Should You Invest in the Invesco S&P 500 Equal Weight Utilities ETF (RSPU)?

Launched on 11/01/2006, the Invesco S&P 500 Equal Weight Utilities ETF (RSPU) is a passively managed exchange traded fund designed to provide a broad exposure to the Utilities - Broad segment of the equity market.An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.Sector ETFs are also funds of convenience, offering many ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Utilities - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 2, placing it in top 13%.Index DetailsThe fund is sponsored by Invesco. It has amassed assets over $462.56 million, making it one of the average sized ETFs attempting to match the performance of the Utilities - Broad segment of the equity market. RSPU seeks to match the performance of the S&P 500 EQUAL WEIGHT UTILITIES PLUS INDX before fees and expenses.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.CostsCost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts 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 has a 12-month trailing dividend yield of 2.35%.Sector Exposure and Top HoldingsEven though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.This ETF has heaviest allocation in the Utilities sector--about 100% of the portfolio.Looking at individual holdings, Nrg Energy Inc (NRG) accounts for about 3.89% of total assets, followed by Constellation Energy Corp (CEG) and Vistra Corp (VST).The top 10 holdings account for about 34.58% of total assets under management.Performance and RiskThe ETF has gained about 11.39% so far this year and is up roughly 21.49% in the last one year (as of 05/21/2025). In that past 52-week period, it has traded between $57.65 and $72.75.The ETF has a beta of 0.58 and standard deviation of 18.17% for the trailing three-year period. With about 33 holdings, it has more concentrated exposure than peers.AlternativesInvesco S&P 500 Equal Weight Utilities ETF sports a Zacks ETF Rank of 4 (Sell), which is based on expected asset class return, expense ratio, and momentum, among other factors. RSPU, then, is not a great choice for investors seeking exposure to the Utilities/Infrastructure ETFs segment of the market. Instead, there are better ETFs in the space to consider.Vanguard Utilities ETF (VPU) tracks MSCI US Investable Market Utilities 25/50 Index and the Utilities Select Sector SPDR ETF (XLU) tracks Utilities Select Sector Index. Vanguard Utilities ETF has $7.01 billion in assets, Utilities Select Sector SPDR ETF has $19.05 billion. VPU has an expense ratio of 0.09% and XLU charges 0.08%.Bottom 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.Want key ETF info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>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 Equal Weight Utilities ETF (RSPU): ETF Research Reports NRG Energy, Inc. (NRG): Free Stock Analysis Report Constellation Energy Corporation (CEG): Free Stock Analysis Report Utilities Select Sector SPDR ETF (XLU): ETF Research Reports Vanguard Utilities ETF (VPU): ETF Research Reports Vistra Corp. (VST): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks