Stock-market investors are soon facing a reconstitution of U.S. Russell indexes, an annual process resulting in the deletion and addition of companies in widely-followed benchmarks.
Almost $4 trillion of assets under management is benchmarked to major Russell indexes, which are set to be rebalanced after the stock market’s close on June 23, according to a Goldman Sachs Group research report published Monday evening. “We estimate Info Tech will remain the largest sector in the Russell 1000 and Russell 3000,” they said. While information technology will see the largest increase in weight in the Russell 2000 index, healthcare will remain its largest sector, according to their report.
The Russell 1000 index, a gauge of large-cap stocks in the U.S., has risen around 7% so far this year based on Tuesday afternoon trading, according to FactSet data. By contrast, the small-cap-focused Russell 2000 index is down around 1.1% year to date, FactSet data show, at last check.
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