RSP is also leans cyclical at the sector level. For example, consumer discretionary and industrial names combine for over 29% of RSP’s weight but account for 23% of the S&P 500’s sector weight.
Interestingly, RSP’s out-performance of the S&P 500 this year has occurred with the ETF being underweight health care stocks relative to the benchmark index. Health care is the top-performing S&P 500 sector in 2014, but RSP’s weight to the sector is 11.4%, or nearly 230 basis points below the S&P 500’s. [Health Care ETFs Assert Leadership]
Guggenheim S&P Equal Weight ETF
Tom Lydon’s clients own shares of Apple and RSP.