A stock exchange is a constituted body for the purpose of assisting, regulating, or controlling business of buying selling or dealing in the securities. in our country NSE is incorporated as National stock exchange.Total equity capital of a company is divided into equal parts of small denominations ,each called a share .An index shows how a specified portfolio of share prices are moving in order to give an indication of a market trends it is the basket of securitiets indicates the index movement.National Stock Exchange Fifty or Nifty is the market indicator of NSE. It ideally is a collection of 50 stocks but presently has 51 listed in it. It is also referred to as Nifty 50 and CNX Nifty by some as it is owned and managed by India Index Services and Products Ltd. (IISL).
The Index is determined on a daily basis by taking into consideration the current market value divided by base market capital and then multiplied by the Base Index Value of 1000.
