BSE Index Services launches BSE SmallCap 500 Market Cap and Factor Indices
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BSE Index Services Pvt. Ltd. , a wholly-owned subsidiary of BSE , on Monday announced the launch of BSE SmallCap 500 Index and four new Factor Indices based on the BSE SmallCap 500 Index universe.
The BSE SmallCap 500 Universe Factor Indices are reconstituted quarterly, have a base value of 1000, and the first value date is September 19, 2005 along with the additional screening of 90% Stock Trading Frequency.
The indices launched today include:
BSE Smallcap 500: The Index is a combination of the constituents of the BSE 250 Smallcap Index and the BSE 250 Microcap Index.
BSE Smallcap 500 Quality 50: The Index measures the performance of the 50 highest quality companies in the BSE Smallcap 500 Index, based on their quality scores.
BSE Smallcap 500 Momentum 50: The Index measures the performance of the 50 companies in BSE Smallcap 500 Index that exhibit the most persistence in their relative performance, based on their momentum scores.
BSE Smallcap 500 Low Volatility 50: The Index measures the performance of the 50 least volatile companies in BSE Smallcap 500 Index.
BSE Smallcap 500 Enhanced Value 50: The Index measures the performance of the 50 companies in BSE Smallcap 500 Index with the most attractive valuations, based on their value scores.
Ashutosh Singh, MD and CEO of BSE Index Services Pvt. Ltd., while highlighting the significance of these indices, said, “The launch of the BSE SmallCap 500 Universe Factor Indices marks an important expansion of our factor-based index offerings. This index family provides transparent and rules-based benchmarks designed to capture key equity factors across India’s Small-Cap segment by incorporating distinct factor strategies such as Quality, Value, Momentum, and Low Volatility."
These indices aim to support product innovation and offer asset managers and institutional investors efficient tools to access differentiated small-cap factor exposures within the broader equity market, he added.