Global X Semiconductor ETF Guide (ASX: SEMI): What Is It All About?

The SEMI ETF, officially the Global X Semiconductor ETF (ASX:SEMI), gives investors exposure to a concentrated portfolio of global companies involved in the design, manufacture, equipment and supply chain of semiconductors. For investors, the real question is not just what the fund holds, but whether this is the right way to access the theme compared with broader tech ETFs or overseas semiconductor funds.

ETF at a glance

Australian investors should check four things before buying this ETF:

• Where it is listed: ASX
• Fund domicile: Australia
• Whether there is an ASX equivalent: It is already an ASX-listed local wrapper for semiconductor exposure
• Whether the exposure is hedged or unhedged to AUD: Unhedged

SEMI is one of the cleaner examples of an Australia-first thematic ETF. You do not need to go offshore to buy it, and Global X states that the fund is Australian-domiciled and structured as a managed investment scheme. That makes it far easier for local investors to access than a U.S.-listed semiconductor ETF bought directly on a foreign exchange.

The trade-off is that you are still taking full global semiconductor equity risk and full foreign-currency risk. So while the access is local and simple, the underlying exposure remains global, concentrated and volatile.

What does the ETF actually do?

SEMI seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Solactive Global Semiconductor 30 Index. In simple terms, it gives Australian investors a concentrated basket of major listed semiconductor businesses through one ASX trade.

The theme is easy to understand. Semiconductors sit at the centre of AI infrastructure, data centres, smartphones, industrial automation, EVs, defence electronics and cloud computing. That gives the ETF a long-term structural growth story, but it also means the fund is heavily tied to one global industry cycle.

What SEMI is not is a broad global technology ETF. It is narrower than NDQ, much narrower than VGS or BGBL, and more cyclical than a diversified core global shares fund.

What is inside the fund?

The fund holds just 30 companies, so this is a concentrated portfolio by design. That can be attractive when the semiconductor cycle is strong, but it also raises volatility and single-stock concentration compared with broader technology or global equity ETFs.

Top holdings

The top of the portfolio is dominated by exactly the names you would expect in a semiconductor ETF: foundries, chip designers and equipment makers. TSMC, ASML, NVIDIA, Broadcom and Micron are all major drivers of industry capex and AI-linked demand. The concentration is high enough that stock-specific moves can materially affect short-term returns.

Country exposure

The portfolio is globally diversified across chip value-chain leaders, but it is not diversified by sector. This is essentially a single-industry fund.

How the ETF works

The underlying benchmark is the Solactive Global Semiconductor 30 Index. The benchmark is designed to capture listed companies involved in the semiconductor industry, and Global X states that the ETF seeks to track it before fees and expenses.

The fund and index are rebalanced quarterly. That matters because semiconductor leadership can shift quickly as end markets move between memory, AI accelerators, foundry capacity and equipment cycles.

For Australians, the key takeaway is that SEMI is a rules-based pure-play thematic ETF. It is not actively managed, and it is not trying to smooth out the semiconductor cycle. If the theme does well, SEMI should participate strongly. If the theme struggles, there is very little diversification to cushion it.

Currency setup: SEMI is not currency hedged.

That means Australian investors are exposed not only to the underlying semiconductor shares, but also to movements in the Australian dollar against currencies such as the U.S. dollar, New Taiwan dollar, euro, Korean won and yen. In practice, the U.S. dollar component tends to dominate, but it is still a multi-currency portfolio.

• Base currency: AUD NAV quoted locally
• Trading currency for Australians: ASX-traded in Australian dollars
• Hedged to AUD? No
• Main currency risk: AUD strength can reduce local returns even when the underlying shares rise

That is an important decision point. If you already have a lot of unhedged global equity exposure, SEMI adds even more foreign-currency sensitivity on top of a volatile industry theme.

Tax notes

Because SEMI is Australian-domiciled and ASX-listed, the tax/admin experience is generally simpler for Australians than buying an offshore semiconductor ETF directly. You would usually expect local issuer reporting rather than the extra cross-border admin that can come with foreign-listed ETFs.

• Fund domicile: Australian
• Likely tax reporting document: Annual ETF tax statement / local issuer tax reporting
• Foreign income considerations: Underlying holdings are global, so parts of distributions may still have foreign income components
• Potential foreign tax offset issue: Possible depending on underlying withholding taxes and statement breakdown
• Extra cross-border admin? Usually less than buying a U.S.-listed ETF directly

Performance and income

SEMI has delivered very strong returns over the last year and since inception, but that needs to be read in context: semiconductor ETFs can be among the most cyclical and sentiment-driven parts of the listed technology universe.

SEMI’s 12-month yield was listed at 4.95% as at 27 February 2026, with semi-annual distributions. The most recent distribution was 3.50 cents per unit with a 31 December 2025 ex-date, while the June 2025 distribution was much larger. That highlights why investors should not treat recent distributions as a stable cash-income stream in the same way they might for a defensive income ETF.

As a thematic equity ETF on the ASX, SEMI is easy to trade locally, but daily liquidity is still lower than mega-ETFs like IVV, VAS or NDQ. For many retail investors that will not matter much, but limit orders are still sensible practice in narrower thematic funds.

Key risks

• Semiconductor cycle risk: Demand, capex and inventory cycles can turn quickly, especially in memory and equipment.
• Concentration risk: The fund only holds 30 names and is heavily exposed to a few global leaders.
• Technology sector risk: It is effectively a pure Information Technology sector portfolio.
• Currency risk: Returns for Australians are affected by AUD movements because the ETF is unhedged.
• Geopolitical and supply-chain risk: The semiconductor industry is exposed to Taiwan risk, export controls and global manufacturing bottlenecks.

In short, SEMI is a compelling satellite ETF when the semiconductor theme is working, but it is not a defensive or diversified core holding. Australians using it should usually think of it as a high-conviction thematic sleeve rather than a portfolio foundation.

ASX:SEMI ETF alternatives

Australians who like the semiconductor theme should still compare SEMI with broader or differently structured local tech ETFs before buying.

Choose SEMI if you specifically want the semiconductor value chain. Choose NDQ or TECH if you want a broader technology allocation with less dependence on one industry cycle.

Final verdict

SEMI is one of the most direct ways for Australians to buy the semiconductor theme on the ASX. The local wrapper solves the access problem neatly: it is Australian-domiciled, ASX-traded, and comes with local issuer documentation rather than offshore admin.

But the investment case is still highly concentrated. This is not a substitute for a core global shares ETF. It is better understood as a satellite position for investors who want a strong view on semiconductors, AI infrastructure and chip-cycle demand.

Frequently asked questions

What does the SEMI ETF invest in?

SEMI invests in a concentrated portfolio of global semiconductor companies tracked through the Solactive Global Semiconductor 30 Index.

Can Australians buy the SEMI ETF directly?

Yes. It is listed on the ASX and is straightforward for Australians to buy through a local broker.

Is there an ASX-listed equivalent?

SEMI is already the main ASX-listed semiconductor pure-play. The closest broader alternatives are NDQ and TECH.

Is the exposure hedged to AUD?

No. Global X states that SEMI is not currency hedged.

Is SEMI a good fit for long-term investors?

It can be, but usually as a satellite allocation. It is too concentrated and theme-driven to act as a core portfolio holding for most investors.

What is the main risk for Australian investors?

The main risks are semiconductor industry cyclicality, stock concentration and unhedged foreign-currency exposure.