FTSE Russell
| FTSE Russell | |
| |
| Founded | 2015 |
|---|---|
| Headquarters | 10 Paternoster Square, EC4M 7LS, London
|
| Key People | Waqas Samad, CEO |
| Products | Financial indexes, benchmarking, data and analytics |
| @LSEplc | |
| Profile | |
| Youtube | Chanel |
| Website | www.ftserussell.com |
FTSE Russell, a wholly owned subsidiary of the London Stock Exchange Group (LSEG), is a global index leader that provides benchmarking, analytics and data for investors worldwide. FTSE Russell calculates thousands of indexes that measure and benchmark markets and asset classes in more than 70 countries, covering 98% of the investable market. Approximately $16 trillion is currently benchmarked to FTSE Russell indexes. FTSE Russell indexes are used by asset owners, asset managers, ETF providers and investment banks to benchmark their investment performance and create ETFs, structured products and index-based derivatives.[1]
History[edit]
LSE Group's involvement in the index business dates back to 1984, when the exchange began calculating the FTSE 100 Index for the Financial Times' former parent company Pearson. The index team was spun off into a joint venture in 1995.[2] In December 2011, LSE Group agreed to a £450 ($705 million) acquisition of Pearson's 50 percent ownership to become the sole owner of the index group.[3]
In June 2014 the LSE agreed to buy The Frank Russell Company for £1.59 billion ($2.7 billion). The purchase was the largest one in the LSE's history and and gave it the opportunity to attract trading in securities and derivatives that track the Russell indices.[4] It also brought together about $9 trillion of assets benchmarked globally and made LSE the No. 2 player in U.S.-listed exchange traded funds.[5] The deal closed at the end of 2014.[6]
In February 2015, LSE Group entered into a licensing agreement with CBOE to develop and list options based on existing FTSE and Russell Indices. Cash-settled options on the flagship Russell 2000 began trading on CBOE as of April 1, 2015, and in October 2015, the options exchange began offering options on other Russell index products including the Russell 1000 Index (RUI), the Russell 1000 Value Index (RLV) and the Russell 1000 Growth Index (RLG)[7]
In April 2020 Cboe Global Markets and FTSE Russell agreed to extend their licensing agreement through 2030. The license agreement gives Cboe exclusive rights to offer trading in options on FTSE Russell indices.[8]
When the exchange group acquired Frank Russell Co., it also inherited Russell Investments, the firm's asset management division which held, at the time of acquisition, about $262 billion under management. Soon after the acquisition was completed, LSE Group put the asset management division up for sale. In October 2015, LSE agreed to sell Russell Investments for $1.15 billion cash to an investment group led by the U.S. private equity group TA Associates.[9]
On October 24, 2023, Grayscale Investments announced a new partnership with FTSE Russell to introduce the FTSE Grayscale® Crypto Sector Index Series, a set of five distinct, rules-based indices capturing the investable crypto market of Grayscale Crypto Sectors.[10]
On October 25, 2023, FTSE Russell announced a strategic partnership with Tradeweb to develop "the next generation" of fixed income index pricing and index trading products.[11]
Key People[edit]
- Fiona Bassett, Chief Executive Officer
FTSE Explains: What is an Index?, June 2014[edit]
Russell Indexes[edit]
Russell's US indexes represent nine of the top 10 benchmarks in terms of the number of products as well as the amount of assets, surpassed only by the S&P 500 index.[12]
The U.S. family is based on the Russell 3000E. The large-cap Russell 1000 Index incorporates the largest 1,000 companies in the Russell 3000, with the balance used to form the Russell 2000. The Russell Microcap Index captures 1000 additional stocks, extending total coverage to 4000 in Russell's U.S. index universe. The indexes are reconstituted annually in June, with IPOs added on a quarterly basis.
The indexes have been used to create a range of products - including index futures and options and ETF futures and options - traded on exchanges including: the American Stock Exchange; NASDAQ; Chicago Board Options Exchange, the Intercontinental Exchange (ICE), the New York Board of Trade, the International Securities Exchange, NYSE Arca, the Philadelphia Stock Exchange and the Chicago Mercantile Exchange.
The Russell Global Index was launched in January 2007, using the Russell 3000 Index as its U.S. component, and divided into 300 core indexes covering 22 regions and 63 countries.[13]
FTSE Russell index products can be divided into the following categories:
- Market capitalization-weighted indexes such as the FTSE UK, Russell US (1000, 2000, 3000), FTSE China and FTSE Global Equity
- Factor-based indexes
- Alternatively-weighted indexes such as the Minimum Variance, GDP Weighted, and Equal Weight index classes
- Fixed income
- Currency
- ESG (Environmental, Social and Governance)
A full list of FTSE Russell index products can be found HERE.
