(Reuters) - The Sensex and the Nifty ended higher on Friday, posting their biggest yearly gain in three, as strong foreign fund inflows, hopes of an improving economy and higher corporate earnings boosted investor confidence.
The Sensex rose 0.62 percent to end the year at 34,056.83, while the Nifty ended 0.5 percent higher at 10,530.70.
For the year, the Nifty has risen 28 percent, while the BSE index has climbed 27 percent.
(Reporting by Vishal Sridhar in Bengaluru; Editing by Biju Dwarakanath)