Updated
Updated · CNBC · Aug 23
Invesco's RSP Tops $100 Billion in Assets as Equal-Weight ETFs Beat S&P 500 by 3%
Updated
Updated · CNBC · Aug 23

Invesco's RSP Tops $100 Billion in Assets as Equal-Weight ETFs Beat S&P 500 by 3%

2 articles · Updated · CNBC · Aug 23

Summary

  • $12 billion of 2026 inflows pushed Invesco's S&P 500 Equal Weight ETF above $100 billion in assets for the first time, making it the clear leader among roughly 30 equal-weight ETFs.
  • RSP has outperformed the market-weighted S&P 500 by about 3% year to date through Aug. 21, drawing investors seeking broad market exposure without heavy concentration in a few mega-cap stocks.
  • The shift reflects cooling leadership from the Magnificent 7, which make up about one-third of the S&P 500 and were flat in the first half of 2026 while the index gained 9.3%.
  • Top-10 stocks now account for nearly 40% of the S&P 500, fueling concern over AI-linked valuations and capital spending even as gains broaden across the other 493 companies.
  • Equal-weight funds remain tiny beside traditional S&P 500 giants—VOO, IVV and SPY hold nearly $3 trillion combined—but analysts say investors are increasingly using them as diversification tools and tactical trades.

Insights

Are investors abandoning mega-cap tech too early, risking long-term gains for the illusion of safety in equal-weight ETFs?
Could the hidden fees and tax traps of equal-weight funds secretly devour the extra returns they promise over traditional indexes?