The Impact of Covid-19 in Indian Stock Market

Abstract

The outburst of COVID-19 has affected the whole global financial market. Due to the COVID-19 various disorders occurred in the global market; the Indian stock market also affected and unpredictable volatility happened. This study aims to record the Nifty 50 Companies and Sensex 30 Companies performance study from 01.03.2020 to 01.03.2021. Further, the study includes the risk and return of the selected companies and also the growth rate of retail investors in the Indian Stock Market. In this article comparative analysis made and the risk and return measured during this period. Secondary data and Simple Percentage Analysis has been used for this study and the findings reveal that the Indian stock market has experienced high volatility during the pandemic period and more number of retail investors opened their share trading account. During Covid-19, each dip in NSE NIFTY National Fifty and BSE SENSEX Sensitivity Index provides a huge opportunity for the investors to enter into the market and earn a higher return especially for those who are aiming for long term benefit. Moreover, during the higher fluctuations, the returns are higher and getting better returns. Due to this crisis many individuals in Indian Stock Market lost their wealth because of their fear and on the other hand many new retail investors entered into the Indian Stock Market and earned good returns. As per the historical data, the SENSEX is growing from 100 points in 1979 to over 50,000 points in March 2021 and the NIFTY is 100 points in 1996 to over 15,000 points in March 2021 has proven that the negative trends are temporary and the growth is permanent.