What Is The History Of Indian Share Market?

What Is The History Of Indian Share Market?

The Indian share market has seen everything, from crashes to rise; it has experienced all ups and downs. The Indian share market came into existence in the year 1875, when Bombay Stock Exchange, abbreviated as BSE, came into view. It was the starting of the economic development of the country. In the year 1992, National Stock Exchange, better known as NSE, was founded but it was not until 1994 that NSE started trading.

These two were the foundation of the Indian stock market, based on which the economic development of the country was depending. Both the stock exchange organizations follow the same trading mechanism, but BSE has about 4700 listed firms while NSE has about 1200 firms, which was the last record. BSE holds most of the capitalization, as 500 firms from this organization forms of around 90{b5fea70bec9ef094d9118d829b91d7a1033aae32a2fd766ab739de523e816031} of the economy while NSE, ranks among the top 11 in the world’s largest stock exchange, in the year 2018.

NIFTY 50, which was formed by NSE, is used by the Indian investors while in the process of exchanging, buying or selling. Though India is still on the verge of the economically developing country, it provides around 14{b5fea70bec9ef094d9118d829b91d7a1033aae32a2fd766ab739de523e816031} of the total GDP in the world.

While NSE is developing new firms, Angel Broking, a firm of BSE is still used by Indian investors. It was developed in the year 1987 with the aim of helping Indian investors to achieve success and help in the growth of the economy. India started permitting investors from different countries, to invest in India, from 1990. It helped a lot in developing the economy of the country. Investors from different countries started investing in the firms and organizations of the Indian stock market. The gain achieved from the investment not only proved to be advantageous for the investors but was also helpful for the Indian share market.

The Indian stock market has even experienced crashes in the past. The biggest crash was in the year 2008 when the Indian stock market fell by a large number of points. Further, the market lost more points at the end of the year, and it was difficult to regain from the crash. The investors tried to help the banks in order to cope up with the loss, but each plan failed terribly and resulted in further degradation of the share market.

Later in the year 2013, when the bull market was started with the hope that Narendra Modi would help in regaining the lost economy of the country, the Indian share market rose to a certain unexpected level. When the hopes were turned into truth, it proved to be beneficial for the Indian share market and helped the investors in gaining all that has been lost due to the crash. Currently, India is developing as a more economic country and would soon be among the top economy in the world. The goals have already been achieved as both NSE and BSE are growing exponentially. The bull market is still going on, and it would further help India’s economy.