Russell Midcap Index

AAA

DEFINITION of 'Russell Midcap Index'

A market capitalization weighted index representing the smallest 800 companies in the Russell 1000 Index. The average Russell Midcap Index member has a market cap of $8 billion to $10 billion, with a median value of $4 billion to $5 billion. The index is reconstituted annually so that stocks that have outgrown the index can be removed and new entries can be added.

INVESTOPEDIA EXPLAINS 'Russell Midcap Index'

The Russell Midcap Index is a complete subset of both the Russell 1000 and the Russell 3000. Midcap fund managers have few good indexes against which to benchmark their returns, making the Russell Midcap Index a valuable one for institutional portfolio managers. The range of market caps covered in this 800-member index goes from about $1 billion on the low end to roughly $20 billion.

RELATED TERMS
  1. Institutional Investor

    A non-bank person or organization that trades securities in large ...
  2. Market Capitalization

    The total dollar market value of all of a company's outstanding ...
  3. Mid Cap

    A company with a market capitalization between $2 and $10 billion, ...
  4. Russell 2000 Index

    An index measuring the performance approximately 2,000 small-cap ...
  5. Style Box

    Created by Morningstar, a style box is designed to visually represent ...
  6. Russell 2500 Index

    A broad index featuring 2,500 stocks that cover the small and ...
Related Articles
  1. Which Mutual Fund Market Cap Suits You?
    Mutual Funds & ETFs

    Which Mutual Fund Market Cap Suits You?

  2. Understanding The Mutual Fund Style ...
    Mutual Funds & ETFs

    Understanding The Mutual Fund Style ...

  3. Index Investing
    Mutual Funds & ETFs

    Index Investing

  4. How A Limited Government Affects A Country's ...
    Economics

    How A Limited Government Affects A Country's ...

Hot Definitions
  1. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  2. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  3. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  4. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
Trading Center