BSE INDEX BSE100 (BSE100) live share price today at BSE

The BSE 100 index was introduced in 1989 as the BSE National Index. Later, in 1999, it was transformed into the S&P BSE 100 index 1999. The BSE Index 100 benchmark has been created to monitor the financial performance of the companies from various sectors like pharma, IT, banking, FMCG, and energy. It provides accuracy and transparency to investors, and the BSE 100 index is a trusted platform for investors that gives access to investing in the top 100 companies and diversifies their portfolio.

The BSE 100 index has a significant involvement in the Indian financial system. It is known as a key growth indicator for the economy, tracking the overall health and market sentiment. The BSE 100 index follows the liquidity in the market, which helps companies to raise capital for the benefit of economic growth. BSE 100 also provides diversification that helps in spreading the risk, which makes the Indian financial system stable; along with that, it also maintains transparency and good governance.

• The yearly price return of the BSE Index BSE 100 is 1.21%, and over 5 years, it is 129.13%.
• The total standard deviation, beta, and correlation of the BSE Index BSE 100 are 15%, 0.9%, and 0.95%, respectively.
• The P/B ratio in the fundamentals is 4.0%, the P/E ratio is 30%, and the Dividend Yield is 2.5%.
• The top sector weightage of the BSE Index BSE 100 is financial services, Information Technology, Consumer goods, and FMCG.
• The weightage of the top three sectors is 35%, 18%, and 10%.

Here are the crucial factors that are considered when selecting the stocks within the BSE 100 Index:

• The company BSE Index BSE 100 selected must be a part of the BSE 100.
• The Trading Platform must be the BSE Stock Exchange.
• The list of companies in the BSE Index BSE 100 is reviewed periodically, twice a year in June and December.
• Stocks selected must be part of the BSE Index BSE 100, either from the large-cap or mid-cap criteria.
• To track the company's performance, it must be listed on the BSE platform.
• The shares of the company must be highly liquid because they reflect the trading volume of the shares.
• The companies must maintain a free float of 15 to 20% of their shares with the public, indicating that shares are readily available. 
• It is vital to categorise the company by sector to illustrate the overall growth of the economy.
• The companies must follow strict guidelines and regulations to avoid any legal or government issues.
• The company must generate revenue from their core activities.

For calculating the BSE Index 100, it is necessary to know that the BSE 100 Index consist of the top 100 companies whose shares are available to the public in the fixed portion. The company follow the free float market capitalisation. In this index, the company weight is determined based on the free float market cap of those shares that are available to the public.

To calculate the value of the BSE 100 Index, the Formula is

(Current Free Float Market Capitalisation ÷ Base Market Capitalisation) × Base Index Value.

When there is a change in the company's stock prices, it also changes the market capitalisation, and as a result, the value of the index goes up or down. The benchmark of the BSE Index, the BSE 100, is created in a way that provides the India Stock Exchange with a diversified perspective. The companies listed in the BSE Index BSE 100 are reviewed and reformulated twice a year to add new companies and remove those that do not meet the eligibility criteria.

• The BSE 100 provides a broad market representation, comprising 100 companies from various sectors that collectively reflect the overall growth of the market.
• The BSE Index, BSE 100, has established a strong benchmark for monitoring the performance of the stock.
• In BSE 100, effectively manage the risk because the risk is diversified among various sectors and companies.
• In this index, the majority of companies are large-cap or well-established entities with high liquidity and substantial trading volumes.
• This index provides a sectoral review that indicates the overall economic growth.
• This index provides transparency and accuracy to its investors.

• The BSE Index is only concentrated in large-cap stocks, whereas it misses high-growth opportunity stocks.
• The finance and IT sectors have more weightage if the sectoral decline is greater than the overall index fall.
•  Recessions and financial crises mainly affect the stability of large companies, despite diversification efforts.
• Some company has low liquidity.

The BSE Index BSE 100 is a comprehensive benchmark for the indian stock market, providing investors with broad exposure of the market, Transparency and sectoral diversification. BSE Idex BSE 100 tracks the performance of the TOP 100 companies that reflect the growth of the business and the overall economic growth. One of the significant contributions of the BSE 100 index is its ability to cover multiple sectors of the economy, such as banking, IT, Pharma, FMCG, energy and consumer goods. By spreading the investments across the various sectors, risk is diversified, and it also provides stability to the investor's portfolio. BSE INDEX is a reliable tool to track economic growth.