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Is Invesco S&P 500 Equal Weight Utilities ETF (RSPU) a Strong ETF Right Now?

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The Invesco S&P 500 Equal Weight Utilities ETF (RSPU - Free Report) made its debut on 11/01/2006, and is a smart beta exchange traded fund that provides broad exposure to the Utilities/Infrastructure ETFs category of the market.

What Are Smart Beta ETFs?

Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry.

Because market cap weighted indexes provide a low-cost, convenient, and transparent way of replicating market returns, they work well for investors who believe in market efficiency.

But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.

This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics.

While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.

Fund Sponsor & Index

Because the fund has amassed over $512.28 million, this makes it one of the average sized ETFs in the Utilities/Infrastructure ETFs. RSPU is managed by Invesco. RSPU, before fees and expenses, seeks to match the performance of the S&P 500 EQUAL WEIGHT UTILITIES PLUS INDX.

The S&P 500 Equal Weight Utilities Plus Index equally weights the common stocks of all companies included in the S&P 500 Index that are classified as members of the utilities sector.

Cost & Other Expenses

When considering an ETF's total return, expense ratios are an important factor. And, cheaper funds can significantly outperform their more expensive cousins in the long term if all other factors remain equal.

With on par with most peer products in the space, this ETF has annual operating expenses of 0.40%.

It has a 12-month trailing dividend yield of 2.44%.

Sector Exposure and Top Holdings

Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.

Representing 100% of the portfolio, the fund has heaviest allocation to the Utilities sector.

Taking into account individual holdings, Eversource Energy (ES) accounts for about 3.55% of the fund's total assets, followed by Nextera Energy Inc (NEE) and Constellation Energy Corp (CEG).

Its top 10 holdings account for approximately 34.2% of RSPU's total assets under management.

Performance and Risk

So far this year, RSPU return is roughly 16.93%, and is up roughly 15% in the last one year (as of 12/16/2025). During this past 52-week period, the fund has traded between $64.45 and $80.26.

RSPU has a beta of 0.67 and standard deviation of 15.78% for the trailing three-year period. With about 34 holdings, it has more concentrated exposure than peers .

Alternatives

Invesco S&P 500 Equal Weight Utilities ETF is not a suitable option for investors seeking to outperform the Utilities/Infrastructure ETFs segment of the market. Instead, there are other ETFs in the space which investors should consider.

Vanguard Utilities ETF (VPU) tracks MSCI US Investable Market Utilities 25/50 Index and the State Street Utilities Select Sector SPDR ETF (XLU) tracks Utilities Select Sector Index. Vanguard Utilities ETF has $7.87 billion in assets, State Street Utilities Select Sector SPDR ETF has $22.05 billion. VPU has an expense ratio of 0.09% and XLU 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 Utilities/Infrastructure 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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