SMH vs. DGRO

Last updated Jun 9, 2026

SMH (VanEck Semiconductor ETF) and DGRO (iShares Core Dividend Growth ETF) are both exchange-traded funds - SMH is a Semiconductors fund tracking the MVIS US Listed Semiconductor 25 Index, while DGRO is a Large Cap Growth Equities fund tracking the Morningstar US Dividend Growth Index. Both are passively managed. Over the past 10 years, SMH returned 36.92%/yr vs 13.26%/yr for DGRO. A 0.62 correlation means they provide meaningful diversification when combined. SMH charges 0.35%/yr vs 0.08%/yr for DGRO.

Performance

SMH vs. DGRO - Performance Comparison

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

Returns By Period

In the year-to-date period, SMH achieves a 66.10% return, which is significantly higher than DGRO's 8.47% return. Over the past 10 years, SMH has outperformed DGRO with an annualized return of 36.92%, while DGRO has yielded a comparatively lower 13.26% annualized return.

SMH

• 1D: 5.00%
• 1M: 5.58%
• YTD: 66.10%
• 6M: 62.81%
• 1Y: 137.42%
• 3Y*: 60.43%
• 5Y*: 37.89%
• 10Y*: 36.92%

DGRO

• 1D: -0.29%
• 1M: 2.67%
• YTD: 8.47%
• 6M: 9.27%
• 1Y: 21.90%
• 3Y*: 16.63%
• 5Y*: 10.64%
• 10Y*: 13.26%

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

SMH vs. DGRO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SMH VanEck Semiconductor ETF	66.10%	49.17%	39.10%	73.38%	-33.53%	42.13%	55.53%	64.45%	-9.05%	38.48%
DGRO iShares Core Dividend Growth ETF	8.47%	15.69%	16.62%	10.47%	-7.91%	26.64%	9.50%	29.87%	-2.38%	23.00%

Correlation

The correlation between SMH and DGRO is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.45
Correlation (5Y) Calculated over the trailing 5-year period	0.56
Correlation (10Y) Calculated over the trailing 10-year period	0.60
Correlation (All Time) Calculated using the full available price history since Jun 12, 2014	0.62

Over the past year, the correlation between SMH and DGRO has dropped to 0.40 - well below their long-term average of 0.62, suggesting their price drivers have been diverging.

SMH vs. DGRO - Sectors Allocation Comparison

Sectors	SMH	DGRO
Technology	100.0%	19.4%
Basic Materials	-	2.5%
Communication Services	-	0.1%
Consumer Cyclical	-	5.7%
Consumer Defensive	-	11.5%
Energy	-	5.6%
Financial Services	-	21.2%
Healthcare	-	16.4%
Industrials	-	10.8%
Real Estate	-	-
Utilities	-	6.9%

Return for Risk

SMH vs. DGRO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

SMH

SMH Risk / Return Rank: 96
SMH Sharpe Ratio Rank: 97
SMH Sortino Ratio Rank: 93
SMH Omega Ratio Rank: 94
SMH Calmar Ratio Rank: 97
SMH Martin Ratio Rank: 96

DGRO

DGRO Risk / Return Rank: 78
DGRO Sharpe Ratio Rank: 80
DGRO Sortino Ratio Rank: 84
DGRO Omega Ratio Rank: 78
DGRO Calmar Ratio Rank: 74
DGRO Martin Ratio Rank: 76

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

SMH vs. DGRO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck Semiconductor ETF (SMH) and iShares Core Dividend Growth ETF (DGRO). 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.

