Here's A Simple Way To Bet On Semiconductor Plays Like NVDA Stock

A new Nasdaq "power trend" has sparked life into last year's downtrodden tech sector. And as semiconductor stocks like Nvidia $NVIDIA (NVDA.US)$ , Taiwan Semiconductor $Taiwan Semiconductor (TSM.US)$ , Advanced Micro Devices and Broadcom $Broadcom (AVGO.US)$ nurture fresh rallies, the VanEck Semiconductor ETF offers investors investors a chance to profit from those moves. The SMH ETF earns a spot alongside other exchange traded funds like SPDR Materials $Materials Select Sector SPDR ETF (XLB.US)$ on IBD Leaderboard.

Before fees and expenses, the SMH fund aims to replicate as closely as possible the price and yield performance of the MVIS U.S. Listed Semiconductor 25 Index. It tries to track overall performance of companies in both the semiconductor production and equipment spaces.

Owning shares in the SMH ETF instantly allows investors to have a stake in NVDA stock, AMD, AVGO, ASML $ASML Holding (ASML.US)$ , Qualcomm $Qualcomm (QCOM.US)$ , Intel $Intel (INTC.US)$ and others in the semiconductor sector. It enables investors to take part in these promising tech trends without taking the risk of betting on any one stock.