S&P BSE 100

The acronym S&P stands for Standard & Poor’s, which is an American multinational financial services company. S&P is well known around the world for inventing the concept of financial market indices. Meanwhile, the acronym BSE stands for Bombay Stock Exchange. Since the indices of the Bombay Stock Exchange have been co-created with the help of Standard & Poor’s, all of the BSE’s indices carry the moniker ‘S&P BSE’ in front of them.  

The S&P BSE 100 is an index created by the Bombay Stock Exchange. It features the top 100 companies in terms of market capitalization and liquidity in the S&P BSE LargeMidCap index. Widely considered to be one of the most popular broad market indices, the S&P BSE 100 is used as a benchmark to track the performance of mutual funds. The index represents around two-third of the total market capitalization of all the stocks listed on the BSE. 

The S&P BSE 100 is an index, which is essentially a basket of stocks. The primary purpose of the index is to help investors track the performance of the market and to use it as a benchmark for mutual funds. It is not possible to directly invest or purchase units of the S&P BSE 100. However, there are many index mutual funds that have been created to mimic the S&P BSE 100 index. You can purchase units of such mutual funds, which would be akin to investing in the index. 

There are around 100 companies in the S&P BSE 100 index. Some of the largest and the most liquid constituents are as follows. 

• Reliance Industries`
• Infosys
• ICICI Bank
• TCS
• HDFC Bank
• Hindustan Unilever
• Bajaj Finance
• State Bank of India 
• Kotak Mahindra Bank