SOURCE: Russell Investments

Russell Investments

November 15, 2012 10:36 ET

Volatility in Greece: Russell Greece Index Returned 16.2% Year-to-Date as of 11/14/12 Despite Ongoing Financial Crisis & Volatility

SEATTLE, WA--(Marketwire - Nov 15, 2012) - The Russell Greece Index returned +16.2% year-to-date through November 14, 2012 in the face of current ongoing deliberation of Eurozone leaders on the Greek bailout decision. In fact, year-to-date the Russell Greece Index has outperformed both the Russell Global Index and the Russell Eurozone Index, which returned +9.4% and +9.9% respectively.

"The Greek equity market as defined by Russell Greece Index has posted positive returns year-to-date even though the Greek economic picture remains weak. Most likely it is a result of risk-tolerant investors who believe the Greek market is being oversold and see an investment opportunity in the country," said Tom Goodwin, senior research director for Russell Indexes. "The 'good news bad news' scenario of the pending Greek bailout and the announced exit of Coca-Cola Hellenic from the Athens Stock Exchange may induce more volatile returns from the Greek equity market."

Greece's equity market recently received news that Coca-Cola Hellenic, which accounts for 23% of the Russell Greece Index (as of 11/12/12), has decided to start listing on the London Stock Exchange beginning next year. The company is also relocating its headquarters from Greece to Switzerland.

Over the past three years ending November 14, 2012, the Russell Greece Index has posted (-38.3%) returns, while the Russell Global Index has posted a +5.8% gain and the Russell Eurozone Index has reflected a (-3.2%) loss.

                 
    Monthly return as of 11/14/12   Q4 as of 11/14/12   YTD as of 11/14/12   3 year Annualized as of 11/14/12
Russell Greece Index   -4.3%   2.6%   16.2%   -38.3%
Russell Eurozone Index   -2.9%   -0.9%   9.9%   -3.2%
Russell Global Index   -3.1%   -3.7%   9.4%   5.8%
                 

Source: Russell Investments

Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. The general information contained in this publication should not be acted upon without obtaining specific legal, tax and investment advice from a licensed professional.

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.

Opinions expressed by Mr. Goodwin reflect market performance and observations as of November 14th, 2012 and are subject to change at any time based on market or other conditions without notice. Please remember that past performance does not guarantee future performance.

Russell Investment Group is a Washington, USA Corporation, which operates through subsidiaries worldwide, including Russell Investments, and is a subsidiary of The Northwestern Mutual Life Insurance Company.