A COMPREHENSIVE PROJECT REPORT ON A STUDY OF FII INFLUENCE ON BSE STOCK MARKET. BY MR. VINEETH V. POLIYATH ENROLLMENT NO: 107310592005 BATCH: 2010-13 UNDER THE GUIDANCE OF PROF. PRANAV RAYTHATHA (Internal) Assistant Professor, Laxmi Institute of Management, Sarigam SUBMITTED TO GUJARAT TECHNOLOGICAL UNIVESITY, AHMEDABAD FOR THE AWARD OF THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION THROUGH LAXMI VIDYAPEETH`S LAXMI INSTITUTE OF MANAGEMENT, SARIGAM College Code: 731 Branch Code: 92 Subject code: 84001 – Comprehensive Project
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A COMPREHENSIVE PROJECT REPORT
ON
A STUDY OF FII INFLUENCE ON BSE STOCK MARKET.
BY
MR. VINEETH V. POLIYATH
ENROLLMENT NO: 107310592005
BATCH: 2010-13
UNDER THE GUIDANCE OF
PROF. PRANAV RAYTHATHA (Internal)
Assistant Professor, Laxmi Institute of Management, Sarigam
SUBMITTED TO
GUJARAT TECHNOLOGICAL UNIVESITY, AHMEDABAD
FOR THE AWARD OF THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION
THROUGH
LAXMI VIDYAPEETH`S
LAXMI INSTITUTE OF MANAGEMENT, SARIGAM
College Code: 731 Branch Code: 92
Subject code: 84001 – Comprehensive Project
Laxmi Institute of Management, Page 2
DECLARATION
We hereby declare that the work incorporated in this grand project
report entitled “ “FII’s INFLUENCE ON BSE STOCK MARKET
OVER THE PERIOD 2002-2012” is the outcome of original study
undertaken by me under the guidance of Prof. Pranav Raythatha
(Internal) Assistant Professor, Laxmi Institute of Management, Sarigam
during 14th January 2013 to 30th May 2013. This project report has not
been submitted earlier to any other University or Institution for the
award of any Degree or Diploma.
Mr. VINEETH V. POLIYATH
107310592005
BATCH: 2010-12
Laxmi Institute of Management, Page 3
CERTIFICATE
This is to certify that the content of this grand project report entitled “FII’s
INFLUENCE ON BSE STOCK MARKET OVER THE PERIOD 2002-
2012”by Mr. Vineeth V .Poliyath, Enrollment No. 107310592005 submitted to
Gujarat Technological University, Ahmadabad for the Award of Master of
Business Administration is original research work carried out by him under my
supervision during 14th January 2013 to 30th May 2013. On the basis of the
declaration made by him I recommend this project report for the evaluation.
This report has not been submitted either partly or fully to any other University
or Institute for award of any degree or diploma.
PROF. PRANAV RAYTHATHA DR. KEYUR M. NAIK
Project Guide Director
Asst. Professor Laxmi Institute of
Laxmi Institute of Management, Management,
Sarigam Sarigam
Laxmi Institute of Management, Page 4
INDEX
SR. NO. PARTICULAR PAGE NO.
