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Is Invesco S&P 500 Equal Weight Health Care ETF (RSPH) a Strong ETF Right Now?

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A smart beta exchange traded fund, the Invesco S&P 500 Equal Weight Health Care ETF (RSPH - Free Report) debuted on 11/01/2006, and offers broad exposure to the Health Care ETFs category of the market.

What Are Smart Beta ETFs?

Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.

Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.

If you're the kind of investor who would rather try and beat the market through good stock selection, then smart beta funds are your best choice; this fund class is known for tracking non-cap weighted strategies.

Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics.

The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.

Fund Sponsor & Index

The fund is sponsored by Invesco. It has amassed assets over $710.37 million, making it one of the larger ETFs in the Health Care ETFs. RSPH seeks to match the performance of the S&P 500 EQUAL WEIGHT HEALTH CARE INDEX before fees and expenses.

The S&P 500 Equal Weight Health Care Index equally weights stocks in the health care sector of the S&P 500 Index.

Cost & Other Expenses

Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.

Annual operating expenses for this ETF are 0.40%, making it on par with most peer products in the space.

It's 12-month trailing dividend yield comes in at 0.76%.

Sector Exposure and Top Holdings

Even though ETFs offer diversified exposure which minimizes single stock risk, it is still important to look into a fund's holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.

RSPH's heaviest allocation is in the Healthcare sector, which is about 100% of the portfolio.

When you look at individual holdings, Idexx Laboratories Inc (IDXX) accounts for about 2.06% of the fund's total assets, followed by Incyte Corp (INCY) and Iqvia Holdings Inc (IQV).

Its top 10 holdings account for approximately 19.31% of RSPH's total assets under management.

Performance and Risk

So far this year, RSPH has added roughly 2.42%, and is down about -5.36% in the last one year (as of 10/15/2025). During this past 52-week period, the fund has traded between $26.81 and $31.65.

RSPH has a beta of 0.84 and standard deviation of 15.16% for the trailing three-year period. With about 61 holdings, it effectively diversifies company-specific risk .

Alternatives

Invesco S&P 500 Equal Weight Health Care ETF is a reasonable option for investors seeking to outperform the Health Care ETFs segment of the market. However, there are other ETFs in the space which investors could consider.

Vanguard Health Care ETF (VHT) tracks MSCI US Investable Market Health Care 25/50 Index and the Health Care Select Sector SPDR ETF (XLV) tracks Health Care Select Sector Index. Vanguard Health Care ETF has $15.64 billion in assets, Health Care Select Sector SPDR ETF has $35.59 billion. VHT has an expense ratio of 0.09% and XLV changes 0.08%.

Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Health Care ETFs

Bottom Line

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.

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