Supported Benchmarks

The optimizer supports 14 Indian equity benchmarks across NSE and BSE. Each benchmark has a different inception date, which directly constrains the post-optimization analytics window when you select it.

How benchmarks are used

The benchmark you choose serves two purposes:

  1. Risk-adjusted reporting.CAPM beta, Jensen's alpha, tracking error, information ratio, Treynor ratio, upside / downside capture, and any other relative metric is computed against the benchmark return series over the overlap window between your asset history and the benchmark history.
  2. History alignment. If the benchmark starts later than your assets, the optimizer truncates the asset price series to the benchmark window so that all post-optimization metrics are computed on the same dates. Optimization itself (weights, allocation) still uses the full overlapping asset history; only the relative-to-benchmark stage is bounded by the benchmark window.

Choose a benchmark that genuinely represents the universe you are optimizing. A NIFTY 50 benchmark on a smallcap-heavy portfolio will mechanically inflate beta and alpha noise; a NIFTY Smallcap 250 benchmark is a more honest reference.

Benchmark catalogue

Broad market

BenchmarkApprox. startNotes
NIFTY 50

id: nifty

~1990Default benchmark for NSE-listed equities. Widest history of any Indian benchmark on the platform.
BSE SENSEX

id: sensex

~1979Default benchmark for BSE-listed equities. Only available when the chosen exchange is BSE.

Sectoral

BenchmarkApprox. startNotes
NIFTY Bank

id: bank_nifty

~2000Bank-sector benchmark. Useful when the universe skews toward financials.

NIFTY family (large caps)

BenchmarkApprox. startNotes
NIFTY 100 Limited history

id: nifty_100

~2003Top 100 by free-float market cap. Limited history relative to NIFTY 50.
NIFTY 200 Limited history

id: nifty_200

~2006Top 200 by free-float market cap. Limited history.
NIFTY 500 Limited history

id: nifty_500

~1995Broadest NIFTY index. Reasonable history but still shorter than NIFTY 50 in some sub-windows.

Midcap

BenchmarkApprox. startNotes
NIFTY Midcap 150 (alias) Limited history

id: nifty_midcap

~2005Alias of the NIFTY Midcap 150 series for backward compatibility.
NIFTY Midcap 50 Limited history

id: nifty_midcap_50

~2004Concentrated 50-stock midcap basket.
NIFTY Midcap 100 Limited history

id: nifty_midcap_100

~2003Wider midcap basket. Common reference for diversified midcap-tilted portfolios.
NIFTY Midcap 150 Limited history

id: nifty_midcap_150

~2005Standard midcap benchmark used by many active and index funds.

Smallcap

BenchmarkApprox. startNotes
NIFTY Smallcap 250 (alias) Limited history

id: nifty_smallcap

~2005Alias of the NIFTY Smallcap 250 series for backward compatibility.
NIFTY Smallcap 50 Limited history

id: nifty_smallcap_50

~2007Concentrated 50-stock smallcap basket. Higher dispersion across periods.
NIFTY Smallcap 100 Limited history

id: nifty_smallcap_100

~2003Standard smallcap benchmark with broader coverage than the 50-stock variant.
NIFTY Smallcap 250 Limited history

id: nifty_smallcap_250

~2005Broadest smallcap benchmark with reduced single-stock concentration.

Inception years are approximate. Series provided by upstream data vendors may differ by a few months. The optimizer uses the actual first observation in the data, not the calendar inception.

Limited-history acknowledgement

When you pick any benchmark other than NIFTY 50, BSE SENSEX, or NIFTY Bank, the configuration card surfaces an amber warning and a checkbox you must tick before submitting:

Limited price history for this configuration

The selected benchmark only has data from a more recent date onwards. The optimizer will truncate the asset price series to align with the benchmark window so post-optimization metrics (alpha, beta, tracking error, information ratio, etc.) are computed over a consistent overlap.

The same warning fires for both equity and mutual fund runs. For mutual funds it always shows because MFAPI NAV history typically starts in the mid-2000s.

Choosing a benchmark in practice

Large-cap or diversified portfolios. NIFTY 50, BSE SENSEX, or NIFTY 100. NIFTY 50 has the longest history.

Broad-market diversified portfolios. NIFTY 200 or NIFTY 500. Both are limited-history.

Midcap-tilted portfolios. NIFTY Midcap 100 or NIFTY Midcap 150. The 50-stock variant is more concentrated and noisier.

Smallcap-tilted portfolios. NIFTY Smallcap 250 is the broadest. Smallcap 50 is highly concentrated and may not reflect a diversified smallcap universe.

Bank or financials concentration. NIFTY Bank when more than ~40 percent of the universe is financials; otherwise prefer a broad benchmark.

Mutual fund runs. SENSEX is unavailable because MF schemes are NSE-aligned in MFAPI's reference. Pick the closest matching NIFTY family index for the scheme's mandate.

References

NSE Indices methodology documents (NIFTY 50, NIFTY 100/200/500, NIFTY Midcap 50/100/150, NIFTY Smallcap 50/100/250, NIFTY Bank).

BSE SENSEX methodology document.

Inception dates sourced from NSE Indices and BSE official factsheets.