Difference Between Nifty and Sensex – Lares Algotech
Introduction When it comes to investing in the Indian stock market, two terms dominate every discussion: Nifty and Sensex . Both are benchmark indices that act as barometers of the Indian economy and stock market performance. They help investors track market movements, compare performance, and make informed decisions. But despite being widely used, many retail investors are still unclear about the actual difference between Nifty and Sensex . In this detailed blog, we at Lares Algotech break down everything you need to know about these two indices—what they are, how they are calculated, their key differences, and how they matter to your investment journey. What is a Stock Market Index? Before we dive into Nifty and Sensex, let’s understand what an index is. A stock market index is essentially a basket of selected stocks that represent the performance of a particular segment of the market. By tracking the value of the index, investors can gauge whether the overall market or a ...