BSE 100

What is the BSE 100 Index?

The BSE 100 Index tracks the performance of the 100 largest and most liquid companies on the BSE. Introduced in 1989, it uses 1983–84 as the base year and a base value of 100.

The index includes companies across a wide range of industries, making it a reliable indicator of India’s overall market health.

Investors use the BSE 100 index performance, analyse the BSE 100 live chart, and trade ETFs or index funds to gain diversified exposure to India’s top large-cap and mid-cap companies.

How is the BSE 100 Index Calculated?

The BSE 100 uses the free-float market capitalization method to calculate its value.

(Current Free-Float Market Cap ÷ Base Market Cap) × Base Index Value

• Current Market Cap = Shares Outstanding × Investible Weight Factor × Market Price
• BSE reviews and rebalances the index semi-annually

This transparent calculation ensures the index accurately reflects market movements and helps analysts track the BSE 100 performance today for market trend analysis.

Selection Criteria for BSE 100 Index

A company must meet the following criteria to be included in the BSE 100:

• Must be part of the BSE 500 universe
• Ranked among the top 100 companies by free-float market capitalization
• Demonstrates high liquidity and strong trading frequency
• Has a minimum acceptable listing history
• Represents a key sector of the economy

These rules ensure the index includes only the most stable, liquid, and high-quality companies.

How Does the BSE 100 Index Work?

The index value changes based on the price movements of its constituent stocks.

• Weighted Price Calculation:Each stock influences the index based on its free-float market value.
• Live Market Movement: As stock prices change, the index updates in real time.
• RebalancingConducted twice a year to ensure proper sector and company representation.

The BSE 100 provides a clear picture of India’s market direction, sector movement, and economic growth trends.

History of the BSE 100 Index

The BSE 100 was launched by the Bombay Stock Exchange in 1989 to create a broad-market indicator representing India’s growing economy.

• Base year:1983 – 84
• Base value:100
• Covers more than 70% of BSE’s total free-float market cap
• Includes India’s top companies like Reliance Industries, HDFC Bank, TCS, ITC, Infosys, Larsen & Toubro, and more
• Forms the foundation for indices like BSE 200 and BSE 500

The index offers one of the most comprehensive views of the Indian equity market.