Date updated:10-04-2007
SMH is an ETF that tracks the major companies in the semiconductor industry. As of October 2, 2007, it was up 15.78% YTD. SMH is managed by Merrill Lynch and contains 20 stocks, which will not change unless there is a "reconstitution event".
I'm assembling this portfolio that tracks SMH as well as its component stocks. The question is - in the long run, is it better to buy SMH or one or more of the companies SMH tracks?

-
SMH
Ml Semicond Hldr1 - $25.27
- +3.18%
- $24.81

-
INTC
Intel Corporation - $19.46
- +2.80%
- $19.15
As of August 31, 2007, INTC was 20.36% of SMH's assets. INTC's YTD growth was 32.26%.

-
TXN
Texas Instruments - $24.63
- +2.45%
- $24.15
As of August 31, 2007, TXN was 27.03% of SMH's assets. TXN's YTD growth was 27.93%.

-
AMAT
Applied Materials - $12.98
- +4.68%
- $12.65
As of August 31, 2007, AMAT was 14.64% of SMH's assets. AMAT's YTD growth was 18.21%

-
ADI
Analog Devices - $27.13
- +2.30%
- $26.68
As of August 31, 2007, ADI was 5.17% of SMH's assets. ADI's YTD growth rate was 11.42%.

-
KLAC
Kla-tencor Corpor - $33.47
- +1.86%
- $33.08
As of August 31, 2007, KLAC was 4.45% of SMH's assets. KLAC's YTD growth rate was 11.75%.

-
LLTC
Linear Technology - $27.37
- +2.43%
- $26.91
As of August 31, 2007, LLTCwas 4.55% of SMH's assets. ADI's YTD growth rate was 17.58%.

-
NSM
Natl Semiconducto - $13.65
- +3.49%
- $13.33
As of August 31, 2007, NSM was 4.24% of SMH's assets. ADI's YTD growth rate was 19.22%.
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A. The tax issue is only one reason. If
the shareholders approve, ESV will move
its corporate HQS to UK. It does not
change their operations. Their key
customers are in Europe and the move
will purportedly give them better access
to European institutional investors.
The only thing I see is that the street
may see additional expenses in the move
that might cause some short term
weakness or maybe the street doesn't buy
their reasoning... Just my thoughts on
it...
A. The only one I own : SLX,
too hard pick a winner out all of them
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