Best ETFs for Semiconductor Stocks in 2026

Semiconductor-focused ETFs span a wide range of strategies, from traditional index trackers like SMH and SOXX to options-income products like CHPY that use derivatives to generate distributions. VanEck and iShares anchor the category's largest, most established funds, while newer entrants such as Corgi Strategies' EUV and Strive's SHOC reflect continued issuer diversification and niche sub-sector targeting (e.g., lithography and fabless chip exposure). The category's average yield of 8.12% is heavily skewed by outliers, since most top-10 funds shown report yields under 1%.

• SMH carries the largest AUM among the funds shown above at $66.8B, well ahead of SOXX at $42.3B.
• CHPY reports by far the highest yield in the top 10 here at 57.48%, reflecting its options-income weekly-distribution strategy rather than traditional dividend income.
• Among the top 10 shown, SOXQ has the lowest expense ratio at 0.19%, while CHPY has the highest at 1.03%.
• Most traditional index-tracking funds in this set — including XSD, PSI, FTXL, and SMHX — post yields below 0.35%, underscoring that semiconductor ETFs are generally growth-oriented rather than income-oriented vehicles.
• EUV's yield is not reported, making it not directly comparable to the other funds shown on income metrics.

Investors reviewing this category should note that the high average yield figure is not representative of most funds in the group

• Distribution sustainability: the average distribution rate here is 11.5%, and payouts at that level often include return of capital — when distributions persistently exceed total return, NAV erodes and shrinks the base that generates future income.
• Concentration in one theme: most funds here focus on technology, so the whole list tends to draw down together when that corner of the market falls out of favor — diversification across the table is lower than the fund count suggests.
• Expense drag: expense ratios in this group average 0.55% — several times what broad index funds charge — and that cost compounds directly against total return.
• Liquidity and closure risk: 5 of the 17 funds listed hold under $100M in assets, and small funds tend to trade with wider bid-ask spreads and face a higher risk of liquidation.
• Short track records: 8 of the 17 funds launched within the last three years, so their distribution history is too short to judge payout durability across a full market cycle.

"Best" here means the selection rule below, applied to our own data — not an opinion poll and not a prediction:

• Universe: every security in our database matching this category — 17 qualified as of September 2026.
• Exclusions: liquidated, delisted and renamed funds drop out automatically; a renamed fund's successor appears in its place.
• Ordering: assets under management, largest first.
• Cap: none — all 17 matching funds are listed.
• Independence: no placement on this page is paid, sponsored, or influenced by a fund issuer.