The Vanguard Consumer Staples ETF (VDC) outperforms the Invesco S&P 500 Equal Weight Consumer Staples ETF (RSPS) with lower expense ratio, better returns, and larger diversification. VDC holds Walmart, Costco, and Procter & Gamble, while RSPS focuses on Dollar General, Dollar Tree, and Estée Lauder.
VDC has a 0.09% expense ratio, beating RSPS by 30 basis points. Both offer a 2.8% yield, making cost efficiency a key factor for long-term investors. VDC also has a lower drawdown risk and higher total returns over 1 and 5 years compared to RSPS.
VDC and RSPS target U.S. consumer staples but differ in strategy and holdings. VDC, with over 100 market-cap-weighted stocks, is larger and more diversified. RSPS uses an equal-weight approach with 36 holdings, offering less diversification. Investors should consider cost, performance, and risk when choosing between the two.
Read more at Yahoo Finance: Vanguard’s VDC vs. Invesco’s RSPS
