SMH calculator
Historical growth of VanEck Semiconductor ETF using MVIS Semiconductor 25 return series. Dividends reinvested at year-end; expense ratio drag not applied to historical figures (use projection mode for a lifetime fee estimate).
$10,000 invested in SMH at inception (2000) with dividends reinvested through end of 2024 would be worth approximately $62,543 nominal ($33,211 in 2000 dollars). Annualized nominal: 7.61%; real: 4.92%.
Uses annual S&P 500 total return (with dividends reinvested) and CPI-U inflation, 1928–2024. Source: Damodaran (NYU Stern) + Shiller CAPE + BLS. Excludes fees, taxes, and bid/ask. Real return = nominal ÷ cumulative CPI.
SMH at a glance
| Full name | VanEck Semiconductor ETF |
| Provider | VanEck |
| Expense ratio | 0.35% |
| Inception | 2000 |
| Assets under management | $25B |
| Dividend yield | 0.50% |
| Return series used | MVIS Semiconductor 25 |
The rules of sector funds
Sector ETFs concentrate into one industry, which converts market risk into industry-cycle risk: semiconductors and energy have both delivered triple-digit rallies and 60%+ drawdowns within the same decade. Sector funds are trading and tilting tools, not core holdings — the standard guidance is to cap any single sector at 5–10% of a portfolio and to expect tracking well away from the broad-market series this calculator uses as a proxy.
What 0.35% costs over 30 years
Expense ratios compound against you exactly the way returns compound for you. On a $10,000 position growing at a 10% gross return for 30 years, SMH's 0.35% fee quietly consumes about $15,910 of the final balance. The cheapest fund in the same category, XLK at 0.09%, would cost about $4,233 — a difference of $11,678 for holding what is often a near-identical basket.
SMH vs same-category peers
| Fund | ER | Yield | Since |
|---|---|---|---|
| SMH (this page) | 0.35% | 0.5% | 2000 |
| SOXX | 0.35% | 0.8% | 2001 |
| XLK | 0.09% | 0.7% | 1998 |
| XLE | 0.09% | 3.2% | 1998 |
| XLF | 0.09% | 1.7% | 1998 |
How this calculator works
For each start year, we apply the year-by-year total return of the MVIS Semiconductor 25 to the entered starting amount, compounding annually with dividends reinvested at year-end. This mirrors what an actual buy-and-hold SMH holder would have experienced, before fees and taxes. Expense ratio is intentionally excluded from the historical result to keep the underlying series comparable across ETFs; for a full lifetime fee estimate at 0.35%, use the projection tab in our fund fee analyzer.