Russell Top 50 Index
Definition of 'Russell Top 50 Index'A market capitalization weighted index of the 50 largest stocks in the Russell 3000 universe of U.S.-based equities. The index can be considered a representation of mega cap stocks, as the average member's market cap is more than $175 billion.The index is reconstituted annually to account for new and growing member companies. |
|
Investopedia explains 'Russell Top 50 Index'Because modern mega cap companies are so large, even though the index holds just 50 stocks it still represents a large proportion of all U.S. equities. For example, in 2007, the market cap of the stocks in the Russell Top 50 Index accounted for more than 40% of the total market capitalization of all U.S.-based equities.The Russell Top 50 Index also pays an above average dividend yield compared to the S&P 500, a reflection of the general safety and cash flow generation found among the largest traded companies. |
Related Definitions
Articles Of Interest
-
Market Capitalization Defined
Find out the differences between mega-, large-, mid- and small-cap stocks and how each suits different investing styles. -
Your Mutual Fund: It's Riskier Than You Think
Fund managers often take on more risk than they should, putting business ahead of fund holders' interests. -
The ABCs Of Stock Indexes
Indexes can track market trends, but they're not always reliable. Can you trust them? -
How do I find mutual funds that track indexes?
The two best sources for finding index funds are Fidelity Investments and Vanguard.Of the 57 index funds in investment research firm Morningstar's database, two fund companies account for 39 ... -
6 Popular ETF Types For Your Portfolio
Exchange traded funds are an extremely popular diversification tool that can protect your portfolio during troubled periods. -
Build A Dividend Portfolio That Grows With You
Balance risk and return to produce adequate income despite inflation. -
Which Mutual Fund Market Cap Suits You?
Different funds invest in companies with different market caps. Find out which is right for you. -
Understanding Small- And Big-Cap Stocks
If you don't realize how big small-cap stocks can be, you'll miss some good investment opportunities. -
Finding Undiscovered Stocks
Wall Street tends to focus on large cap stocks, leaving other stocks under-followed and undervalued. -
Build A Model Portfolio With Style Investing
This sophisticated approach will add flair to your returns.
Free Annual Reports