1 GENERAL INFORMATION 9-17
OVERVIEW OF INDIAN ECONOMY 10
2 THEORITICAL FRAMEWORK 18-33
STOCK EXCHANGE - BSE & NSE 19
FOREIGN INSTITUTIONAL INVESTORS 28
3 PRIMARY DATA 34-39
INTRODUCTION OF THE STUDY 35
LITERATURE REVIEW 37
BACKGROUND OF THE STUDY 40
4 RESEARCH METHODOLOGY 47-49
OBJECTIVE OF THE STUDY 48
SCOPE OF THE STUDY 48
METHODOLOGY OF THE STUDY 48
LIMITATION 49
5 DATA ANALYSIS & INTERPRETATION 50-72
PERFORMANCE OF Sensex 52
FII'S NET INVESTMENT V/S Sensex RETURN 55
COEFFICIENT OF CORELATION & 66
TREND ANALYSIS OF FII'S INVESTMENT 71
6 FINDING, CONCLUSION & SUGGESTION 73-80
BIBLIOGRAPHY 80
Laxmi Institute of Management, Page 5
LIST OF TABLES
TABLE NO
TABLE
PAGE NO
4.1
LIST OF BSE SENSEX COMPANIES
22
4.2
INTERNATIONAL STOCK EXCHANGES
27
5.1
PERFORMANCE OF SENSEX 1991-201
52
5.2
FII’s NET INFLOW FROM 2002-2012
55
5.3
FII’s NET INFLOW V/S SENSEX RETURN
57
5.4
SENSEX RETURN 2010
60
5.5
FII NET INFLOW
62
5.6
FII INFLOW V/S SENSEX RETURN
64
5.7
SENSEX FLUCTUATION
66
5.8
CORRELATION 67
5.9
CORRELATION 2012 69
5.10
CURRENT TREND OF FII’s INVESTMENT 71
5.11
TREND ANALYSIS-FUTURE 73
Laxmi Institute of Management, Page 6
LIST OF CHARTS
CHART NO
CHART NAME PAGE NO
5.1
SENSEX 1991-2010
53
5.2
FII NET INFLOW 2002-12
56
5.3
FII INFLOW 2000-2010 V/S SENSEX RETURN
58
5.4
SENSEX RETURN 2012
61
5.5
FII NET INFLOW 2012
63
5.6
SENSEX RFTURN V/S NET INFLOW 2012
65
5.7
TREND ANALYSIS
74
Laxmi Institute of Management, Page 7
ACKNOWLEDGEMENT
The satiation and euphonies that accompany the success completion of a task would
be incomplete without a mention of people who made it possible. So, with immense
gratitude, I acknowledge all those, whose guidance and encouragement served as a
beacon light and crowned my effort with success.
I have taken efforts in this grand project. However, it would not have been possible
without the kind support and help of many individuals and organizations. I would like
to extend my sincere thanks to all of them.
We are highly indebted to Mr. Pranav Raythatha, Assistant Professer of Laxmi
Institute of Management, Sarigam for his guidance, constant help and for providing
necessary information regarding the stock market operation and various industry
sectors.
I express my thanks for his encouragement which help me in completion of this
project.
I would like to express my special gratitude to my parents who gave us continuous
support during the grand project work.
Mr. Vineeth Poliyath
107310592005
BATCH: 2010-12
Laxmi Institute of Management, Page 8
EXECUTIVE SUMMARY
The project deals with the “Impact of Foreign Institutional Investors on Indian Stock
Market”. This research project studies the relationship between FIIs investment and
stock indices. For this purpose India’s major index i.e. BSE Sensex is selected. This
index would be used for to represent the picture of India’s stock markets. So this
project reveals the impact of FII on the Indian capital market.
There may be many other factors on which a stock index may depend i.e. Government
policies, budgets, bullion market, inflation, economic and political condition of the
country, FDI, Re./Dollar exchange rate etc. But for this study I have selected only one
independent variable i.e. FII. This study uses the concept of correlation, regression
and hypothesis to study the relationship between FII and stock index. The FII started
investing in Indian capital market from year 1991 when the Indian economy was
opened up in the same year. Their investments include equity only.
Laxmi Institute of Management, Page 9
CHAPTER-I
GENERNAL INFORMATION
Laxmi Institute of Management, Page 10
OVERVIEW OF INDIAN ECONOMY
The Indian economy has continuously recorded high growth rates and has become an
attractive destination for investments, according to Ms Pratibha Patil, the Indian
President. "India's growth offers many opportunities for mutually beneficial
cooperation," added Ms Patil. "Today India is among the most attractive destinations
globally, for investments and business and FDI had increased over the last few years,"
said Ms Patil.
The Indian economy is expected to grow at around 7.5 per cent, according to Dr
Manmohan Singh, the Indian Prime Minister. The PM acknowledged Asia's emerging
economies were "growing well" and were, "in fact, contributing to the recovery of the
world economy".
The overall growth of gross domestic product (GDP) at factor cost at constant prices,
as per Revised Estimates, was 8.5 per cent in 2010-11 representing an increase from
the revised growth of 8 per cent during 2009-10, according to the monthly economic
report released for the month of September 2011 by the Ministry of Finance. Overall
growth in the Index of Industrial Production (IIP) was 4.1 per cent during August
2011.
The eight core Infrastructure industries grew by 3.5 per cent in August 2011 and
during April-August 2011-12, these sectors increased by 5.3 per cent. In addition,
exports and imports in terms of US dollar increased by 44.3 per cent 41.8 per cent
respectively, during August 2011.
Over the next two years India could attract foreign direct investment (FDI) worth US$
80 billion, according to a research report by Morgan Stanley. India has received US$
48 billion FDI in the last two years. Considering the pace of FDI growth in India,
KPMG officials believe that FDI in 2011-12 might cross US$ 35 billion mark.
