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NEUTRAL news Advice: HOLD CommunicationTechnology

VOO vs. RSP: Which S&P 500 ETF Is Better?

Markets Feed · 2026-06-08 16:05 · View original source ↗

AI assessment

The article discusses two S&P 500 ETFs (VOO and RSP) with different sector compositions but similar overall performance due to their exposure to the S&P 500 index. The focus is on tech earnings growth, which could favor VOO.

Why HOLD: The article does not provide enough specific information about current market conditions or individual stock performances to recommend a buy/sell action.

Model: qwen2.5:3b · 2026-06-08 16:29

Article (stored locally)

Written by David Dierking for The Motley Fool -> The Vanguard S&P 500 ETF (VOO) is a market-cap-weighted version of the index and has $1 trillion in assets under management. The Invesco S&P 500 Equal Weight ETF (RSP) invests in the same stocks but has a very different sector composition. Tech earnings growth is expected to drive the economy for at least the next two years, making VOO the better choice for added exposure. FactSet's recent preview expects tech sector earnings growth of 44% for full-year 2026, roughly double that of the 22% growth forecast for the S&P 500 . Goldman Sachs ' 2027 earnings forecast currently calls for an additional 13% earnings growth in 2027, but it also notes that half of that is likely to come from artificial intelligence (AI) infrastructure beneficiaries. In short, tech is going to continue driving the economy and the financial markets for the foreseeable future. If valuations remain reasonable, tech overweights could produce further outperformance. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue » Of the two major ways to invest in the S&P 500 -- the Vanguard S&P 500 ETF (NYSEMKT: VOO) and the Invesco S&P 500 Equal Weight ETF (NYSEMKT: RSP) -- the one with the bigger tech allocation looks like the better bet. The Vanguard S&P 500 ETF , which is market-cap-weighted, has a 35% tech allocation compared to just 19% for the equal-weight ETF. Also consider that the Invesco S&P 500 Equal Weight ETF rebalances quarterly. That means the current higher-than-average tech allocation it has, driven by the sector's big rally in the second quarter, is very likely about to drop. As long as tech earnings growth is strong, I'd choose the Vanguard S&P 500 ETF. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vanguard S&P 500 ETF wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191 !* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838 !* Now, it’s worth noting Stock Advisor’s total average return is 941 % — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor , and join an investing community built by individual investors for individual investors. *Stock Advisor returns as of June 8, 2026. David Dierking has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends FactSet Research Systems, Goldman Sachs Group, and Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy . The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. This data feed is not available at this time.