SMH vs. DAPP

Last updated Aug 5, 2026

SMH (VanEck Semiconductor ETF) and DAPP (VanEck Digital Transformation ETF) are both exchange-traded funds - SMH is a Semiconductors fund tracking the MVIS US Listed Semiconductor 25 Index, while DAPP is a Blockchain fund tracking the MVIS Global Digital Assets Equity Index. Both are passively managed. Over the past 5 years, SMH returned 34.46%/yr vs -4.53%/yr for DAPP. Their 0.57 correlation means they have sometimes moved together and sometimes differently. SMH charges 0.35%/yr vs 0.52%/yr for DAPP.

Performance

SMH vs. DAPP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VanEck Semiconductor ETF (SMH) and VanEck Digital Transformation ETF (DAPP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SMH achieves a 59.86% return, which is significantly higher than DAPP's 11.55% return.

SMH

• 1D: 5.55%
• 1M: -2.80%
• 6M: 44.77%
• YTD: 59.86%
• 1Y: 99.01%
• 3Y*: 55.82%
• 5Y*: 34.46%
• 10Y*: 34.72%
• ALL TIME*: 11.32%

DAPP

• 1D: 0.49%
• 1M: -0.22%
• 6M: 7.52%
• YTD: 11.55%
• 1Y: 10.16%
• 3Y*: 37.20%
• 5Y*: -4.53%
• 10Y*: —
• ALL TIME*: -10.42%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
DAPP VanEck Digital Transformation ETF	$5.83M	$6.07M	$15.46M
SMH VanEck Semiconductor ETF	$8.39B	$7.14B	$7.06B

SMH vs. DAPP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
SMH VanEck Semiconductor ETF	59.86%	49.17%	39.10%	73.38%	-33.53%	22.89%
DAPP VanEck Digital Transformation ETF	11.55%	15.03%	44.87%	285.02%	-85.60%	-45.88%

Correlation

The correlation between SMH and DAPP is 0.58, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.58
Correlation (3Y) Balances recent behavior with more history.	0.50
Correlation (5Y) Shows whether the relationship held over a longer period.	0.57
Correlation (All Time) Calculated using the full available price history since Apr 14, 2021	0.57

The correlation between SMH and DAPP has been stable across timeframes, ranging from 0.50 to 0.58 - a consistent structural relationship.

SMH vs. DAPP - Sectors Allocation Comparison

Sectors	SMH	DAPP
Technology	100.0%	35.4%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	2.8%
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	61.8%
Healthcare	-	-
Industrials	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

SMH vs. DAPP — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

SMH

SMH Risk / Return Rank: 87
SMH Sharpe Ratio Rank: 92
SMH Sortino Ratio Rank: 81
SMH Omega Ratio Rank: 84
SMH Calmar Ratio Rank: 90
SMH Martin Ratio Rank: 91

DAPP

DAPP Risk / Return Rank: 15
DAPP Sharpe Ratio Rank: 13
DAPP Sortino Ratio Rank: 18
DAPP Omega Ratio Rank: 17
DAPP Calmar Ratio Rank: 13
DAPP Martin Ratio Rank: 13

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

SMH vs. DAPP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck Semiconductor ETF (SMH) and VanEck Digital Transformation ETF (DAPP). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	SMH	DAPP	Difference
Sharpe ratio: Return per unit of total volatility	2.57	0.16	+2.41
Sortino ratio: Return per unit of downside risk	2.93	0.69	+2.24
Omega ratio: Gain probability vs. loss probability	1.39	1.08	+0.31
Calmar ratio: Return relative to maximum drawdown	4.04	0.21	+3.83
Martin ratio: Return relative to average drawdown	16.06	0.38	+15.68

SMH vs. DAPP - Sharpe Ratio Comparison

The current SMH Sharpe Ratio is 2.57, which is higher than the DAPP Sharpe Ratio of 0.16. The chart below compares the historical Sharpe Ratios of SMH and DAPP, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

SMH vs. DAPP - Drawdown Comparison

The maximum SMH drawdown since its inception was -84.96%, smaller than the maximum DAPP drawdown of -92.61%. Use the drawdown chart below to compare losses from any high point for SMH and DAPP.

Drawdown Indicators

	SMH	DAPP	Difference
Max Drawdown Largest peak-to-trough decline	-84.96%	-92.61%	+7.65%
Max Drawdown (1Y) Largest decline over 1 year	-24.62%	-48.21%	+23.59%
Max Drawdown (3Y) Largest decline over 3 years	-35.74%	-58.88%	+23.14%
Max Drawdown (5Y) Largest decline over 5 years	-45.30%	-91.90%	+46.60%
Max Drawdown (10Y) Largest decline over 10 years	-45.30%	—	—
Current Drawdown Current decline from peak	-13.93%	-44.22%	+30.29%
Average Drawdown Average peak-to-trough decline	-40.88%	-60.76%	+19.88%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.19%	26.81%	-20.62%

Volatility

SMH vs. DAPP - Volatility Comparison

The current volatility for VanEck Semiconductor ETF (SMH) is 15.13%, while VanEck Digital Transformation ETF (DAPP) has a volatility of 21.58%. This indicates that SMH experiences smaller price fluctuations and is considered to be less risky than DAPP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMH	DAPP	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.13%	21.58%	-6.45%
Volatility (6M) Calculated over the trailing 6-month period	33.33%	47.72%	-14.39%
Volatility (1Y) Calculated over the trailing 1-year period	38.78%	64.36%	-25.58%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	36.59%	73.12%	-36.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	33.37%	72.69%	-39.32%

SMH vs. DAPP - Expense Ratio Comparison

SMH has a 0.35% expense ratio, which is lower than DAPP's 0.52% expense ratio.

Dividends

SMH vs. DAPP - Dividend Comparison

SMH's dividend yield for the trailing twelve months is around 0.19%, while DAPP has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DAPP VanEck Digital Transformation ETF	0.00%	0.00%	4.04%	0.00%	0.00%	10.13%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SMH VanEck Semiconductor ETF	0.19%	0.31%	0.44%	0.60%	1.18%	0.51%	0.69%	1.50%	1.88%	1.43%	0.80%	2.14%

Frequently Asked Questions

Can I hold both SMH and DAPP in my portfolio?

SMH and DAPP have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SMH or DAPP?

DAPP has higher volatility (21.58%) compared to SMH (15.13%). In terms of maximum drawdown, SMH dropped -84.96% vs DAPP's -92.61%.

Which ETF is better, SMH or DAPP?

On 5-year performance, SMH leads with 34.46% vs -4.53% for DAPP. On fees, SMH is cheaper at 0.35% per year. On volatility, SMH has been the lower-risk option at 15.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMH or DAPP?

Over the 5-year period, SMH has performed better with a 34.46% return vs -4.53%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMH or DAPP?

SMH is cheaper with a 0.35% expense ratio, compared with 0.52% for DAPP.

Which ETF pays a higher dividend yield, SMH or DAPP?

SMH has the higher dividend yield at 0.19%, compared with 0.00% for DAPP.

What is the main difference between SMH and DAPP?

SMH is categorized as Semiconductors, while DAPP is Blockchain. SMH tracks MVIS US Listed Semiconductor 25 Index, while DAPP tracks MVIS Global Digital Assets Equity Index. Their fees differ too: 0.35% for SMH and 0.52% for DAPP.

Which has better risk-adjusted returns?

SMH currently has the higher Sharpe Ratio (2.57 vs 0.16), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.