The Vanguard Information Technology ETF (VGT) has a lower expense ratio than the iShares Semiconductor ETF (SOXX) and holds more companies. SOXX boasts a stronger 1-year return and higher risk, while VGT is less volatile with a shallower drawdown history. SOXX focuses on semiconductors, while VGT covers the broader tech sector.

SOXX and VGT both offer exposure to high-growth tech companies. SOXX concentrates on semiconductors, while VGT holds over 300 tech stocks. VGT has a lower expense ratio and slightly lower dividend yield compared to SOXX. VGT has a more diversified portfolio compared to SOXX’s concentrated focus on semiconductors.

VGT has a larger AUM compared to SOXX, with holdings in major tech companies like Nvidia, Apple, and Microsoft. SOXX is tightly focused on 30 semiconductor companies, including Advanced Micro Devices and Broadcom. VGT offers broader exposure to the tech sector, while SOXX is highly concentrated in the semiconductor industry.

Investors interested in tech ETFs should consider the differences between VGT and SOXX. VGT offers lower expenses and broader tech exposure, while SOXX provides a niche focus on semiconductors. Each ETF has its own benefits and risks based on the investor’s goals and risk tolerance.

Read more at Yahoo Finance: Should Investors Choose a Broad Tech ETF or a Niche Semiconductor Fund?