Best Low-Cost Index Funds
Re: Best Low-Cost Index Funds
Invesco S&P 500 Equal Weight ETF (RSP)
"The U.S. equity market is more concentrated than at any point in the last half century," says Chris Dahlin, factor and core equity ETF strategist at Invesco. "The 10 largest companies in the S&P 500 now comprise nearly 40% of the index's total value." Thanks to RSP, there's an easy and affordable alternative.
This ETF holds the usual S&P 500 stocks, but weights them equally instead of by market cap. As a result, all 500 or so stocks receive a 0.2% allocation during quarterly rebalances. This mitigates the risk of concentration in a handful of tech sector mega-caps. RSP charges a 0.2% expense ratio.
"The U.S. equity market is more concentrated than at any point in the last half century," says Chris Dahlin, factor and core equity ETF strategist at Invesco. "The 10 largest companies in the S&P 500 now comprise nearly 40% of the index's total value." Thanks to RSP, there's an easy and affordable alternative.
This ETF holds the usual S&P 500 stocks, but weights them equally instead of by market cap. As a result, all 500 or so stocks receive a 0.2% allocation during quarterly rebalances. This mitigates the risk of concentration in a handful of tech sector mega-caps. RSP charges a 0.2% expense ratio.