BSE Celebrates 150 Years: A Look At The Journey Of Asia’s Oldest Stock Exchange

Asia’s oldest stock exchange, BSE, completed 150 years on Wednesday. Initially known as Bombay Stock Exchange, BSE has turned into one of the largest stock exchanges in the world.

The stock exchange was founded by Premchand Roychand, who was known as the "cotton king" of Bombay. It started operations under a banyan tree on July 9, 1875, in South Mumbai.  

The formal origin of BSE started with the formation of the Native Share & Stock Brokers’ Association in 1875, laying the foundation for Asia’s oldest stock exchange. Over the decades, the exchange evolved with India’s financial journey. BSE gained permanent recognition under the Securities Contracts (Regulation) Act on Aug. 31, 1957, which helped the institution strengthen its legal foundation. On Jan. 2, 1986, it launched the S&P BSE Sensex, India’s first equity index, with a base of 100. Sensex has now surged above the 82,000 level, after marking its peak at 85,000 points in September 2024.

While this timeline focusses on BSE’s journey after its institutionalisation, the story of how it came into existence is just as interesting.

The 150-year-old exchange first started operating under a banyan tree near the Town Hall in South Bombay. A few dozen brokers used to carry out their business there, eventually forming the Native Share and Stock Brokers’ Association. This association was established with a contribution of Re 1 from each broker. Later, they settled on a trading hall in Dalal Street. 

Struggling to pay rent for their Dalal Street trading hall, they were helped by Dinshaw Maneckji Petit, who was the founder of the first textile mill in India. He donated shares in his textile company, Victoria Manufacturing Co. Ltd., to help the brokers. 

After repaying Petit his money, the association began its operations with the remaining capital. By 1899, they moved into their own building named after Petit. Today, that 29-storey building in Mumbai stands as the iconic Phiroze Jeejeebhoy Tower, which serves as reminder of the enduring spirit of India’s capital markets.

Currently, the market capitalisation of all the BSE-listed companies stands at more than Rs 462.48 lakh crore. As many as 5,671 companies are listed on the BSE as of July 9, 2025.  

Earlier, to mark the remarkable occasion of the 150th anniversary, BSE organised an event in April. Finance Minister Nirmala Sitharaman launched the BSE 150 index, a new benchmark index designed to track the performance of the top 150 constituents of the stock exchange based on market capitalisation.