Russell 2000 Stocks
The Russell 2000 and Russell 3000 are both key benchmarks within the U.S. stock market, offering insight into different segments of the market. The Russell 2000 Index focuses on 2,000 of the smallest companies in the Russell 3000, which represents the largest 3,000 U.S. companies, covering roughly 98% of the U.S. equity market. The Russell 2000 is commonly used to gauge the performance of small-cap stocks, while the Russell 3000 offers a broad view of the entire market, including both large-cap and small-cap companies. Investors use these indices to track market performance, allocate assets, and evaluate the potential growth of smaller, less-established companies compared to larger, more stable ones.
They are part of a balanced portfolio, so consider adding them to your own. Also, some small caps might out perform large caps in many instances, so be sure to compare and contrast the stocks on your list when making decisions.