Average Daily Volume
10.22M
Fund Overview
The Invesco S&P 500 Equal Weight ETF (RSP) is an exchange-traded fund that provides investors with exposure to the S&P 500 Index but with an equal-weighting methodology. Unlike traditional market-cap-weighted S&P 500 ETFs, RSP assigns the same weight to each of the 500 constituents, rebalancing quarterly to maintain this structure. This approach reduces concentration risk in mega-cap stocks and offers a more balanced representation of the U.S. large-cap equity market. RSP is designed for investors seeking broad equity exposure while mitigating the dominance of the largest companies in the index. The fund has a long track record, having been launched in 2003, and is one of the most popular equal-weight ETFs available.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 1.73 %
- Currency Hedged
-
No
- Portfolio Turnover
-
21 %
- Dividend Date
-
Why Invest in the RSP ETF?
Potential Benefits
- Diversification: Equal weighting reduces exposure to overvalued mega-cap stocks and spreads risk across all 500 holdings.
- Historical outperformance: In certain market conditions, equal-weight strategies have outperformed market-cap-weighted indices over long periods.
- Rebalancing discipline: Quarterly rebalancing forces selling outperforming stocks and buying underperformers, potentially enhancing returns.
- Lower concentration risk: No single stock dominates the portfolio, unlike cap-weighted S&P 500 funds where top holdings can exceed 5%.
- Broad market exposure: Provides access to 500 leading U.S. companies across all sectors.
Potential Risks
- Higher turnover: Frequent rebalancing leads to greater transaction costs compared to cap-weighted funds.
- Potential underperformance: May lag cap-weighted indices during periods when mega-cap stocks dominate market returns.
- Smaller company bias: Equal weighting gives more importance to smaller S&P 500 constituents, which may be riskier.
- Higher expense ratio: At 0.20%, costs more than many cap-weighted S&P 500 ETFs.
- Tax efficiency: More frequent rebalancing may generate higher capital gains distributions than cap-weighted alternatives.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+3.4%
|
+3.5%
|
-6.0%
|
+6.0%
|
+2.6%
|
+2.3%
|
+1.1%
|
+2.0%
|
-4.8%
|
+0.8%
|
-
|
-
|
| 2025 |
+3.4%
|
-0.6%
|
-3.4%
|
-2.4%
|
+4.3%
|
+3.4%
|
+1.0%
|
+2.7%
|
+1.0%
|
-0.9%
|
+1.9%
|
+0.4%
|
| 2024 |
-0.8%
|
+4.0%
|
+4.5%
|
-4.8%
|
+2.8%
|
-0.5%
|
+4.5%
|
+2.5%
|
+2.3%
|
-1.6%
|
+6.4%
|
-6.3%
|
| 2023 |
+7.4%
|
-3.4%
|
-0.9%
|
+0.4%
|
-3.8%
|
+7.7%
|
+3.5%
|
-3.2%
|
-5.1%
|
-4.1%
|
+9.2%
|
+6.8%
|
| 2022 |
-4.4%
|
-0.9%
|
+2.7%
|
-6.5%
|
+1.0%
|
-9.4%
|
+8.6%
|
-3.5%
|
-9.2%
|
+9.6%
|
+6.6%
|
-4.7%
|
| 2021 |
-0.8%
|
+6.1%
|
+6.0%
|
+4.7%
|
+1.9%
|
0.0%
|
+1.3%
|
+2.4%
|
-3.8%
|
+5.3%
|
-2.6%
|
+6.3%
|
| 2020 |
-1.9%
|
-8.9%
|
-18.0%
|
+14.4%
|
+4.8%
|
+1.5%
|
+5.0%
|
+4.3%
|
-2.5%
|
-0.6%
|
+14.3%
|
+4.2%
|
| 2019 |
+9.8%
|
+3.7%
|
+0.8%
|
+3.6%
|
-6.9%
|
+7.6%
|
+0.8%
|
-3.3%
|
+3.3%
|
+1.2%
|
+3.4%
|
+2.7%
|
| 2018 |
+4.4%
|
-4.4%
|
-0.9%
|
+0.4%
|
+1.5%
|
+1.0%
|
+3.1%
|
+2.0%
|
+0.2%
|
-7.2%
|
+2.6%
|
-9.5%
|
| 2017 |
+2.0%
|
+3.1%
|
0.0%
|
+0.7%
|
+0.6%
|
+1.2%
|
+1.6%
|
-1.0%
|
+2.9%
|
+1.1%
|
+3.8%
|
+1.2%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
DG
|
DOLLAR GENERAL CORP |
0.3 % |
|
UNH
|
UNITEDHEALTH GROUP INC |
0.3 % |
|
DLTR
|
DOLLAR TREE INC |
0.3 % |
|
HUM
|
HUMANA INC |
0.3 % |
|
HCA
|
HCA HEALTHCARE INC |
0.2 % |
|
WRB
|
WR BERKLEY CORP |
0.2 % |
|
COR
|
CENCORA INC |
0.2 % |
|
CNC
|
CENTENE CORP |
0.2 % |
|
ELV
|
ELEVANCE HEALTH INC |
0.2 % |
|
CVS
|
CVS HEALTH CORP |
0.2 % |
Top 10 holdings shown, out of 505 total holdings.
