Moreover, is the most common standard for mutual funds that define themselves as “small”, while the S & P 500 is mainly used for large stocks.
Started by Frank Russell Company in 1984.
Why is the Russell 2000 index traded across CFDs?
- Traders can enjoy the trading of derivatives by tracking the (bullish or bearish) levels of the Russell 2000 index
- Traders can enjoy several trading platforms, such as: trading via the browser, trading with the phone, through the Mac, automated trading platform MetaTrader 4
- it has a 0.30 index on the market, with a leverage of 400: 1
Traders can make a profit even when the market price falls on the Russell 2000 index short selling
- AvaTrade does not charge any commissions for 2000 Russell Contracts
Top 10 Composed For Russell 2000 Index
|Cascadian Therapeutics Incorporated||Biotechnology||0.007%|
|Eastman Kodak Company||Technology||0.006%|
|RAIT Financial Trust||Financial Services||0.003%|
There are many pieces that are Russell 2000 including:
- Financial Services
- Durable product
- Consumer Products
Risks of adding Russell 2000 funds
- Have greater access to capital than others and are more value-oriented. But smaller companies have a higher growth trend.
- For risk averse investors, higher value stocks tend to achieve greater margin of safety than growth stocks, experts say.
- Although small cap stocks can be more volatile than large-cap stocks, securities portfolios are “generally better in terms of small stocks than they are,” Halverson says.
The best way to access small cap stocks is through a fund like Dimensional Core 2
Join our telegram channel from HERE