What is nifty definition?

Nifty is a term used in the Indian stock market since the mid-1990s to describe the National Stock Exchange (NSE) 50 Index. It is an index comprising the top 50 companies listed on the NSE, representing 22 sectors of the Indian economy. The Nifty is calculated based on market capitalization and is considered a benchmark for measuring the performance of the Indian stock market. It is used by investors, traders, and analysts as a tool for portfolio management, investment strategy, and market analysis. The Nifty has become a popular trading instrument for both domestic and foreign investors, with derivatives based on the index being traded on the NSE.