Now available: BetaShares’ S&P 500 Equal Weight ETF
Australia’s first equal-weight U.S. equities ETF is now available on the ASX.
The BetaShares S&P 500 Equal Weight ETF (ASX: QUS) provides exposure to the largest 500 publicly traded companies on the U.S. sharemarket, with an equal weighting allocated to all the stocks in the portfolio. Equal weighting helps to ensure investors gain broad and diversified exposure to the U.S. sharemarket, while reducing the risk of concentrated exposure to the largest stocks in the index.
For broad U.S. exposure, we believe the need to diversify is more important than ever before, given that the top five stocks in the S&P 500 – all technology stocks – now account for around 20% of the index by market capitalisation (as at 30 November 2020).
The equal weighted methodology is simple, yet has been effective, with the S&P 500 Equal Weight Index outperforming the market-cap weighted S&P 500 index since its inception (8 January 2003), making it an interesting option to consider for a core holding to U.S. equities.
Visit the fund page to learn more: