Billions Are Pouring Into Chipmaker ETFs Stung by Stock Drops

  • ETFs mirror the over 20% drop in semiconductor index this year
  • Signals widespread bets on industry’s long-term prospects

Demand for semiconductors remain sky-high, with industry sales jumping by more than 20% each month for almost a year already. 

Photographer: Kobi Wolf/Bloomberg
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Investors are flooding into exchange-traded funds focused on semiconductor stocks, wagering the industry will rebound from the supply-chain snags and chip shortage that have dragged the shares lower.

Semiconductor ETFs have seen roughly $6.8 billion of inflows since the beginning of the year, surpassing the $5.2 billion for all of 2021 and the $2.1 billion for the year before, according to data compiled by Bloomberg.