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VOO vs. RSP: If AI Stocks Get Too Concentrated, Here's Which One I'd Choose

The Motley Fool·
VOO vs. RSP: If AI Stocks Get Too Concentrated, Here's Which One I'd Choose

The Vanguard S&P 500 ETF (VOO) has become heavily concentrated in mega-cap tech stocks, with its top 10 holdings accounting for nearly 40% of assets and surpassing dot-com bubble concentration levels. The Invesco S&P 500 Equal Weight ETF (RSP) offers an alternative by weighting all 500 S&P 500 stocks equally, reducing concentration risk. While VOO has delivered strong returns driven by AI enthusiasm, the author suggests switching to RSP if concentration exceeds 50% to protect against potential AI stock corrections.

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