What is BSE? Meaning, SENSEX and how it works

What is BSE?

BSE stands for Bombay Stock Exchange. Established in 1875, it is one of India’s main stock exchanges, where shares and other market instruments can be traded through registered brokers.

What is the BSE SENSEX?

The SENSEX is BSE’s best-known benchmark index. It tracks 30 large, actively traded companies listed on BSE and is commonly used as a broad indicator of Indian stock-market movement.

What can trade on BSE?

BSE provides a market for equity shares, debt instruments, derivatives, mutual funds and other permitted products. Retail investors normally access these through a SEBI-registered broker and a demat account.

BSE and NSE: the simple difference

BSE and NSE are separate Indian stock exchanges. A company can be listed on one exchange or on both. SENSEX is associated with BSE, while NIFTY 50 is associated with NSE.

Important note

An index level or a company’s share price can change throughout the trading day. This page explains the terms; it is not investment advice.