SMH vs VXUS

Quick Verdict

VXUS has a lower expense ratio. SMH delivered stronger 1-year returns. VXUS offers more diversification with 7861 holdings.

Lower Fees: VXUSHigher Returns: SMHMore Diversified: VXUS

Side-by-Side Comparison

MetricSMHVXUSWinner
Expense Ratio0.35%0.05%
AUM$67.5B$156.5B
Dividend Yield0.17%2.60%
Holdings278,747
YTD Return+52.53%+14.07%
1Y Return+94.68%+27.24%
3Y Return (annualized)+58.09%+19.27%
5Y Return (annualized)+34.74%+9.14%
Volatility (annualized)31.4%15.1%
Max Drawdown-85.5%-39.9%
Fund FamilyVanEckVanguard (US)
CategoryEquityEquity
InceptionDec 20, 2011Jan 26, 2011

SMH vs VXUS Performance

VanEck Semiconductor ETF (SMH) is a ETF from VanEck and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year SMH returned +94.68% while VXUS returned +27.24%. Year to date, SMH is up 52.53% versus a gain of 14.07% for VXUS.

Over three years, SMH compounded at +58.09% per year against +19.27% for VXUS; over five years the annualized figures are +34.74% and +9.14% respectively. Across the full 16-year window we track, SMH has the edge at +11.30% annualized vs +4.83%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SMH has been the more volatile fund, with annualized monthly volatility of 31.4% compared with 15.1% for VXUS. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -85.5% for SMH and -39.9% for VXUS. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SMH charges 0.35% per year while VXUS charges 0.05%. On a $10,000 position that is $35 vs $5 annually, a gap of $30 per year that compounds over a long holding period. On income, SMH currently yields 0.17% against 2.60% for VXUS.

Holdings Overlap

1.3%overlap

SMH and VXUS share 2 holdings out of 7884 unique holdings combined, representing a 1.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SMHWeight in VXUSDifference
ASML:AS5.16%1.29%3.87%
STM:AS1.02%0.01%1.01%

Frequently Asked Questions

Which is cheaper, SMH or VXUS?

SMH has an expense ratio of 0.35% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $30 per year of difference.

Which performed better, SMH or VXUS?

Over the past year SMH returned +94.68% vs +27.24% for VXUS, so SMH leads on 1-year performance. Over the longest common window we track (16 years), SMH annualized +11.30% vs +4.83% for VXUS. Past performance does not guarantee future results.

Which is riskier, SMH or VXUS?

SMH has been the more volatile fund at 31.4% annualized versus 15.1% for VXUS. Worst drawdown: SMH -85.5% vs VXUS -39.9%.

Should I hold both SMH and VXUS?

SMH and VXUS have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SMH and VXUS?

SMH and VXUS share 2 common holdings with a 1.3% weight overlap. Combined, they hold 7884 unique securities.

Which pays a higher dividend, SMH or VXUS?

SMH yields 0.17% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.