Shares of a company which are readily available for trading in the stock markets are termed as 'Free Float' Shares.
To compute the Free-float shares of a company,
subtract the following from the total shares issued by the company:
- Shares held by promoter/promoter groups.
- Shares held by the Government.
- Shares held by persons/entities having "controlling interest"
- Shares held by group companies.
- Holdings through the FDI route.
- Shares otherwise locked-in and not available for trading (till the time such lock-in is operative).