Which Is the Better Consumer Staples ETF, State Street's XLP or Invesco's RSPS?

Robert Izquierdo, The Motley Fool

Mon, May 11, 2026 astatine 8:47 AM CDT 5 min read

Comparing the Invesco S&P 500 Equal Weight Consumer Staples ETF (NYSEMKT:RSPS) and the State Street Consumer Staples Select Sector SPDR ETF (NYSEMKT:XLP) reveals however antithetic weighting methodologies tin interaction assemblage vulnerability and hazard wrong antiaircraft stocks.

Investors often crook to the user staples assemblage for its historically little volatility and reliable dividends, arsenic these companies supply indispensable goods that consumers bargain careless of economical conditions. While the State Street money concentrations connected manufacture giants, RSPS provides adjacent vulnerability to each staple institution wrong the S&P 500 index.

Snapshot (cost & size)

Beta measures terms volatility comparative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months. Dividend output is the trailing-12-month organisation yield.

The State Street money is importantly much affordable for semipermanent holders, maintaining a debased disbursal ratio of 0.08%. While the Invesco money offers a somewhat higher payout with a 2.80% trailing-12-month organisation yield, its 0.40% disbursal ratio is 5 times higher than its peer.

Performance & hazard examination

What's wrong

The Invesco S&P 500 Equal Weight Consumer Staples ETF focuses connected equalizing power crossed its 37 holdings, ensuring that mid-cap staples person arsenic overmuch interaction arsenic manufacture titans. Its largest positions see Casey's General Stores (NASDAQ:CASY) astatine 3.29%, Tyson Foods (NYSE:TSN) astatine 3.28%, and Archer-Daniels-Midland (NYSE:ADM) astatine 3.21%. This Invesco fund, which was launched successful 2006, rebalances quarterly to support this operation and has a trailing-12-month dividend of $0.84 per share. Its portfolio is composed of 97.00% user antiaircraft stocks and 3.00% user cyclical names.

The State Street Consumer Staples Select Sector SPDR ETF is much concentrated, holding 36 companies with a dense tilt toward mega-caps that tin predominate performance. Top holdings see Walmart (NASDAQ:WMT) astatine 11.93%, Costco Wholesale (NASDAQ:COST) astatine 9.55%, and Procter + Gamble (NYSE:PG) astatine 7.25%. This money was launched successful 1998 and paid $2.18 per stock implicit the trailing 12 months. Its assemblage constitution consists of 99.00% user antiaircraft and 1.00% user cyclical stocks, offering much concentrated vulnerability to the largest U.S. user companies.