RSP vs. VOO: Choosing the Best Way to Invest in the S&P 500

By David Dierking – Mar 10, 2026 at 7:30AM ESTKey PointsThe Vanguard S&P 500 ETF is very top-heavy right now and tilted significantly toward tech and growth stocks.The Invesco S&P 500 Equal Weight ETF is much more diversified and its defensive lean provides some risk mitigation.One of these is built for the here and now, while the other is better suited as a long-term holding.From 2023 to 2025, the S&P 500 (^GSPC +0.83%) was the place to be. With a heavy concentration in the "Magnificent Seven" stocks, it outperformed most sectors and other themes that weren't exclusively invested in tech and/or growth stocks. This year, however, has been a different story. Investors have begun thinking twice about how much artificial intelligence (AI) spending is too much, whether companies will see an adequate return on their investments, and if the rapid growth rates we've seen recently are sustainable. Now, tech has gone from leader to laggard. It has been one of the worst-performing sectors year to date and diversification is paying off again. The traditional S&P 500 is underperforming the majority of sectors, but the equal-weight version of the index is doing relatively well. The Invesco S&P 500 Equal Weight ETF (RSP +0.28%) has gained nearly 6% this year (as of March 3) vs. flat performance from the Vanguard S&P 500 ETF (VOO +0.87%). These two weighting schemes produce very different portfolios. Current market trends clearly favor the equal-weight version, but obviously not in all situations. Image source: Getty Images. The case for the traditional S&P 500 The biggest feature of the Vanguard S&P 500 ETF is its allocation to technology stocks. Even after the recent market underperformance, it's still a whopping 33% of the index. That means two things: One, the index is very top-heavy and its results are heavily dependent on just a handful of stocks, and two, it's much more appropriate for a risk-on environment where investors are seeking out tech and growth investments. In other words, the S&P 500 is great when tech is leading the way. When tech lags, the index's flaws get exposed. ExpandNYSEMKT: VOOVanguard S&P 500 ETFToday's Change(0.87%) $5.37Current Price$623.80Key Data PointsDay's Range$609.20 - $625.3252wk Range$442.80 - $641.81Volume163K The case for the equal-weight S&P 500 The Invesco S&P 500 Equal Weight ETF represents a much more diversified version of the index. Its top sector holdings are industrials (17%), financials (14%), technology (13%), and healthcare (12%). Thanks to the equal-weighting of 500 different stocks, even the largest individual holdings only account for around 0.3% of the portfolio. This ETF, not surprisingly, outperforms when more areas of the market are participating in gains. Given that eight of the 11 S&P 500 sectors are beating the index this year, it's having its best year relative to the traditional index in some time. This is a great way to stay invested in U.S. large caps. But the sector mix gives it more of a defensive feel. S&P 500: Cap-weight or equal-weight? This really depends on how you feel about the tech sector. Over several years, tech is probably a good bet to outperform the index with higher volatility along the way. Currently, however, tech is in a funk and could remain so for a while as valuations draw concerns and the U.S. economy looks questionable. Overall, I think the Vanguard S&P 500 ETF makes more sense as a long-term holding given that it can better take advantage of its tech and growth overweights. In the short term, however, the diversification and relative risk mitigation of the Invesco S&P 500 Equal Weight ETF probably makes more sense.Read NextMar 9, 2026 •By Todd Shriber3 Things Every Vanguard S&P 500 ETF Investor Needs to KnowMar 8, 2026 •By Katie Brockman3 Unstoppable Vanguard ETFs I'm Stocking Up On Right Now to Prepare for a Market CrashMar 8, 2026 •By Daniel FoelberHow Is It Possible That 78% of Vanguard's Equity ETFs Are Outperforming the S&P 500 in 2026?Mar 7, 2026 •By Geoffrey SeilerHow a Former EMT Just Sank a Bunch of Stocks on AI FearsMar 7, 2026 •By Neil Patel1 S&P 500 ETF to Buy With $1,000 and Hold ForeverMar 6, 2026 •By Adria CiminoWarren Buffett Recommends This 1 Investment to All Investors. Here's How It Could Help Build a Million-Dollar Portfolio.Stocks MentionedVanguard S&P 500 ETFNYSEMKT: VOO$624.06(+0.91%)+$5.63S&P 500 IndexSNPINDEX: ^GSPC$6,795.99(+0.83%)+$55.97Invesco S&P 500 Equal Weight ETFNYSEMKT: RSP$198.71(+0.28%)+$0.56*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.