RSPM vs. PHO

Last updated Jun 23, 2026

RSPM (Invesco S&P 500® Equal Weight Materials ETF) and PHO (Invesco Water Resources ETF) are both exchange-traded funds - RSPM is a Materials fund tracking the S&P 500 Equal Weight Materials Index, while PHO is a Water Equities fund tracking the NASDAQ OMX US Water Index. Both are passively managed. Over the past 10 years, RSPM returned 11.03%/yr vs 11.81%/yr for PHO. A 0.74 correlation means they provide meaningful diversification when combined. RSPM charges 0.40%/yr vs 0.59%/yr for PHO.

Performance

RSPM vs. PHO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P 500® Equal Weight Materials ETF (RSPM) and Invesco Water Resources ETF (PHO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RSPM achieves a 15.80% return, which is significantly higher than PHO's -4.80% return. Over the past 10 years, RSPM has underperformed PHO with an annualized return of 11.03%, while PHO has yielded a comparatively higher 11.81% annualized return.

RSPM

• 1D: -0.23%
• 1M: 2.65%
• YTD: 15.80%
• 6M: 15.20%
• 1Y: 25.17%
• 3Y*: 10.03%
• 5Y*: 5.74%
• 10Y*: 11.03%

PHO

• 1D: -0.65%
• 1M: 2.31%
• YTD: -4.80%
• 6M: -6.74%
• 1Y: -1.51%
• 3Y*: 7.41%
• 5Y*: 5.40%
• 10Y*: 11.81%

*Multi-year figures are annualized to reflect compound growth (CAGR)

RSPM vs. PHO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
RSPM Invesco S&P 500® Equal Weight Materials ETF	15.80%	6.90%	-1.30%	8.32%	-9.95%	31.21%	22.77%	25.11%	-14.75%	25.87%
PHO Invesco Water Resources ETF	-4.80%	7.62%	8.59%	18.85%	-14.86%	31.28%	20.83%	37.57%	-6.40%	23.55%

Correlation

The correlation between RSPM and PHO is 0.68, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.68
Correlation (3Y) Calculated over the trailing 3-year period	0.75
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (10Y) Calculated over the trailing 10-year period	0.77
Correlation (All Time) Calculated using the full available price history since Nov 7, 2006	0.74

The correlation between RSPM and PHO has been stable across timeframes, ranging from 0.68 to 0.77 - a consistent structural relationship.

RSPM vs. PHO - Sectors Allocation Comparison

Sectors	RSPM	PHO
Basic Materials	77.7%	8.5%
Consumer Cyclical	21.9%	-
Industrials	3.5%	55.1%
Financial Services	0.4%	0.0%
Communication Services	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	9.6%
Real Estate	-	-
Technology	-	12.8%
Utilities	-	13.8%

Return for Risk

RSPM vs. PHO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

RSPM

RSPM Risk / Return Rank: 39
RSPM Sharpe Ratio Rank: 39
RSPM Sortino Ratio Rank: 40
RSPM Omega Ratio Rank: 36
RSPM Calmar Ratio Rank: 42
RSPM Martin Ratio Rank: 37

PHO

PHO Risk / Return Rank: 7
PHO Sharpe Ratio Rank: 8
PHO Sortino Ratio Rank: 7
PHO Omega Ratio Rank: 7
PHO Calmar Ratio Rank: 8
PHO Martin Ratio Rank: 7

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

RSPM vs. PHO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P 500® Equal Weight Materials ETF (RSPM) and Invesco Water Resources ETF (PHO). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	RSPM	PHO	Difference
Sharpe ratio: Return per unit of total volatility	1.34	-0.10	+1.44
Sortino ratio: Return per unit of downside risk	2.01	-0.03	+2.04
Omega ratio: Gain probability vs. loss probability	1.23	1.00	+0.24
Calmar ratio: Return relative to maximum drawdown	2.05	-0.11	+2.16
Martin ratio: Return relative to average drawdown	5.47	-0.26	+5.74

RSPM vs. PHO - Sharpe Ratio Comparison

The current RSPM Sharpe Ratio is 1.34, which is higher than the PHO Sharpe Ratio of -0.10. The chart below compares the historical Sharpe Ratios of RSPM and PHO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

RSPM vs. PHO - Drawdown Comparison

The maximum RSPM drawdown since its inception was -61.18%, which is greater than PHO's maximum drawdown of -55.62%. Use the drawdown chart below to compare losses from any high point for RSPM and PHO.

