30.9% Since Early Year, 6-Month Return 19.6% with High Performance
Tracking the Same Underlying Index as SMH, the Largest Semiconductor ETF in the US
On the 30th, Samsung Asset Management announced that the ‘Samsung KODEX US Semiconductor MV ETF’ recorded the highest 6-month return among semiconductor-related ETFs listed domestically. The 6-month return of KODEX US Semiconductor MV is 19.6%.
The KODEX US Semiconductor MV ETF invests in large global semiconductor companies listed in the US, including 25 representative companies involved in semiconductor design, manufacturing, assembly, and inspection processes. It has shown a performance of 30.9% since the beginning of the year, and its 6-month return of 19.6% ranks first among domestic semiconductor ETFs. The high weighting of companies benefiting from ChatGPT-related demand, such as Nvidia, AMD, and TSMC, was a key factor driving the high returns. Recent expectations of a semiconductor industry cycle turnaround also led to the sector’s strong performance. Accordingly, it outperformed the US Nasdaq 100 (+15.3%) and S&P 500 (+3.4%) indices over the same period since the beginning of the year, as well as the KOSDAQ index, which showed a significant rise of 22.7% this year.
Since its listing in June 2021, this ETF has grown to a net asset size of 73.8 billion KRW. Its underlying index is the ‘MVIS US Listed Semiconductor 25 Index,’ which is also used by the VanEck Semiconductor ETF (SMH), the largest semiconductor ETF listed in the US with assets of 9.4 trillion KRW. While the SMH ETF charges an annual fee of about 0.35%, KODEX US Semiconductor MV charges only 0.09%, allowing investors to conveniently invest in the domestic market at about one-quarter of the cost of the global leading semiconductor ETF that tracks the same underlying index. It also has the lowest fee among the 15 domestic semiconductor ETFs.
Kim Dohyung, head of the ETF Consulting Team at Samsung Asset Management, stated, “The market believes that semiconductor supply and demand conditions are showing signs of improvement, and semiconductor industry stock prices are expected to reflect this. Therefore, it would be worthwhile to pay attention to the KODEX US Semiconductor MV ETF, which tracks the same underlying index as SMH, the largest US semiconductor ETF, while applying the lowest domestic fee rate (annual 0.09%).”
Meanwhile, Samsung Asset Management offers a total of five semiconductor ETF lineups that allow investment in major domestic and international semiconductor industries. These include ‘KODEX Semiconductor,’ which invests in core domestic semiconductor industry stocks; ‘KODEX US Semiconductor MV,’ which invests in leading global semiconductor companies in the US; ‘KODEX Fn System Semiconductor,’ which invests in the system semiconductor industry, a key element of the 4th Industrial Revolution; ‘KODEX Korea-China Semiconductor (Synthetic),’ which invests in the semiconductor markets of Korea and China; and ‘KODEX Asia Semiconductor Supply Chain exChina Active,’ which invests in the semiconductor industries of three Asian countries?Korea, Taiwan, and Japan.
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