Key Points
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Semiconductor ETFs delivered one-year returns between 64% and 82% versus 17.36% for the S&P 500.
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CoinShares Bitcoin Mining ETF topped all tech ETFs with a 144.89% one-year return.
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The top technology ETFs focus largely on artificial intelligence and semiconductors.
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Industrials, banks, and infrastructure companies dominated the markets for centuries, but a game-changing shift happened 30 years ago. The stock market’s top 10 list began to be dominated by technology companies.
These tech companies are now the backbone of the economy and are spearheading gains. So much so that the effects of tech are spilling over into every facet of people’s lifestyles. More and more people spend more hours on their screens, and even blue-collar work is being increasingly automated.
And while many find it dreadful, many also see it as an opportunity. You can gain from the growth of the tech sector by buying tech ETFs. Many such ETFs have managed to consistently outperform the S&P 500, and analysts believe they’ll continue to do so as tech stocks continue to dominate.
We’ll pit 10 tech ETFs against the benchmark S&P 500 (or TSX for Canadian ETFs). We’ll also learn about what makes each one special.
#10 Roundhill Generative AI & Technology ETF (CHAT)
Starting our list is the Roundhill Generative AI ETF, with a one-year return of 59.62%, as of late February. Compare that to the S&P 500, which returned 17.36% for the same period. Top positions are familiar names: Nvidia, Alphabet, Microsoft, and Samsung.
CHAT has just over $1 billion in assets under management. The expense ratio is 0.75%.
#9 Spear Alpha ETF (SPRX)
Spear Alpha invests in companies it thinks will benefit from breakthrough innovation in industrial technology. Current top holdings include Coherent Corp., Arista Networks, Astera Labs, and Ciena Corp. The fund returned 59.94% in the last year.
SPRX is a smaller fund, with net assets of $156 million. Its expense ratio is also 0.75%.
#8 iShares Semiconductor ETF (SOXX)
This ETF offers exposure to U.S. companies that design, manufacture, and distribute semiconductors. Top holdings include Micron Technology, Applied Materials, Nvidia Corp., Advanced Micro Devices, and Broadcom. SOXX’s one-year return is 64.87%.
The iShares fund has net assets of $20.97 billion, and an expense ratio of 0.34%.
#7 Invesco PHLX Semiconductor ETF (SOXQ)
It’s not surprising to see another semiconductor play on the list. This Invesco fund returned 65.14% in the last year. Nvidia is the top holding, along with AMD, Broadcom, Micron Technology, and Lam Research.
SOXQ has just over $1 billion in assets under management, with a relatively low expense ratio of 0.19%.
#6 VanEck Semiconductor ETF (SMH)
This VanEck ETF boasts a one-year return of 68.98%. Among its top holdings are Taiwan Semiconductor Manufacturing and Texas Instruments (along with the usual names such as Nvidia).
This fund has over $44 billion in assets. The management fee is 0.35%.
#5 Strive U.S. Semiconductor ETF (SHOC)
Strive’s semiconductor ETF returned 69.40% in one year. The usual suspects comprise its top holdings.
This is another relatively small fund, with only $156 million in assets. The expense ratio is 0.4%.
#4 Invesco Semiconductors ETF (PSI)
This Invesco fund seeks to match the performance of the Dynamic Semiconductor Intellidex Index. Its current top holdings include Micron Technology, Lam Research, Ultra Clean Holdings, and KLA Corp. The fund is up 75.79% in the last year.
PSI’s net assets total $1.19 billion. The ETF’s expense ratio is 0.56%.
#3 First Trust Nasdaq Semiconductor ETF (FTXL)
First Trust’s semiconductor ETF performed even better (up 81.89% in the last year). It seeks to replicate the holdings and weightings of the Nasdaq US Smart Semiconductor Index.
FTXL has $1.58 billion under management, and an expense ratio of 0.6%.
#2 VistaShares Artificial Intelligence Supercycle ETF (AIS)
The VistaShares ETF invests in global AI companies that derive their revenues from producing high-performance semiconductors, and building and operating AI-enabled applications and datacenters. AIS is up 83.38% in the last year.
Started in December 2024, the fund has $144.6 million in net assets. The expense ratio is 0.75%.
#1 CoinShares Bitcoin Mining ETF (WGMI)
The top performing ETF for the last year is a cryptocurrency play. CoinShares managers offer access to North America’s leading Bitcoin mining industry, a crucial component of the Bitcoin ecosystem. WGMI returned a whopping 144.89% during the last year.
WGMI has net assets of $336.53 million. Its expense ratio is 0.75%.
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