SMH’s top 10 holdings combine for 64.5% of the ETF’s weight.
“But skepticism is creeping in from other regions of the Street, as well. Short interest in the semiconductor ETF rose by almost 29% during the last reporting period. Going back even further, short interest is up almost 62% since mid-February,” according to Schaeffer’s.
Investors have allocated $146.2 million to SMH this year.
Traders looking to make bearish bets on chip ETFs can consider the ProShares UltraShort Semiconductors (NYSEArca: SSG), which takes the -2x or -200% daily performance of the Dow Jones U.S. Semiconductors Index and the Direxion Daily Semiconductors Bear 3x Shares (NYSEArca: SOXS), which provides a -3x or -300% performance of the PHLX Semiconductor Select Index.
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