Should You Invest in the Invesco S&P 500 Equal Weight Industrials ETF (RGI)? – Yahoo Finance
Posted: February 17, 2020 at 6:45 pm
The Invesco S&P 500 Equal Weight Industrials ETF (RGI) was launched on 11/01/2006, and is a passively managed exchange traded fund designed to offer broad exposure to the Industrials - Broad segment of the equity market.
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Industrials - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 13, placing it in bottom 19%.
Index Details
The fund is sponsored by Invesco. It has amassed assets over $238.29 M, making it one of the average sized ETFs attempting to match the performance of the Industrials - Broad segment of the equity market. RGI seeks to match the performance of the S&P 500 Equal Weight Industrials Index before fees and expenses.
This index is an unmanaged equal weighted version of the S&P 500 Industrials Index that consists of the common stocks of the following industries: aerospace & defense, building products, construction & engineering, electrical equipment, conglomerates, machinery; commercial services & supplies, air freight & logistics, airlines, marine, road & rail transportation infrastructure.
Costs
Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.
Annual operating expenses for this ETF are 0.40%, making it one of the cheaper products in the space.
It has a 12-month trailing dividend yield of 1.29%.
Sector Exposure and Top Holdings
ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Industrials sector--about 100% of the portfolio.
Looking at individual holdings, Northrop Grumman Corp (NOC) accounts for about 1.53% of total assets, followed by Lockheed Martin Corp (LMT) and Huntington Ingalls Industries Inc (HII).
The top 10 holdings account for about 14.94% of total assets under management.
Performance and Risk
Year-to-date, the Invesco S&P 500 Equal Weight Industrials ETF return is roughly 3.50% so far, and was up about 19.21% over the last 12 months (as of 02/17/2020). RGI has traded between $116.14 and $141.39 in this past 52-week period.
The ETF has a beta of 1.20 and standard deviation of 15.38% for the trailing three-year period, making it a medium risk choice in the space. With about 70 holdings, it effectively diversifies company-specific risk.
Alternatives
Invesco S&P 500 Equal Weight Industrials ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, RGI is a sufficient option for those seeking exposure to the Industrials ETFs area of the market. Investors might also want to consider some other ETF options in the space.
Vanguard Industrials ETF (VIS) tracks MSCI US Investable Market Industrials 25/50 Index and the Industrial Select Sector SPDR ETF (XLI) tracks Industrial Select Sector Index. Vanguard Industrials ETF has $3.74 B in assets, Industrial Select Sector SPDR ETF has $11.97 B. VIS has an expense ratio of 0.10% and XLI charges 0.13%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Invesco S&P 500 Equal Weight Industrials ETF (RGI): ETF Research Reports Northrop Grumman Corporation (NOC) : Free Stock Analysis Report Lockheed Martin Corporation (LMT) : Free Stock Analysis Report Vanguard Industrials ETF (VIS): ETF Research Reports Industrial Select Sector SPDR ETF (XLI): ETF Research Reports Huntington Ingalls Industries, Inc. (HII) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
Read the rest here:
Should You Invest in the Invesco S&P 500 Equal Weight Industrials ETF (RGI)? - Yahoo Finance
- SoundCloud Gets Investment From Union Square, Index [Last Updated On: January 9th, 2011] [Originally Added On: January 9th, 2011]
- Return On Investment (ROI) Definition | Investopedia [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- Investing News - Investment Articles - Investing Research [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- InvestmentNews - The Investing News Source for Financial ... [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- Investment management - Wikipedia, the free encyclopedia [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- Investment - Wikipedia, the free encyclopedia [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- Investment Education & Advice for Investors - Investment U [Last Updated On: September 14th, 2015] [Originally Added On: September 14th, 2015]
- Forbes - Investing Information and Investing News - Forbes.com [Last Updated On: September 15th, 2015] [Originally Added On: September 15th, 2015]
- Fidelity Investments - Retirement, Funds, and Online Trading [Last Updated On: September 15th, 2015] [Originally Added On: September 15th, 2015]
- Investment | Define Investment at Dictionary.com [Last Updated On: September 15th, 2015] [Originally Added On: September 15th, 2015]
- Investment Definition | Investopedia [Last Updated On: September 15th, 2015] [Originally Added On: September 15th, 2015]
- Find what type of investment is right for you - INVESTMENTS [Last Updated On: September 15th, 2015] [Originally Added On: September 15th, 2015]
- Investopedia - Educating the world about finance [Last Updated On: September 20th, 2015] [Originally Added On: September 20th, 2015]
- Investment, Mutual Funds, ETFs & Stocks | Bankrate.com [Last Updated On: September 26th, 2015] [Originally Added On: September 26th, 2015]
- Gold as an investment - Wikipedia, the free encyclopedia [Last Updated On: October 4th, 2015] [Originally Added On: October 4th, 2015]
- Green Card Through Investment | USCIS [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- What is Investment ? Meaning and Types of Investment [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Host.al - Albanian Domain AL Accredited Registrar [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Alpha Investment Plan - Alpha Bank Albania [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- RealEstate.al - Apartment-Villa-Office For rent or for sale ... [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Attractiveness of foreign investments in Albania [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- INVESTMENT CLIMATE | Embassy of the Republic of Albania in Japan [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Princip.al :: Welcome to Princip.al [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Foreign direct investment - Wikipedia, the free encyclopedia [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment Moats Wealth Mentor for Financial Independence [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment | Nicole Gesmondi Photographer, LLC [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- investment - Thesaurus.com [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- What is Investment? | eHow [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment banking - Wikipedia, the free encyclopedia [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment Jobs on CareerBuilder.com [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Articles about Investment - timesofindia-economictimes [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment Definition - What is Investment? [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investing Basics | Investor.gov [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investing.com - Stock Market Quotes & Financial News [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Best Investments Good Investments in 2015 and Beyond [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment Calculators [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Investment: a key concept in Economics [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- SEC.gov | Investment Companies [Last Updated On: January 22nd, 2016] [Originally Added On: January 22nd, 2016]
- Careers-in-Investment-Banking.com: Your Guide to ... [Last Updated On: February 8th, 2016] [Originally Added On: February 8th, 2016]
- Investment Property and Investment Real Estate For Sale [Last Updated On: February 8th, 2016] [Originally Added On: February 8th, 2016]
- Investment and Sustainable Development [Last Updated On: February 16th, 2016] [Originally Added On: February 16th, 2016]
- Investment Images - Photos - Pictures - CrystalGraphics [Last Updated On: February 16th, 2016] [Originally Added On: February 16th, 2016]
- Investment - Simple English Wikipedia, the free encyclopedia [Last Updated On: February 20th, 2016] [Originally Added On: February 20th, 2016]
- Types of Investments - MoneySENSE [Last Updated On: February 20th, 2016] [Originally Added On: February 20th, 2016]
- Smart Ways to Invest Your Money and Minimize Risks [Last Updated On: February 22nd, 2016] [Originally Added On: February 22nd, 2016]
- Investing in Mining Stocks, Metals and Commodities ... [Last Updated On: February 22nd, 2016] [Originally Added On: February 22nd, 2016]
- What is Investment Banking? (with picture) [Last Updated On: February 22nd, 2016] [Originally Added On: February 22nd, 2016]
- Investments - The New York Times [Last Updated On: March 17th, 2016] [Originally Added On: March 17th, 2016]
- investment - English-Spanish Dictionary - WordReference.com [Last Updated On: March 20th, 2016] [Originally Added On: March 20th, 2016]
- Investment fund - Wikipedia, the free encyclopedia [Last Updated On: March 20th, 2016] [Originally Added On: March 20th, 2016]
- What Is An Investment Bank - An Intro To Investment Banks [Last Updated On: May 10th, 2016] [Originally Added On: May 10th, 2016]
- Investment Property Advisors - Home [Last Updated On: May 10th, 2016] [Originally Added On: May 10th, 2016]
- Investment Savings Bank [Last Updated On: May 10th, 2016] [Originally Added On: May 10th, 2016]
- US Investment Report [Last Updated On: May 10th, 2016] [Originally Added On: May 10th, 2016]
- Investment House [Last Updated On: May 10th, 2016] [Originally Added On: May 10th, 2016]
- Best investments - 10 steps to investing money | uSwitch [Last Updated On: May 17th, 2016] [Originally Added On: May 17th, 2016]
- investment - The Motley Fool [Last Updated On: May 17th, 2016] [Originally Added On: May 17th, 2016]
- How to Invest Small Amounts of Money Wisely: 12 Steps [Last Updated On: May 17th, 2016] [Originally Added On: May 17th, 2016]
- Investing with us | HSBC UK [Last Updated On: May 17th, 2016] [Originally Added On: May 17th, 2016]
- Investment Risks | Consumer Information [Last Updated On: June 27th, 2016] [Originally Added On: June 27th, 2016]
- Invest In Shipping Containers | Invest Containers [Last Updated On: July 1st, 2016] [Originally Added On: July 1st, 2016]
- Investment - Trade - European Commission [Last Updated On: July 10th, 2016] [Originally Added On: July 10th, 2016]
- investment | finance | Britannica.com [Last Updated On: August 15th, 2016] [Originally Added On: August 15th, 2016]
- What does investment mean? definition, meaning and ... [Last Updated On: August 17th, 2016] [Originally Added On: August 17th, 2016]
- Investment Options | Investment Plans in India | Online ... [Last Updated On: August 17th, 2016] [Originally Added On: August 17th, 2016]
- Investment Returns [Last Updated On: August 17th, 2016] [Originally Added On: August 17th, 2016]
- The Mental Health Benefits of Exercise: The Exercise ... [Last Updated On: July 8th, 2017] [Originally Added On: July 8th, 2017]
- PayPal co-founder launches firm to raise investment funds for SpaceX, report says - Los Angeles Times [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- Bitcoin Investment Vehicle Adopts Open Strategy Ahead of Blockchain Fork - CoinDesk [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- How to Spot a Good Investment in a Changing Neighborhood - Mansion Global [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- SoftBank Vision Fund investments so far - CNBC.com - CNBC [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- Vanguard's new chief investment officer has a warning for investors - The Denver Post [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- MARKET MATTERS: When life throws a curveball at your investment timeline - New Haven Register [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- Investment prosperity can make investors complacent - The Seattle Times [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- Risky business: Keeping an eye on Chinese investment - POLITICO.eu [Last Updated On: July 30th, 2017] [Originally Added On: July 30th, 2017]
- Somaliland secures record $442m foreign investment deal - CNN [Last Updated On: August 2nd, 2017] [Originally Added On: August 2nd, 2017]
- China isn't discouraging overseas investment, only regulating it, Beijing-backed think tanker says - CNBC [Last Updated On: August 2nd, 2017] [Originally Added On: August 2nd, 2017]
- China issues rules to curb state firms' overseas investment risks - Reuters [Last Updated On: August 2nd, 2017] [Originally Added On: August 2nd, 2017]
- Unilever's Latest Investment Targets New Route into Homes - Fortune [Last Updated On: August 2nd, 2017] [Originally Added On: August 2nd, 2017]
- Hundreds of jobs, $139 million investment planned in Morgan County by major companies - whnt.com [Last Updated On: August 2nd, 2017] [Originally Added On: August 2nd, 2017]