Under the 'full-market capitalization' methodology, the total
market capitalization of a company, irrespective of who is holding
the shares, is taken into consideration for computation of an
index. However, if instead of taking the total market
capitalization, only the Free-float market capitalization of a
company is considered for index calculation, it is called the
Free-float methodology. Free-float market capitalization is defined
as that proportion of total shares issued by the company which are
readily available for trading in the market. It generally excludes
promoters' holding, government holding, strategic holding and other
locked-in shares, which will not come to the market for trading in
the normal course. Thus, the market capitalization of each company
in a Free-float index is reduced to the extent of its Free-float
available in the market.