Equal-Weight S&P 500 ETF Tops $100 Billion
Equal-Weight S&P 500 ETF Tops $100 Billion

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Arabic version: صندوق S&P 500 متساوي الأوزان يتجاوز 100 مليار دولار

According to Cnbc, the Invesco S&P 500 Equal Weight ETF, or RSP, surpassed $100 billion in assets for the first time this month. The fund, described as the oldest, largest and most popular ETF using an equal-weight approach, has attracted more than $12 billion this year.

Equal-weight funds assign every company in an index the same share, unlike market-weighted funds that reflect companies’ market capitalizations. RSP had edged out the market-weighted S&P 500 by roughly 3% year to date through August 21, as the equal-weight approach outperformed the core large-cap index in 2026.

The shift has drawn attention as several large-cap stocks that previously delivered a disproportionate portion of index returns have lagged. Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla collectively account for roughly one-third of the S&P 500. The group posted flat performance in the first half of 2026, while the S&P 500 gained 9.3%.

“All of a sudden, people are paying attention,” Cinthia Murphy, director of research at VettaFi, said of equal weighting. She said the strategy can be overlooked when markets are led by a narrow theme, as they were when the Magnificent 7 produced outsized returns.

Nathan Geraci, president of NovaDius, said investors have become more concerned about concentration risk, with the top 10 names accounting for nearly 40% of the S&P 500. He said broader participation across sectors and market segments could make equal weighting a way for investors to participate more fully if market leadership continues to broaden.

Despite RSP’s growth, the largest market-weighted S&P 500 ETFs remain far bigger. Vanguard S&P 500 ETF, iShares Core S&P 500 ETF and SPDR S&P 500 Trust hold close to $3 trillion in assets combined, led by Vanguard’s roughly $1 trillion fund. Murphy said investors are also using equal-weight and smart-beta strategies as long-term tools to stay diversified across the broader market.

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