The bitcoin (BTC) derivatives platform Bakkt Holdings, a subsidiary of the Intercontinental Exchange (ICE), announced this Thursday, June 16, that it will be part of the Russell 3000 stock index as of June 27. Membership in this index is renewed annually, and includes inclusion in the specialized Russell 1000 and Russell 2000 indices.
In a Press releaseBakkt points out that the inclusion will be formalized at the conclusion of the annual review of the family of Russell indices, a process that contemplates the incorporation of new firms with a notorious push in the market. Bakkt is the first cryptocurrency company to be listed in the Russell Indices.
“Bakkt’s inclusion in the Russell 3000 Index marks a significant milestone as we further our vision of connecting the digital economy,” said Gavin Michael, CEO of Bakkt. “This listing will help continue to expand our reach and support greater awareness of Bakkt within the investment community,” the executive said.
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In the data relative to the Russell 3000 index, it is indicated that among the 10 most important firms by market capitalization included there are Apple, Microsoft, Amazon, Alphabet (Google) and Tesla. Technology stocks, as shown in the chart below, comprise more than a quarter of the total capitalization of the companies in the index, followed by FMCG and healthcare companies.
An evolution of the global returns of the companies reflected in this index since 2012, with a base of 100 in that year, is also shown. In general, a sustained growth is shown, almost reaching the 300 mark at the beginning of 2020, although it falls below 250 in March of that year. At the beginning of this year it exceeded the 400 mark, although since then it has been falling to above 350. This represents an overall return of Russell 3000 of more than 250% in 10 years.
An index with excellent performance that has been hit this 2020
Like the major stock market indices in the United States, Russell sub-indices are down both in the last 12 months and year to date. Russell 3000 shows a retracement of 15.20% in the last year and -23.66% so far in 2022.
The Nasdaq and S&P 500 indicators show respective falls of 27.43% (light blue) and 19.10% (red) in the previous graph so far this year, while bitcoin has fallen 51.58% in the same period. At the time of writing this article, the price of bitcoin is USD 20,831.