Russell Index Gets a Second Annual Shuffle, This Time in December

Russell Index Gets a Second Annual Shuffle, This Time in December

FTSE Russell is adding a December rebalance to its US index starting late 2026, doubling the annual turnover. Index funds must now shift holdings twice yearly. December rebalancing lands during thin trading, year-end tax selling, and portfolio window-dressing—a forced reshuffle amplified by seasonal chaos. More volatility ahead for passive investors.

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