Nifty 50 is the list of Fifty stocks or shares acquired from 21 different sectors of economy The purpose or advantage of this Index is that to select 50 stock from 2 different sectors according to their specified market capitalization and place them on or in top fifty stocks in NSE that is why it is also known as Nifty50. This placing of shares on the top also defines that on high volume the trading of these stocks is done and this is the reason they are very liquid and it is not difficult to get in or out of these stocks. Nifty’s stock is indexation is totally based on weighting this is done to show effect of script on whole market for example if value of the share will go down how much it will affect the whole market so this percentage effect is called or is known as weighting of the stock.
Nifty is owned by India index Services and Products which is again a fully owned subsidiary of NSE Strategic Investment corporation limited NIFTY 50 Index is recognized as the largest and the only one financial product in India. NIFTY 50 index is a free float market capitalization index this index was initially calculated on full market capitalization method from 26 june 2009 it has changed the method to free float. According to the data collected the all time nifty rose upto 11760 which was it all time high and it's all time low was 11738.50. Another one is Nifty nest 50 also known as Nifty junior it consists of 50 companies whose free float market capitalization came after Nifty 50 .
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