London, New York, Santa Monica, Calif., June 30, 2021 –Wilshire, a global investment technology and advisory company, today announcedthe modernization and rebranding of the Wilshire 5000 and launch of a new FTWilshire 5000 Index Series in association with The Financial Times, a trustedglobal financial media brand. The new series provides US and global investorswith complete coverage of the US investable market.
Launched in 1974, the Wilshire 5000 Index is the oldestbroad-based US index covering the whole of the US investable market. The new FTWilshire 5000 Index Series provides a modernized, free float weighted andmodular view of the US market, allowing investors to target US market exposuremore accurately and implement their asset allocation strategies with precision.
The new series applies a modular approach to segmenting theUS market by size, allowing investors to analyze discretely the performance ofmega, large, mid, small and micro-cap stocks. All segments combine to form thebroadest US benchmark – now renamed the FT Wilshire 5000 Index (as of June 30,2021) and capturing 100 percent of the total investable market. The FT Wilshire2500 Index excludes micro-cap stocks and provides a broad-based benchmarkcovering 98 percent market coverage suitable for most US institutionalinvestors.
The definition of size segments by percentage coveragerather than the number of securities ensures that size definitions remainrelevant over time. As large technology companies have continued to grow andthe number of listed companies has decreased over the years, basing size segmentson a fixed number of securities that do not adjust as total market size shiftsdistorts the performance view of large and small stocks. Additionally, itcreates size benchmarks that do not accurately track the holdings of fundsfocused on size segments.
“We’re thrilled to partner with The Financial Times on thenew series,” said Mark Makepeace, Chief Executive Officer of Wilshire. “Weshare the same ambition, which is to provide investors with real insight intothe performance of markets as well as the information and tools to make betterinformed investment decisions.”
"This is an important milestone in our relationshipwith Wilshire and a significant first step in building a global indexbusiness,” said John Ridding, Chief Executive Officer of The Financial TimesGroup. “The US is a growth market for the FT and developing this venerablebenchmark to capture rapidly-changing business and investment dynamics willserve the needs of investors and our readers there and globally."
Reza Ghassemieh, Chief Benchmarking Officer of Wilshirecommented, “Investors today want tools that are intuitive, efficient andresponsive to the speed of modern markets. Using a percentage-based approachwith market segment exposures that expand and contract dynamically, we provideclients with the right building blocks to gain access to a better baseline forpassive and active mandates.”
FT Wilshire 5000 Series
• FT Wilshire 5000 Index (FTW5000)
• FT Wilshire 2500 Index (FTW2500)
• FT Wilshire US Mega Cap Index (FTWUSG)
• FT Wilshire US Large Cap Index (FTWUSL)
• FT Wilshire US Mid Cap Index (FTWUSD)
• FT Wilshire US Small Cap Index (FTWUSS)
• FT Wilshire US Micro Cap Index (FTWUSO)
More information on the FT Wilshire 5000 Index Series can befound at https://www.wilshire.com/ft-wilshire-5000-index-family.
Follow us on Twitter at @FTW5000 for daily updates on the FTWilshire 5000 Index Series.
About Wilshire
Wilshire is a leading global investment technology andadvisory company dedicated to improving outcomes for investors worldwide.Founded in 1972, it was acquired by Motive Partners and CC Capital in January2021. Wilshire advises on over $1.3 trillion in assets and manages $87 billionin assets. Specializing in innovative investment solutions, consulting servicesand multi-asset analytics, Wilshire serves more than 500 institutional andintermediary clients worldwide, delivering a high quality, coordinated platformof client-centric investment solutions that leverage the entire firm’sresources to the maximum benefit of our clients.
About The Financial Times
The Financial Times is one of the world’s leading businessnews organizations, recognized internationally for its authority, integrity andaccuracy. The FT has a record paying readership of more than one million,three-quarters of which are digital subscriptions. It is part of Nikkei Inc.,which provides a broad range of information, news and services for the globalbusiness community.
More information on The FT can be found at www.ft.com.
