Business & Finance
Invesco equal-weight S&P 500 ETF reaches $100 billion as investors rotate from mega-cap tech
The flagship equal-weight fund attracted over $12 billion in 2026 inflows amid concerns over index concentration and artificial intelligence capital expenditures.
The short version
- The Invesco S&P 500 Equal Weight ETF (RSP) surpassed $100 billion in assets under management following more than $12 billion in 2026 inflows.
- RSP outperformed the traditional market-cap-weighted S&P 500 by roughly 3% year-to-date through August 21.
- The rotation comes as the mega-cap 'Magnificent 7' tech stocks flattened in the first half of 2026 amid concerns over elevated AI capital spending.
- A key remaining question is whether broader market earnings growth will sustain outperformance relative to traditional market-weighted funds over the long term.
Key facts
- The Invesco S&P 500 Equal Weight ETF crossed $100 billion in assets under management for the first time after drawing more than $12 billion in inflows in 2026.[CNBC]
- Through August 21, 2026, RSP outperformed the market-weighted S&P 500 by approximately 3%.[CNBC]
- The 'Magnificent 7' tech equities recorded flat performance during the first half of 2026, while the standard S&P 500 climbed 9.3%.[CNBC]
- The top 10 individual stocks in the market-weighted S&P 500 represent nearly 40% of the overall index's value.[CNBC]
- The three largest market-cap-weighted S&P 500 ETFs—VOO, IVV, and SPY—hold roughly $3 trillion in combined assets, led by VOO with about $1 trillion.[CNBC]
What remains uncertain
- Whether heavy capital expenditures in artificial intelligence by mega-cap technology firms will generate sufficient returns to justify high valuations remains uncertain.[CNBC]
- It remains to be seen whether market leadership will continue to broaden across the other 493 S&P 500 components or revert back toward mega-cap tech stocks.[CNBC]