L&G S&P 100 Equal Weight ETF: A Novel Approach to Concentration Hedging

L&G's S&P 100 Equal Weight UCITS ETF (SP1E) tracks the S&P 100 Equal Weight index, which gives each of the 100 large-cap US companies equal weight. The index rebalances quarterly and has trailed its cap-weighted counterpart over 1, 3, 5, and 10 years. Investors are considering equal weight strategies to address concentration concerns, but SP1E may not deliver the broader diversification investors seek. It is a strong option for deconcentrating mega-cap tech exposure without adding smaller companies.