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As we all know that there are a large number of companies listed on the stock exchange and it is impossible to track all these companies just to know the condition of the stock market. Hence index are made to define the change in the securities market. In other words, index are the procedure of measuring stocks. The main function of index is to understand market trends. Indexes are very beneficial for the investors as it helps them to identify the market trends. It acts as a market guide to the Investors.
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