Average Russell 2000 return
Over the last 10 years the Russell 2000 has returned +10.0% a year (CAGR) with dividends reinvested — +8.6% from price alone, and +6.5% after inflation. Since 2001 the annualized figure is +8.5%. Every standard window, through Oct 5, 2026:
| Window | Since | Total return /yr | Price only /yr | Dividends /yr | After inflation /yr |
|---|---|---|---|---|---|
| 1 year | Oct 6, 2025 | +16.04% | +14.87% | +1.17% | +13.01% |
| 3 years | Oct 6, 2023 | +19.21% | +17.89% | +1.32% | +16.00% |
| 5 years | Oct 5, 2021 | +6.40% | +5.10% | +1.31% | +2.47% |
| 10 years | Oct 5, 2016 | +9.99% | +8.62% | +1.37% | +6.49% |
| 15 years | Oct 6, 2011 | +11.58% | +10.08% | +1.50% | +8.72% |
| 20 years | Oct 5, 2006 | +8.39% | +6.95% | +1.44% | +5.69% |
| 26.4 years (all data) | May 26, 2000 | +8.55% | +7.17% | +1.38% | +5.84% |
Annualized (CAGR) from IWM daily closes at exact anniversary dates; inflation adjustment uses CPI (CPIAUCSL). The dividends column is the reinvested-dividend contribution — total return minus price return.
The years behind the average#
“Average” hides how lumpy the ride is: across 25 full calendar years, the market finished positive 72% of the time, with a best year of +47.6% (2003) and a worst of -34.1% (2008). The arithmetic mean of single years is +9.8% and the median +14.5% — but compounding through the crashes brings the realized annualized return to +8.5%. Almost no individual year lands near the average.
Related#
See each year individually on Russell 2000 returns by year, or check this year's YTD so far.
More on Russell 2000
- Returns by year+15.1%
- Monthly returns+2.0%
- Weekly returns+0.7%
- Trailing returns+15.3%
- YTD return+15.1%
- Drawdown from high−7.1%
