NFTY vs. ^BSE500

Last updated Jun 3, 2026

NFTY (First Trust India NIFTY 50 Equal Weight ETF) is Asia Pacific Equities fund tracking the NIFTY 50 Equal Weight Index, while ^BSE500 (S&P BSE-500) is an index. Over the past 10 years, NFTY returned 8.28%/yr vs 8.64%/yr for ^BSE500. At a 0.43 correlation, their price movements are largely independent.

Performance

NFTY vs. ^BSE500 - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust India NIFTY 50 Equal Weight ETF (NFTY) and S&P BSE-500 (^BSE500). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

NFTY is traded in USD, while ^BSE500 is traded in INR. To make them comparable, the ^BSE500 values have been converted to USD using the latest available exchange rates.

Returns By Period

In the year-to-date period, NFTY achieves a -8.47% return, which is significantly higher than ^BSE500's -11.28% return. Both investments have delivered pretty close results over the past 10 years, with NFTY having a 8.28% annualized return and ^BSE500 not far ahead at 8.64%.

NFTY

• 1D: 0.45%
• 1M: -1.03%
• YTD: -8.47%
• 6M: -7.54%
• 1Y: -7.79%
• 3Y*: 6.20%
• 5Y*: 5.16%
• 10Y*: 8.28%

^BSE500

• 1D: 0.34%
• 1M: -1.36%
• YTD: -11.28%
• 6M: -11.07%
• 1Y: -11.98%
• 3Y*: 6.64%
• 5Y*: 4.85%
• 10Y*: 8.64%

*Multi-year figures are annualized to reflect compound growth (CAGR)

NFTY vs. ^BSE500 - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NFTY First Trust India NIFTY 50 Equal Weight ETF	-8.47%	5.47%	5.18%	24.00%	-3.46%	26.83%	10.04%	0.58%	-1.51%	21.78%
^BSE500 S&P BSE-500	-11.28%	1.33%	11.40%	24.21%	-7.00%	27.54%	14.27%	5.05%	-11.19%	44.72%

Correlation

The correlation between NFTY and ^BSE500 is 0.62, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.62
Correlation (3Y) Calculated over the trailing 3-year period	0.66
Correlation (5Y) Calculated over the trailing 5-year period	0.64
Correlation (10Y) Calculated over the trailing 10-year period	0.54
Correlation (All Time) Calculated using the full available price history since Feb 29, 2012	0.43

The correlation between NFTY and ^BSE500 shifts across timeframes, from 0.43 (all time) to 0.66 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

NFTY vs. ^BSE500 — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

NFTY

NFTY Risk / Return Rank: 4
NFTY Sharpe Ratio Rank: 4
NFTY Sortino Ratio Rank: 4
NFTY Omega Ratio Rank: 4
NFTY Calmar Ratio Rank: 4
NFTY Martin Ratio Rank: 2

^BSE500

^BSE500 Risk / Return Rank: 6
^BSE500 Sharpe Ratio Rank: 6
^BSE500 Sortino Ratio Rank: 6
^BSE500 Omega Ratio Rank: 6
^BSE500 Calmar Ratio Rank: 7
^BSE500 Martin Ratio Rank: 6

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

NFTY vs. ^BSE500 - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust India NIFTY 50 Equal Weight ETF (NFTY) and S&P BSE-500 (^BSE500). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	NFTY	^BSE500	Difference
Sharpe ratio Return per unit of total volatility	-0.53	-0.77	+0.24
Sortino ratio Return per unit of downside risk	-0.71	-1.03	+0.32
Omega ratio Gain probability vs. loss probability	0.92	0.88	+0.04
Calmar ratio Return relative to maximum drawdown	-0.47	-0.59	+0.12
Martin ratio Return relative to average drawdown	-1.25	-1.51	+0.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

NFTY vs. ^BSE500 - Sharpe Ratio Comparison

The current NFTY Sharpe Ratio is -0.53, which is higher than the ^BSE500 Sharpe Ratio of -0.77. The chart below compares the historical Sharpe Ratios of NFTY and ^BSE500, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	NFTY	^BSE500	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.53	-0.77	+0.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.30	0.31	-0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.40	0.49	-0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.28	0.31	-0.03

Drawdowns

NFTY vs. ^BSE500 - Drawdown Comparison

The maximum NFTY drawdown since its inception was -47.67%, roughly equal to the maximum ^BSE500 drawdown of -47.10%. Use the drawdown chart below to compare losses from any high point for NFTY and ^BSE500.

Drawdown Indicators

	NFTY	^BSE500	Difference
Max Drawdown Largest peak-to-trough decline	-47.67%	-47.10%	-0.57%
Max Drawdown (1Y) Largest decline over 1 year	-16.14%	-21.29%	+5.15%
Max Drawdown (3Y) Largest decline over 3 years	-21.55%	-26.07%	+4.52%
Max Drawdown (5Y) Largest decline over 5 years	-21.55%	-26.07%	+4.52%
Max Drawdown (10Y) Largest decline over 10 years	-47.67%	-47.10%	-0.57%
Current Drawdown Current decline from peak	-16.33%	-19.93%	+3.60%
Average Drawdown Average peak-to-trough decline	-9.58%	-12.55%	+2.97%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.08%	8.34%	-2.26%

Volatility

NFTY vs. ^BSE500 - Volatility Comparison

The current volatility for First Trust India NIFTY 50 Equal Weight ETF (NFTY) is 4.44%, while S&P BSE-500 (^BSE500) has a volatility of 5.02%. This indicates that NFTY experiences smaller price fluctuations and is considered to be less risky than ^BSE500 based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NFTY	^BSE500	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.44%	5.02%	-0.58%
Volatility (6M) Calculated over the trailing 6-month period	12.52%	13.74%	-1.22%
Volatility (1Y) Calculated over the trailing 1-year period	14.66%	15.75%	-1.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.38%	15.82%	+1.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.72%	18.13%	+2.59%

Frequently Asked Questions

Can I hold both NFTY and ^BSE500 in my portfolio?

NFTY and ^BSE500 have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NFTY or ^BSE500?

^BSE500 has higher volatility (5.02%) compared to NFTY (4.44%). In terms of maximum drawdown, NFTY dropped -47.67% vs ^BSE500's -47.10%.

Which has better risk-adjusted returns?

NFTY currently has the higher Sharpe Ratio (-0.53 vs -0.77), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.