It is widely used as a benchmark for U.S. small-cap stocks. The index is comprised of the 2,000 smallest companies in the Russell 3000, which itself covers roughly 98% of the stocks publicly traded in the U.S. The Russell 2000 is rebalanced every June and new companies are included or deleted from the index. The Russell 2000 Index is market cap-weighted, adjusted by each company’s number of shares outstanding.
The term Russell 2000 Index refers to a stock market index that measures the performance of the 2,000 smaller companies included in the Russell 3000 Index. In theory, the direction of the moving average (higher, lower or flat) indicates the trend of the market. Shorter averages are used to identify shorter-term trends. Many trading systems utilize moving averages as independent variables and market analysts frequently use moving averages to confirm technical breakouts.
Chart Talk: Russell 2000 goes from oversold to overbought in just 24 days
The Russell 2000 Index was launched in 1984 by the Frank Russell Company. It is a U.S. index and is managed by FTSE Russell, which is a subsidiary of the London Stock Exchange (LSE) Group. The index is comprised of about 2,000 small-cap https://www.topforexnews.org/ companies. Available only with a Barchart Plus or Premier Membership, you can base a Stock Screener off the symbols currently on the page. This lets you add additional filters to further narrow down the list of candidates.
The “More Data” widgets are also available from the Links column of the right side of the data table. The Russell 2000 Value Index tracks the performance of companies with lower price-to-book ratios, which shows a company’s market price relative to its balance sheet. The Russell 2000 Growth Index is a subset of companies with higher price-to-value ratios, or those expected to have higher growth values in the future.
The largest stock by market cap on the index was $12.63 billion. The Russell 2000 first traded above the 1,000 level on May 20, 2013. Unique to Barchart.com, data tables contain an option that allows you to see more data for the symbol without leaving the page. Click the “+” icon in the first column (on the left) to view more data for the selected symbol. Scroll through widgets of the different content available for the symbol.
For instance, investors can use index futures or index-based mutual funds that track the Russell 2000. The most heavily traded of the ETFs is the iShares Russell 2000 index ETF (IWM). The other big difference between the Russell 2000 and other major indices is that it tracks small-cap stocks. The S&P 500 and Dow Jones Industrial Average (DJIA) indices, on the other hand, track large-cap stocks. As of Oct. 31, 2023, the average value for a company on the Russell 2000 was $2.70 billion while the median market cap was $0.77 billion.
The Russell 2000 announces changes to the small-cap index between May and June of each year. Because it is closely followed by mutual funds managers and individual investors, speculation as to which companies will be added can cause a jolt in short-term demand. https://www.dowjonesanalysis.com/ This tool will download a .csv file for the View being displayed. For dynamically-generated tables (such as a Stock or ETF Screener) where you see more than 1000 rows of data, the download will be limited to only the first 1000 records on the table.
Russell 2000 Index
It is highest weighted in healthcare, followed by industrials and financials. The table below highlights a breakdown of the index by industry. Create a free account to gain access to news, analysis, and real-time alerts on the stocks you follow.
- It’s no surprise that many mutual funds and exchange-traded funds (ETFs) are tied to or based on the Russell 2000.
- Scroll through widgets of the different content available for the symbol.
- The most heavily traded of the ETFs is the iShares Russell 2000 index ETF (IWM).
When prices are rising they are usually above the average. This is to be expected since the average includes data from the previous, lower priced days. As long as prices remain above the average there is strength in the market. At the top, you’ll find a histogram containing today’s high and low price. The histogram shows where the open and last price fall within that range.
ETFs Holding RTY
This means that a member stock’s last sale price as well as the number of shares that can actually be traded (rather than the company’s entire market cap) influence the index. Many investors compare small-cap mutual https://www.forexbox.info/ funds against the index’s movement. Both the S&P 500 and Russell 2000 indexes are market-cap-weighted. However, unlike the S&P 500 index, the securities in the Russell 2000 index are not selected by a committee.
Pages are initially sorted in a specific order (depending on the data presented). You can re-sort the page by clicking on any of the column headings in the table. We provide category defining indices across asset classes and investment objectives to create new possibilities for the global investment community. The smallest 1,000 companies in the Russell 2000 make up the Russell 1000 Microcap Index. The Russell 2000 is, itself, composed of the two-thousand smallest companies in the broad Russell 3000 Index. As of Oct. 31, 2023, the index’s top three holdings were Super Micro Computer (SMCI), Matador Resources (MTDR), and Chord Energy (CHRD).
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For other static pages (such as the Russell 3000 Components list) all rows will be downloaded. Ordinary investors can invest in the Russell 2000 via index ETFs that track it, such as the BlackRock iShares Russell 2000 ETF (IWM) or Vanguard’s Russell 2000 ETF (VTWO). More sophisticated investors may also trade Russell 2000 Index futures contracts. Barchart Plus Members have 10 downloads per day, while Barchart Premier Members may download up to 100 .csv files per day. Also unique to Barchart, this feature allows you to scroll through all the symbols on the table in a chart view.
Instead, the holdings are determined through a formula based on their market cap and current index membership. The Russell 2000 is an index that tracks two thousand small-cap companies, while the S&P 500 tracks five hundred large-cap companies. Therefore, the two differ in both the number of stocks in the index and the sizes of those companies.
The index is the most widely quoted measure of the overall performance of small-cap to mid-cap stocks. It represents approximately 7% of the total Russell 3000 market capitalization. It is made up of the bottom two-thirds in terms of company size of the Russell 3000 index. The larger index reflects the movements of nearly 96% of all publicly traded U.S. stocks. It’s no surprise that many mutual funds and exchange-traded funds (ETFs) are tied to or based on the Russell 2000. The Russell 2000 is an index of 2,000 small-cap companies that was first launched in 1984.
Because of this, there is not much overlap, if any, between the stocks held in each index. The index’s returns can be replicated by investors who take the trouble to create a sizeable and complex portfolio that mirrors the index. However, there are far easier ways to get the same returns.
