Is Invesco S&P 500 Pure Growth ETF (RPG) a Strong ETF Right Now?

Making its debut on 03/01/2006, smart beta exchange traded fund Invesco S&P 500 Pure Growth ETF (RPG) provides investors broad exposure to the Style Box - Large Cap Growth 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 work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.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.By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.Fund Sponsor & IndexRPG is managed by Invesco, and this fund has amassed over $1.71 billion, which makes it one of the average sized ETFs in the Style Box - Large Cap Growth. Before fees and expenses, RPG seeks to match the performance of the S&P 500 Pure Growth Index.The S&P 500 Pure Growth Index measures the performance of securities that exhibit strong growth characteristics in the S&P 500 Index.Cost & Other ExpensesExpense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.Annual operating expenses for RPG are 0.35%, which makes it on par with most peer products in the space.RPG's 12-month trailing dividend yield is 0.34%.Sector Exposure and Top HoldingsWhile ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.RPG's heaviest allocation is in the Industrials sector, which is about 23.9% of the portfolio. Its Consumer Discretionary and Information Technology round out the top three.Taking into account individual holdings, Palantir Technologies Inc (PLTR) accounts for about 2.73% of the fund's total assets, followed by Royal Caribbean Cruises Ltd (RCL) and Vistra Corp (VST).Its top 10 holdings account for approximately 22.66% of RPG's total assets under management.Performance and RiskThe ETF has added about 15.82% so far this year and was up about 15.98% in the last one year (as of 10/15/2025). In the past 52-week period, it has traded between $33.86 and $48.34The ETF has a beta of 1.16 and standard deviation of 21.10% for the trailing three-year period, making it a medium risk choice in the space. With about 94 holdings, it effectively diversifies company-specific risk .AlternativesInvesco S&P 500 Pure Growth ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Growth segment of the market. There are other ETFs in the space which investors could consider as well.Vanguard Growth ETF (VUG) tracks CRSP U.S. Large Cap Growth Index and the Invesco QQQ (QQQ) tracks NASDAQ-100 Index. Vanguard Growth ETF has $192.69 billion in assets, Invesco QQQ has $383.44 billion. VUG has an expense ratio of 0.04% and QQQ changes 0.20%.Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap GrowthBottom 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.Boost Your Portfolio with Our Top ETF InsightsZacks' exclusive Fund Newsletter delivers actionable information, top news and analysis, as well as top-performing ETFs, straight to your inbox every week.Don’t miss out on this valuable resource. It’s free!Get it now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Invesco S&P 500 Pure Growth ETF (RPG): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks