Fidelity MSCI Information Technology Index ETF

FTEC

Market cap $16.8B

FTEC charges a much lower expense ratio than SOXX, offering an advantage for fee-conscious investors. SOXX is more concentrated in semiconductors, whereas FTEC offers broader exposure to the tech sector.

The Fidelity MSCI Information Technology Index ETF (FTEC) was launched on October 21, 2013, and is a passively managed exchange traded fund designed to offer broad exposure to the Technology - Broad segment of the equity market.

VGT holds a much larger asset base and slightly more holdings than FTEC, but both funds track the same sector with near-identical allocations. FTEC comes in with a marginally lower expense ratio, while VGT offers a slightly higher dividend yield.

The Fidelity MSCI Information Technology Index ETF offers diversified, low-cost exposure to U.S. technology stocks, with strong historical outperformance versus peers. FTEC's portfolio is heavily weighted toward semiconductors (31%), with large caps comprising 76% of holdings and a low 0.08% expense ratio. The ETF has delivered robust annualized returns: 21.97% over 10 years, 17.57% over 5 years, and 32.92% over 3 years.

Both funds deliver nearly identical sector exposure and recent performance, with a minimal expense difference. Top holdings are similar, but VGT holds more stocks overall.

FTEC and VGT deliver near-identical exposure, sector weights, and top holdings within U.S. technology stocks VGT manages a far larger asset base and trades with higher liquidity, but charges a nearly identical expense ratio to FTEC Both ETFs show similar recent returns and risk profiles, with negligible differences in yield and drawdown

The iShares Semiconductor ETF (SOXX) and the Fidelity MSCI Information Technology Index ETF (FTEC) differ in breadth, cost, and risk. SOXX focuses on semiconductor stocks with greater potential gains but higher volatility.

The tech sector is among the best-performing corners of the market so far in 2025, with sector-wide returns of nearly 28% year-to-date (YTD) compared to over 17% for the overall S&P 500. In fact, the tech sector's performance—and the outsized returns of a handful of big names in particular—has been enough to prompt speculation among investors about an AI-related bubble that could be helping prop up other large chunks of the market that would otherwise be struggling.

The Fidelity MSCI Information Technology Index ETF (FTEC) was launched on October 21, 2013, and is a passively managed exchange traded fund designed to offer broad exposure to the Technology - Broad segment of the equity market.

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