Tag
#indices
7 articles
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Advance Decline Ratio Explained: The A/D Line and How to Read It
The advance decline ratio counts how many stocks rose versus fell in a session. It measures participation in a move, not its direction, size, or durability.
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Benchmark Selection for Portfolios: How the Wrong Benchmark Invents Alpha
Choosing a benchmark is not administrative. The benchmark defines what counts as skill, so a mismatched one manufactures alpha or hides it. Here is how to select one properly.
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Free Float Market Cap Explained: Why Indices Use It
Free float market cap counts only the shares available to public investors, excluding promoter and locked-in holdings. Indices use it so weights reflect what is actually investable.
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How Indian Stock Indices Are Constructed
Index construction in India follows a published rulebook: an eligible universe, a selection rule, free float market cap weighting, a divisor, and a periodic review cycle.
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Index Rebalancing Explained: Reviews, Inclusions and Exclusions
Index rebalancing is the scheduled process where a provider re-applies its rules, updates constituents and weights, and index funds trade to match. Here is the mechanism and its effects.
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Nifty 50 vs Nifty 500: Coverage, Concentration and What Each Represents
The Nifty 50 holds 50 large, highly liquid companies. The Nifty 500 covers 500. One is a headline gauge, the other a broad market proxy, and their concentration differs sharply.
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Total Return Index vs Price Index: Why TRI Is the Fair Comparison
A price index tracks only price movement. A total return index adds dividends back in. Comparing a fund's returns to a price index quietly overstates its performance.
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