RSP, an equal-weighted S&P 500 ETF, is up 12.7% in 2024, lagging the SPX's 26.5% due to its diversified allocation. RSP's methodology reduces momentum bias, offering lower volatility and better valuation with a 17.5x forward P/E compared to SPX's 20x. RSP historically underperforms during market run-ups but outperforms in downturns, making it a conservative choice in the current narrow breadth market.
Analysts at Goldman Sachs recently published a gloomy 10-year outlook for the S&P 500 (^GSPC 0.25%). According to their forecast, the index will return just 3% annually through 2034, which is far below its annualized returns of 13% over the last 10 years.
Invesco's equal-weight S&P 500 ETF has garnered significant interest this year. The Invesco S&P 500 Equal Weight ETF (RSP) is on track to exceed its previous annual flows record set in 2023.
Investing in an exchange-traded fund (ETF) can be an excellent way to diversify your portfolio -- but not always. If you look at many top-performing ETFs right now, you'll see a common theme: Apple, Microsoft, and Nvidia are often the top holdings.
On this episode of the “ETF of the Week” podcast, VettaFi's Head of Research Todd Rosenbluth discussed the Invesco S&P 500 Equal Weight Income Advantage ETF (RSPA) with Chuck Jaffe of Money Life. The pair discussed several topics related to the fund to give investors a deeper understanding of the ETF overall.
The Invesco S&P 500 Equal Weight ETF (RSP) made its debut on 04/24/2003, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Blend category of the market.
Launched on 04/24/2003, the Invesco S&P 500 Equal Weight ETF (RSP) is a passively managed exchange traded fund designed to provide a broad exposure to the Large Cap Blend segment of the US equity market.
Despite value's recent underperformance, ETFs providing a value tilt are seeing interest from investors. Concentration risk has driven the turnaround in appetite for value with more than half (52%) of investors increasing their allocations to value in the past 12 months, according to Invesco.
This might be a good time to consider the types of stocks most investors haven't been focused on in a while.
The S&P 500 Equal Weight Index outperformed the S&P 500 by 4% during the third quarter. The S&P 500 Equal Weight's outperformance during the third quarter represented a reversal from its underperformance during the first half of the year.
The Fed has started the rate-cutting cycle but intends to keep it medium-paced. Blend ETFs should perform well in such a scenario.
If you are looking to invest with an index-based ETF, should you go as broad as possible or rely on a little human intervention?