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What are objectives of composing indices?
A Stock market index is an indicator that shows us the performance of the stock market as a whole.For example The BSE Index or the Sensex as it is popularly known, is the index of the performance of the 30 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index.
Does bill gates own stock in apple?
It is not known what Bill Gates, as a private individual, owns stock in. In 1997 Microsoft, as part of the settlement of a long running dispute between Apple and Microsoft, purchased $150 million of Apple stock. This has been sold and Microsoft no longer hold Apple stock.
Explain Indian stock market?
A Stock Exchange is the place where investors go to buy/sell their shares. Once a company's public offering is complete, it gets listed in a stock exchange. After listing it would be available for trading to all investors in the stock exachanges where they are listed. In India we have two major stock exchanges. They are: 1. The National Stock Exchange (NSE) & 2. The Bombay Stock Exchanges (BSE) National Stock Exchange: The NSE is India's largest and the worlds third largest stock exchange in terms of Transaction volumes & amounts. The NSE is based out of Bombay. NSE Index or NIFTY: The NSE Index or the Nifty Index as it is popularly known, is the index of the performance of the 50 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index. The value of the Nifty Index is the weighted average of the prices of these 50 companies. Bombay Stock Exchange: The BSE is the oldest stock exchange in Asia. It is situated in Dalal Street in Mumbai. It is the third largest stock exchange in south Asia and the tenth largest in the world. BSE has over 5000 companies that are listed in it. BSE Index or SENSEX: The BSE Index or the Sensex as it is popularly known, is the index of the performance of the 30 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index. Since the number of countries involved is lesser, the index variations are higher when compared to the Nifty index. Answer: A stock market is a general term used for all the places where trading in a company's shares takes place. A stock exchange is an actual physical entity where listed stocks are bought and sold by investors. In India, there are two major stock exchanges - the National Stock Exchange of India (NSE) and the Bombay Stock Exchange (BSE). Nifty, which is the index of NSE, consists of 50 stocks and Sensex, which is the index of BSE, consists of 30 stocks. If you're interested in investing in the stock market, you may want to consult a professional broker.
Dose Microsoft own apple inc stock?
Microsoft does not currently own any Apple stock. In 1997 Microsoft purchased $150 million of non-voting Apple stock as part of the settlement of a legal dispute, dating back to 1988, where Apple wanted to prevent Microsoft from using Apple's ideas in the Windows operating system. Microsoft sold their Apple holdings shortly afterwards.
What is the djia index used for?
The DJIA index is very popular part of the stock market. The Dow Jones Industrial Average (DJIA) is the most quoted when it comes to noting how well the market is doing.
What is difference between nse sensex?
NSE refers to the National Stock Exchange Sensex is the index of the Bombay Stock Exchange Once a company's public offering is complete, it gets listed in a stock exchange. After listing it would be available for trading to all investors in the stock exachanges where they are listed. In India we have two major stock exchanges. They are: 1. The National Stock Exchange (NSE) & 2. The Bombay Stock Exchanges (BSE) National Stock Exchange: The NSE is India's largest and the worlds third largest stock exchange in terms of Transaction volumes & amounts. The NSE is based out of Bombay. The NSE has set up its trading platform as a nation-wide, fully automated screen based system. This enables anyone in any part of the country to trade on shares listed in the NSE. The NSE is based on a demutualized model wherein the ownership, management & trading rights are managed by three different group of people. This is to ensure that there is no conflict of interest among the stake holders. NSE Index or NIFTY: The NSE Index or the Nifty Index as it is popularly known, is the index of the performance of the 50 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index. The value of the Nifty Index is the weighted average of the prices of these 50 companies. Bombay Stock Exchange: The BSE is the oldest stock exchange in Asia. It is situated in Dalal Street in Mumbai. It is the third largest stock exchange in south Asia and the tenth largest in the world. BSE has over 5000 companies that are listed in it. The objectives of the BSE are similar to that of the NSE. BSE also uses the latest technologies in the IT field to provide a single place where traders from across the world can buy/sell shares in the Indian share market. BSE Index or SENSEX: The BSE Index or the Sensex as it is popularly known, is the index of the performance of the 30 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index. Since the number of companies is lesser, the index variations are higher when compared to the Nifty index.