	SMH	DGRO	Difference
Sharpe ratio: Return per unit of total volatility	4.27	2.32	+1.96
Sortino ratio: Return per unit of downside risk	4.33	3.37	+0.96
Omega ratio: Gain probability vs. loss probability	1.62	1.42	+0.20
Calmar ratio: Return relative to maximum drawdown	9.26	3.40	+5.86
Martin ratio: Return relative to average drawdown	34.80	13.12	+21.68
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SMH vs. DGRO - Sharpe Ratio Comparison

The current SMH Sharpe Ratio is 4.27, which is higher than the DGRO Sharpe Ratio of 2.32. The chart below compares the historical Sharpe Ratios of SMH and DGRO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	SMH	DGRO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	4.27	2.32	+1.96
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.08	0.77	+0.31
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.13	0.80	+0.33
Sharpe Ratio (All Time) Calculated using the full available price history	0.33	0.76	-0.43

Drawdowns

SMH vs. DGRO - Drawdown Comparison

The maximum SMH drawdown since its inception was -84.96%, which is greater than DGRO's maximum drawdown of -35.10%. Use the drawdown chart below to compare losses from any high point for SMH and DGRO.

Drawdown Indicators

	SMH	DGRO	Difference
Max Drawdown Largest peak-to-trough decline	-84.96%	-35.10%	-49.86%
Max Drawdown (1Y) Largest decline over 1 year	-14.93%	-6.47%	-8.46%
Max Drawdown (3Y) Largest decline over 3 years	-35.74%	-14.03%	-21.71%
Max Drawdown (5Y) Largest decline over 5 years	-45.30%	-19.31%	-25.99%
Max Drawdown (10Y) Largest decline over 10 years	-45.30%	-35.10%	-10.20%
Current Drawdown Current decline from peak	-6.23%	-1.07%	-5.16%
Average Drawdown Average peak-to-trough decline	-41.07%	-3.44%	-37.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.96%	1.67%	+2.29%

Volatility

SMH vs. DGRO - Volatility Comparison

VanEck Semiconductor ETF (SMH) has a higher volatility of 15.45% compared to iShares Core Dividend Growth ETF (DGRO) at 2.32%. This indicates that SMH's price experiences larger fluctuations and is considered to be riskier than DGRO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMH	DGRO	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.45%	2.32%	+13.13%
Volatility (6M) Calculated over the trailing 6-month period	26.71%	6.95%	+19.76%
Volatility (1Y) Calculated over the trailing 1-year period	32.42%	9.52%	+22.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	35.32%	13.82%	+21.50%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	32.75%	16.63%	+16.12%

SMH vs. DGRO - Expense Ratio Comparison

SMH has a 0.35% expense ratio, which is higher than DGRO's 0.08% expense ratio.

Dividends

SMH vs. DGRO - Dividend Comparison

SMH's dividend yield for the trailing twelve months is around 0.18%, less than DGRO's 1.96% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DGRO iShares Core Dividend Growth ETF	1.96%	2.09%	2.26%	2.45%	2.34%	1.93%	2.30%	2.21%	2.44%	2.03%	2.27%	2.52%
SMH VanEck Semiconductor ETF	0.18%	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 DGRO in my portfolio?

SMH and DGRO have a correlation of 0.40, 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 DGRO?

SMH has higher volatility (15.45%) compared to DGRO (2.32%). In terms of maximum drawdown, SMH dropped -84.96% vs DGRO's -35.10%.

Which ETF is better, SMH or DGRO?

On 10-year performance, SMH leads with 36.92% vs 13.26% for DGRO. On fees, DGRO is cheaper at 0.08% per year. On volatility, DGRO has been the lower-risk option at 2.32%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMH or DGRO?

Over the 10-year period, SMH has performed better with a 36.92% return vs 13.26%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMH or DGRO?

DGRO is cheaper with a 0.08% expense ratio, compared with 0.35% for SMH.

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

DGRO has the higher dividend yield at 1.96%, compared with 0.18% for SMH.

What is the main difference between SMH and DGRO?

SMH is categorized as Semiconductors, while DGRO is Large Cap Growth Equities. SMH tracks MVIS US Listed Semiconductor 25 Index, while DGRO tracks Morningstar US Dividend Growth Index. They also come from different issuers: VanEck and iShares. Their fees differ too: 0.35% for SMH and 0.08% for DGRO.

Which has better risk-adjusted returns?

SMH currently has the higher Sharpe Ratio (4.27 vs 2.32), 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.