{"id":266847,"date":"2026-06-07T16:56:00","date_gmt":"2026-06-07T20:56:00","guid":{"rendered":"https:\/\/news-you-need.com\/index.php\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/"},"modified":"2026-06-07T17:10:21","modified_gmt":"2026-06-07T21:10:21","slug":"technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now","status":"publish","type":"post","link":"https:\/\/news-you-need.com\/index.php\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/","title":{"rendered":"Technology ETF Showdown: Is SOXX or IYW the Better Buy for Investors Right Now?"},"content":{"rendered":"<p><a href=\"https:\/\/www.fool.com\/coverage\/etfs\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/\">Technology ETF Showdown: Is SOXX or IYW the Better Buy for Investors Right Now?<\/a><\/p>\n<p><a href=\"https:\/\/www.fool.com\/coverage\/etfs\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/\">https:\/\/www.fool.com\/coverage\/etfs\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/<\/a><\/p>\n<p>Publish Date: <a href=\"publish_date]\">2026-06-07 16:56:00<\/a><\/p>\n<p>Source Domain: <a href=\"www.fool.com\">www.fool.com<\/a><\/p>\n<p>Both the <strong>iShares Semiconductor ETF<\/strong> <span class=\"ticker-mention inline-flex items-center font-bold\" data-id=\"225182\">(SOXX <span class=\"ml-1 text-red-900\">10.44%<\/span>)<\/span>and the <strong>iShares U.S. Technology ETF<\/strong> <span class=\"ticker-mention inline-flex items-center font-bold\" data-id=\"208563\">(IYW <span class=\"ml-1 text-red-900\">5.92%<\/span>)<\/span> target the U.S. tech sector, but they take different approaches. <\/p>\n<p>While IYW tracks a broad index of technology companies, including software and internet giants, SOXX focuses exclusively on the hardware-heavy semiconductor industry. <\/p>\n<p>This distinction in scope leads to different risk-reward profiles for growth-oriented investors who may be weighing broad tech exposure against a more concentrated play on the essential chips powering global innovation and artificial intelligence.<\/p>\n<h2 id=\"snapshot-cost-amp-size\" class=\"my-6 text-2xl font-bold\">Snapshot (cost &#038; size)<\/h2>\n<table>\n<tr>\n<th>Metric<\/th>\n<th>IYW<\/th>\n<th>SOXX<\/th>\n<\/tr>\n<tr>\n<td>Issuer<\/td>\n<td>iShares<\/td>\n<td>iShares<\/td>\n<\/tr>\n<tr>\n<td>Expense ratio<\/td>\n<td>0.38%<\/td>\n<td>0.34%<\/td>\n<\/tr>\n<tr>\n<td>1-yr return (as of June 7, 2026)<\/td>\n<td>47.7%<\/td>\n<td>149.9%<\/td>\n<\/tr>\n<tr>\n<td>Dividend yield<\/td>\n<td>0.11%<\/td>\n<td>0.29%<\/td>\n<\/tr>\n<tr>\n<td>Beta (5Y monthly)<\/td>\n<td>1.43<\/td>\n<td>2.26<\/td>\n<\/tr>\n<tr>\n<td>Assets under management (AUM)<\/td>\n<td>$25.2 billion<\/td>\n<td>$38.4 billion<\/td>\n<\/tr>\n<\/table>\n<p class=\"caption\">Beta measures price volatility relative to the S&#038;P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12\u00a0months. Dividend yield is the trailing-12-month distribution yield.<\/p>\n<p>SOXX is slightly more affordable with a lower expense ratio, and it also offers a higher dividend payout. These yield differences reflect the cash-flow characteristics of their underlying semiconductor and broad-tech holdings.<\/p>\n<h2 id=\"performance-amp-risk-comparison\" class=\"my-6 text-2xl font-bold\">Performance &#038; risk comparison<\/h2>\n<table>\n<tr>\n<th>Metric<\/th>\n<th>IYW<\/th>\n<th>SOXX<\/th>\n<\/tr>\n<tr>\n<td>Max drawdown (5 yr)<\/td>\n<td>-39.4%<\/td>\n<td>-45.8%<\/td>\n<\/tr>\n<tr>\n<td>Growth of $1,000 over 5 years (total return)<\/td>\n<td>$2,624<\/td>\n<td>$3,859<\/td>\n<\/tr>\n<\/table>\n<h2 id=\"whatx27s-inside\" class=\"my-6 text-2xl font-bold\">What&#8217;s inside<\/h2>\n<p>SOXX targets 100% of its portfolio in the technology sector, with a specific focus on the semiconductor industry. It holds 30 stocks, and its largest positions include <strong>Micron Technology<\/strong>, <strong>Advanced Micro Devices<\/strong>, and <strong>Marvell Technology<\/strong>. The fund was launched in 2001 and has a trailing-12-month dividend of $1.67 per share.<\/p>\n<p>In contrast, IYW offers broader reach with 139 holdings. It also focuses exclusively on the technology sector, and its largest positions include tech giants like <strong>Nvidia<\/strong>, <strong>Apple<\/strong>, and <strong>Alphabet<\/strong>. The fund was launched in 2000 and has a trailing-12-month dividend of $0.27 per&#8230;<\/p>\n<p><a href=\"https:\/\/www.fool.com\/coverage\/etfs\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Technology ETF Showdown: Is SOXX or IYW the Better Buy for Investors Right Now? https:\/\/www.fool.com\/coverage\/etfs\/2026\/06\/07\/technology-etf-showdown-is-soxx-or-iyw-the-better-buy-for-investors-right-now\/&#8230;<\/p>\n","protected":false},"author":1,"featured_media":266848,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/g.foolcdn.com\/image\/?url=https%3A%2F%2Fcdn.content.foolcdn.com%2Fimages%2F1umn9qeh%2Fproduction%2Fe2a7a839652ce1e4b5e887767e5794b4ba7e66f4-1401x1251.png%3Fw%3D800%26q%3D75%26fit%3Dmax%26auto%3Dformat&w=1200&op=resize","fifu_image_alt":"","footnotes":""},"categories":[8],"tags":[62],"class_list":["post-266847","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-innovation"],"_links":{"self":[{"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/posts\/266847"}],"collection":[{"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/comments?post=266847"}],"version-history":[{"count":1,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/posts\/266847\/revisions"}],"predecessor-version":[{"id":266849,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/posts\/266847\/revisions\/266849"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/media\/266848"}],"wp:attachment":[{"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/media?parent=266847"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/categories?post=266847"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news-you-need.com\/index.php\/wp-json\/wp\/v2\/tags?post=266847"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}