Which One is Better BSE or NSE?

Which one is better BSE or NSE?

The leading stock exchanges in India are BSE and NSE. You have to understand the difference between these two if you are planning to invest in the Indian stock market. These two are medium of exchanges to trade.



What is BSE?
BSE (Bombay Stock Exchange) established in 1875 by Premchand Roychand and oldest stock exchange in India. It has approx 6000 listed stocks and capitalization of $2.3 trillion. BOLT (BSE Online Trading System) was started in 1995 and had a capacity of 8 million orders per day. BSE is the world’s 10th largest stock exchange. The association of person is changed into a separate legal entity which is known as Bombay Stock Exchange.
What is NSE?
NSE (National Stock Exchange) founded in 1992, and it is the first electronic stock exchange in India. In 1994, it launched electronic screen-based trading.
In NSE you can do trading in the following-

  • Shares
  • Retail debt market
  • Futures and options
  • Wholesale debt market
  • Mutual funds currency futures
Difference between BSE and NSE
The trading volume of individual stocks in BSE is much lower than NSE. For intraday trading, NSE is a better choice. For high-risk online transactions, NSE has better software. BSE is for an investor who is more conservative.
The benchmark index for BSE is Sensex and for NSE it is Nifty. In BSE, Sensex consists of 30 companies while in NSE; nifty consists of 50 stocks from 22 sectors of the economy. NSE has its network in over 2000 cities while BSE has only in 417 cities.
In NSE the volume of shares is higher than BSE, which means NSE is a better option in exchanges. But some shares are not available on NSE, so you have only one option BSE for that. Stocks like Spice Jet and Claris Lifesciences are not available in NSE. There is no confirmation for, where you get a better price for the stock. You have to compare the price before buying or selling it.
For investing in a stock exchange, it totally depends on the choice of an investor where one is getting a better option. BSE started an association of persons in 1875, which was recognized as a stock exchange in 1957. NSE established in 1992 as a tax paying company, and in 1993 it was accredited as a stock exchange.

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