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If You'd Invested $5,000 in the iShares Semiconductor ETF the Day It Launched, Here's Exactly What You'd Have Today

The Motley Fool · 1d ago

Key Points

  • The iShares Semiconductor ETF has been available to investors since the fund's inception in 2001.

  • With 30 holdings, the ETF has a low expense ratio of 0.33%.

  • Intel, Advanced Micro Devices, and Micron Technology are the top three positions in the fund.

Soaring more than 90% since the start of the year as of this writing, the performance of the iShares Semiconductor ETF (NASDAQ: SOXX) shows that despite concerns about an artificial intelligence (AI) bubble, the market's interest in semiconductor exposure has stayed high throughout 2026.

But it's not only the recent performance of the iShares Semiconductor ETF that's impressive. Interest in the exchange-traded fund (ETF) has remained strong since its inception in 2001 -- something that investors in the fund know full well when they look at their returns.

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A pair of investors are ecstatic from something they're seeing on their smartphone.

Image source: Getty Images.

Enthusiasm for semiconductors transcends the AI boom

Since July 2021, semiconductor stock enthusiasts have been able to gain broad exposure to the industry through this single ETF.

Over its first 15 years, the iShares Semiconductor ETF hadn't provided investors with much to celebrate, having risen 30.7% compared with the S&P 500's 80.3% climb. The market's explosion of interest in AI over the past five years, however, has fueled considerable growth in the fund -- about 263% as of this writing compared to the S&P 500's 74% rise.

Since June 2021, the ETF, which has 30 holdings and a 0.33% expense ratio, has included holdings that track the NYSE Semiconductor Index. Currently, Intel, Advanced Micro Devices, and Micron Technology are the three largest positions in the fund with a combined weighting of 28%.

This ETF has skyrocketed over the past 25 years

For those who had the wherewithal to buy the iShares Semiconductor ETF 25 years ago, the returns have been considerable. Those who invested $5,000 at the fund's inception on July 10, 2001, have seen their positions soar to $118,240 as of the close of trading on Sept. 25, 2026.

While the iShares Semiconductor ETF has been a goldmine for those who have held it over the long term, it's hardly the only semiconductor ETF available, so investors should evaluate other options to see whether they better align with their individual investing goals.

Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, Micron Technology, and iShares Trust-iShares Semiconductor ETF. The Motley Fool has a disclosure policy.