Cherry Picking The Diamonds From The Stock Market

why do we need different type of indices in stock market ? for examples BSE 30, BSE200 and all..?

as index is a value to compare with why do we have different indice , correct me if i am wrong?

Dinesh,

The varying indices measure different things. For example, the Dow has 3 different indices, one for industrials, one for transports, and one for utilities.

S&P also has several, the S&P 500, the S&P 100, and their midcap (smaller companies that what’s in the 100.

Here’s a link to several: http://quotes.nasdaq.com/aspx/marketindices.aspx

Wikipedia has a long explanation of why there are so many:

http://en.wikipedia.org/wiki/Stock_market_index

Hope that helps.