Hello everyone, I am Shilpa Das and welcome to 5paisa. Before moving forward in this video, you must subscribe to our channel if you are interested in stock trading and investment. Let's move forward and today we will discuss the two main exchanges of the stock market, which are Bombay Stock Exchange or BSE and National Stock Exchange or NSE. Today we will talk about the similarities and differences between NSE and BSE. First of all, let's talk about NSE and BSE and then we will move forward. The headquartered NSE in Mumbai is India's largest stock exchange based on market capitalization. It was established in 1992 and with it, electronic trading began in India. The benchmark of NSE is NSE 50, which is based on the top 50 companies listed on NSE. The top 50 is based on the Free Float Market Cap Weighted method. NSE reviews its Nifty indices composition every 6 months and changes if required according to the set criteria. On the other hand, BSE is 117 years older than NSE. It was established in 1875. It is not India's but the first stock exchange in Asia and it is counted among the top stock exchanges in the world. BSE's benchmark is SNP BSE Sensex, which came in 1986. Sensex is based on the stock performance of the top 30 companies listed on BSE. Like NSE, Free Float Market Cap Weighted method is used method is used to include companies in the benchmark index. Talking about the similarities between NSE and BSE. the headquarters of both are in Mumbai and both are very popular among the investors in the markets. As you know, both have stock trading. You can buy and sell through any broker. Your broker must be registered with NSE or BSE. Apart from shares on NSE and BSE, there is also business in derivatives, futures, options, currencies, bonds, commodities, ETFs and mutual funds. Today, both NSE and BSE have the service of electronic trading. Advanced technology is being used in both the stock exchanges, which results in high-speed transactions, time and money of traders and investors is saved. You can trade or invest in BSE or NSE from anywhere in the world. Both NSE and BSE take steps for investor education so that investors can become alert and invest according to their financial goals. Both NSE and BSE are considered to be the barometer of the country's economic situation. SEBI is the regulatory body of these exchanges, which safeguards the interest of investors, which becomes the transparency in the work of NSE and BSE. Moving forward to the differences between NSE and BSE. Based on the market cap, NSE is ranked 8th in the world's largest stock exchanges, while BSE is out of the top 10. Electronic trading on NSE started in 1992 and electronic trading on BSE started in 1995 i.e. after 3 years. In terms of trading volume, NSE is far ahead of BSE. Because of the high trading volume, liquidity is also higher in NSE than BSE. NSE's benchmark is 50-share Nifty 50, BSE's 30-share S&P BSE Sensex. In India, the network of NSE is more than BSE. The network of NSE is more than 1,500 cities, while the network of BSE is limited to 450 cities. BSE is listed on NSE and BSE is the only listed stock exchange in India, while the NSE is not listed as of now. Why is NSE more popular than BSE in India today? Its simple answer is technology and liquidity. Liquidity is a big attraction for investors. Which exchange is better for you, NSE or BSE? If you are a beginner, then BSE can be a good start, but if you are a seasoned trader, then NSE will be your obvious choice. NSE's technological efficiency is many times better than BSE. So NSE should be your choice for high-risk trading transactions. On the other hand, if you are a conservative investor, then you can trade on BSE. So, we hope that this video will be helpful for you to know all the details related to BSE and NSE. For now, that's all from us, but we will meet in the next video with a new topic. Till then, stay tuned with our channel 5paisa. And if you liked this video, then don't forget to like, share and surely subscribe to our channel. And if you have any feedback or suggestions, then do tell us in the comment section. Thank you for watching.