What if you invested monthly in an Equal-weight S&P 500 (RSP) for 20 years?
This calculates the result of investing a fixed amount monthly into RSP, which holds the S&P 500 at equal weight per stock rather than by market cap, over 20 years using actual price data. It shows the effect of easing mega-cap concentration alongside maximum drawdown and time underwater.
Investment conditions
Asset · RSP (Equal-weight S&P 500 ETF)
Method · Recurring monthly investment
Period · 2006-07-01 ~ 2026-07-01
Amount · $222 / month
As of · 2026-07-01
Key metrics
These results do not reflect taxes. Based on historical data.
Risk & recovery
As important as returns. This service does not hide maximum drawdown or loss periods.
Maximum drawdown (MDD)
-42.3%
Largest drop from peak
Longest loss period
23months
Months in loss: 25
Recovery period
5months
Growth over time
Invested principal (dashed) and portfolio value (solid). Values below match the calculation.
Total invested $53,556 → Final value $201,065 (+275.4%), Maximum drawdown (MDD) -42.3%
Why this period and asset
The standard cap-weighted S&P 500 lets a few large stocks dominate, while RSP holds all 500 names at roughly equal weight, giving more sway to mid-caps and the many non-mega-cap constituents. This 20-year window (2006-2026) spans the 2008 financial crisis, the 2020 COVID crash, and the 2022 correction. When a handful of mega-cap tech names led, equal weight lagged cap weight; when market breadth widened, it sometimes led, so performance differed clearly by regime.
Interpreting the result
Investing the same amount each month buys more shares when prices are low and fewer when they are high. Equal weight broadens diversification by reducing mega-cap concentration, but its larger mid-cap tilt can make drawdowns deeper in some declines. Periodic rebalancing back to equal weights can also raise turnover and cost. The key is to read the maximum drawdown, time underwater, and recovery period next to the standard S&P 500 on the results screen.
Caveats & limits
Equal weight carries a heavier mid-cap tilt than cap weight, so volatility and drawdowns can be larger, and frequent rebalancing can add turnover, cost, and taxes. Expense ratios, trading fees, USD/KRW exchange-rate moves, and dividend/capital-gains taxes also affect the outcome. Past performance does not guarantee future results, and this page does not recommend buying any specific security.
Data sources & limits
- Price data source: Yahoo Finance / FinanceDataReader
- Collected on: 2026-07-23
- Effective trading date: 2026-07-01
- Price basis: Cierre ajustado (refleja dividendos y desdoblamientos de acciones)
- Trading fees and taxes are not reflected — figures are pre-tax.
- Based on historical data; does not guarantee future returns.
Frequently asked questions
What is factor/style investing?
Instead of holding the whole market as is, it changes the weighting scheme or selects by a specific characteristic (factor/style). Equal weighting, using the same weight per stock instead of market cap, is a representative style strategy.
Does equal weight always beat the standard index?
No. It lagged cap weight when a few mega-caps led, and it sometimes led when market breadth widened. Out- and under-performance alternate by regime.
What are the risks of this strategy?
A heavier mid-cap tilt can deepen drawdowns, and rebalancing turnover adds cost and taxes. In a broad crash it still endures loss periods and delayed recovery, and fees and FX reduce returns.
Related scenarios
📋 Los resultados se basan en datos históricos; las rentabilidades pasadas no garantizan rentabilidades futuras.
📋 Este servicio se ofrece con fines educativos para ayudarte a entender la inversión, no como asesoramiento de inversión.