.jpg)
Nasdaq (Symbol: NDAQ) today announced the Nasdaq Closing Cross was used for the 14th consecutive year to rebalance Nasdaq-listed securities in the entire family of Russell US Indexes, part of leading global index provider FTSE Russell, during its annual reconstitution. More than 972 million shares representing a record $28.9 billion were executed in the Nasdaq Closing Cross in 0.861 seconds across some 2,499 Nasdaq-listed stocks. The previous record for dollars traded at the closing cross in a Russell reconstitution was $21.1 billion in 2015.
“For the 14th consecutive year of partnering with FTSE Russell on the rebalance, we witnessed the advanced capabilities and market integrity of Nasdaq’s INET technology platform resulting in transparent and efficient price discovery which benefits issuers and investors alike,” said Tom Wittman, Head of Global Equities and Executive Vice President of Global Trading and Market Services at Nasdaq. “Each year the rebalance is an important liquidity event to ensure that the Russell US indexes accurately reflect the ever changing state of the US equity market and its industry segments.”
“We are excited to enter another annual reconstitution process for the Russell indexes,” said Ron Bundy, CEO, Benchmarks, North America, FTSE Russell. “It is a significant event for the US equity market, closely watched by market participants and a central part of maintaining the integrity and relevance of our leading set of US benchmarks. And we are grateful to have enjoyed such a longstanding and successful association with Nasdaq around the annual Russell rebalance to help make it a transparent and smooth market event every year.”
The Closing Cross brings together the buy and sell interest in specific Nasdaq, NYSE and NYSE MKT stocks and executes all shares for each stock at a single price, one that reflects the true supply and demand for these securities. All nationally-listed securities are eligible for the Nasdaq Closing Cross.
All Russell U.S. indexes are subsets of the Russell 3000®Index, which represents approximately 98% of the U.S. equity market. Russell US Indexes allow investors to track current and historical market performance by specific market segment (large cap/small cap) or investment style (growth/value/defensive/dynamic). Approximately $8.5 trillion in assets are benchmarked to the Russell indexes.
Russell reconstitution day is usually one of the most highly anticipated and heaviest trading days in the U.S. equity market as asset managers seek to reconfigure their portfolios to reflect the composition of Russell's U.S. indexes. The index reconstitution process was completed today and the newly reconstituted index membership will take effect when markets open on Monday, June 26, 2017.
Please visit our website for more information on the Nasdaq Closing Cross.
