BSE INDEX BASMTR (BASMTR) live share price today at BSE

The companies that are involved in the basic materials are assessed by the BSE Basic Materials Index, and the index represents the performance of the basic materials sectors in the BSE Index. And the BSE Basic Materials Index came into power on 25th February, the criteria for reviewing the BSE Basic Materials Index are reviewed every quarter, in the months of December, March, and June. The representation of the BSE Basic Material Index is available in two currencies: INR and USD. The prices at the global level are changing and affect the foreign exchange rates all over the world.

The method of calculating the BSE Basic Material Index is based on the free-float market capitalisation and is also valued on a real-time basis. Inclusion of those shares that are freely available on the stock market exchange, exclusion of those stocks which are held by promoters, the government, the investors, analysts, and anyone who is restricted from trading on the BSE platform.

The total number of constituents involved in the BSE Basic Material Index is not more than 194 stocks, and they have a market capitalisation of ₹1,61,654.32 Cr. The number of stocks may vary with changes in values and economic conditions, which helps investors explore and take advantage of investing in the high-growth sector of the Indian Economy.

• The stocks must be listed on the Bombay Stock Exchange and shall form a part of the basic material sector, after fulfilling the conditions for eligibility of stocks.
• The history for the listing of the stocks shall be less than one year.
• Eligibility shall be essential in the derivative segment for this purpose.
• Exclusion of the shares with differential voting rights.
• The criteria for inclusion of stocks shall be based on the volatility of the index.
• The standard deviation for the last year is the basis for calculating the volatility.
• The ranking is based on the adjusted free-float capitalisation method.
• The constituents with lower volatility, the minimum of the top stocks, shall be part of the BSE Basic Material Index.  
• The review criteria of the BSE Basic Material Index will be reviewed semi-annually.

The calculation for the BSE Basic Material Index shall be based on the free-float market capitalisation. It must fulfil the eligibility criteria before calculating the value of the Basic Material Index. The full-float market capitalisation was used in their primary phase, which included all the shares held by the government, promoters, investor analysts, and any other investors who are restricted from trading. 

The first step is to calculate the total market capitalisation by using the number of shares available in the market. In the second step, there is a need to find a percentage for the calculation of the free-float shares, with the inclusion of the freely tradable shares on the platform.

Resulting from the above calculation for finding the free-float market capitalisation, you need to multiply step 1 by step, you get the index value for the calculation.  

Formula for the BSE Basic Material Index = Total Free-Float Market Capitalisation*100

• The basic material demands are continuously rising, which positively impacts the returns of the Basic Material Index in a high-growth volume.
• Many constituents are global players in the sectors of steel, aluminium, and chemicals, providing exposure to investors to invest in highly profitable sectors.
•  The BSE Basic Material Index serves as a benchmark for investors and fund managers who are willing to invest in the basic material sectors.

• The Basic Materials sector is affected by economic slowdowns, changes in interest rates, and bank rates. 
• The prices of the commodity are highly volatile, which are heavily exposed to fluctuations in raw materials, and the prices of the commodity impact the margins.
• Unlike the FMCG or healthcare sectors, the Basic Materials Sector lacks the defensive stability that typically characterises these markets during slowdown phases, leading to increased risk for investors.  

There are various methods by which investing in the BSE Basic Material Index Stocks can be done. The investor may choose a broker who helps them select high-potential stocks in the basic materials sector. As we know, the basic material sector is constantly innovating and growing at a high level, which allows investors to grow and increase profitability in the long term. The BSE Basic Materials Index Stocks offer a diversified portfolio to investors, enabling them to select the most reliable stocks for the long term. 

Investors seeking a passive approach should consider investing in the BSE Basic Materials Index. The proportion of each sector in the BSE basic materials is equal, providing balance to the BSE basic materials Sector.  

The most suitable way to invest in the BSE Basic Materials Index is through mutual funds and ETFs, which is also a reliable method for investing in the diversified basic materials sector. Investing can be done through trading in the Futures and Options of the Basic materials sector, which also provides long-term growth and stability.

The companies that are involved in the basic materials are assessed by the BSE Basic Materials Index, and the index represents the performance of the basic materials sectors in the BSE Index. The representation of the BSE Basic Material Index is available in two currencies: INR and USD. The prices at the global level are changing and affect the foreign exchange rates all over the world. The number of stocks may vary with changes in values and economic conditions, which helps investors explore and take advantage of investing in the high-growth sector of the Indian Economy.

The calculation for the BSE Basic Material Index shall be based on the free-float market capitalisation. It must fulfil the eligibility criteria before calculating the value of the Basic Material Index. The basic material demands are continuously rising, which positively impacts the returns of the Basic Material Index in a high-growth volume. Unlike the FMCG or healthcare sectors, the Basic Materials Sector lacks the defensive stability that typically characterises these markets during slowdown phases, leading to increased risk for investors.