KODEX US Semiconductor Achieves Top Year-to-Date Returns Among US Semiconductor ETFs

Investing in semiconductor companies, one of the essential elements of the artificial intelligence (AI) industry, is now considered a necessary strategy for asset growth rather than a matter of choice.

Samsung Asset Management announced on December 18 that the 'KODEX US Semiconductor' ETF has recorded a return of 41.8% since the beginning of the year. This is the highest performance among US semiconductor investment ETFs listed in Korea (excluding leveraged products). This result proves that it has been the most reliable product for investors seeking returns amid this year's AI semiconductor rally.

The secret behind the outstanding performance of KODEX US Semiconductor in the era of AI semiconductors lies in its proven index-tracking strategy. It tracks the same 'MV Semiconductor (MVIS US Listed Semiconductor 25 Index)' as 'SMH (VanEck Semiconductor ETF)', the world's largest semiconductor ETF listed in the US market. SMH alone has net assets of approximately 53 trillion won. It has firmly established itself as the undisputed 'global semiconductor leader' ETF, far outpacing SOXX (approximately 24.4 trillion won), which tracks the well-known ICE Semiconductor Index, and SOXQ (approximately 1.2 trillion won), which tracks the Philadelphia Semiconductor Index, both familiar to Korean investors.

In fact, the MV Semiconductor Index tracked by SMH delivered returns of 42.0% over one year, 106.1% over two years, and 241.4% over three years, outperforming the ICE Semiconductor Index tracked by SOXX and the Philadelphia Semiconductor Index tracked by SOXQ. Over five years, the MV Semiconductor Index surpassed the ICE Semiconductor Index by 92.8 percentage points (P) and the Philadelphia Semiconductor Index by 76.5P.

KODEX US Semiconductor serves as the Korean version of SMH, offering the strong advantage of allowing domestic investors to access the most popular global standard portfolio without currency exchange, at a low total expense ratio of 0.09%.

Recently, the 'AI semiconductor' theme has been gaining attention in the market, but in reality, the entire semiconductor industry is being reorganized around AI. KODEX US Semiconductor includes essential core companies for the AI era in its portfolio. Its holdings include: ▲Nvidia, the leading AI stock (17.1%) ▲TSMC, the world’s number one foundry (9.4%) ▲Broadcom, a key player in TPUs and AI networks (7.9%) ▲Micron, a leader in high-bandwidth memory (HBM) (6.4%). It also includes major equipment companies such as Applied Materials (6.1%) and ASML (5.8%), as well as AMD (5.6%) and Intel (5.4%), thereby capturing growth across the entire semiconductor value chain.

Han Donghun, manager at Samsung Asset Management, stated, "AI semiconductors are not a suddenly emerging, separate theme, but rather a natural progression in the evolution of the semiconductor industry." He added, "KODEX US Semiconductor is designed to quickly reflect market trends and shifts in leading stocks without the need for separate consideration. It will be the most efficient investment solution for long-term semiconductor investment, not only in the AI era but also beyond."