INDIAN SHARE MARKET: Where Money Matters

National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) are two prominent stock exchanges in India among all active stock markets. The index of BSE called 'Sensex' was first piled up in year 1986 on the basis of regular performance of 30 top notch companies. In year 1990the Sensex has touched the benchmark of 1000 and in 1992 the Sensex jumped to 4000.

Both NSE and BSE comprise a number of companies dealing in several industry domains. If counting on the numbers almost 100 blue chip stocks and around 300 mid cap stocks are available in the exchange to invest. The Indian share markets are famous for its volatility. Interestingly this unpredictable behavior of the market is caused by various factors. These aspects include any political overturn, financial crisis, neighborhood relationships and natural calamity.

Indian stock markets operate under strict guidelines of Securities and Exchange Board of India, popularly known as SEBI. SEBI makes various guiding principles for companies operating under the share market to protect the rights of investors. The SEBI directives are also very effective in order to regulate and promote the stock market.

Global investors who invest their money in Indian share markets feel that stock market India is a safe place to invest as it is very demanding market nowadays. Indian stock market now is emerging as a braced facet of the new economic era that has every substance to counter the unwanted financial crisis. As like other share market in the world Indian share market also deals in the several groups of potential shares.

Indian share markets have many listed stocks of blue chip companies. Blue chip companies are those institutions or organizations that have a consistent growth record and huge capital to pay-off the dividends. The companies with growth stocks normally track the strategy of reinvestment of income into further development and renewal of the company infrastructure. Defensive stocks are the best running stocks in the Indian share market. The prices of defensive stocks are always stable even in the tough times of recessions hence results less risk on liquidity.