Facebook to join the Russell 3000 indexJune 11, 2012: 12:36 PM ET
Facebook's botched stock market debut is among the worst so far this year, resulting in a more than 25% loss in value for the company. But the social media giant is still among the 197 companies, including 39 IPOs, slated to join the Russell 3000 index later this month.
The index, which is weighted by company market capitalization, seeks to reflect about 98% of the U.S. equity universe by tracking the performance of 3,000 of the largest publicly-traded U.S. companies. Facebook (FB), still valued at about $77 billion, is the largest company that's on tap to join the index. Other new additions include Yelp (YELP), Tumi (TUMI), Annie's (BNNY) and Splunk (SPLK).
Shares of Facebook enjoyed a rare up day on the news, rising more than 2% while the broader market fell.
When Facebook joins the Russell 3000 index, it will also be included as a holding in ETFs that track the index, such as the iShares Russell 3000 Index ETF (IWV) and the Vanguard Russell 3000 Index ETF (VTHR).
The Nasdaq typically requires a company to be public between three and four months before it is eligible for the Nasdaq 100. And since it only rebalances once a year in December, that's the soonest Facebook could join.
Among the guidelines Standard and Poor's uses to determine eligibility, companies need to be public for 6 to 12 months to be considered.
MetLife (MET) was the fastest company to join the S&P 500. The company went public in April 2000, and was added to the index by December of that year.