The target of the Bank Nifty index is to provide a benchmark for the Indian banking sector.
The index is designed to measure the performance of the banking sector in the Indian stock market and is intended to be representative of the performance of the banking sector as a whole.
The index is calculated using the free float market capitalization weighted method, where the level of the index reflects the total market value of all the stocks in the index relative to a particular base period.
The index is calculated based on free-float market capitalization-weighted methodology,
where the level of the index reflects the total market value of all the stocks in the index relative to a particular base period.
The Bank Nifty index is considered a barometer of the Indian banking sector and is widely used by market participants, including investors, traders, and analysts, to gauge the performance of the banking sector and make investment decisions.
It is also used as a benchmark for various financial products such as index funds, index-based derivatives, and exchange-traded funds.