Russell 2000: Στo -2,62% και -9,6% από τα ιστορικά ever υψηλά του
The term “small capitalization” (or “small cap”) is used to identify shares that have a market capitalization between $300 million and $2 billion. Market capitalization means the total value of a company’s outstanding shares. It’s calculated by multiplying the total number of shares issued by the market price of a single share.
By comparison, mid-capitalization (or mid cap) stocks have a market capitalization ranging from $2 billion to $10 billion, while large capitalization (or large cap) stocks surpass the $10 billion mark. Companies that fall below the $300 million market capitalization range are known as micro-capitalization (or micro cap) companies.
The Russell 2000 Index Explained
The Russell 2000 Index is a stock market index built exclusively of small-capitalization U.S. companies. It is an offshoot of a broader, market-wide index called the Russell 3000.
- While the Russell 3000 index tracks the 3,000 largest publicly traded companies in the United States, which together make up almost all of the trading volume on U.S. stock markets, this index is then broken down into two sub-sections.
- The Russell 1000 tracks the 1,000 largest stocks in its parent index and the Russell 2000, which tracks the 2,000 smallest.
Traders use the Russell 2000 index for several different reasons. Perhaps most significantly it offers valuable insight into the small-capitalization market.
- Investors can use it to see how smaller companies are doing overall, and often measure the performance of mutual funds and ETFs against the Russell 2000 Index.
For example, an investor might assess a small-capitalization mutual fund by comparing its results to the Russell 2000 over time.