DV
Dividend Vision

ETF Comparison

SOXX vs XLK: One Industry, or the Whole Tech Sector?

A head-to-head of the iShares Semiconductor ETF and the Technology Select Sector SPDR covering concentration, cost, and what each already includes.

Data updated September 4, 2026

Best for

  • SOXXInvestors who want broad equity exposure.
  • XLKInvestors who want broad equity exposure.

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

SOXX has outpaced XLK over the trailing twelve months, posting a 116.11% total return against 44.07%. The lead holds up over 10 years too: SOXX has compounded at 31.74% a year, against 24.23% for XLK. XLK has been the steadier holding, though — annualized volatility of 25.0% against 39.4% for SOXX. Figures are total returns: price change plus every distribution reinvested.

Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
SymbolYTD1Y3Y5Y10YSince Jul 2001Volatility Sharpe Sortino Max drawdown
SOXX65.90%116.11%45.98%28.06%31.74%13.89%39.4%0.851.20-41.4%
XLK30.10%44.07%29.30%19.52%24.23%12.29%25.0%0.851.21-25.7%

Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of September 4, 2026. YTD and 1Y are cumulative; windows of one year or longer are annualized. “Since Jul 2001” measures every fund from July 13, 2001 — the youngest fund's first trading day — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricSOXXXLK
Full nameiShares Semiconductor ETFState Street Technology Select Sector SPDR ETF
IssueriSharesState Street
Underlying indexICE Semiconductor IndexTechnology Select Sector Index
Last Close$519.86 as of September 4, 2026$187.28 as of September 4, 2026
Distribution rate0.22%0.49%
Distribution Safety Score™ 8099
Safety-Adjusted Yield 0.18%0.49%
Expense ratio0.33%0.08%
AUM$40.8B$120B
Distribution frequencyQuarterlyQuarterly
ObjectiveTracks the ICE Semiconductor Index of US-listed semiconductor companies.Track the Technology Select Sector Index, providing exposure to the information technology constituents of the S&P 500.
Asset classEquityEquity
Inception date07/10/200112/16/1998
Beta2.321.47
Last dividend$0.283$0.228
Ex-dividend date06/15/202606/22/2026

Bottom lineSOXX and XLK are both for investors who want broad equity exposure — so strategy isn't the deciding factor here. Cost is: XLK charges 0.08% against 0.33% for SOXX, and between two funds this similar that gap comes straight out of your return every year you hold.

SOXX vs XLK: one industry or the tech sector?

XLK already includes many semiconductor names. SOXX concentrates there. Breadth versus a pure chip bet is the decision.

SOXXXLK
IndexICE Semiconductor IndexTechnology Select Sector Index
Expense ratio0.33%0.08%
Distribution yield0.22%0.49%
Model this comparison:
Compare in my portfolio Forecast income Save to watchlist

Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

iShares
ETFs466
Total AUM$4643B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

iShares is one of the largest ETF providers globally, known for offering a broad, diversified lineup of exchange-traded funds across multiple asset classes and investment strategies. The company operates 215 funds spanning 15 distinct families, including popular offerings in dividend income, covered call strategies, bonds, equities, ESG-focused investments, and factor-based approaches, with widely-held tickers like AGG (bond), ACWI (global equity), and AOA (allocation). iShares is characterized by its comprehensive fund ecosystem that serves both core portfolio holdings and specialized investment strategies, making it a prominent player for investors seeking both traditional and alternative income-generating ETF solutions.

See our curated list of related YouTube videos on SOXX.

See all iShares ETFs
State Street
ETFs179
Total AUM$2124B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

State Street Global Advisors (SSGA) is one of the largest ETF providers globally, known for its flagship SPDR suite of exchange-traded products that serve both institutional and retail investors across a broad range of asset classes. Their 88-fund lineup spans diverse strategies including sector exposure (Select Sector SPDR), income generation (Income and Select Sector SPDR Premium Income families), commodities (including the widely-held GLD gold ETF), bonds, ESG-focused investments, and thematic allocations, with popular tickers like DIA (Diamonds Trust), FEZ (Eurozone exposure), and JNK (high-yield bonds) among their most recognized funds. The issuer is characterized by its comprehensive coverage across multiple market segments and its emphasis on both traditional index-based products and specialized strategies like covered call income funds and factor-based investing.

See our curated list of related YouTube videos on XLK.

See all State Street ETFs

Want to go deeper?

Add these ETFs to a sample portfolio and forecast your dividend income over 5+ years — free to start, no credit card.

Compare in my portfolio Forecast income Save to watchlist

Quick verdict

SOXX (iShares Semiconductor ETF) and XLK (State Street Technology Select Sector SPDR ETF) are both quarterly-pay dividend ETFs, but they take different approaches.

XLK offers the higher yield at 0.49% vs 0.22% for SOXX. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

XLK is cheaper with an expense ratio of 0.08% compared to 0.33%.

They have different reference exposures: SOXX is linked to ICE Semiconductor Index while XLK is linked to Technology Select Sector Index, which means their performance drivers differ.

XLK is the larger fund by assets ($120B), but assets alone do not establish trading costs or liquidity.

Deep dive

Yield & income

On a $10,000 investment, SOXX would generate roughly $1.83/month, while XLK would produce $4.08/month, at current distribution rates. Both pay quarterly distributions.

