Freedom Holding makes its debut in the Russell 3000 Index

Description: At the end of May 2025, Freedom Holding Corp. was selected for inclusion in the Russell 3000 Index. This is part of the 2025 annual index reconstitution. For Freedom, a diversified, multinational financial services firm listed and traded on Nasdaq since 2019.

JOINING BIG LEAGUE

Freedom Holding makes its debut in the Russell 3000 Index

At the end of May 2025, Freedom Holding Corp. was selected for inclusion in the Russell 3000 Index. This is part of the 2025 annual index reconstitution. For Freedom Holding, a diversified, multinational financial services firm listed and traded on Nasdaq since 2019, it has the potential to enhance the company’s visibility, broaden its investor base, boost liquidity, and positively impact the share price. When synergized with other growth factors, this opens new opportunities for growth and success.

What is Russell 3000

The Russell 3000 Index, established in 1984, is one of the FTSE Russell family of indexes. It measures the performance of the largest 3,000-plus U.S. companies, representing approximately 98% of the American investable equity market.

The Index provides a comprehensive, unbiased, and stable barometer of the broad market. Unlike some other famous indexes, Russel 3000 is rules-based, which means that the companies to be included are automatically estimated by the objective market criteria (capitalization, free-float, etc.) and not chosen subjectively by means of a discretionary committee.

Being one of the most prestigious and respected among the professional investors’ market benchmarks, the Russell 3000 Index is completely reconstituted annually to reflect the ever-changing U.S. equity market and to ensure new and growing equities are included. This year, the preliminary portfolios of additions (with the Freedom Holding Corp. among them) and deletions were announced at the end of May. ‘Recon day,’ when the recalibration of the Russell US Indexes takes effect, is traditionally the fourth Friday of June. In 2025, this highly anticipated event by investors takes place on the 27th. The inclusion will be finalized on this day after the market closes.

What’s in it for Freedom Holding Corp.

First, inclusion in the Russel 3000 Index likely enhances the company’s visibility, analytical coverage, and credibility among institutional investors.

Moreover, it could widen the investor base. Many index funds, ETFs, and institutional portfolios track the Russell 3000, such as the iShares Russell 3000 ETF and the Vanguard Russell 3000 ETF, which collectively manage over $18 billion. Thus, being added to the Index automatically means incorporation of Freedom shares into their portfolios, potentially increasing demand for the stock.

As the Russel 3000 Index is subdivided into two further indexes – Russel 1000 (large-cap) and Russel 2000 (small-cap), it creates the potential for inclusion of the Freedom stocks in these sub-indexes, though it is not yet announced officially. This can also compound the benefits. The Russell 1000 draws attention from large-cap index funds and institutional investors. The Russell 2000 index makes a company a target for small-cap mutual funds, ETFs, and hedge funds.

Increased demand promises a price boost as well as improvements in liquidity through the surge in trading volume. Whether a stock price surge takes place in momentum or converts to sustained growth over time depends on market conditions, sector dynamics, and company fundamentals.

The practical effect of including Freedom Holding securities in the index can only be assessed once post-inclusion performance data is available. But the cases of other companies in the financial services and fintech area show that many of them have experienced positive market reactions following similar inclusions.

Non-stop growth

Besides the Russell 3000 index, Freedom Holding Corp. is included in the MSCI U.S. Small Cap 1750 Index and a broader MSCI U.S. Investable Market 2500 Index, as well as the Nasdaq Composite Index, which tracks the performance of technology and growth-oriented companies. Inclusion in the Russell 3000 Index complements the benefits of the other indexes.

Thus, it could attract a new class of conservative investors, as Russell-based funds are frequently used as benchmarks by large U.S. pension funds. This can result in a more diverse investor base and a higher chance of long-term institutional holders.

The achievement of this significant milestone in the company’s history is a result of the hard work of consistently building Freedom’s diverse digital ecosystem, encompassing brokerage, banking, insurance, fintech, e-commerce, telecom, and other services, serving over 7 million clients across 22 countries. “Our inclusion in the prestigious Russell 3000 Index reflects our sustained growth, increasing presence in the global financial markets, the efforts of our team, and our focus on delivering value to shareholders,” said Timur Turlov, CEO of Freedom Holding Corp.

Freedom Holding Corp. has demonstrated robust financial performance. The company’s revenue reached $655 million in the third quarter of the 2025 fiscal year, marking a 56.5% year-over-year increase. In May 2025, Freedom Holding Corp.’s market capitalization surpassed $10 billion for the first time. This is the result of strategic vision, a focus on innovation, market expansion, and effective leadership.