RSP vs VWO: Correlation & Overlap
Invesco S&P 500 Equal Weight ETF (RSP) and Vanguard FTSE Emerging Markets ETF (VWO) show a strong relationship: their 3-year correlation of weekly returns is 0.66. The two funds also share 0.2% of their portfolios by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are RSP and VWO?
Over the past 3 years, RSP and VWO moved with a correlation of 0.66, which is strong. The relationship has been stable: the 1-year correlation (0.70) sits close to the 3-year figure. Over 5 years the correlation is 0.63, and the annualized covariance of weekly returns is 131.4 %².
Within RSP's tracked universe of 250 assets, VWO comes in at #84 by 3-year correlation. Twelve-month performance is nearly a tie, at +19.2% for RSP and +21.6% for VWO. The rolling one-year correlation moved between 0.45 and 0.81 over the past three years, a moderate range.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
RSP vs VWO: side by side
| RSP (Invesco S&P 500 Equal Weight ETF) | VWO (Vanguard FTSE Emerging Markets ETF) | |
|---|---|---|
| 1-year return | +19.2% | +21.6% |
| 5-year return | +53.9% | +38.2% |
| Volatility (ann.) | 13.2% | 15.2% |
| Beta vs S&P 500 | 0.77 | 0.75 |
| Max drawdown (3Y) | -17.8% | -17.4% |
| Dividend yield | 1.49% | 2.36% |
| Expense ratio | 0.20% | 0.06% |
| Assets under management | $97.3B | $162.0B |
| Sector / category | ETF · US Large Cap | ETF · International |
RSP is a Large Blend fund from Invesco: $97.3B under management, 505 holdings, a 0.20% expense ratio, a 1.49% trailing dividend yield. On the fund side, VWO sits in the Diversified Emerging Mkts category at Vanguard, with $162.0B under management, 4113 holdings, a 0.06% expense ratio, a 2.36% trailing dividend yield.
Portfolio overlap between RSP and VWO
The two portfolios are largely distinct: 0.2% of the funds' weight sits in the same underlying holdings (10 common positions). Correlation tells you they move together; overlap tells you why.
| Common holding | Weight in RSP | Weight in VWO |
|---|---|---|
| HAL | 0.16% | 0.10% |
| TEL | 0.19% | 0.02% |
| EL | 0.23% | 0.02% |
| CCL | 0.18% | 0.01% |
| ECL | 0.21% | 0.01% |
| LULU | 0.18% | 0.01% |
| IEX | 0.20% | 0.01% |
| SRE | 0.17% | 0.01% |
| PTC | 0.21% | 0.00% |
| SPG | 0.19% | 0.00% |
Largest positions held only by RSP: MRNA (0.61%), ZBRA (0.31%), CRL (0.29%), DASH (0.29%), EXPE (0.28%). Only by VWO: 2330 (18.65%), 700 (3.97%), 9988 (2.90%), 2454 (1.62%), 939 (1.07%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 10 common positions shown.
Year-by-year returns
| Year | RSP | VWO |
|---|---|---|
| 2022 | -11.6% | -18.0% |
| 2023 | +13.7% | +9.3% |
| 2024 | +12.8% | +10.6% |
| 2025 | +11.2% | +25.6% |
| 2026 | +16.5% | +13.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are RSP and VWO good diversifiers for each other?
Somewhat, no more. With 0.66 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between RSP and VWO?
Using weekly returns as of 2026-08-27: 0.66 over 3 years, with 0.70 over the last year and 0.63 over 5 years.
Is VWO a good diversifier for RSP?
Somewhat, no more. With 0.66 correlation, most large moves hit both names, and the diversification benefit stays modest.
How much do RSP and VWO overlap?
Per the issuers' own portfolio disclosures (2026-08-26), the overlap is 0.2% by weight over 10 common positions.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/rsp-vs-vwo.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/rsp-vs-vwo/)
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Hubs: RSP correlations · VWO correlations
