iShares Global Healthcare ETF (NYSEMKT:IXJ) provides broad international exposure and market-cap weighting, whereas Invesco S&P 500 Equal Weight Health Care ETF (NYSEMKT:RSPH) focuses on U.S. large caps with a specific equal-weighting mandate that reduces concentration risk.
Both funds offer targeted exposure to the healthcare sector but differ significantly in their geographic scope and construction
While RSPH levels the playing field among 60 domestic giants, IXJ captures 110 global leaders, including major European pharmaceutical companies. With $4.1 billion in assets under management (AUM), the iShares fund offers substantially higher liquidity than its $734.1 million Invesco counterpart. Snapshot (cost & size) Both ETFs carry an identical 0.40% expense ratio, which is relatively efficient for specialized sector funds.
However, the iShares fund offers a notably higher dividend yield of 1.50%, providing more income for yield-seekers than the 0.70% payout provided by the Invesco fund. Performance & risk comparison The iShares Global Healthcare ETF provides exposure to 110 global healthcare stocks, capturing sector leaders across international markets. Its largest positions include Eli Lilly at 10.6%, Johnson & Johnson at 7.1%, and AbbVie at 5%.