SOURCE: Russell Investments

Russell Investments

March 27, 2015 09:33 ET

Shallow Climb: Most Recent March to 7,000 for FTSE 100 Index Less Steep Than Last Two, According to FTSE and Russell Indexes

Historical Index Analysis Puts Current U.K. Rally Into Context for Investors

SEATTLE, WA--(Marketwired - Mar 27, 2015) - On March 20, the FTSE 100 Index crossed the psychologically important 7000 barrier. And after three subsequent days of losses for the Index when market participants may be considering whether the Index may be losing steam, FTSE and Russell Indexes examined the two previous historical peaks for the Index to place the current market ups and downs in historical context.

Compared to the current peak for the FTSE 100 Index, the two previous peaks were reached more quickly. The Index climbed 100%, or 3,467 points, in 1,119 trading days to reach its 31 December 1999 peak. It took 1,077 trading days to climb 105%, or 3,467 points toward its 15 June 2007 peak. By contrast, it has taken the FTSE 100 Index 1,568 trading days to increase 100%, or 3,526 points, to its most recent peak.

Tom Goodwin - CFA
Senior Research Director, FTSE & Russell Indexes
"The FTSE 100 Index has taken several hundred more trading days to cover roughly the same ground and reach its current peak as it did for the prior two run ups. Does this more gradual appreciation indicate a more sustainable market peak? While past performance is no guarantee of future results, deeper historical perspective through market indexes can be helpful to market participants."

FTSE International Limited ("FTSE") and Russell Indexes ("Russell") are wholly owned by London Stock Exchange Group. For more information on the FTSE 100 Index, go to the FTSE website.

Please note: Indices 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.

Publication of indexes or index constituents in no way suggests or implies a representation or opinion by Russell or FTSE 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 or FTSE and neither Russell nor FTSE makes any representation, warranty or guarantee with respect to the performance of any security included in a FTSE Index.

Opinions expressed by Mr. Goodwin reflect market performance as of March 23, 2015 and are subject to change at any time based on market or other conditions without notice. Past performance does not guarantee future performance.

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