ETF Interrelationships Russell, Dow, S&P, and NASDAQ For a description of the Russell indexes see Russell Indexes. Note that the Dow (DIA) correlates well with the R3000 value (IWW) and that the QQQ's track with the R3000 growth (IWZ) and R1000 growth (IWF). It makes sense that that R3000 growth and R1000 growth would track together since the R1000 make up 92% of the R3000 growth. No mystery there. The S&P Midcap (MDY) tracks best with R2000 midcap growth (IWP). The S&P 500 (SPY) tracks with the overall R1000 (IWB). Therefore if you want to asset allocate you have many choices. Just don't equally asset allocate across such things as R1000 value and R1000 growth when you could just buy the overall R1000. This is meaningless complexity, which may look good but adds no safety. The simpliest solution may be to just buy the total market: IYY, IWV, ISI, and SPY are all nearly identical. Take your pick! Mkt Cap All Growth Value Broad Market IYY IWV ISI SPY NYC   IWZ   QQQ   IWW   DIA Large Cap IWB SPY IWF QQQ IWD Midcap IWR IWP IWS Small Cap IWM IJR MDY IWO IJT IWN IJS Micro Cap IWC     International EFA EFG EFV China FXI

Home | Investing