Laxmi Institute of Management, Page 11
In addition, India has entered the club of top 20 exporters of goods and reclaimed its
position among top 10 services exporters in 2010. India's goods exports rose by 31 per
cent in 2010, helping it to improve its world ranking moving up two places to 20 from
22 in 2009.
Laxmi Institute of Management, Page 12
The Economic Scenario:
• A report titled, 'World Investment Prospects Survey 2009-2012' by the United
Nations Conference on Trade and Development (UNCTAD) has ranked India
at the second place in global foreign direct investments (FDI) in 2010 and
expects India to remain among the top five attractive destinations for
international investors during 2010-12.
• India Inc announced 177 mergers and acquisitions (M&A) deals worth US$
26.8 billion in the first nine months of 2011. For the quarter July-September
2011, inbound deals worth US$ 7.32 billion were registered as against the deals
worth US$ 2.65 billion in the previous quarter. Foreign institutional investors
(FIIs) have invested more than Rs 41,000 crore (US$ 7.81 billion) in
government papers and Rs 68,000 crore (US$ 12.95 billion) in corporate bonds
as on October 31, 2011
• The latest available data from the Reserve Bank of India show a 77 per cent
jump in the FDI in the first half of the current financial year (April-September),
compared to what was US$ 19.5 billion during the same period a year ago
• The total amount of FDI equity inflows during financial year 2011-12 from
April 2011 to September 2011 stood at US$ 19.14 billion aggregating to 74 per
cent growth over last year
• India's foreign exchange (Forex) reserves have increased by US$ 2 billion to
US$ 320 billion for the week ended October 28, 2011, on account of
revaluation of foreign currency assets, according to the weekly statistical
bulletin released by the Reserve Bank of India (RBI)
Laxmi Institute of Management, Page 13
• The Government has approved fund raising worth Rs 60,950 crore (US$
11.61billion) by companies through external commercial borrowings (ECB) or
foreign currency convertible bonds (FCCB) for infrastructure projects in the
financial years 2009-2011
• India's merchandise exports have registered an increase of nearly 82 per cent
during July 2011 from a year ago to touch US$ 29.3 billion, according to a
release by the Ministry of Commerce and Industry. Exports during April-July
2011 reached US$ 108.3 billion, up 54 per cent over the same period a year
ago, according to Mr. Rahul Khullar, Commerce Secretary. Exports in the
referred period increased on back of demand for engineering and petroleum
products, gems and jewellery and readymade garments
• Private equity (PE) investments in India stood at US$ 6.14 billion in value
terms, while the number of deals increased by 33 per cent to 195, during
January-June 2011, according to data compiled by Chennai-based Venture
Intelligence. The rise in the value of the deals so far (June 2011) recorded a
growth of 52 per cent, as compared to US$ 4.04 billion raised last year
• The Indian metals and minerals sector has received PE investments worth US$
650 million in the first half of 2011, according to estimates by VC Edge. The
metal making industry has attracted PE players; in addition the mining assets
are also a major draw due to the sharp demand for ownership of raw materials
• India currently holds the 12th position in Asia and 68th position in the overall
list world's most attractive tourist destinations, as per the Travel and Tourism
Competitiveness Report 2011 by the World Economic Forum (WEF). A study
conducted by global hospitality services firm, HVS, to measure marketing
Laxmi Institute of Management, Page 14
effectiveness on Internet puts Karnataka Tourism's Web site in the sixth
position in India
• The wind energy sector has attracted foreign direct investment (FDI) worth Rs
1,510 crore (US$ 287.62 million) over the past three years. In the renewable
energy sector, wind energy has emerged as the fastest growing category,
according to Dr Farooq Abdullah, Union Minister for New and Renewable
Energy
Furthermore, the Indian Railways has generated Rs 37,392.88 crore (US$ 7.12 billion)
of revenue earnings from commodity-wise freight traffic during April-October 2011
as compared to Rs 34,337.11 crore (US$ 6.54 billion) during the corresponding period
last year, registering an increase of 8.90 per cent. Railways carried 536.92 million tons
(MT) of commodity-wise freight traffic during April-October 2011 as compared to
516.89 MT carried during the corresponding period last year, registering an increase
of 3.88 per cent.
Laxmi Institute of Management, Page 15
Growth Potential Story:
• India's exports grew by 36.3 per cent in September 2011, demonstrating impressive growth. Exports stood at US$ 24.8 billion compared to US$ 18.2 billion in the same period last year, while imports grew by 17.2 per cent to record US$ 34.5 billion.
