October 19, 2023

A better benchmark for US large caps

We profile the Russell 1000 index, covering modular design, index construction approach, review process, the annual reconstitution, index oversight and governance.

We present our case on why we feel the Russell 1000® Index, is the most representative, relevant and reliable benchmark for this important segment of the world’s equity market. The Russell 1000 follows objective rules to determine index inclusion, an approach that differs from other US large-cap indices (e.g., the S&P 500). The Russell 1000 forms part of a larger, modular index family and is the professional investors’ preferred large-cap benchmark.

Points of differentiation:

  • Transparent, objective, and comprehensive methodology.
  • By using it you would have gained exposure to index entrants years before the S&P 500.
  • Annual Russell reconstitution is widely followed and anticipated.
  • The index's design (banding, free float) prioritises investability.
  • Russell 1000 is the professional investors’ preferred benchmark.