BSE-200 Index was launched on May 27, 1994 on full market capitalization method. Dollex-200 was also launched on May 27, 1994 and is calculated based on BSE-200 index. Dollex-200 is BSE-200 index represented in US dollars. The index calculation method shifted to free-float market capitalization later on. The index base year is 1989-90 and base index value is 100. As the name indicates, the index has 200 companies in the index which represents wider market capitalization of the market.
The purpose of the index is to quantify price movements and monitor sensitivity of the market. The rapid growth in the market created need for a new broad-based index series reflecting the market trends in a more effective manner and providing a better representation of the increased equity stocks, market capitalization as also to the new industry groups.
Companies are selected based on current market capitalization of the listed stocks and the market activity of the companies - transaction volumes and specific fundamental factors.
Revised from December 1, 2009