• Exports from special economic zones (SEZs) during April-September 2011 increased by 26.2 per cent to Rs 176,479.69 crore (US$ 33.62 billion), as per a statement by the Export Promotion Council for EOUs and SEZs (EPCES).
• Andhra Pradesh (AP) with 75 notified special economic zones (SEZs), which is the highest number of SEZs in any State in India, has attracted investment of approximately Rs 15,000 crore (US$ 2.86 billion)
• The July-September 2011 quarter observed an increase in foreign institutional investor (FII) stakes in major automakers as compared to the previous quarter of 2011
• Information technology (IT) spending in India by enterprises will rise by 9.1 per cent in 2012, according to a report by research firm Gartner. IT spending in India is projected to touch US$ 79.8 billion in 2012 as compared to US$ 73.1 billion in 2011. The telecommunications market is the largest IT segment in India with IT spending forecast to reach US$ 54.7 billion in 2012, followed by the IT services market with spending of US$ 11.1 billion. The computing hardware market in India is projected to reach US$ 10.7 billion in 2012, while software spending will total to US$ 3.2 billion, reported Gartner
• The Government plans to set up an Rs 2,500 crore (US$ 476.19 million) development fund for the auto component sector. The industry, which aims to almost triple its size to US$ 115 billion by 2020, envisages annual capital investment of up to US$ 3 billion
• India is the 9th or 10th largest car maker in the world, but given its very ambitious production plans, in the next five to ten years it will jump to the third or fourth spot, according to Diane H Gulyas, President, DuPont Performance
Laxmi Institute of Management, Page 16
Polymers. The firm's Innovation Centre will focus on automobile trends working towards making vehicles faster, lighter, safer and fuel efficient
• The Rs 15,000 crore (US$ 2.86 billion) Indian forging industry is poised to grow over 20 per cent per year and see investments of about US$ 3 billion by 2015 for capacity expansion, according to the Association of Indian Forging Industry.
• A public-private partnership (PPP) fund worth Rs 5,000 crore (US$ 952.38 million) is being set up to support research and development efforts-especially in the field of vaccines, drugs and pharmaceuticals, supercomputing, solar energy and electronic hardware-as well as commercialization of products and services, according to Mr. Ashwani Kumar, Minister of State for Science & Technology.
• In addition, the Indian banking sector is poised to become the world's third-largest in terms of assets over the next 14 years—with its assets poised to touch US$ 28,500 billion by 2025—according to a report titled ‘Being five-star in productivity — Roadmap for excellence in Indian banking', prepared for the Indian Banks' Association (IBA) by The Boston Consultancy Group (BCG), IBA and an industry body.
• Investment in logistics sector in India is projected to grow annually at 10 per cent. India's logistics market achieved revenues of US$ 82.1 billion in 2010 and is expected to reach revenue worth US$ 90 billion in 2011. The logistics industry forecasts to generate revenues worth US$ 200 billion by 2020, as per Eredene Capital PLC's 2010-11 annual report.
• India's engineering research and development (ER&D) providers is estimated to capture about 40 per cent share of global offshore revenues in 11 key verticals by 2020, according to a new report titled 'The Futures Report 2011', by Global Futures and Foresight (GFF).
Laxmi Institute of Management, Page 17
• India's power sector will generate revenue of Rs 1,300,000 crore (US$ 247.62 billion) during the Twelfth Five Year Plan (2012-17), as per Mr. P Uma Shankar, Secretary, Ministry of Power. The plan is to generate 17,000 MW power during the referred period
• The food processing industry is set to triple to reach US$ 900 billion by 2020, provided the key issues are addressed, as per a study by Boston Consulting Group (BCG) and an industry body.
• The National Agricultural Innovation Programme (NAIP) will spend Rs 500 crore (US$ 95.24 million) more in the next two years on different projects to add value to agriculture and allied sectors. This programme aims at developing technology-based innovations to improve the income of farmers and those living on allied sectors.
• Gaining momentum from fashion trends, many Indian consumers now spend an equivalent amount on footwear as on their apparels, as they associate variety of shoes to different occasions. The footwear industry in India has almost doubled in the past five years to an estimated Rs 20,000 crore (US$ 3.81 billion).
