The purpose of the BSE 150 MidCap is to monitor the performance of 150 mid-cap firms that are not included in the BSE 100 LargeCap TMC but are included in the BSE 500 based on total market capitalization, subject to buffers. The S&P BSE 150 MidCap Index fund was introduced on November 30, 2017. It can be applied to several tasks, including research, index funds, exchange-traded funds, and structured product launches, as well as benchmarking fund portfolios.
Eligibility Criteria of BSE 150 MidCap Index
The BSE 500's components serve as the basis for the BSE MidCap 150 Index. There can be more than 150 stocks in the index as a result of DVRs being included in it. Nonetheless, the index's cap of 150 companies does not change. When a business has several share classes, its market capitalization is calculated by adding the eligible share classes together.
Index Construction of BSE 150 MidCap Index
The average six-month daily total market capitalization of all the BSE 500 businesses that are not included in the BSE 100 LargeCap TMC is used to determine their ranking. The top 120 companies, whether or not they are currently constituents of the index, are chosen from the remaining 400 equities to be included in the index. Up until the target constituent count of 150 is met, existing constituents rated 121 through 180 are chosen in order of highest rank. Non-constituents are chosen in order of highest rank until the goal constituent count is met if, after this step, the target constituent count is not reached.
An index is a group of a specific type of securities. They can be stocks, derivatives, or other financial instruments. The index represents as well as tracks the performance of the asset class or the market segment.
Indices are used to track the performance of a group of securities. Indices show the overall performance of an asset class or market sector.
There are over 350 indices listed on the National Stock Exchange (NSE).
There are over 50 indices listed on BSE.
The Nifty 50 is the largest Indian index. It is one of the most actively traded indices in the world.
Sensex and Nifty 50 are the two oldest indices in India.
The Sensex and the Nifty 50 are the two major indices in India.