Drawdown Indicators

	RSPM	PHO	Difference
Max Drawdown Largest peak-to-trough decline	-61.18%	-55.62%	-5.56%
Max Drawdown (1Y) Largest decline over 1 year	-12.32%	-13.78%	+1.46%
Max Drawdown (3Y) Largest decline over 3 years	-27.19%	-19.19%	-8.00%
Max Drawdown (5Y) Largest decline over 5 years	-27.19%	-28.60%	+1.41%
Max Drawdown (10Y) Largest decline over 10 years	-39.84%	-34.92%	-4.92%
Current Drawdown Current decline from peak	-4.11%	-10.06%	+5.95%
Average Drawdown Average peak-to-trough decline	-8.78%	-10.18%	+1.40%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.61%	5.76%	-1.15%

Volatility

RSPM vs. PHO - Volatility Comparison

Invesco S&P 500® Equal Weight Materials ETF (RSPM) has a higher volatility of 6.10% compared to Invesco Water Resources ETF (PHO) at 4.38%. This indicates that RSPM's price experiences larger fluctuations and is considered to be riskier than PHO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RSPM	PHO	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.10%	4.38%	+1.72%
Volatility (6M) Calculated over the trailing 6-month period	14.05%	11.31%	+2.74%
Volatility (1Y) Calculated over the trailing 1-year period	18.84%	15.20%	+3.64%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.17%	18.39%	+1.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.98%	19.47%	+2.51%

RSPM vs. PHO - Expense Ratio Comparison

RSPM has a 0.40% expense ratio, which is lower than PHO's 0.59% expense ratio.

Dividends

RSPM vs. PHO - Dividend Comparison

RSPM's dividend yield for the trailing twelve months is around 2.20%, more than PHO's 0.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PHO Invesco Water Resources ETF	0.76%	0.54%	0.45%	0.59%	0.49%	0.20%	0.39%	0.43%	0.46%	0.34%	0.47%	0.75%
RSPM Invesco S&P 500® Equal Weight Materials ETF	2.20%	2.06%	2.04%	2.05%	2.19%	1.43%	1.57%	1.81%	1.83%	1.50%	1.28%	1.57%

Frequently Asked Questions

Can I hold both RSPM and PHO in my portfolio?

RSPM and PHO have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RSPM or PHO?

RSPM has higher volatility (6.10%) compared to PHO (4.38%). In terms of maximum drawdown, RSPM dropped -61.18% vs PHO's -55.62%.

Which ETF is better, RSPM or PHO?

On 10-year performance, PHO leads with 11.81% vs 11.03% for RSPM. On fees, RSPM is cheaper at 0.40% per year. On volatility, PHO has been the lower-risk option at 4.38%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RSPM or PHO?

Over the 10-year period, PHO has performed better with a 11.81% return vs 11.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RSPM or PHO?

RSPM is cheaper with a 0.40% expense ratio, compared with 0.59% for PHO.

Which ETF pays a higher dividend yield, RSPM or PHO?

RSPM has the higher dividend yield at 2.20%, compared with 0.76% for PHO.

What is the main difference between RSPM and PHO?

RSPM is categorized as Materials, while PHO is Water Equities. RSPM tracks S&P 500 Equal Weight Materials Index, while PHO tracks NASDAQ OMX US Water Index. Their fees differ too: 0.40% for RSPM and 0.59% for PHO.

Which has better risk-adjusted returns?

RSPM currently has the higher Sharpe Ratio (1.34 vs -0.10), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.