BOMBAY STOCK EXCHANGE

INTRODUCTION• Established in 1875,BSE LTD.(formerly Known as

Bombay Stock Exchange Ltd and Established as“The Native Share and Stock Broker’s Association”).

• Bombay Stock Exchange is The Oldest StockExchange in Asia With Heritage.

• BSE Provides an Efficient and Transparent Marketfor Trading in Equity, debt instruments, derivatives,and mutual funds. It is also has a Platform forTrading in Equities of Small and MediumEnterprises.

• More than 5000 Companies are Listed on BSE,Making it the World’s Top Exchange in Terms ofListed Members.

• The Information Security Management systemStandard BS 7799-2-2002 Certification for On lineTrading System (BOLT).

• India’s Most Widely Tracked Stock MarketBenchmark Index.

• It is Traded Internationally on the EUREX as Wellas Leading Exchange of the BRCS Nations.

• On Tuesday, 19 February 2013 BSE has Enteredinto Strategic Partnership With S&P DOW JONESINDICES and the SENSEX has been Renamed as“S&P BSE SENSEX”.

Type Stock Exchange

Location Mumbai, India

Founded 1875

Owner Bombay Stock Exchanges

Limited

Currency Indian Rupee

Market Capacity US$1.57trillion(May2014)

Website www.bseindia.com

Board of Directors

• Mr. Ashish Kumar ChauhanBombay Stock Exchange Limited

Managing Director

and also CEO

Trading schedule

Session Timing

Pre-open Trading Session 09:00 - 09:15

Trading Session 09:15 - 15:30

Position Transfer Session 17:05 - 17:15

Closing Session 17:05 - 17:15

Option Exercise Session 17:07

The hours of operation for the BSE quotedabove are stated in terms of the local time(GMT + 5:30). BSE's normal trading sessionsare on all days of the week except Saturday,Sundays and holidays declared by theExchange in advance.

Vision and Mission of BSE

• Vision:

Our Vision is to be the Sought After LearningProvider in the world in areas of Financial andLeadership Learning, by Pioneering theGeneration and Dissemination of Knowledgefor the Enhancement of Skills and Capabilitiesof Professionals and Aspiring Professionals.

• Mission:As a Centre of Learning, Our Mission is to Promote an Open Learning Environment that Bring Together People, Cultures and Ideas from Around the World, Changing Lives and Helping Transform Organization through Innovative Learning Programs. Through Our Learning Programs, We Develop Responsible, thoughtful Leaders and Entrepreneurs Who Create Value for their Organizations and their Communities.

ADVANTAGES

• Fund Raising and exit route to investors

• Ready Marketability of Security

• Ability to raise further capital

• Supervision and Control of Trading in Securities

• Fair Price for the Securities

• Timely Disclosure of Corporate Information

• Collateral Value of Securities

• Better Corporate Practice

• Benefits to the Public

• Subdivision and Consolidation of Holdings

How are the SENSEX 30 Stock are Selected?

• Listing History

• Trading Frequency

• Rank Based on the Market Capacity (Should be Among Top 100)

• Market Capitalization Weight

• Industry / Sector they Belong

• Historical Record

COMPONENTS OF THE BSE

The BSE Sensex currently consists of thefollowing 30 major Indian companies.

Company Scrip Industry

Axis Bank 532215 Banking

Cipla 500087 Pharmaceuticals

Bharat Heavy Electricals 500103 Electrical equipment

State Bank Of India 500112 Banking

HDFC Bank 500180 Banking

Hero Motocorp 500182 Automotive

Infosys 500209 Information Technology

Oil and Natural Gas Corporation 500312 Oil and gas

Reliance Industries 500325 Oil and gas

Tata Power 500400 Power

Hindalco Industries 500440 Metals and Mining

Tata Steel 500470 Steel

Larsen & Toubro 500510 Conglomerate

Mahindra & Mahindra 500520 Automotive

Tata Motors 500570 Automotive

Hindustan Unilever 500696 Consumer goods

ITC 500875 Conglomerate

Sesa Sterlite Ltd 500295 Iron and Steel

Wipro 507685 Information Technology

Sun Pharmaceutical 524715 Pharmaceuticals

GAIL 532155 Oil and gas

ICICI Bank 532174 Banking

Housing Development Finance

Corporation500010 Housing Finance

Bharti Airtel 532454 Telecommunication

Maruti Suzuki 532500 Automotive

Tata Consultancy Services 532540 Information Technology

NTPC 532555 Power

Dr. Reddy's 500124 Pharmaceuticals

Bajaj Auto 532977 Automotive

Coal India 533278Metals and Mining

What is the BSE S&P SENSEX?

