Bombay stock exchange is referred to as the Sensex of the Indian economy. It is the oldest stock exchange market in the current economy. Sensex helps to determine the price range of the valuable items and also determines the exchange rate of money. NSE is the largest stock exchange and both are considered as the major national exchanges of India. NSE has been introduced as the electronic trading platform for the first time. Nifty is the abbreviation of the national stock exchange and is compared as the benchmark stock market. Sensex is the benchmark of BSE and the oldest abbreviation of the national market of stock. Both stock markets depend on the ups and downs of various matters of political and economic factors.

Concept of NSE and BSE

The national stock exchange was founded in 1992 and its headquarter is in Mumbai. NSE has first introduced the platform of electronic trading. NSE has an abbreviation that is called Nifty and it is also considered as the benchmark for the NSE. Just like BSE was founded in the year 1875 and is considered the oldest stock market in Asia. BSE has the abbreviation of Sensex which is a common benchmark for the traders in the national market. Sensex is compromised with 30 stocks of the market. Whereas, NSE comprises 50 stocks of the market. Both stocks have been faced up and down depending on the economy and politics of the nations. 

Comparison between NSE and BSE

NSE and BSE are some things that are related to securities of the stock share and bonds and have a direct connection with the exchange market. BSE is formerly known as “The native share and stock brokers association”. BSE offers different services like market data surveys, risk management and depository system of CDSL. NSE is also located in Mumbai and defines the leading stock market in India. It has been incorporated as a tax-paying company of the Indian government under the act of Securities Contracts, 1956. There are some key differences between the market of NSE and BSE.

  • Both stock exchange markets are top exchanges in the Indian economy but NSE is quite young in the market and BSE is the oldest one. 
  • BSE is in the position of 10th at the top of the stock exchange whereas NSE is in the 11th position in that same view. 
  • NSE is the first introducer of the electronic trading system in the year 1992 and BSE put their view on the electronic change process in the year 1995. 
  • The index of NSE or Nifty diverts the top index of 50 whereas BSE or Sensex index only provides 30 indexes.  
  • BSE came in the recognition of the stock market in the year 1957 and NSE recognized in the year 1992. These are the major differences between NSE and BSE in the market of the stock exchange. 

Difference Between NSE and BSE Share Price

The share price of Sensex is 56,247.28 and the share price of Nifty NSE is 16793.90. There has been a slight difference in the market share price of BSE and NSE. This mostly depends on the liquidity variable and the stocks of the exchange. The variation of the prices has a greater effect on the market value. BSE generates the rates of the exchange for money and determines the market price of the assets. Financial sectors also depend on the market share and Sensex value. If the share price of Sensex falls there is a fall in the economic condition of a nation. The Indian economy also depends on the market share of both exchanges and BSE have a major significance in the growth of the economy. 

Conclusion  

It can be concluded from the above study that NSE and BSE both have significance in the Indian market. Both help to determine the share market value and implement the market prices as per the value of the market. Both NSE and BSE have to depend on the liquid flow of the market and the political and economic condition of the nation’s market. It has been showcasing NSE and BSE dependency on the trading volume and that implies the availability of the stocks.