Is Buying This Semiconductor ETF the Best Way to Invest in Artificial Intelligence (AI) Stocks?

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By David Jagielski, CPA – Apr 28, 2026 at 11:30AM ESTKey PointsThere are many artificial intelligence (AI) stocks, and you can track the top ones through an exchange-traded fund.The iShares Semiconductor ETF invests in top chipmakers, including Nvidia, Broadcom, and AMD.It has a modest expense ratio of 0.34%.If you've been investing or simply tracking artificial intelligence (AI) stocks, you know that there are plenty of them to choose from. Rather than picking individual ones, what you may want to consider is investing in an exchange-traded fund (ETF) that gives you broad exposure to AI stocks as a whole. The iShares Semiconductor ETF (SOXX 4.83%) focuses on semiconductor companies, which have generated significant growth in recent years due to AI and an increase in tech spending as a whole. This year, the ETF has risen by more than 45%. And over the past five years, it has tripled in value. Could this ETF be the way to invest in AI right now, to ensure you have good exposure to many stocks while keeping your risk relatively low? Image source: Getty Images. The ETF gives you exposure to the biggest players in AI Rather than trying to pick winners in AI, by investing in the iShares Semiconductor ETF, you can get exposure to the big names through just a single investment. That's because this ETF's portfolio features many top AI stocks, including Broadcom, Advanced Micro Devices, and Nvidia -- those stocks are among its largest holdings. There are 30 stocks in its portfolio, suggesting that while it isn't overly diverse, it can still be an effective way to reduce your overall risk. Broadcom is the fund's largest holding, accounting for roughly 8% of the portfolio. That's a decent amount of exposure that offers a good mix. Any more, and you might worry the stock could drag your returns down if it performs poorly, and a far lower rate would mean you might not benefit much from its gains. The ETF's positions in Nvidia and AMD are similar in size, with each holding making up more than 7% of the portfolio. At 0.34%, the fund's expense ratio isn't all that high, and in return, you get an excellent mix of top AI stocks. ExpandNASDAQ: SOXXiShares Trust - iShares Semiconductor ETFToday's Change(-4.83%) $-22.01Current Price$433.40Key Data PointsDay's Range$431.74 - $446.1452wk Range$176.77 - $463.87Volume6.4M Is the iShares Semiconductor ETF a good investment to add to your portfolio right now? If you want to benefit from the growth opportunities from the big players in AI, then it's hard to go wrong with the iShares Semiconductor ETF. It has a good mix of the top stocks that can put you in an excellent position to generate strong returns over the long haul. It's been a good investment in recent years, and if AI spending remains high, that trend can continue in the future. While this is by no means a risk-free investment, it can be a fairly balanced option to consider, and it's an easier alternative than buying AI stocks individually. Read NextApr 23, 2026 •By Katie Brockman4 Brilliant ETFs to Buy in April and Hold for the Next DecadeApr 21, 2026 •By Jeremy BowmanTech Stocks Can't Be Stopped. Has the Iran Decoupling Begun?Apr 21, 2026 •By Jeremy BowmanTrump Just Extended the Iran Ceasefire. Here's What It Means for InvestorsApr 28, 2026 •By Adria CiminoNvidia Just Reached Another Record High.
Is It Too Late to Buy This Hot AI Stock?Apr 28, 2026 •By Rich SmithWhy Advanced Micro Devices Stock Just DroppedApr 28, 2026 •By Selena MaranjianBA: Is Boeing Stock Still Investable?About the AuthorDavid Jagielski, CPA, has been a contributing Motley Fool stock market analyst covering healthcare, consumer staples, consumer discretionary, and technology stocks since 2017. David has more than 10 years of experience in finance roles across businesses of different sizes and sectors. He holds a Certified Public Accountant designation in Canada.TMFdjagielskiStocks MentionediShares Trust - iShares Semiconductor ETFNASDAQ: SOXX$433.48(-4.82%)-$21.94NvidiaNASDAQ: NVDA$209.26(-3.40%)-$7.36Advanced Micro DevicesNASDAQ: AMD$319.00(-4.67%)-$15.64BroadcomNASDAQ: AVGO$395.66(-5.39%)-$22.54*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