SENSITIVE INDEX SENSEX

How SENSEX is Calculated?

The Formula for Calculating the SENSEX =(Sum of Free Flow Market Capacity of 30Benchmark Stocks)* Index Factor

Where,

Index Factor = 100/ Market Capacity Value in

2014-15

100 is Index Value During 2014-15

BSE INDEXBSE SENSEX:• The Bombay Stock Exchange SENSEX also referred to as BSE 30.• It is a free-float market capitalization weighted index of 30 well-

established and financially sound companies listed on Bombay StockExchange.

BSE Mid-Cap:• BSE Mid-Cap tracks the performance of scrips between 80 &

95% of aggregate market capitalisation.• It is also introduced to track the performance of companies with

relatively smaller market capitalization.BSE Small-Cap:• BSE Small-Cap index tracks the performance of remaining 5% scrips (95-

100%).• It is introduced to track the performance of companies with relatively

smaller market capitalization.

BSE-500:• It represents more than 93% of the listed universe Companies with large

market capitalization.

Milestones• On 25 July 1990, the SENSEX touched the four-digit figure for the first

time and closed at 1,001 in the wake of a good monsoon and excellentcorporate results.

• On 30 March 1992, the SENSEX crossed the 4,000 mark and closed at4,091 on the expectations of a liberal export-import policy. It was thenthat the Harshad Mehta scam hit the markets and SENSEX witnessedunabated selling.

• On 11 October 1999, the SENSEX crossed the 5,000 mark, as theBharatiya Janata Party-led coalition won the majority in the 13th LokSabha election.

• On 11 February 2000, the information technology boom helped theSENSEX to cross the 6,000 mark and hit an all-time high of 6,006points.

• On 20 June 2005, the news of the settlement between the Ambanibrothers boosted investor sentiments and the scrip of RIL, RelianceEnergy,Reliance Capital and IPCL made huge gains. This helped theSENSEX crossed 7,000 points for the first time.

• On 8 September 2005, the Bombay Stock Exchange's benchmark30-share index – the SENSEX – crossed the 8,000 level followingbrisk buying by foreign and domestic funds in early trading.

• The SENSEX on 6 February 2006 touched 10,003 points duringmid-session. The SENSEX finally closed above the 10,000 mark on7 February 2006.

• The SENSEX on 21 March 2006 crossed 11,000 and touched apeak of 11,001 points during mid-session at the Bombay StockExchange for the first time. However, it was on 27 March 2006that the SENSEX first closed at over 11,000 points.

• The SENSEX on 5 December 2006 crossed the 14,000 mark for thefirst time.

• The SENSEX on 6 July 2007 crossed the 15,000 mark for the firsttime.

• The SENSEX on 19 September 2007 crossed the 16,000 mark forthe first time.

• The SENSEX on 10 March 2014 crossed the 22,000 mark for the firsttime during intra-day trading. However, it was on 24 March 2014 thatthe index finally closed above the milestone at 22,095.30.

• The SENSEX closed at its record all time high of 23,551,a rise of2.42%(+556.77 points) intraday due to continued fund inflows on hopesof a stable government.

• The SENSEX crossed record 24,000 level for the first time, on 13 May2014 and reached its peak of 24,067.11 due to sustained capital inflowsby foreign funds at the domestic bourses and widespread buying byretail investors after exit polls showing the BJP-led NDA forming thegovernment lifted the key indices to new highs. However it closed at alittle low at 23,905 points.

• The SENSEX crossed record 25,000 level for the first time, on 16 May2014 and reached its peak of 25,364.71 due to winning of the BJP ledNDA government by a staggering record marginal difference of alltimes. However, it closed well below the 25,000 mark. Still, the indexclosed at its all time high of 24,121.74, for its first close above 24,000points. The SENSEX closed at 25,019.51, for its first close above the25,000 milestone on 5 June 2014.

By

G.SATHYA SAIMBA sem-III BIMS