Answer Posted / archita nandi

BSE-Bombay Stock Exchange and NSE- National Stock Exchange are two Indian stock exchanges widely popular in not only India but in entire world.
Now what is BSE and NSE?
They are the medium of secondary market where second hand shares are sold(already purchased)and purchased. When they are traded through these exchanges then they results in some performance which if is measured then help us to understand the total performance of the company as well as about the performance of the entire exchange. It is just as an average which tells us generally in an abbreviated way about the entire thing. This average is known as an Index
Similarly, the companies which trade their shares through BSE and NSE, specially which are the top trading companies in both the volume wise and capital wise are taken for calculation of the Index-an Indicator.
In SENSEX-Sensitivity Index(indices of BSE), 30 companies are taken for calculation to measure the performance of India's Top 30 Companies in trading volume. Bombay Stock Exchange is in Mumbai and considered to be the oldest stock exchange of India
In NIFTY- National Fifty is just like the Sensex is an indicator an averege of the performence of the Top Fifty companies of India. and is situated in Delhi.

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