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Small US companies (Russell 2000)

R2US.LΒ·SPDR Russell 2000 U.S. Small Cap UCITS ETF
Tracks Russell 2000

This buys around 2000 small US companies in one go, using the most famous US small-company benchmark. Small companies can grow faster than big ones but also swing harder in price. It is a way to add the small-cap slice of the US market.

Annual fee
0.30%
per year
Risk level
Higher
Dividends
Reinvested
automatically
Provider
State Street SPDR
-over the past year
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Worst drop
-
Volatility / yr
-
Annual fee
0.30%
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Returns shown in USD (your base currency). Past performance is not a reliable guide to future results.

What's good
  • Classic US small-cap exposure in one fund
  • Very large and liquid
  • Dividends reinvested automatically
Watch out for
  • More volatile than large or mid-caps
  • Sensitive to interest rates and the economy
  • Includes many unprofitable smaller firms

About this fund

The fund tracks the Russell 2000 index, the best-known measure of US small-cap stocks, covering roughly the smallest 2000 companies of the broad Russell universe. Small-caps are a separate size factor from large and mid-caps and tend to be more economically sensitive. The fund uses optimised physical sampling and accumulates dividends.

Interactive Brokers

Available on Interactive Brokers

Low-cost access to Small US companies (Russell 2000) and 10,000+ funds worldwide.

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Themes
ussmall-caprussell-2000size-factoraccumulatingucits

Frequently asked questions

Is R2US.L accumulating or distributing?

SPDR Russell 2000 U.S. Small Cap UCITS ETF (R2US.L) is an accumulating ETF, so its dividends are reinvested automatically inside the fund instead of paid out as cash. The value compounds in the share price, which keeps things simple since the dividends are reinvested for you instead of arriving as cash you would otherwise have to reinvest yourself.

What is the annual fee (TER) for R2US.L?

R2US.L has a total expense ratio (TER) of 0.30% per year. On a $10,000 holding that is roughly $30 a year, charged inside the fund rather than billed to you separately. A lower fee leaves more of the return compounding for you over time.

Can I buy R2US.L on Interactive Brokers?

Yes. R2US.L trades on LSE, USD and is available to investors worldwide through Interactive Brokers (IBKR). IBKR is the most popular way to buy UCITS ETFs because of its low FX conversion cost (around 0.03%) and low trading commissions.

What does R2US.L invest in?

SPDR Russell 2000 U.S. Small Cap UCITS ETF (R2US.L) tracks the Russell 2000. This buys around 2000 small US companies in one go, using the most famous US small-company benchmark. You buy one fund and get the whole basket in a single trade.

Is R2US.L a UCITS ETF, and where is it domiciled?

Yes, R2US.L is a UCITS ETF domiciled in Ireland. For non-US investors, Irish-domiciled UCITS ETFs are usually preferred over US-domiciled ones: US dividend withholding tax is 15% under the tax treaty (versus 30% on US-domiciled funds for many non-US investors), and the holdings sit outside US estate tax.

How risky is R2US.L?

On the TickerCompare 1 to 5 scale, R2US.L is rated higher risk (4/5), based on how much its price has moved historically. Higher-risk funds can fall further in a downturn, so match the choice to your time horizon and how much volatility you can stomach.