NIFTY is one of the two national indices, the other being SENSEX, a product of the Bombay Stock Exchange. It is owned by the India Index Services and Products (IISL), which is a fully-owned subsidiary of the National Stock Exchange Strategic Investment Corporation Limited.
NIFTY is a market index introduced by the National Stock Exchange. It is a blended word — National Stock Exchange and Fifty — coined by NSE on 21st April 1996. NIFTY 50 is a benchmark-based index and also the flagship of NSE, showcasing the top 50 equity stocks traded on the exchange out of a total of 1,600 stocks.
NIFTY is also a part of the Futures and Options (F&O) segment of NSE, which deals in derivatives — making it a key benchmark for both long-term investors and short-term traders in India's financial markets.
The NIFTY share index is managed by a team of professionals at NSE Indices Limited. It formed an Index Advisory Committee that offers expertise and guidance on large-scale issues pertinent to equity indices.
NIFTY 50 indices are computed based on a float-adjusted and market capitalisation weighted method. In this method, the level of index demonstrates the aggregate market value of stocks present in the index in a specific base period.
The NIFTY share market index is a benchmark standard against which all equity markets in India are measured. Therefore, NSE conducts regular index maintenance to ensure that it remains stable and persists as the benchmark in the Indian stock market context.
Constituent stocks of the benchmark Nifty 50 index
NSE indices categorised by market coverage and trader preference
Note: NIFTY 50 appears in both categories — it is both the broadest benchmark and the most actively traded index in India's derivatives market.
