SMH vs SOXX: Correlation
VanEck Semiconductor ETF (SMH) and iShares Semiconductor ETF (SOXX) show a very strong relationship: their 3-year correlation of weekly returns is 0.98.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SMH and SOXX?
Across a 3-year window, the weekly returns of SMH and SOXX correlate at 0.98, very strong, meaning they move nearly in lockstep. Recent behaviour matches the longer record: 0.99 over 1 year against 0.98 over 3. Stretching to 5 years gives 0.99, with an annualized covariance of 1165.2 %².
Few assets follow SMH as closely as SOXX, which ranks #1 of 88 tracked partners. Correlation aside, the last 12 months split them widely, with SOXX ahead by 16.9 points (+93.1% versus +110.0%). Stability stands out here, with the rolling one-year correlation confined to 0.98 through 0.99.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
SMH vs SOXX: side by side
| SMH (VanEck Semiconductor ETF) | SOXX (iShares Semiconductor ETF) | |
|---|---|---|
| 1-year return | +93.1% | +110.0% |
| 5-year return | +332.8% | +247.5% |
| Volatility (ann.) | 33.7% | 35.2% |
| Beta vs S&P 500 | 1.91 | 1.93 |
| Max drawdown (3Y) | -35.7% | -41.4% |
| Dividend yield | – | 0.29% |
| Expense ratio | – | 0.33% |
| Assets under management | – | $44.7B |
| Sector / category | ETF · Thematic | ETF · Thematic |
On the fund side, SOXX sits in the Technology category at iShares, with $44.7B under management, 30 holdings, a 0.33% expense ratio, a 0.29% trailing dividend yield.
Year-by-year returns
| Year | SMH | SOXX |
|---|---|---|
| 2022 | -33.5% | -35.1% |
| 2023 | +73.4% | +67.1% |
| 2024 | +39.1% | +12.9% |
| 2025 | +49.2% | +40.7% |
| 2026 | +59.1% | +74.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SMH and SOXX good diversifiers for each other?
No. With a correlation of 0.98, SMH and SOXX move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between SMH and SOXX?
Using weekly returns as of 2026-08-27: 0.98 over 3 years, with 0.99 over the last year and 0.99 over 5 years.
Is SOXX a good diversifier for SMH?
No. With a correlation of 0.98, SMH and SOXX move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.98 mean?
A reading of 0.98 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/smh-vs-soxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/smh-vs-soxx/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: SMH correlations · SOXX correlations
