AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA AAPL TSLA AMZN META AMD NVDA PEP COST ADBE GOOG AMGN HON INTC INTU NFLX ADP SBUX MRNA Markets SOXX Broad Technology Exposure or the Semiconductor Industry Powering AI? VGT vs. SOXX March 13, 2026 — 06:50 pm EDT Written by Eric Trie for The Motley Fool -> Key Points SOXX charges a much higher expense ratio and is far more concentrated than VGT SOXX has dramatically outperformed VGT over the past year but with sharper drawdowns and higher volatility VGT offers broader tech exposure, while SOXX is focused exclusively on semiconductors 10 stocks we like better than iShares Trust - iShares Semiconductor ETF › Vanguard Information Technology ETF ( NYSEMKT:VGT ) offers broad tech sector coverage at a low cost, while iShares Semiconductor ETF ( NASDAQ:SOXX ) focuses tightly on chipmakers, charges a higher fee, and has delivered higher recent returns but with greater risk. Both VGT and SOXX target technology stocks, but their scopes diverge: VGT tracks the entire U.S. tech sector, covering over 300 companies, while SOXX zeroes in on just 30 semiconductor names. This comparison looks at cost, performance, risk, and portfolio makeup to help clarify which approach may appeal depending on investor goals. Snapshot (cost & size) Metric VGT SOXX Issuer Vanguard IShares Expense ratio 0.09% 0.34% 1-yr return (as of 2026-03-11) 34.0% 78.1% Dividend yield 0.4% 0.5% Beta 1.27 1.54 AUM $130.3 billion $21.3 billion Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. SOXX charges a much higher expense ratio than VGT, making VGT the more affordable choice for long-term cost-conscious investors. SOXX edges out VGT on yield, but the difference is minimal at just 0.1 percentage points. Performance & risk comparison Metric VGT SOXX Max drawdown (5 y) -35.08% -45.76% Growth of $1,000 over 5 years $2,059 $2,546 What's inside SOXX targets the semiconductor industry, delivering pure-play exposure to 30 chipmakers. Its top holdings include Micron Technology Inc (NASDAQ:MU) , Nvidia Corp (NASDAQ:NVDA) , and Applied Material Inc (NASDAQ:AMAT) , with 100% of assets in technology stocks. The fund has a long track record at 24.7 years, and its concentrated basket means performance is tightly linked to the fortunes of the semiconductor sector. VGT, on the other hand, provides diversified technology exposure across 310 companies, spanning hardware, software, and services. Its largest positions are in NVIDIA Corp (NASDAQ:NVDA) , Apple Inc (NASDAQ:AAPL) , and Microsoft Corp (NASDAQ:MSFT) . While both funds are heavily weighted in tech, VGT’s broader approach lessens the impact of any single industry segment. For more guidance on ETF investing, check out the full guide at this link . What this means for investors Technology exposure can mean owning the entire sector or concentrating on semiconductors, the industry that underpins much of today’s computing infrastructure. That distinction sits at the center of the choice between the Vanguard Information Technology ETF and the iShares Semiconductor ETF. VGT tracks the entire U.S. technology sector, holding hundreds of companies across software, hardware, and technology services. Its largest holdings, such as Apple, Microsoft, and Nvidia, highlight the influence of mega-cap firms on sector performance. In contrast, SOXX invests exclusively in semiconductor companies, including chip designers, manufacturers, and equipment providers. As a result, SOXX’s performance closely follows global semiconductor demand, offering less diversification but greater exposure to the chip industry. For investors, the decision ultimately comes down to how concentrated their technology allocation should be. VGT serves as a core technology holding that captures the sector’s leadership across multiple industries. It is a suitable choice for investors looking for broad exposure to technology, such as those building a diversified portfolio or seeking steady and long-term growth from industry leaders. On the other hand, SOXX is a more specialized investment tied closely to the semiconductor cycle. This ETF can be a better fit for investors with a higher risk tolerance or those looking to target growth opportunities in the semiconductor space. Should you buy stock in iShares Trust - iShares Semiconductor ETF right now? Before you buy stock in iShares Trust - iShares Semiconductor ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and iShares Trust - iShares Semiconductor ETF wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you in