Does Microsoft still own Apple shares?
Microsoft purchased $150 million of non-voting Apple stock as part of a resolution to a long running legal dispute over their use of certain features that resembled those used in the Mac. The stock was later sold back to Apple for a profit.
Meaning of sensex?
BSE Index or SENSEX: The BSE Index or the Sensex as it is popularly known, is the index of the performance of the 30 largest & most profitable, popular companies listed in the index. Each company that is part of the index has its own weightage in the value of the Index. Since the number of companies is lesser, the index variations are higher when compared to the Nifty index.
What is the sensex and nifty?
The Sensex is an "index". What is an index? An index is basically an indicator. It gives you a general idea about whether most of the stocks have gone up or most of the stocks have gone down. The Sensex is an indicator of all the major companies of the BSE. The Nifty is an indicator of all the major companies of the NSE. If the Sensex goes up, it means that the prices of the stocks of most of the major companies on the BSE have gone up. If the Sensex goes down, this tells you that the stock price of most of the major stocks on the BSE have gone down. Just like the Sensex represents the top stocks of the BSE, the Nifty represents the top stocks of the NSE. Just in case you are confused, the BSE, is the Bombay Stock Exchange and the NSE is the National Stock Exchange. The BSE is situated at Bombay and the NSE is situated at Delhi. These are the major stock exchanges in the country. There are other stock exchanges like the Calcutta Stock Exchange etc. but they are not as popular as the BSE and the NSE.Most of the stock trading in the country is done though the BSE & the NSE. Besides Sensex and the Nifty there are many other indexes. There is an index that gives you an idea about whether the mid-cap stocks go up and down. This is called the
How do stock dividends affect stock indexes?
The stock that forms the part of the index will have a weight in the index, i.e. how much the movement of that stock affects the movement of the index. When a dividend goes ex, this will trigger a 'drop point' on the index. This is calculated from the value of the dividend, the weight in the index and the fx rate, if the stock is priced in a different currency from the index. When a dividend goes ex, the price of the underlying stock will open that morning lower by the amount of the dividend. This usually doesn't have a huge effect as the percentage change is well within day trading movements of a stock anyhow. The same applies for the level of an index move - the index will open lower by the drop point amount, but will generally be negligible on the movements of intra-day trading anyhow. You may have to be careful with special dividends, as they can be a higher percentage of the stock trading price, which may actually cause a noticeable drop in intra day trading price. They can also affect index levels. Dividends have a different effect on options though, but generally the price of a basic call / put would already have been adjusted before the ex-date. If you have a structured product, for example a vertical spread consisting of 2 long and 2 short options, then your position won't be affected as what you lose on one you will make on the other. If you have a time spread where your position is dependant on the stock price staying where it is, then you need to do further analysis on your Greeks and how it will affect option price. Thanks.
How many shares of apple does Microsoft own?
Microsoft does not own any shares in Apple. As part of the settlement to a long running legal dispute between the two companies Microsoft invested $150 million in non-voting Apple stock in 1997. The stock was not held for very long and was sold for a profit.
Why are stock market indexes needed?
They are convenient in that they sum up the total market movement of perhaps hundreds of stocks in a single number. The value of the index is a representative figure of the overall performance of the stock exchange. A Stock exchange usually contains hundreds of thousands of stocks listed in it. It then chooses a few of the top/best companies out of them and forms an index based on their relative sizes and market capitalization and allots them weightages. The price movement of these stocks can have a direct impact on the market index. Whereas the movement in price of a company that is not a part of the index will not impact the same. Ex: Reliance Industries is one of the companies that has a significant weightage in both the NSE and BSE in India whereas Kashyap Technologies does not feature in the index companies. Though it is a member of the BSE it does not feature in the index. So, if the price of Reliance Industries goes up the market would go up but if the price of Kashyap goes up or down the index would remain unaffected.
