SOURCE: Russell Investments

Russell Investments

May 14, 2015 11:13 ET

Sell in May? U.S. Large-Cap Equity Market Has Been Positive in May Through October 70% of the Last 20 Years, According to Russell U.S. Indexes. U.S. Small Caps Also Positive More Than Half the Time, but Not as Strong as Large Caps

SEATTLE, WA--(Marketwired - May 14, 2015) -  Russell Indexes analyzed the old investment adage "sell in May and go away" and found that, when viewed through the lens of the U.S. equity markets, the adage may not always apply.

The U.S. large cap Russell 1000® Index had a positive return in 14 of the last 20 years, and is up 3.1% in the month of May as of May 12. The U.S. large cap Russell 2000 Index has not fared quite as well as the Russell 1000, but has been positive in eleven of the last 20 May through October periods.

For more information on the Russell Indexes, go to the Russell Indexes website.

Historical May-October Return Russell 1000® Index   Russell 2000® Index
May MTD through May 12, 2015 3.1%   2.8%
2014 7.9%   4.8%
2013 11.6%   16.9%
2012 1.9%   1.0%
2011 -7.8%   -13.8%
2010 0.8%   -1.2%
2009 20.1%   16.2%
2008 -30.1%   -24.4%
2007 5.4%   2.3%
2006 5.5%   0.9%
2005 6.2%   12.3%
2004 3.0%   4.9%
2003 16.8%   33.3%
2002 -17.4%   -26.3%
2001 -14.9%   -11.1%
2000 -0.6%   -1.1%
1999 2.5%   -0.3%
1998 -1.8%   -21.2%
1997 16.6%   27.3%
1996 8.2%   -1.5%
1995 15.6%   12.3%
Summary - Positive/Negative Performance 14/6 - 70%/30%   11/9 - 55%/45%

Source: Russell Investments. Total returns, US dollar denominated.

Please note: Indexes are unmanaged and cannot be invested in directly. Returns represent past performance, are not a guarantee of future performance, and are not indicative of any specific investment.

Russell's publication of the Indexes or Index constituents in no way suggests or implies a representation or opinion by Russell as to the attractiveness of investing in a particular security. Inclusion of a security in an Index is not a promotion, sponsorship or endorsement of a security by Russell and Russell makes no representation, warranty or guarantee with respect to the performance of any security included in a Russell Index.

The Russell 1000 Index measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000® Index and includes approximately 1,000 of the largest securities based on a combination of their market cap and current index membership. The Russell 1000 represents approximately 92% of the U.S. market. The Russell 1000 Index is constructed to provide a comprehensive and unbiased barometer for the large-cap segment and is completely reconstituted annually to ensure new and growing equities are reflected.

The Russell 2000® Index measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000 Index is a subset of the Russell 3000® Index representing approximately 10% of the total market capitalization of that index. It includes approximately 2000 of the smallest securities based on a combination of their market cap and current index membership.

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