Nifty vs Sensex: Key Differences Every Indian Investor Should Know
Introduction
Nifty and Sensex are India’s most followed stock market indices. Beginners often confuse them, but understanding the difference helps track market performance better.
What Is Sensex?
Managed by BSE
Tracks 30 large-cap companies
Oldest index in India
What Is Nifty 50?
Managed by NSE
Tracks 50 large-cap companies
Represents broader market coverage
Key Differences Between Nifty and Sensex
| Feature | Sensex | Nifty |
|---|---|---|
| Exchange | BSE | NSE |
| No. of Stocks | 30 | 50 |
| Market Coverage | Narrower | Broader |
| Popularity | Traditional | More widely traded |
Which Is Better for Investors?
Long-term investors: Either index works
Traders: Prefer Nifty due to liquidity and derivatives
Conclusion
Both Nifty and Sensex reflect India’s economic health. Understanding them helps investors analyze market trends more effectively.
