Investors Capital Holdings (ICH), the parent company of the independent broker-dealer of the same name, said Friday that it is now part of the Russell Microcap Index.

Investors Capital will be part of the index for one year, until Russell reconstitutes its family of growth and value indexes, which entail the 4,000 largest U.S. stocks based on market capitalization as of the end of May. Some $3.9 trillion in institutional assets are currently benchmarked to the Russell indexes for both passive and active investment strategies.

Lynnfield, Mass.-based Investors Capital currently has more than 500 independent advisors. As of March 2011, its reps had roughly $6.83 billion in assets under management. Its shares traded above $4 per share on Friday, and its market capitalization is nearly $30 million.

IInvestors Capital's Tim Murphynvestors Capital founder and former ICH chairman Theodore E. Charles retired from the firm this summer, selling his family’s 55% stake primarily to Investors Cap advisors, clients and home-office staff through a public offering. The sale made the firm the only independent broker-dealer owned mainly by its advisors, clients and staff.

In September, Investors Capital, led by Tim Murphy (left), was selected as a Broker-Dealer of the Year by Investment Advisor magazine, AdvisorOne‘s sister publication.