What is the 'Dow Jones Wilshire Small-Cap Index'

The Dow Jones Wilshire Small-Cap Index is the former name of the Wilshire U.S. Small-Cap Index, a market-capitalization-weighted index.

BREAKING DOWN 'Dow Jones Wilshire Small-Cap Index'

The Dow Jones Wilshire Small-Cap Index was later rebranded the Wilshire US Small-Cap Index when the partnership between Dow Jones and Wilshire Associates ended. It included the small-cap subset of the Dow Jones Wilshire 5000 Composite Index.

The Dow Jones Wilshire 5000 Composite Index, also known as the Dow Jones Wilshire 5000 Total Market Index, was the most broadly based U.S. stock index and was previously maintained by Dow Jones Indexes. The Dow Jones Wilshire Small-Cap Index contained the companies ranked 751 to 2,500 as measured by market capitalization, as is now done under the name Wilshire U.S. Small-Cap Index.

The index as it is now known comprises four segments of market capitalization, each with a different index association:

  • Wilshire U.S. Large-Cap Index: Stocks ranked 1-750
  • Wilshire U.S. Mid-Cap Index: Stocks ranked 501-1,000
  • Wilshire U.S. Small-Cap Index: Stocks ranked 751-2,500
  • Wilshire U.S. Micro-Cap Index: Stocks ranked 2,501+

Comparing Dow Jones Wilshire Small-Cap Index with Other Dow Jones Indices

An index enables tracking of the performance of selected concepts, sectors, or industries and their associated financial products. It serves as one benchmark for measuring and comparing the performance of investments. Indexes can be very broad or quite narrow in specifics and measures. 

Indexes, like the Dow Jones U.S. Total Market Index, provide useful information, including helping investors understand past trends and changes in investing patterns, offering snapshots of trends, and providing a benchmark for all types of comparisons. Indexes react to actual trades, and while investors may be swayed by material news and industry buzz, indexes will always be mathematical calculations that aren't swayed by human emotion. In that respect, stock indexes provide historical perspective, especially when one is looking for long-term trends, and may be more valuable in that way than in forecasting future market movement. 

While the Dow Jones Wilshire Small-Cap Index is no longer a Dow Jones product since the partnership between Dow Jones and Wilshire Associates ended, many other Dow Jones indices continue to exist. Current Dow Jones indices include the Dow Jones U.S. Total Market Index, which is a market-capitalization-weighted index maintained providing broad-based coverage of the U.S. stock market. The Dow Jones U.S. Market Index represents the upper 95 percent of the U.S. stock market based on market capitalization and is also known as the Dow Jones U.S. Index. The Dow Jones large-cap, mid-cap, small-cap, value and growth indexes all use the Dow Jones U.S. Total Market Index as the basis for their holdings. In total, the Dow Jones U.S. Total Market Index includes about 3,650 U.S. stocks.

RELATED TERMS
  1. Dow Jones Wilshire Mid-Cap Index

    The Dow Jones Wilshire Mid-Cap Index is a market-capitalization ...
  2. Broad-Based Index

    A broad-based index is designed to reflect the movement of the ...
  3. Wilshire 5000 Total Market Index ...

    The Wilshire 5000 Total Market Index is a market capitalization-weighted ...
  4. Dow Jones 65 Composite Average

    The Dow Jones 65 Composite Average is an index comprised of 65 ...
  5. Theoretical Dow Jones Index

    A method of calculating a Dow Jones index that assumes all index ...
  6. Dow Jones Global Titans 50 Index

    The Dow Jones Global Titans 50 Index is an index launched in ...
Related Articles
  1. Insights

    An Introduction to Stock Market Indices

    Lear more about the five most talked about stock indices and what makes them all different.
  2. Investing

    3 Types of Indexing for ETF Success

    ETF success relies on the index with which it is paired. Explore three index genres for tracking average market performance.
  3. Investing

    5 Stocks Commanding the Dow Bull Market (MMM, CVX)

    Just 5 stocks—United Healthcare, 3M, Chevron, Caterpillar and IBM—are responsible for 81% of the gain in the Dow Jones Industrial Average so far this year, which is up around 2.5% YTD.
  4. Investing

    How Does The Dow Jones Work?

    In this article find out how the Dow Jones Industrial Average works, tracks market movements, and what changes mean for investors and the stock market.
  5. Investing

    5 Best U.S. Small-Cap Index Mutual Funds

    Small-cap index mutual funds can add diversified exposure to the sector's equities, but they can also be more volatile than large-cap indexes.
  6. Investing

    Dow Theory Gores Stock Market's Bears

    Bear Hunting: The Dow Jones Transportation Average's new high is a bullish indicator
  7. Investing

    Small-Caps and Dividends: Perfect Together

    For investors, small-caps shouldn’t be just about growth. They can be powerful income tools, as well.
  8. Investing

    Why Investors Are Cooling on the Dow

    Cooling Off: Investors withdrew $2 billion last week from the SPDR Dow Jones ETF, 12.5% of its value
  9. Investing

    The 4 Largest Small-Cap ETFs (IWM, IJR)

    Learn about how U.S. small-cap stocks have performed in 2016 and over the past year, and the top four largest U.S. small-cap ETFs by assets under management.
RELATED FAQS
  1. What is the Dow Jones Industrial Average (DJIA) all-time high?

    Inching ever higher, the Dow Jones recorded new highs in May 2015. Since the index was first calculated in 1896, it has grown ... Read Answer >>
  2. Who owns Dow Jones & Company?

    Learn how the purchase of Dow Jones & Company by News Corp. included the acquisition of the Wall Street Journal, Barron's, ... Read Answer >>
  3. Why is the Dow Jones Industrial Average (DJIA) price weighted?

    Learn how the Dow Jones Industrial Average has told the story of the broad market through its simple, price-weighted calculation ... Read Answer >>
  4. What is the difference between the Dow and the Nasdaq?

    The Dow refers to the Dow Jones Industrial Average (DJIA) index, while the Nasdaq refers to the Nasdaq Composite Index. Read Answer >>
Trading Center