The MSCI US Equity Indices reflect a full breadth of investment opportunities within the US equity markets by market capitalization

size, by value and growth investment styles and by sectors and industries.
Consistent industry classification of US and international equity securities using the Global Industry Classification Standard (GICS) Consistent value and growth methodology Consistent treatment of corporate events Coordinated index rebalancings to minimize overall portfolio turnover Consistent free float-adjustment methodology MSCI US Market Capitalization Size Indices. To construct the series of MSCI US Equity Indices, MSCI adopted a broad index structure in which the US stock universe is categorized into different size segments that are defined by a fixed number of companies. The MSCI US Investable Market 2500 Index, for example, represents approximately 98% of the full capitalization of the US equity market and is the aggregation of the Large Cap 300, the Mid Cap 450 and the Small Cap 1750 Indices. The MSCI US Micro Cap Index represents the micro cap companies in the US equity market, and targets for inclusion the bottom 1.5% of the U.S. equity market capitalization. The MSCI US Prime Market 750 Index represents the aggregation of the Large Cap 300 and the Mid Cap 450 Indices. The MSCI US Broad Market Index represents approximately 99.5% of the full capitalization of the US equity market and is the aggregation of the MSCI US Investable Market 2500 and the MSCI US Micro Cap Indices.

MSCI US Domestic Value and Growth Indices. All of the MSCI US Equity Indices, with the exception of the Broad Market, Micro Cap and Small + Micro Cap Indices, also have value and growth style subindices. The objective of the value and growth indices is to divide the constituents of each underlying market capitalization index, into a value index and a growth index, each targeting 50% of the free float-adjusted market capitalization of the underlying index. The US Value and Growth Indices use eight different variables (defined in the MSCI US Equity Methodology book) to maintain style integrity. The Value attribute for index construction is defined using three variables: Book value to price ratio 12-months forward earnings to price ratio Dividend yield The Growth attribute for index construction is defined using five variables: Long-term forward earnings per share (EPS) growth rate Short-term forward EPS growth rate Current Internal Growth Rate Long-term historical EPS growth trend Long-term historical sales per share growth trend MSCI US Domestic Sector and Industry Indices. Sector indices are calculated based on the Global Industry Classification Standard (GICS).