Laxmi Institute of Management, Page 18
CHAPTER- II
THEORETICAL FRAMEWORK
Laxmi Institute of Management, Page 19
2.1 STOCK EXCHANGE:
Stock Exchange is an organized marketplace where securities are traded. These
securities are by the government, semi-government Bodies, Public sector undertakings
and companies for borrowing funds and raising resources. Securities are defined as
monetary claims and include stock, shares, debentures, bonds etc. If these securities
are marketable as in the case of Government stock, they are transferable by
endorsement and are like movable property. Under the securities Contract Regulation
Act of 1956, securities trading are regulated by the Central Government and such
trading can take place only in Stock Exchange recognized by the Government under
this Act. At present there are 23 recognized stock Exchanges in India.
Indian Stock Markets are one of the oldest in Asia. Its history dates back to
nearly 200 years ago.
BOMBAY STOCK EXCHANGE :
Bombay Stock Exchange is the oldest stock exchange in Asian with a rich
heritage, now spanning three centuries in its 133 years of existence. What is now
popularly known as BSE was established as “The Native Share & Stock Brokers’
Association” in 1875. BSE is the first stock exchange in the country which obtained
permanent recognition (in 1956) from the government of India under the Securities
Countracts (Regulation) Act 1956. BSE’s pivotal and pre-eminent role in the
development of the Indian capital market is widely recognized. It migrated from the
open outcry system to an online screen- based order driven trading system in 1955.
Earlier an Association Of Persons (AOP), BSE is now a corporatized and
demutualised entity incorporated under the provisions of the companies Act, 1956,
pursuant to the BSE (Corporatization and Demutualization) Scheme, 2005 notified by
the Securities and Exchange Board of India (SEBI). With demutualization, BSE has
two of world’s best exchanges, Deutsche Borse and Singapore Exchange, as its
strategic partners. Over the past 133 years, BSE has facilitated the growth of the
Laxmi Institute of Management, Page 20
Indian corporate sector by providing it with an efficient access to resources. There is
perhaps no major corporate in India which has not sourced BSE’s services in raising
resources from the capital market.
Today, BSE is the world’s number 1 exchange in terms of the number of listed
companies and the world’s 5th in transaction numbers. The market capitalization as on
December 31, 2007 stood at USD 1.79 trillion. An inventor can choose from more
than 4700 listed companies, which for easy reference, are classified into A, B, S, T
and Z groups.The BSE Index, SENSEX, is Indian’s first stock market index that
enjoys an iconic stature, and is tracked worldwide. It is an index of 30 stocks
representing 12 malor sectors. The SENSEX is constructed on a ‘free-float’
methodology, and is sensitive to market sentiments and market realities. Apart from
the SENSEX, BSE offers 21 indices, including 12 sectoral indicates. BSE has entered
into an index cooperation agreement with Deutsche Borse. This agreement has made
SENSEEX and other BSE indices available to investors in Europe and America.
Moreover, Barclays Global Investors (BGI), the global leader in ETF’S through its
Trader which tracks the SENSEX. The ETF enables investors in Hong Kong to take
an exposure to the Indian equity market. BSE provides an efficient and transparent
market for trading in equity, debt instruments and derivatives. It has a nation- wide
reach with a pressure in more than 450 cities and towns of India. BSE has always been
at par with the international standards. The systems and processes are designed to
safeguard market integrity and enhance transparency in operations.BSE is the first
exchange in India and the second is the world to obtain an ISO 9001:2000
certification. It is also the first exchange in India and the second in the world to
receive Information Security Management System Standard BS 7799-2-2002
certification for its BSE On-line Trading System (BOLT).BSE continues to innovate.
In recent times, it has become the first national level stock exchange to launch its
website in Gujarati and Hindi to reach out to a large number of investors. It has
successfully launched a reporting platform for corporate bonds in India christened the
ICDM or Indian Corporate Dept Market and a unique ticker screen aptly named ‘BSE
Broadcast’ which enables information dissemination to the common man on the street.
In 2006, BSE launched the Directors Database and ICERS (India Corporate Electronic
Laxmi Institute of Management, Page 21
Reporting System) to facilitate information flow and increase transparency in Indian
capital market. While the Directors database provides a single-point access to
information in the boards of directors of listed companies, the ICERS facilities the
corporate in sharing with BSE their corporate announcements. BSE also has a wide
range of services to empower investors and facilitate smooth transactions:
Investors Services: The Department of Investor Services redresses grievances of
investors. BSE was the first exchange in the country to provide an amount of Rs.1
million towards the investor protection fund; it is an amount higher than that of any
exchange in the country. BSE launched a nationwide investor awareness programme-
‘safe investing in the Stock Market’ under which 264vprogrammes were held in more
than 200 cities. The BSE On-line Trading (BOLT): BSE On-line Trading (BOLT)
facilitates on-line screen based trading in securities. BOLT is currently operating in
25,000 Trader Workstations located across over 450 cities in India.
