QQQ vs. RSP: What's The Difference?
QQQ vs. RSP: What’s The Difference?
The Invesco QQQ Trust (QQQ) and the Invesco S&P 500 Equal Weight ETF (RSP) are both among the Top 100 ETFs. QQQ is a Invesco Large Growth fund and RSP is a Invesco Large Blend fund. So, what’s the difference between QQQ and RSP? And which fund is better?
QQQ and RSP have the same expense ratio: 0.2%. QQQ also has a higher exposure to the technology sector and a higher standard deviation. Overall, QQQ has provided higher returns than RSP over the past ten years.
In this article, we’ll compare QQQ vs. RSP. We’ll look at holdings and portfolio growth, as well as at their fund composition and risk metrics. Moreover, I’ll also discuss QQQ’s and RSP’s industry exposure, annual returns, and performance and examine how these affect their overall returns.
QQQ RSP
Name Invesco QQQ Trust Invesco S&P 500 Equal Weight ETF
QQQ’s dividend yield is 0.82% lower than that of RSP (0.49% vs. 1.31%). Also, QQQ yielded on average 7.48% more per year over the past decade (21.27% vs. 13.79%). QQQ and RSP have the same expense ratio: 0.2%.
QQQ is 30.73% more exposed to the Technology sector than RSP (45.46% vs 14.73%). QQQ’s exposure to Communication Services and Consumer Cyclical stocks is 15.24% higher and 4.26% higher respectively (19.55% vs. 4.31% and 17.27% vs. 13.01%). In total, Real Estate, Energy, and Utilities also make up 14.43% less of the fund’s holdings compared to RSP (0.89% vs. 15.32%).
Year QQQ RSP
QQQ’s CAGR is 7.48 percentage points higher than that of RSP and as a result, would have yielded $37,858 more on a $10,000 investment. Thus, QQQ outperformed RSP by 7.48% annually.