Diversified Stock Portfolio: 5 Sector ETFs and International ETFs To Buy

1. VanEck Semiconductor ETF (NASDAQ:SMH)

5-Year Share Price Performance as of March 15: 308.09%

VanEck Semiconductor ETF (NASDAQ:SMH) is a top choice for a diversified stock portfolio. It aims to closely track the price and yield performance of the MVIS US Listed Semiconductor 25 Index, which represents companies involved in semiconductor production and equipment. Introduced on December 20, 2011, the ETF manages net assets totaling $19.09 billion as of March 15, 2024, with an expense ratio of 0.35%. Its portfolio includes 26 stocks as of March 14, 2024.

NVIDIA Corporation (NASDAQ:NVDA) is the top holding of the VanEck Semiconductor ETF (NASDAQ:SMH). The company offers graphics, compute, and networking solutions worldwide. On February 22, NVIDIA Corporation (NASDAQ:NVDA) declared a $0.04 per share quarterly dividend, in-line with previous. It is to be paid on March 27 to shareholders on record as of March 6.

According to Insider Monkey’s fourth quarter database, 173 hedge funds were bullish on NVIDIA Corporation (NASDAQ:NVDA), compared to 180 funds in the last quarter. Rajiv Jain’s GQG Partners held a significant position in the company, with 13.9 million shares valued at $6.89 billion.

Alger Spectra Fund stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2023 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) is a leading supplier of graphics processing units (GPUs) for a variety of end markets, such as gaming, PCs, data centers, virtual reality and high-performance computing. The company is leading in most secular growth categories in computing, and especially artificial intelligence and super- computing parallel processing techniques for solving complex computational problems. Simply put, Nvidia’s computational power is a critical enabler of Al and therefore critical to Al adoption, in our view. During the period, shares contributed to performance as Nvidia reported solid fiscal third quarter results well above analyst expectations, driven by strong demand from data centers. Growing Al data center workloads are driving demand for the increased interconnections and fully accelerated software stacks, thereby enabling leading application performance and fast result times.”

Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily enewsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below. You can also check out 11 Best Diversified Bank Stocks to Invest In and 10 Biggest Lithium Stocks to Invest In.