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BSE TECk is a value-weighted sectoral index on the Bombay Stock Exchange (BSE) which captures the behaviour and performance of the Indian technology sector. It is a diversified index of 28 stocks from the S&P BSE 500 index that span the sectors of IT (81.45%), Telecommunications (15.31%), and Media & publishing (3.25%), as defined by the industry classification system of BSE.
This BSE TECk index was launched on July 11, 2001, with the first value date as January 31, 2000, and with base value at 1000. Since its inception, the S&P BSE TECk share price has breached the levels of 13,000 at ~33.14x P/E multiples. The weighted average carbon intensity of the BSE TECk index comes to ~29.76.
The S&P BSE TECk index value is calculated based on free-float market capitalisation weighted value on a real-time basis. It is reconstituted semi-annually in the months of June and December.
S&P BSE TECk index is managed and governed by S&P BSE Index Committee set up under Asia Index Private Ltd, which is a joint venture of S&P and BSE Ltd. The BSE TECk index is calculated in two currencies: INR and USD; for USD, spot foreign exchange rates are applied from Refinitiv’s data. It has an index variant: S&P BSE TECk TR.
The BSE TECk share price is computed by weighting its 28 stocks based on float-adjusted market capitalisation, using the divisor methodology of the S&P Dow Jones equity indices.
The securities must fulfil the following eligibility criteria to be included in the BSE TECk index:
The index value is calculated as follows –
Index value = Index Market Value / Divisor
Where,
Index Market Value = Price * Shares * IWF (Float Factor)
Divisor = Market Value / Index Value
The BSE TECk index is reconstituted semi-annually in June and December, with the last trading day of April and October as the reference date. These changes become effective on the Monday that follows the third Friday of June and December. Investible Weight Factors (IWFs), that are used for float adjustments, are reviewed annually. These ignore the effects of foreign investment limits in their calculation.