BSE and Sectoral Indices: A Comparative Study

Vol-2 | Issue-2 | February-2015 | Published Online: 05 February 2015    PDF ( 142 KB )
Author(s)
Divyesh Parmar 1; Nitin Radadiya 2; Manish Dudhat 3; Dr. Chetna Parmar 4

1Student, School of Management R.K. University, Rajkot, Gujarat (India)

2Student, School of Management R.K. University, Rajkot, Gujarat (India)

3Student, School of Management R.K. University, Rajkot, Gujarat (India)

4Associate Professor, School of Management R.K. University, Rajkot, Gujarat (India)

Abstract

The global economic meltdown has influenced all the sectors of the Indian capital market and economy. Its impact is
more noticeable on the Indian capital market and the sectoral indices. The indices are declining and the markets are following
the same trend. The BSE Sensex has been the worst strike among the Indian stock market indices. The other sectoral indices
are also following the Sensex until a revival in the last quarter of 2008. Because of the declining trends in the capital markets,
the investors are in a dilemma whether their investments will be safe or not. Even through the situation has stabilized a little
bit now on 2009, still there is an ambiguity among the investors about the performance of the indices. In this backdrop, an
attempt was made to study the performance of the sectoral indices in comparison with Sensex on Bull period and Bear period.
The author has taken the data of the last Five financial year which parts of bull period and bear period, the studied the
correlation co-efficient to establish the relationship between the selected sectoral indices and BSE. Thirteen leading sectoral
indices were taken for the analysis, which have a significant impact on the total economic situation of last five years of the
country.

Keywords
BSE, Sensex, Stock Market, Indices, Investment, Dilemma
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