SMH vs. SOXX vs. SOXQ: Which Semiconductor ETF Is the Best Buy Right Now?
Which semiconductor ETF to choose comes down to cost and portfolio construction. One wins on both counts.
SMH vs. SOXX vs. SOXQ: Which Semiconductor ETF Is the Best Buy Right Now?
Overview
Microsoft, Amazon, Alphabet, Meta Platforms, and Oracle committed to spending nearly $700 billion on capital expenditures for 2026, an 81% increase over the prior year. The majority of that spending will help these companies meet semiconductor demand.
There are two primary exchange-traded funds (ETFs) that compete in this sector: the VanEck Semiconductor ETF (NASDAQ: SMH) and the iShares Semiconductor ETF (NASDAQ: SOXX). Another, the Invesco PHLX Semiconductor ETF (NASDAQ: SOXQ), is on the rise to become the third. All three hold substantially the same names. The main differences come down to cost and concentration.
SMH is the more concentrated AI infrastructure play. SOXQ is the cheapest to own. SOXX has perhaps the hardest investment case to make of the three.
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Source
Originally published at www.fool.com.
