The collaboration, which is now being implemented, includes the adoption by Frank Russell of the FTSE Global Classification System for its US Equity Indexes, including the Russell 3000 Index; the Russell 1000 Index and the Russell 2000 Index by 1 January 2001.
The adoption of the FTSE Global Classification System by Frank Russell will provide their clients with a common standard for both the US domestic and non-domestic portfolio management and performance measurement. The sector classification of the Russell 1000, Russell 2000 and Russell 3000 indexes are shown in the table below. The FTSE Classification Committee approved these classifications on 24 August 2000.
Full details of sector classification for each stock in the indexes below are now available on the FTSE website (www.ftse.com).
Commenting on the progress made between FTSE and Russell, Mark Makepeace, Managing Director of FTSE, said, "The recent adoption of the FTSE Global Classification System by Russell and also Euronext reinforces its position as the global standard for classifying stocks. This establishes FTSE as a credible alternative to MSCI in their own marketplace".
Rick Lacaille of State Street Global Advisors said "US investors who use Russell as their domestic US benchmark will now be able to compare their domestic investments against complementary global products such as the All-World index".
