a so-called 'benefits-driven incorporation'. Russell Index is the Russell 3000E Index which contains the 4,000 largest (by market capitalization) companies incorporated in the U.S., plus (beginning with the 2007 reconstitution) companies incorporated in an offshore financial center that have their headquarters in the U.S.

The Russell indexes are objectively constructed based on transparent rules. The top 1,000 of those companies make up the large-cap Russell 1000 Index, and the bottom 2,000 (the smallest companies) make up the small-cap Russell 2000 Index. In the United States, the top 3,000 stocks (those of the 3,000 largest companies) make up the broad-market Russell 3000 Index. Using a rules-based and transparent process, Russell forms its indexes by listing all companies in descending order by market capitalization adjusted for float, which is the actual number of shares available for trading. The resulting methodology produced the broad-market Russell 3000 Index and sub-components such as the small-cap Russell 2000 Index. market segments and hence better track the performance of investment managers. Seattle, Washington-based Russell's index began in 1984 when the firm launched its family of U.S. The best-known index of the series is the Russell 2000, which tracks US small-cap stocks and is made up of the bottom 2,000 stocks in the Russell 3000 index. Russell's index design has led to more assets benchmarked to its U.S. Additionally, many investment managers use the Russell Indexes as benchmarks to measure their own performance. Many investors use mutual funds or exchange-traded funds based on the FTSE Russell Indexes as a way of gaining exposure to certain portions of the U.S. Russell indexes are a family of global stock market indices from FTSE Russell that allow investors to track the performance of distinct market segments worldwide. “ Index Factsheet: Russell 2000 Index,' įTSE Russell. ' Why Index Reconstitution? Because Markets Change,' Section 5: Russell US Indexes, Select Russell Microcap Index.įTSE Russell. ' Four Decades of Russell Indexes Reconstitution,' Pages 3-4.įTSE Russell. ' S&P Dow Jones Indices: Index Methodology: May 2022,' Pages 15-16, 20.įTSE Russell. ' S&P Dow Jones Indices Announces Update to S&P Composite 1500 Market Cap Guidelines and Results of S&P Composite 1500 Index Consultation on Market Capitalization and Liquidity Eligibility Criteria.'

Russell 2000 index