BSE Index Services launches BSE SmallCap 500-based market cap and factor indices

BSE Index Services has unveiled the BSE SmallCap 500 Index along with four new factor indices, expanding its offerings in the small-cap equity segment. The BSE SmallCap 500 Index combines constituents from the BSE 250 Smallcap and BSE 250 Microcap Indices. The newly launched factor indices include the BSE SmallCap 500 Quality 50, which focuses on the top 50 high-quality companies, the BSE SmallCap 500 Momentum 50, tracking firms with strong performance momentum, the BSE SmallCap 500 Low Volatility 50 for the least volatile stocks, and the BSE SmallCap 500 Enhanced Value 50, spotlighting companies with attractive valuations. These indices, which are reconstituted quarterly and have a base value of 1,000 dating back to September 19, 2005, are designed to provide investors with transparent benchmarks that incorporate key equity factors. Ashutosh Singh, MD and CEO of BSE Index Services, emphasized that these indices aim to enhance product innovation and give asset managers efficient tools for accessing diverse small-cap factor exposures. Additionally, these indices can be leveraged for various investment strategies, including ETFs and mutual fund benchmarks, thereby broadening market opportunities for investors in India's small-cap sector.