FTSE Russell services include:
- Real time index dissemination
- Exchange traded funds (ETF)s
- Derivatives, including futures and options on FTSE- and Russell-based indexes
- Data packages and data licenses
Office Locations[edit]
United States
New York 1270 Avenue of the Americas, 28th Floor, New York, NY 10020 T: +1 866 551 0617
Boston One International Place, 14th Floor, Boston, MA 02110 T: +1 866 551 0617
Chicago 30 South Wacker Drive, Suite 2251, Chicago, IL 60606 T: +1 866 551 0617
Fort Mill 580 Kingsley Park Drive, Suite 300, Fort Mill, SC 29715 T: +1 866 551 0617
San Francisco One Market Plaza, Spear Tower, Suite 3646, San Francisco, CA 94104 T: +1 866 551 0617
Seattle 1201 3rd Avenue, Suite 2500, Seattle, WA 98101 T: +1 866 551 0617
Brazil
Rio de Janerio Praia de Botafogo 228, 16 andar, Sala 1623, Rio de Janeiro, RJ 22250-040 T: + 5521 3736 3726
Canada
Toronto 70 York Street, Suite 1520, Toronto, ON M5J 1S9 T: +1 866 551 0617
Mexico
Mexico City Paseo de los Tamarindos 400ª, 5 piso., Col. Bosques de las Lomas, Mexico City, C.P. 05120 T: +52.55.33005108
United Kingdom
London 10 Paternoster Square, EC4M 7LS, London +44 (0) 20 7866 1810
Edinburgh 160 Dundee Street, EH11 1DQ, Edinburgh
France
Paris 18 rue du 4 Septembre, 75002 Paris
Italy
Milan Piazza Affari 6, 20123 Milan +39 02 72426641
Hong Kong SAR
Hong Kong Suites 3506 - 3508, 35th Floor, Two Exchange Square, 8 Connaught Place, Central +852 2164 3200
Australia
Sydney Level 36, Governor Phillip Tower, 1 Farrer Place, Sydney, NSW 2000 +61 (0) 2 8823 3521
China
Beijing Unit 1232, Level 12, China Resources Building, 8 Jianguomenbei Avenue, Dongcheng District, Beijing 100005 (8610) 5811 1918
Shanghai Room 3127, 31/F Jin Mao Tower, 88 Century Avenue, Pudong, Shanghai, PRC 200120 +86 (0)21 2890 9720
Japan
Tokyo Otemachi First Square East Tower 11F, 1-5-1 Otemachi, Chiyoda-ku, Tokyo, 100-0004 T: + 81 (3) 4563 6346
Singapore
Singapore Level 18, Centennial Tower, 3 Temasek Boulevard, Singapore 039190
Taiwan
Taipei 13th Floor, No 1, Songzhi Road, Taipei, 110, Taiwan + 886-2-8726-9778
Dubai U.A.E.
Dubai Office 50, Level 15, The Gate, PO Box 121208, Dubai
References[edit]
- ↑ About Us. FTSE Russell.
- ↑ LSE to Buy Rest of FTSE. The Wall Street Journal.
- ↑ Pearson sells £450m stake in FTSE to London Stock Exchange. The Telegraph.
- ↑ LSE: A bigger cheese. The Financial Times.
- ↑ London Stock Exchange to Buy U.S. Asset Manager Frank Russell for $2.7 Billion. The Wall Street Journal.
- ↑ LSE to conclude Russell deal within weeks. The Financial Times.
- ↑ CBOE Holdings to Launch New Options on Three FTSE Russell Indexes October 20. CBOE.
- ↑ Cboe Global Markets and FTSE Russell Extend Licensing Agreement Through 2030. Cboe.
- ↑ LSE to Sell Russell Investments for $1.15 Billion. The Wall Street Journal.
- ↑ Grayscale Investments® Unveils Grayscale® Crypto Sectors and Launches New Partnership with FTSE Russell to Introduce Crypto Sector Index Series. Grayscale Investments.
- ↑ cite web|url=https://www.lseg.com/en/media-centre/press-releases/ftse-russell/2023/ftse-russell-and-tradeweb-enter-a-strategic-partnership%7Cname=FTSE Russell and Tradeweb Announce Strategic Partnership|org=LSEG|date=October 25, 2023}}
- ↑ Press Release. Russell Investments.
- ↑ Press release. Russell Investments.