Firms Unveil New Index Series

June 25, 2010 ( – Russell Investments and Research Affiliates have agreed to launch a new index series based on the Fundamental Index methodology.  

A news release said the relationship aims to produce investable “strategy indexes,” a category of indexes. 

According to the announcement, the Fundamental Index methodology weights securities by fundamental measures of company size, as opposed to using the price-weighted methodology employed by traditional indexes. Currently, approximately $50 billion in assets are invested in products that use non-price-weighted index strategies as the underlying index. 

The initial offering likely will be a global index that includes U.S. and non-U.S. exposures. Details on the new series will be issued closer to their launch late in the third quarter, the companies said.