Related ETFs: RSP vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
RSP tracks the S&P 500 Equal Weight Index, which assigns an equal 0.2% weight to each of the 500 constituents at each quarterly rebalancing. This differs fundamentally from traditional S&P 500 funds that weight companies by market capitalization. The equal-weight approach means smaller companies in the index receive the same allocation as larger ones, creating a more balanced portfolio. The fund holds all 500 stocks in the index and rebalances back to equal weights quarterly. This disciplined rebalancing forces the fund to sell relative outperformers and buy underperformers, which can enhance returns in mean-reverting markets but may lag during strong momentum periods.
Frequently Asked Questions
How often does RSP rebalance its holdings?
RSP rebalances its portfolio quarterly to maintain equal weights among all 500 S&P 500 constituents.
Does RSP pay dividends?
Yes, RSP pays quarterly dividends derived from the underlying stocks in the S&P 500 Equal Weight Index.
How does RSP perform compared to SPY during market downturns?
Historically, RSP has shown mixed performance during downturns - sometimes outperforming due to its smaller-cap bias, other times underperforming when large caps prove more resilient.
Is RSP considered an active or passive ETF?
RSP is a passive ETF that tracks an index, though its equal-weight methodology represents an alternative to traditional market-cap weighting.
What tax implications should investors consider with RSP?
RSP's frequent rebalancing may generate more capital gains distributions than cap-weighted ETFs, potentially making it less tax-efficient in taxable accounts.
Industry Overview
The Invesco S&P 500 Equal Weight ETF (RSP) operates in the large-cap U.S. equity ETF space, offering an alternative to traditional market-cap-weighted index funds. The equal-weight approach represents a distinct investment philosophy that challenges conventional index construction methodologies. This strategy appeals to investors concerned about concentration risk in standard index products and those seeking more balanced exposure across market capitalizations. The U.S. large-cap equity market remains a core holding for most investors, and RSP provides a way to participate while maintaining a more diversified position across all constituents of the S&P 500 index.
Alternative Comparison
Compared to SPY or IVV, RSP offers significantly different exposure despite tracking the same universe of stocks. While SPY has about 30% of its assets in its top 10 holdings, RSP maintains just 2% in its top 10. RSP's 0.20% expense ratio is higher than SPY's 0.09%, but lower than many active or smart beta strategies. Unlike some factor ETFs that use complex screens, RSP maintains full index exposure with simple equal weighting. EUSA offers equal weight exposure to the entire U.S. market (not just S&P 500), while RWL provides equal weight exposure to the Russell 1000, both being broader alternatives.
Issuer Overview
Invesco is a global asset management firm with over $1.5 trillion in assets under management as of 2025. The company offers a wide range of investment products, including actively managed funds, passive index strategies, and smart beta ETFs. Invesco has been particularly innovative in the ETF space, developing alternative weighting methodologies and factor-based strategies. The firm manages several other equal-weight ETFs across different market segments, building on the success of RSP.
Conclusion
RSP represents a compelling alternative for investors seeking S&P 500 exposure but concerned about concentration risk in traditional index funds. Its equal-weight methodology provides built-in diversification and a value tilt that has historically outperformed over long periods, though with higher volatility. While not suitable as a sole core holding for all investors, RSP can serve as either a core position for those preferring equal weighting or as a diversifier alongside cap-weighted funds. The fund's long track record and substantial assets make it a liquid and established option in the equal-weight ETF space.
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