Northern Trust Extended Equity Market Index Investment Insights

The Northern Trust Extended Equity Market Index is designed to provide broad diversification and potentially lower volatility compared to traditional market-cap weighted indexes.

This index offers a unique approach to investing, with a focus on capturing the growth potential of the equity market while minimizing exposure to the most volatile stocks.

By using a rules-based methodology, the index selects stocks based on a combination of factors, including market capitalization, liquidity, and trading activity.

The result is a portfolio that can provide a smoother ride for investors, with the potential to generate returns that are more consistent with the overall market.

For your interest: Values Based Investing

The Northern Trust Extended Equity Market Index has some impressive performance metrics. Its performance since inception is a whopping 357.71%.

Over the past year, the maximum loss was -6.47%, which is a relatively small dip considering the overall performance. The index has shown a strong batting average of 58.33% over the same period.

One of the key metrics that stands out is the capture ratio up 1 year, which is 115.57%. This means that the index has outperformed the market by a significant margin.

Here are some key performance metrics for the Northern Trust Extended Equity Market Index:

The index has also shown a strong correlation with the market, with a correlation of 96.27% over the past year. This indicates that the index has moved in tandem with the market, but with some degree of independence.

The information ratio, which measures the excess return of the index over the market, is 0.98% over the past year. This suggests that the index has provided a slightly higher return than the market, but with some degree of risk.

Overall, the Northern Trust Extended Equity Market Index has shown impressive performance metrics, with strong returns and a relatively low maximum loss.