EduBourseActualitésRussell Sets Index Reconstitution Schedule

Russell Sets Index Reconstitution Schedule

Pierre Perrin-Monlouis Dernière mise à jour: 20 octobre 2021

Annual process realigns global stock benchmarks to market realities

Tacoma, WA — March 25, 2008 — Russell Investments has announced the 2008 schedule to fully reconstitute its U.S. and global equity index families. As part of its transparent process, Russell will post lists of probable additions and deletions for the Russell Global Index and the U.S. broad-market Russell 3000® Index on its website,, after the markets close on Friday, June 13. Updated lists, if necessary, will be posted on June 20 and June 27. Membership changes to Russell’s comprehensive family of indexes will take effect as markets close that final Friday of June and remain in place for the ensuing 12-month period.

The communications process will continue the following Monday, June 30, when Russell posts its official new membership lists for the Russell Global and Russell 3000 indexes as well as the large-cap Russell 1000® Index, small-cap Russell 2000® Index, Russell Midcap® Index and Russell Microcap® Index.

“Reconstitution is an essential element for truly representative benchmarks in order to systematically mirror changes in the equity market, such as capitalization and style movement globally,” said Lori Richards, director of client service for Russell Indexes. “Russell’s unique process simultaneously recalibrates all of Russell’s indexes to current market realities, ensuring that stocks are moved into the right ‘buckets’ to accurately represent small-cap, large-cap and all-cap segments for more than 60 countries.”

Richards added that the annual reconstitution process also recalibrates the firm’s industry-leading style indexes so they reflect any shifts in relative valuations of value and growth stocks over the past year. Since the indexes were reconstituted last year on June 25, for example, U.S. small caps underperformed U.S. large caps through March 21 by 717 basis points while U.S. growth stocks outperformed U.S. value stocks by 567 basis points. Similarly, but to a lesser degree, the Russell Global Small Cap Index underperformed the Russell Global Large Cap Index by 478 basis points during that period.

“Our reconstitution process has greater impact during years in which small caps or large caps and/or growth or value stocks experience wide performance disparity,” said Richards. “We systematically capture that change, while the percentile bands we implemented for last year’s process provide us with a turnover filter for stocks that have not dramatically shifted along with like securities.”

Russell offers a complete worldwide set of equity benchmarks that covers 98% of the global investable universe and accounts for $4.4 trillion in benchmarked assets. Membership is determined by objective rules, such as market capitalization rankings. Accurate benchmarks are an integral part of Russell’s ongoing process to monitor 8,000 investment manager products worldwide for Russell’s $228 billion active investment management business.

“Annual reconstitution is one reason why an industry-leading 58.5% of institutional U.S. equity products rely on Russell Indexes as performance benchmarks,” said Richards. “Extensive research and the test of time support our finely-tuned combination of a percentile-banded annual reconstitution process and the quarterly addition of eligible initial public offerings in order to effectively balance index turnover and market representation.”

Visitors to can find a complete summary of Russell’s index methodology, here:

In addition, Russell recently launched a real-time market analysis resource, focusing initially on seven U.S. market segments:

About Russell
Russell Investments provides strategic advice, world-class implementation, state-of-the-art performance benchmarks and a range of institutional-quality investment products. Russell has more than $228 billion in assets under management as of Dec. 31, 2007, and serves individual, institutional and advisor clients in more than 40 countries. Russell’s industry-leading indexes have $4.4 trillion in assets benchmarked to them. Founded in 1936, Russell is a subsidiary of The Northwestern Mutual Life Insurance Company.

Steve Claiborne, 253-439-1858

Pierre Perrin-Monlouis
Pierre Perrin-Monlouis
Fondateur de Rente et Patrimoine (cabinet de gestion de patrimoine), Pierre Perrin-Monlouis est un analyste et trader pour compte propre. Il vous fait profiter de son expérience en trading grâce à ses analyses financières et décrypte pour vous les actualités des marchés. Son approche globale des marchés combine à la fois l'analyse technique et l'analyse fondamentale sur l'ensemble des marchés : crypto, forex, actions et matières premières.