METATrading Academy

Share market basics

Large capsabse badi companies

The 100 largest listed companies in India by market capitalisation, as ranked by AMFI, such as Reliance, TCS, HDFC Bank and SBI.

Large-cap stocks are the biggest companies on the exchange by market capitalisation. In India, AMFI ranks all listed companies every six months, and the top 100 are classified as large caps, roughly the Nifty 100 names. They include Reliance, TCS, Infosys, HDFC Bank, ICICI Bank and SBI. Large caps are widely researched, heavily traded and usually less volatile than smaller stocks, which makes them the typical starting point for delivery investors and the basis of index funds. They are not immune to falls; in a broad sell-off, large caps drop too, just usually by less than small caps. Because they are already big, their growth is generally slower than a successful small company's, which is the trade-off. The market cap thresholds change with every AMFI review, so check the current list rather than assuming.

Lessons that use this term

Video
Basics7 min read

Investing vs trading: the two halves of the share market

The share market runs on two activities that look alike and are nothing alike. Investing is owning a business for years. Trading is profiting from price moves over hours or weeks. Mixing them up is behind most early losses.