A Comprehensive Look at the iShares Russell 3000 ETF

For investors seeking exposure to the vast U.S. equity market, the iShares Russell 3000 ETF presents a compelling single-ticket solution. This fund tracks the performance of the Russell 3000 Index, a benchmark designed to represent approximately 98% of the investable U.S. stock market. The start of 2026 has illustrated the diverse forces at play within this broad universe. A familiar "January rally," fueled by persistent enthusiasm for artificial intelligence and technology stocks, provided initial momentum. This optimism, however, was counterbalanced by caution in broader market segments, as participants weighed elevated valuations and ongoing political uncertainties against the bullish sentiment.

The ETF employs a full replication strategy, holding the physical securities that constitute its underlying index. Its market-capitalization weighting methodology inherently results in a significant allocation to large-cap companies. Consequently, the fund's ten largest positions, which are predominantly major growth-oriented names, command a substantial portion of the total portfolio.

As of January 12, 2026, the top ten holdings and their weekly performance through January 15 were:

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• Microsoft Corp (MSFT): 6.8% weighting, +0.5%
• Apple Inc (AAPL): 6.2% weighting, -0.2%
• NVIDIA Corp (NVDA): 4.8% weighting, +2.1%
• Amazon.com Inc (AMZN): 3.4% weighting, +0.8%
• Alphabet Inc Class A (GOOGL): 1.9% weighting, +0.3%
• Meta Platforms Inc (META): 1.8% weighting, -1.0%
• Alphabet Inc Class C (GOOG): 1.6% weighting, +0.4%
• Tesla Inc (TSLA): 1.3% weighting, -1.5%
• Broadcom Inc (AVGO): 1.2% weighting, +0.7%
• JPMorgan Chase & Co (JPM): 1.1% weighting, -0.4%

A Significant Shift in Index Methodology

A structural change poised to impact the fund concerns the reconstitution schedule of the Russell US Index family. Beginning in June 2026, these benchmarks will transition from an annual to a semi-annual reconstitution process. This strategic shift aims to enhance the indices' responsiveness, allowing for the more timely inclusion of rapidly growing companies and better reflection of shifting market capitalizations throughout the year.

For the iShares Russell 3000 ETF, this change implies a potential increase in portfolio turnover and an even more dynamic representation of the evolving U.S. equity landscape. The inaugural rebalancing under this new, faster-paced cycle is scheduled for June 2026.