SOXX yield0.22%
XLK yield0.49%
Monthly diff on $10K$2.25

Cost & efficiency

Over 10 years on $10,000, SOXX would cost approximately $330 in fees vs $80 for XLK (simplified, not compounded). The $250.00 difference may be offset by yield or performance.

SOXX ER0.33%
XLK ER0.08%

Strategy & risk

SOXX tracks ICE Semiconductor Index, while XLK tracks Technology Select Sector Index with a technology approach. Beta is 2.32 for SOXX and 1.47 for XLK, making XLK the less volatile of the two by this measure.

SOXX beta2.32
XLK beta1.47

Fund details

SOXX is managed by iShares (launched 07/10/2001) with $40.8B in assets. XLK is managed by State Street (launched 12/16/1998) with $120B in assets.

SOXX AUM$40.8B
XLK AUM$120B
Ready to act?
Open in Comparator Model in portfolio See pricing

Enjoyed this page?

Do us a favor — if you found this comparison useful, please share it with a friend researching dividend ETFs.

Frequently asked questions

What is the difference between SOXX and XLK?

SOXX (iShares Semiconductor ETF) concentrates in ICE Semiconductor Index. XLK (State Street Technology Select Sector SPDR ETF) tracks Technology Select Sector Index — software, hardware, and semis. XLK already includes many SOXX names. Cost is 0.33% versus 0.08%; distributions are 0.22% and 0.49% as of September 2026.

What is the current distribution rate for SOXX and XLK?

SOXX currently distributes 0.22% and XLK 0.49%, based on fund data updated September 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.

Is SOXX or XLK better for dividend income?

It depends on your goals. XLK currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

Can I hold both SOXX and XLK?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is SOXX or XLK safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — XLK scores 99, SOXX scores 80, so XLK's payout currently looks the more resilient of the two. XLK has also shown lower price volatility (beta 1.47 vs 2.32 for SOXX). No score makes an investment risk-free — treat this as a screening signal, not a guarantee.

Which has lower fees, SOXX or XLK?

SOXX has an expense ratio of 0.33% while XLK charges 0.08%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in SOXX vs XLK generate?

At current rates, $10,000 in SOXX would generate roughly $1.83 per month ($22.00 annually). The same in XLK would produce about $4.08 per month ($49.00 annually).

Which has performed better historically, SOXX or XLK?

SOXX has outpaced XLK over the trailing twelve months, posting a 116.11% total return against 44.07%. The lead holds up over 10 years too: SOXX has compounded at 31.74% a year, against 24.23% for XLK. XLK has been the steadier holding, though — annualized volatility of 25.0% against 39.4% for SOXX. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

SOXX vs XLK — at a glance

Generated September 5, 2026.

Overview

SOXX and XLK are both technology-focused equity ETFs tracking different indexes, but they carve out distinct slices of the sector. The difference matters: SOXX is a narrower, higher-volatility bet on chip manufacturers; XLK is a broader, more diversified tech portfolio anchored to large-cap blue chips. This makes SOXX significantly more volatile: its beta of 2.32 is 58% higher than XLK's 1.47, meaning SOXX typically swings twice as hard in both directions. On cost and scale, XLK dominates: 0.08% versus 0.33% in expense ratios, and $120B in assets under management compared to $40.8B. For income, XLK offers 0.49% yield while SOXX yields 0.22%, a gap largely reflecting SOXX's reinvestment into growth-stage chipmakers that favor capital appreciation over dividends.

Who each is best for

SOXX: Fits investors comfortable with elevated volatility who want direct, concentrated exposure to semiconductor companies — engineers, supply-chain specialists, or traders with strong conviction about chip demand cycles and willingness to tolerate wider drawdowns.

XLK: Designed for investors seeking broad technology sector exposure with lower volatility and a more mature, dividend-paying constituent base — those building a diversified tech allocation without picking among software, hardware, or services.

Key risks to know

  • Semiconductor cycle risk in SOXX. Chip demand is cyclical; SOXX's narrow focus amplifies gains in booms and losses in busts. XLK's diversification into software and services buffers downturns that hit manufacturing hard.
  • Concentration in mega-cap tech for XLK. The Technology Select Sector is heavily weighted to a handful of giants (NVIDIA, Microsoft, Apple, Broadcom, Meta); both funds carry this exposure, but XLK's broader mandate means it also holds smaller software and IT-service names that provide some offset.
  • Amplified beta in SOXX. With a beta of 2.32, SOXX will likely exceed broader market losses during corrections and amplify gains in rallies. Investors unaccustomed to 50%+ swings may find the volatility unmanageable.
  • Low yield across both. Neither fund prioritizes income; SOXX's 0.22% and XLK's 0.49% offer minimal yield, so both are growth-oriented.

Bottom line

If you want pure-play semiconductor exposure and accept sharp volatility, SOXX delivers concentrated upside to chip cycles; if you prefer steady, diversified tech exposure with lower costs and half the volatility, XLK is the broader vehicle. Both holdings may overlap (NVIDIA, Broadcom, Advanced Micro Devices appear in each), so combining them concentrates rather than diversifies. Past performance doesn't predict future returns; choose based on your conviction about semiconductors versus the tech sector as a whole.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

How to read a fund's stats How expense ratios eat returns Correlation between two funds

Still deciding? Compare them against your own portfolio

See how each ETF fits alongside your real holdings — forecast future income, analyze overlap, and gauge risk. Start a free 7-day Dividend Vision trial and make the call with your full portfolio in view.

Start Free Open in Comparator Browse Screener