USPX: A Solid Replacement For S&P 500 Index ETFs
Summary
- USPX's strategy change on August 1, 2022 makes it a competitive, low-cost alternative to S&P 500 Index funds like SPY, IVV, VOO, and SPLG.
- USPX now tracks the Morningstar US Target Exposure Index, offering 96% overlap with SPY and similar fundamentals, but with a slightly higher growth profile.
- The fund's 0.03% expense ratio, adequate liquidity, and strong factor exposures make it a solid choice, though concerns about future strategy changes remain.
- This article also highlights why USPX is superior to equal-weight options like RSP. Barring a significant rotation to value, USPX has more going for it from a factor perspective.
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