BSE Capital Goods

S&P BSE Capital Goods Index

The purpose of the S&P BSE Capital Goods Index is to monitor the performance of the businesses included in the capital goods sector. Businesses engaged in the production of capital goods items utilized in product manufacturing but not as raw materials are included. The volatility in the stock price affects the price of S&P BSE Capital Goods shares. This index's components are chosen from the BSE 500.

History of S&P BSE Capital Goods Index

August 9, 1999, saw the introduction of the BSE Capital Goods Index. The index's value is determined in real time based on the capital goods share price of the S&P BSE. The USD and INR are the two currencies in which the index is represented. The market capitalization of the 25 stocks that are now included in the index is INR 329,456.96 million. When determining the index value, the market capitalization of the equities in 1999 is used as the base market capitalization. 1999 serves as the basis year for the Nifty Capital Goods index value calculation.

Criteria for Selecting Stocks in the S&P BSE Capital Goods Index 

For a company to be included in the BSE Capital Goods index stocks list, it must meet certain requirements.

The requirements are as follows: 

• The stocks ought to be included in the BSE 500.
• When generating the rankings, the average float-adjusted market cap over the previous three months is computed and taken into account.
• For the equities to be considered for inclusion, they needed to have been traded on at least 90% of the days during the preceding three months.

How to Invest in S&P BSE Capital Goods Index? 

Investments in BSE Capital Goods shares can be made in two ways.

• Each of the 25 shares is available for purchase separately. However, this will require a larger financial outlay.
• Alternatively, you might put your money into a mutual fund that owns shares of BSE Capital Goods.