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FSTA Offers Lower Fees While RSPS Pays Higher Dividends

newsfeedback@fool.com (John Ballard)
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⚡ Quantum Brief
Two consumer staples ETFs diverge sharply in cost and strategy: FSTA charges 0.08% annually, while RSPS costs 0.40%, making FSTA five times cheaper for long-term investors. FSTA’s top-heavy approach—Walmart, Costco, and Procter & Gamble comprise 33% of assets—outperformed RSPS by 34% over five years ($1,584 vs. $1,245 growth per $1,000 invested). RSPS uses equal weighting across 38 stocks, reducing concentration risk but trailing in returns, with a 14.9% one-year gain versus FSTA’s 10.7%, though it offers a higher 2.5% dividend yield. Both ETFs target defensive consumer staples, with near-identical volatility (beta: 0.61–0.64), but FSTA’s lower fees and stronger performance favor cost-conscious investors despite slightly less yield. RSPS may appeal to risk-averse investors seeking balanced exposure, while FSTA’s mega-cap focus and minimal fees suit those prioritizing growth and expense efficiency.
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Explore how portfolio strategy and cost structure set these consumer staples ETFs apart for defensive-minded investors.The Fidelity MSCI Consumer Staples Index ETF (NYSEMKT:FSTA) and Invesco S&P 500 Equal Weight Consumer Staples ETF (NYSEMKT:RSPS) differ most in cost and portfolio concentration: RSPS follows an equal-weight strategy, while FSTA charges a much lower fee while emphasizing sector giants.ExpandNYSEMKT: FSTAFidelity Covington Trust - Fidelity Msci Consumer Staples Index ETFToday's Change(0.32%) $0.18Current Price$56.57Key Data PointsDay's Range$56.05 - $56.8752wk Range$47.45 - $56.87Volume232KBoth ETFs target the U.S. consumer staples sector, but their approaches and price points differ meaningfully. This comparison explores their cost structures, risk profiles, recent performance, and portfolio construction to help investors weigh which ETF may appeal for defensive exposure.Snapshot (cost & size)MetricRSPSFSTAIssuerInvescoFidelityExpense ratio0.40%0.08%1-yr return (as of 2026-02-13)14.9%10.7%Dividend yield2.5%2.0%Beta0.610.64AUM$264 million$1.4 billionBeta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months.FSTA is notably more affordable, charging just 0.08% annually compared to RSPS’s 0.40%, and its dividend yield is modestly lower at 2.0% versus 2.5% for RSPS.Performance & risk comparisonMetricRSPSFSTAMax drawdown (5 y)(18.6%)(16.6%)Growth of $1,000 over 5 years$1,245$1,584What's insideFSTA tracks the performance of the MSCI USA IMI Consumer Staples Index and holds 97 stocks, with 99% of its assets allocated to consumer staples names. The fund is over 12 years old and heavily weighted toward large sector leaders, with Walmart (WMT +0.22%), Costco Wholesale (COST +1.92%), and Procter & Gamble (PG 0.71%) together making up over one-third of assets.ExpandNYSEMKT: RSPSInvesco Exchange-Traded Fund Trust - Invesco S&P 500 Equal Weight Consumer Staples ETFToday's Change(0.17%) $0.06Current Price$33.09Key Data PointsDay's Range$32.78 - $33.2452wk Range$28.21 - $33.37Volume142KRSPS, in contrast, equally weights 38 stocks from the S&P 500, resulting in less concentration risk. Top holdings include Bunge Global SA (BG +0.64%), Colgate-Palmolive (CL +0.41%), and Church & Dwight. (CHD +1.69%) Each is around 3% of the portfolio. RSPS’s approach spreads sector exposure more evenly and avoids outsize bets on mega-cap staples. Neither fund employs leverage, hedging, or ESG screens.For more guidance on ETF investing, check out the complete guide at this link.What this means for investorsBoth funds offer exposure to consumer staples that are historically viewed as defensive against market volatility or economic softness. These ETFs provide exposure to the essentials that consumers buy every day, such as food and cleaning supplies. FSTA is clearly going to save investors money on fees over the long term. Its 0.08% expense ratio is close to rock bottom, while RSPS’s higher 0.40% expense ratio is relatively high. This is not much in one year, but it can add up over a decade or more.FSTA’s significant outperformance over the past five years makes its lower expense ratio an even better deal. RSPS has trailed FSTA by over 30 percentage points over that stretch, which doesn’t justify its higher cost. RSPS’s main advantage is dividend yield, but a higher expense ratio mostly offsets the 0.50% higher yield over FSTA.One reason FSTA has performed so well, however, has been its concentration in Costco and Walmart, which have performed well. These are quality companies, but having over 20% of the fund in these two stocks could potentially lead to higher volatility. The difference in concentration will likely be a deciding factor for investors. Investors looking for greater stability and safety may opt for RSPS’s equal-weighted strategy. Read NextFeb 14, 2026 •By Katie BrockmanFSTA vs. VDC: Which Popular Consumer Staples ETF Is the Better Buy for Investors?Feb 11, 2026 •By Katie BrockmanFSTA vs. RSPS: Which Consumer Staples ETF Is the Better Buy Right Now?Feb 9, 2026 •By Dave KovaleskiWhich is the Better Consumer Staples ETF?Feb 8, 2026 •By Katie BrockmanConsumer Staples Showdown: Is FSTA or RSPS the Better Buy Right Now?Feb 2, 2026 •By Josh Kohn-LindquistInvesco (PBJ) vs. Fidelity (FSTA): Which Consumer Staples ETF Is the Better Buy?Feb 1, 2026 •By Katie BrockmanFSTA vs. FTXG: How These Popular Consumer Staples ETFs Stack Up for InvestorsAbout the AuthorJohn Ballard has been a contributing writer at The Motley Fool since 2016, covering consumer goods and technology stocks. He holds a bachelor’s degree in business administration with a focus in real estate finance from the University of Arkansas at Little Rock.TMFRazorbackStocks MentionedFidelity Covington Trust - Fidelity Msci Consumer Staples Index ETFNYSEMKT: FSTA$56.57 (+0.32%) $+0.18Invesco Exchange-Traded Fund Trust - Invesco S&P 500 Equal Weight Consumer Staples ETFNYSEMKT: RSPS$33.09 (+0.17%) $+0.06*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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