SMH vs SPY
VanEck Semiconductor ETF vs State Street SPDR S&P 500 ETF Trust
Last updated: 2026-04-08
VanEck Semiconductor ETF (SMH) is an exchange-traded fund that provides exposure to thematic - semiconductors securities. It charges an above-average expense ratio of 0.35%. The fund offers a modest dividend yield of 0.26%. Launched in 2011, the fund has a 15-year track record.
State Street SPDR S&P 500 ETF Trust (SPY) is an exchange-traded fund that provides exposure to large-cap U.S. equities across growth and value styles. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 1.09%. Launched in 1993, the fund has a 33-year track record.
Quick Verdict
SPY is significantly cheaper at 0.09% vs 0.35% expense ratio, saving you approximately $510 per $10,000 invested over 10 years. Over the past year, SMH has significantly outperformed with a 134.2% return vs 36.0%. Income investors may prefer SPY for its higher yield (1.1% vs 0.3%).
Key Metrics
Performance Chart
Indexed to 100 at start (5-year comparison)
Performance Comparison
Fee Impact Over Time
Estimated fee cost difference assuming 8% annual returns
Risk Metrics
Based on 5 years of daily returns
Dividend Comparison
Top Holdings
2 of top 9 holdings overlap (22% overlap in top holdings)
SMH Top Holdings
| Name | Weight |
|---|---|
| NVIDIA CorporationNVDA | 19.52% |
| Taiwan Semiconductor Manufacturing Company LimitedTSM | 11.61% |
| Broadcom Inc.AVGO | 7.74% |
| Advanced Micro Devices, Inc.AMD | 4.89% |
| ASML Holding N.V.ASML | 4.86% |
| Intel CorporationINTC | 4.84% |
| KLA CorporationKLAC | 4.77% |
| Lam Research CorporationLRCX | 4.60% |
| Analog Devices, Inc.ADI | 4.59% |
| Applied Materials, Inc.AMAT | 4.57% |
SPY Top Holdings
| Name | Weight |
|---|---|
| NVIDIA CorporationNVDA | 7.62% |
| Apple Inc.AAPL | 6.71% |
| Microsoft CorporationMSFT | 4.89% |
| Amazon.com, Inc.AMZN | 3.67% |
| Broadcom Inc.AVGO | 2.63% |
| Alphabet Inc.GOOG | 2.46% |
| Meta Platforms, Inc.META | 2.21% |
| Tesla, Inc.TSLA | 1.75% |
| Berkshire Hathaway Inc.BRK.B | 1.54% |
Which One Should You Choose?
Choose SPY if...
you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.
Choose SMH if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.
Choose SPY if...
you prioritize dividend income and want higher regular distributions from your portfolio.