Russell Investments

SEATTLE, WA--(Marketwired - Dec 10, 2015) - Size has been the biggest factor performance driver within the FTSE Developed Europe Index in 2015, with a +6.3% return year-to-date as of 30 November, according to recent analysis by global index provider FTSE Russell. Liquidity has been the second strongest performing factor (+5.4%) for this same time period. The lowest performing market factor within Developed Europe this year has been Yield, which has fallen 3.2% YTD, according to the same report.

Cumulative Returns: FTSE Russell Indexes (as of 30 November, 2015)
Index		YTD		3 Years		5 Years
FTSE Developed Europe Size Factor		6.3%		37.3%		48.8%
FTSE Developed Europe Illiquidity Factor		5.4%		35.0%		48.7%
FTSE Developed Europe Volatility Factor		2.2%		26.2%		53.3%
FTSE Developed Europe Momentum Factor		2.0%		25.7%		43.6%
FTSE Developed Europe Quality Factor		1.1%		24.2%		47.9%
FTSE Developed Europe Residual Momentum Factor		0.3%		21.8%		42.0%
FTSE Developed Europe Value Factor		-0.2%		23.4%		27.4%
FTSE Developed Europe Yield Factor		-3.2%		20.0%		36.0%
FTSE Developed Europe Index		0.6%		23.3%		38.9%
Source: FTSE Russell, data as at 30 November, 2015. Past performance is no guarantee of future results. Please see the end for important legal disclosures.

Gareth Parker, Senior Index Research Director, FTSE Russell:
"Investors have long recognised that underlying factors such as quality, size, value, volatility, liquidity, yield and momentum help influence equity market performance. However, in recent years they have been able to take a more nuanced approach to understanding the influence of these factors through smart beta indexes."

According to the second annual global institutional smart beta survey from FTSE Russell - Smart beta: 2015 global survey findings from asset owners -- published in May, asset owners are evaluating on average four different smart beta strategies. And among new smart beta approaches evaluated by asset owners globally, a multi-factor combination index approach ranks second to low volatility at 47%.

More information on the FTSE Russell global institutional smart beta survey and the FTSE Russell Global Factor Index Series can be found on the FTSE Russell website . More research and insights from Gareth Parker and other FTSE Russell index experts can be found on the new FTSE Russell blog .

About FTSE Russell:
FTSE Russell is a global index leader that provides innovative benchmarking, analytics and data solutions for investors worldwide. FTSE Russell calculates thousands of indexes that measure and benchmark markets and asset classes in more than 80 countries, covering 98% of the investable market globally.

FTSE Russell index expertise and products are used extensively by institutional and retail investors globally. Approximately $10 trillion is currently benchmarked to the FTSE Russell indexes. For more than 30 years, leading asset owners, asset managers, ETF providers and investment banks have used FTSE Russell indexes to benchmark their investment performance and create ETFs, structured products and index-based derivatives.

A core set of universal principles guides FTSE Russell index design and management: a transparent rules-based methodology is informed by independent committees of leading market participants. FTSE Russell is focused on applying the highest industry standards in index design and governance, and embraces the IOSCO principles. FTSE Russell is also focused on index innovation and client collaboration as it seeks to enhance the breadth, depth and reach of its offering.

FTSE Russell is wholly owned by London Stock Exchange Group. For more information, visit www.ftserussell.com .

© 2015 London Stock Exchange Group companies.

London Stock Exchange Group companies includes FTSE International Limited ("FTSE"), Frank Russell Company ("Russell"), MTS Next Limited ("MTS"), and FTSE TMX Global Debt Capital Markets Inc ("FTSE TMX"). All rights reserved.

Opinions expressed by Gareth Parker are as of December 8, 2015, and are subject to change.

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All information is provided for information purposes only. Every effort is made to ensure that all information given in this publication is accurate, but no responsibility or liability can be accepted by the London Stock Exchange Group companies nor its licensors for any errors or for any loss from use of this publication.

Neither the London Stock Exchange Group companies nor any of their licensors make any claim, prediction, warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE Russell Indexes or the fitness or suitability of the Indexes for any particular purpose to which they might be put.

The London Stock Exchange Group companies do not provide investment advice and nothing in this communication should be taken as constituting financial or investment advice. The London Stock Exchange Group companies make no representation regarding the advisability of investing in any asset. A decision to invest in any such asset should not be made in reliance on any information herein. Indexes cannot be invested in directly. Inclusion of an asset in an index is not a recommendation to buy, sell or hold that asset. The general information contained in this publication should not be acted upon without obtaining specific legal, tax, and investment advice from a licensed professional.

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Past performance is no guarantee of future results. Charts and graphs are provided for illustrative purposes only. Index returns shown may not represent the results of the actual trading of investable assets. Certain returns shown reflect back-tested performance. All performance presented prior to the index inception date is back-tested performance. Back-tested performance is not actual performance, but is hypothetical. The back-test calculations are based on the same methodology that was in effect when the index was officially launched. However, back-tested data may reflect the application of the index methodology with the benefit of hindsight, and the historic calculations of an index may change from month to month based on revisions to the underlying economic data used in the calculation of the index.