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

Designed to provide broad exposure to the Industrials ETFs category of the market, the Invesco S&P 500 Equal Weight Industrials ETF (RSPN) is a smart beta exchange traded fund launched on 11/01/2006.What Are Smart Beta ETFs?The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.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 & IndexThe fund is managed by Invesco, and has been able to amass over $665.75 million, which makes it one of the average sized ETFs in the Industrials ETFs. This particular fund seeks to match the performance of the S&P 500 EQUAL WEIGHT INDUSTRIALS INDEX before fees and expenses.The S&P 500 Equal Weight Industrials Index equally weights stocks in the industrials sector of the S&P 500 Index.Cost & Other ExpensesInvestors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.Annual operating expenses for this ETF are 0.40%, making it one of the cheaper products in the space.It has a 12-month trailing dividend yield of 0.92%.Sector Exposure and Top HoldingsEven 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.RSPN's heaviest allocation is in the Industrials sector, which is about 100% of the portfolio.Taking into account individual holdings, Generac Holdings Inc (GNRC) accounts for about 1.45% of the fund's total assets, followed by Leidos Holdings Inc (LDOS) and Huntington Ingalls Industries Inc (HII).RSPN's top 10 holdings account for about 13.72% of its total assets under management.Performance and RiskThe ETF has gained about 9.89% so far this year and it's up approximately 21.97% in the last one year (as of 08/06/2025). In the past 52-week period, it has traded between $43.34 and $56.33RSPN has a beta of 1.09 and standard deviation of 18.01% for the trailing three-year period. With about 80 holdings, it effectively diversifies company-specific risk .AlternativesInvesco S&P 500 Equal Weight Industrials ETF is a reasonable option for investors seeking to outperform the Industrials ETFs segment of the market. However, there are other ETFs in the space which investors could consider.Vanguard Industrials ETF (VIS) tracks MSCI US Investable Market Industrials 25/50 Index and the Industrial Select Sector SPDR ETF (XLI) tracks Industrial Select Sector Index. Vanguard Industrials ETF has $6.01 billion in assets, Industrial Select Sector SPDR ETF has $23.09 billion. VIS has an expense ratio of 0.09% and XLI 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 Industrials ETFsBottom LineTo 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.Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. 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