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The S&P 500's Biggest Stocks Keep Getting Bigger. Here's the ETF I'd Buy to Diversify

The Motley Fool·
The S&P 500's Biggest Stocks Keep Getting Bigger. Here's the ETF I'd Buy to Diversify

The S&P 500 has become increasingly concentrated in megacap tech stocks, with Nvidia and Apple alone accounting for ~14% of the index and the top four tech companies representing over 25%. The article recommends the Invesco S&P 500 Equal Weight ETF (RSP) as an alternative that equally weights all 500 companies, reducing concentration risk. RSP has outperformed traditional cap-weighted S&P 500 ETFs by nearly 4% year-to-date in 2026 as investors rotate away from the Magnificent Seven stocks.

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