America’s Car-Mart Slated For Inclusion In Russell 2000
by June 23, 2003 12:00 am 69 views
America’s Car-Mart Inc. on June 17 announced that it expects to join the Russell 3000 Index when the broad-based market index is reconstituted on June 30 according to a preliminary list of additions issued by Frank Russell Co. index membership will go into effect July 1 and will remain in place for one year. The membership also means automatic inclusion in the small-cap Russell 2000 Index.
“We are pleased to qualify for inclusion in the Russell 2000 Index,” said Car-Mart CEO T.J. “Skip” Falgout III, “Our market capitalization on the Nasdaq national market has increased substantially over the last fiscal year and our current fiscal year. We believe this growth in market capitalization is evidence of investor confidence in the historical and future growth and profitability of our company.”
Membership in Russell’s 21 U.S. equity indexes is determined primarily by market capitalization rankings and style attributes. Russell indexes are widely used by managers of index funds and as benchmarks for both passive and active investment strategies. About $250 billion is invested in index funds based on Russell’s indexes, and an additional $850 billion is benchmarked to them. Investment managers who oversee these funds purchase shares of member stocks according to each company’s weighting in the particular index.
Russell, with $67 billion in assets, is an international multi-manager of investment services and products.