After underperforming US large cap stocks by more than 6% in 2018—and more than 8% over the past year as of May 3—US small cap stocks have changed course in 2019, gaining 20.2% relative to an 18.7% return for US large cap stocks through May 3. This recent run of stronger relative performance highlights the investor need to manage exposure to this important asset class.
Tim McCourt, global head of equity index products and alternative investments, CME Group:
“The year-to-date shift in US equity index leadership from large to small helps demonstrate why risk management is important, which is why we introduced futures on four major US equity indexes, including the Russell 2000.”
Sean Smith, managing director, derivatives licensing, FTSE Russell:
“FTSE Russell indexes can be used as the basis of investment tools designed to provide exposure to a broad array of asset classes and market cap tiers. Our indexes are uniquely designed to provide comprehensive, transparent and accurate measures of global equity market returns and can therefore be valuable tools for investors.”
For more information on derivatives based on the Russell US Indexes, go to the FTSE Russell website.
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