What is BSE or Bombay Stock Exchange?

The Bombay Stock Exchange, also known as the BSE India, is located on Dalal Street. It lists more than 5,000 companies and counts as the world's largest stock exchange. In 1995, the BSE moved to an electronic trading system. All listed stocks, stock futures, index futures, and index options.

Responsibilities:

The BSE is managed by the Board of Directors, who formulate its policy. A managing director handles its daily operations.

The BSE acts as the regulator in the securities market by putting in place various monitoring and surveillance mechanisms.

It can pinpoint irregularities or discrepancies in stock prices.

The BSE provides counter-party risk management in all transactions across its trading platforms.

Salient features It is the first in India to introduce equity derivatives and launch a free-float index.

Its systems and processes safeguard market integrity and enhance operational transparency.

The BSE is the first exchange in the country and the second globally to obtain an ISO 9001:2000 certification.

This is the first exchange in the country and second in the world to receive Information Security Management System Standard BS 7799-2-2002 certification for its unique BSE Online Trading System (BOLT)

What Are The Common Jargons Of BSE?

The BSE has a presence in over 400 cities and towns. Some commonly used terms in BSE are:

BSE Stock: The equity shares of various companies listed on the BSE Trading System (BOLT)

BSE Sensex: Originating from the term ‘sensitive index,’ it refers to the direction of companies traded on the BSE. It reflects the rise and fall in stock prices of listed companies. It is also known as the BSE index.

Rally: This refers to the gains made by the Sensex during a day. If it persists for a few days, it is known as a market rally.

Crash: It refers to the decline in value of the Sensex.