance a project. In contrast, historical cost signifi


Q. Explain Dividend Policy Decision? Dividend Policy Decision: - The financial management has to make a decision as to which portion of the profits is to be distributed as divi

Matching or Accrual   The accrual concept makes a distinction among the receipt of cash and the right to receive it, and the payment of cash and legal obligation to pay it.

List the benefits of the flexible exchange rate regime. Answer:  The benefits of the flexible exchange rate system include: a) Automatic attainment of balance of payments eq