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Is iShares Semiconductor ETF (SOXX) a Strong ETF Right Now?
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Launched on 07/10/2001, the iShares Semiconductor ETF (SOXX - Free Report) is a smart beta exchange traded fund offering broad exposure to the Technology ETFs category of the market.
What Are Smart Beta ETFs?
Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.
Fund Sponsor & Index
SOXX is managed by Blackrock, and this fund has amassed over $36.25 billion, which makes it one of the largest ETFs in the Technology ETFs. SOXX seeks to match the performance of the PHLX SOX Semiconductor Sector Index before fees and expenses.
The ICE Semiconductor Index measures the performance of U.S. traded securities of companies engaged in the semiconductor business.
Cost & Other Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.34%, making it one of the least expensive products in the space.
It's 12-month trailing dividend yield comes in at 0.31%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
Representing 100% of the portfolio, the fund has heaviest allocation to the Information Technology sector.
Looking at individual holdings, Broadcom Inc (AVGO) accounts for about 8.44% of total assets, followed by Nvidia Corp (NVDA) and Micron Technology Inc (MU).
Its top 10 holdings account for approximately 58.76% of SOXX's total assets under management.
Performance and Risk
The ETF has added about 79.31% and is up about 150.79% so far this year and in the past one year (as of 06/08/2026), respectively. SOXX has traded between $220.96 and $615.68 during this last 52-week period.
SOXX has a beta of 1.80 and standard deviation of 35.77% for the trailing three-year period, which makes the fund a high risk choice in the space. With about 34 holdings, it has more concentrated exposure than peers .
Alternatives
iShares Semiconductor ETF is an excellent option for investors seeking to outperform the Technology ETFs segment of the market. There are other ETFs in the space which investors could consider as well.
State Street SPDR S&P Semiconductor ETF (XSD) tracks S&P Semiconductor Select Industry Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. State Street SPDR S&P Semiconductor ETF has $3.21 billion in assets, VanEck Semiconductor ETF has $66.75 billion. XSD has an expense ratio of 0.35% and SMH changes 0.35%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Technology ETFs
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
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Is iShares Semiconductor ETF (SOXX) a Strong ETF Right Now?
Launched on 07/10/2001, the iShares Semiconductor ETF (SOXX - Free Report) is a smart beta exchange traded fund offering broad exposure to the Technology ETFs category of the market.
What Are Smart Beta ETFs?
Products that are based on market cap weighted indexes, which are strategies designed to reflect a specific market segment or the market as a whole, have traditionally dominated the ETF industry.
Market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns, and are a good option for investors who believe in market efficiency.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.
While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.
Fund Sponsor & Index
SOXX is managed by Blackrock, and this fund has amassed over $36.25 billion, which makes it one of the largest ETFs in the Technology ETFs. SOXX seeks to match the performance of the PHLX SOX Semiconductor Sector Index before fees and expenses.
The ICE Semiconductor Index measures the performance of U.S. traded securities of companies engaged in the semiconductor business.
Cost & Other Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.34%, making it one of the least expensive products in the space.
It's 12-month trailing dividend yield comes in at 0.31%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
Representing 100% of the portfolio, the fund has heaviest allocation to the Information Technology sector.
Looking at individual holdings, Broadcom Inc (AVGO) accounts for about 8.44% of total assets, followed by Nvidia Corp (NVDA) and Micron Technology Inc (MU).
Its top 10 holdings account for approximately 58.76% of SOXX's total assets under management.
Performance and Risk
The ETF has added about 79.31% and is up about 150.79% so far this year and in the past one year (as of 06/08/2026), respectively. SOXX has traded between $220.96 and $615.68 during this last 52-week period.
SOXX has a beta of 1.80 and standard deviation of 35.77% for the trailing three-year period, which makes the fund a high risk choice in the space. With about 34 holdings, it has more concentrated exposure than peers .
Alternatives
iShares Semiconductor ETF is an excellent option for investors seeking to outperform the Technology ETFs segment of the market. There are other ETFs in the space which investors could consider as well.
State Street SPDR S&P Semiconductor ETF (XSD) tracks S&P Semiconductor Select Industry Index and the VanEck Semiconductor ETF (SMH) tracks MVIS US Listed Semiconductor 25 Index. State Street SPDR S&P Semiconductor ETF has $3.21 billion in assets, VanEck Semiconductor ETF has $66.75 billion. XSD has an expense ratio of 0.35% and SMH changes 0.35%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Technology ETFs
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.