0
You visited us 0 times! Enjoying our articles? Unlock Full Access!
Question

What do you mean by a stock index? How is it calculated?

Solution
Verified by Toppr

A stock market index is a barometer of market behaviour. It measures overall market-trend through a set of stocks which are representatives of the market. An ideal index must represent changes in the prices of securities and also shows the price movement of different classes of shares. It also indicates market direction and day to day fluctuations in stock prices common. Stock market indices used in India are SENSEX, NIFTY, etc.

Was this answer helpful?
2
Similar Questions
Q1
What do you mean by a stock index? How is it calculated?
View Solution
Q2
What do you mean by penny stock?
View Solution
Q3

What do you mean by drift speed of electrons? And how to calculate it

View Solution
Q4
What do you understand by supply? How does it differ from stock ?
View Solution
Q5
What do you mean by listing of securities? How are listed securities traded in the stock exchange market?
View Solution