SOXX vs SMH: The Chip ETF Head-to-Head, Same Fee, Different Concentration
Both SOXX and SMH give you concentrated exposure to semiconductor companies. SMH is more concentrated in the very largest names; SOXX is slightly more diversified.
SOXX (iShares Semiconductor ETF) and SMH (VanEck Semiconductor ETF) are both concentrated semiconductor sector ETFs targeting the companies that design and manufacture computer chips. Both charge 0.35%. SOXX tracks the ICE Semiconductor index with ~30 holdings, capping any single stock at 10%. SMH tracks the MVIS US Listed Semiconductor 25 index with only 25 holdings but allows top names to reach 20% of the fund. SMH's higher concentration in Nvidia and TSMC has driven outperformance during periods of mega-cap chip dominance. SOXX's 10% cap means somewhat more equal weighting. Both are high-conviction sector bets with significant individual stock risk. Nvidia alone can be 20% of SMH.
Whether the lower-cost fund suits your situation depends on your existing holdings, account type, tax situation, and how you use each fund. This is a cost comparison, not a personalized recommendation.
📋 SOXX vs SMH — Key Facts Side by Side
| Metric | SOXX | SMH |
|---|---|---|
| Fund Name | iShares Semiconductor ETF | VanEck Semiconductor ETF |
| Issuer | iShares | VanEck |
| Tracks Index | ICE Semiconductor Index | MVIS US Listed Semiconductor 25 |
| Expense Ratio | 0.35% | 0.35% |
| Cost per $10K/yr | $35.00 | $35.00 |
| AUM | $47.8B | $77.2B |
| Holdings | 30 | 25 |
| Inception | 2001 | 2000 |
| 1-Year Return | +138.42% | +114.16% |
| 3-Year Return | +53.28% | +60.47% |
| 5-Year Return | +32.52% | +37.27% |
| Dividend Yield | 0.23% | 0.17% |
| Holdings Overlap | See holdings overlap → | |
| Avg Bid-Ask Spread | 0.01% | 0.01% |
Expense ratio, AUM, and returns updated Jul 14, 2026 from ETF BFF database. Returns are annualised. Not investment advice.
📊 SOXX vs SMH — Annualised Returns
Annualised returns (trailing, price-based). Past performance does not guarantee future results.
🎯 Which Fund Fits Which Investor?
- already use iShares and prefer staying within one fund family
- already use VanEck and prefer staying within one fund family
💰 What the Fee Difference Actually Costs
Adjust the numbers for your situation. This models each fund's expense ratio compounding against your balance over time.
Assumes a constant annual return reinvested, with each fund's expense ratio deducted yearly. Illustrative only; actual returns vary. Past performance does not guarantee future results.
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❓ SOXX vs SMH — Frequently Asked Questions
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