Russell 1000 Index

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The Russell 1000® Index is a standard benchmark for measuring the performance of large-capitalization (large-cap) stocks traded on U.S. markets. It comprises the largest 1,000 traded companies in the 3,000 strong Russell 3000 Index.

Brief Background[edit]

The Russell 1000, devised in 1984 by Russell Investments, consists of around 92% of total market capitalization of all U.S. stock markets[1] and is essentially the bigger sibling of the better-known small-cap benchmark Russell 2000, which generally consist of the Russell 3000's bottom 2,000 stocks.

Trading Facts[edit]

  • According to its latest reconstitution[2], the index's median company had a market capitalization of $6.1 billion compared to the index's equal-weighted average of $16.3 billion.
  • The Russell 1000® Index has a price/earnings ratio of 15.68 and a price/book ratio 2.47 compared to iShares' equivalent fund (ticker symbol: IWB) ratios of 19.43 and 3.79 respectively.[3]
  • As of March 2008 the largest company in the index, Exxon Mobil, had a market cap of $476.4 billion.
  • Earnings per share growth over the past 5 years for the Russell 1000® Index has topped 20%.

References[edit]

  1. Russell 1000® Index Fact Sheet. Russell Investrment Group.
  2. Russell 1000® Index. Russell Investment Group.
  3. Russell 1000 Index Fund (IWB). iShares.