Value Outperforms Growth in Q1 2002

April 4, 2002 (PLANSPONSOR.com) - Among Frank Russell Company's family of 21 US equity indexes, the small cap Russell 2000 Value Index performed best during the first three months of 2002, gaining 7.5% during March and 9.6% over the quarter.

Since hitting bottom after September’s terrorist attacks, each of Russell’s 21 indexes have rebounded:

  • the large cap Russell Top 200 Value Index is up by as much as 16.8%
  • the small cap Russell 2000 Value Index has gained 37%.

Still, eight of Russell’s indices ended the first quarter stuck in reverse with negative performance for the quarter, seven of them growth indices. Among these,

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  • the Russell 2500 Growth Index, a mid- to small-cap benchmark, which lost 3%
  • the large cap Russell 1000 Growth Index, which slid 2.6%.

Cyclicals Shine

After a slew of positive economic data over the quarter, investors turned towards the cyclical sectors. For example, within the broad market Russell 3000:

  • producer durables were up 13.6%
  • autos and transportation increased by 12.7%
  • materials and processing gained 10%
  • consumer staples rose by  9.9%.

On the other hand, more growth-dominated sectors such as technology and health care, which fell by 8.2% and 1.4% respectively, dragged the overall index lower.

Style and Market Cap

Over the quarter, small caps outperformed large caps, particularly in March, continuing a trend that began in 2000. The small cap Russell 2000 gained 4%, while the large cap Russell 1000 seemed stuck in neutral at 0.7% at quarter close.

In the first quarter, value outperformed growth at every level, including large caps, mid caps and small caps. This marked a complete reversal from the fourth quarter.

Celebrating Support Staff Workers

April 3, 2002 (PLANSPONSOR.com) - Support staff members don't get much respect.

With their own dedicated week coming up later this month, an office staffing company specializing in administrative workers wants to change that.

Office Team found that nearly half of the 567 workers polled said their companies let Administrative Professionals Week go by without even so much as a “hip-hip hooray!”  The week begins April 22.

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Among the 45% whose employers celebrated the occasion, six out of 10 said they took the secretaries and other support staff to lunch.

Also:

  • a third sent flowers
  • 12% supplied an extra day off
  • 6% gave candy
  • 4% supplied gifts or gift certificates 

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