BSEWEBX.com: In February 2001, BSE introduced the world’s first centralized
exchange-based Internet trading system, BSEWEBX.com. This initiative enables
investors anywhere in the world to trade on the BSE platform.
Surveillance: BSE’s On-line Surveillance System (BOSS) monitors on a real-time
basis the price movements, volume positions and members’ positions an real-time
measurement of default risk, market reconstruction and generation of cross market
alerts.
BSE Trading Institution: BTI imparts capital market trading and certification, in
collaboration with reputed management institutes and universities. It offers over 40
courses on various aspects of the capital market and financial sector. More than
20,000 people have attended the BTI programmes.
Laxmi Institute of Management, Page 22
Companies in the Sensex
List of BSE Sensex companies provides the full list of companies that have been part
of the BSE Sensex since its inception in 1986 (base lined to 1979).
Code Name Sector Adj.
Factor
Weight in
Index(%)
500410 ACC Housing Related 0.55 0.77
500103 BHEL Capital Goods 0.35 3.26
532454 Bharti Airtel Telecom 0.35 3
532868 DLF Universal Limited Housing related 0.25 1.02
500300 Grasim Industries Diversified 0.75 1.5
500010 HDFC Finance 0.90 5.21
500180 HDFC Bank Finance 0.85 5.03
500182 Hero Honda Motors Ltd. Transport Equipments 0.50 1.43
500440 Hindalco Industries Ltd.
Metal,Metal Products &
Mining 0.7 1.75
500696 Hindustan Lever
Limited
FMCG 0.50 2.08
532174 ICICI Bank Finance 1.00 7.86
500209 Infosys Information Technology 0.85 10.26
500875 ITC Limited FMCG 0.70 4.99
532532 Jaiprakash Associates Housing Related 0.55 1.25
500510 Larsen & Toubro Capital Goods 0.90 6.85
500520 Mahindra & Mahindra
Limited
Transport Equipments 0.75 1.71
532500 Maruti Suzuki Transport Equipments 0.50 1.71
532541 NIIT Technologies Information Technology 0.15 2.03
532555 NTPC Power 0.15 2.03
500304 NIIT Information Technology 0.15 2.03
Laxmi Institute of Management, Page 23
500312 ONGC Oil & Gas 0.20 3.87
532712 Reliance
Communications
Telecom 0.35 0.92
500325 Reliance Industries Oil & Gas 0.50 12.94
500390 Reliance Infrastructure Power 0.65 1.19
500112 State Bank of India Finance 0.45 4.57
500900 Sterlite Industries
Metal, Metal Products,
and Mining 0.45 2.39
524715 Sun Pharmaceutical
Industries
Healthcare 0.40 1.03
532540 Tata Consultancy
Services Information Technology 0.25 3.61
500570 Tata Motors Transport Equipments 0.55 1.66
500400 Tata Power Power 0.70 1.63
500470 Tata Steel
Metal, Metal Products &
Mining 0.70 2.88
507685 Wipro Information Technology 0.20 1.61
TABLE NO 4.1
• DLF replaced Dr. Reddy's Lab on November 19, 2007.
• Jaiprakash Associates Ltd replaced Bajaj Auto Ltd on March 14, 2008.
• Sterlite Industries replaced Ambuja Cements on July 28, 2008.
• Tata Power Company replaced Cipla Ltd. on July 28, 2008.
• Sun Pharmaceutical Industries replaced Satyam Computer Services on January
8, 2009
• Hero Honda Motors Ltd. replaced Ranbaxy on June 29, 2009
• Cipla to replace Sun Pharma from May 3, 2010
• Grasim replaced JSPL in 2010
Laxmi Institute of Management, Page 24
13. SECTORS OF BSE
• HC (health care)
• REALITY
• AUTO
• METAL
• IT
• CG (capital goods)
• ONG (oil and gas)
• POWER
• PSU
• CD (consumer durables)
• BANK
• TECH
• FMCG
NAME OF BSE 30 COMPANIES
ACC, BHARTI AIRTEL, BHEL, DLF, GRASIM, HDFC, HDFC BANK,
HINDALCO, HUL, ICICI BANK, INFOSYS, ITC, JAIPRAKASH