Nifty50 PR 1x Inverse

An inverse index tries to provide inverse return of its underlying index.
Nifty50 PR 1x Inverse Index provides the investor an opportunity to create an position which gives inverse (opposite) returns as compare to Nifty 50 PR Index.
The index is designed to provide the inverse performance of the Nifty 50 PR, representing a short position in the index.
Index value calculation:
Nifty50 PR 1x Inverse Index Value = Previous day’s Nifty50 PR 1x Inverse Index Value * (1+ Nifty50 PR 1x Inverse Index Return)
Index return calculation:
Nifty50 PR 1x Inverse Index Return = -1*((Current Nifty 50 PR Index Value/previous day Nifty 50 PR Index Value)-1) + (2*(previous days TREPS rate /360)*(diff. in no. of days between today and previous trading day))-(previous days TREPS rate /360)*(diff. in no. of days between today and previous trading day))
Leave a Reply