ETFdb Logo
  • ETF Database
  • Channels
    • Themes
      • Active ETF
      • Alternatives Channel
      • Artificial Intelligence
      • China Insights
      • Climate Insights
      • Core Strategies
      • Crypto
      • Disruptive Technology
      • Energy Infrastructure
      • ETF Building Blocks
      • ETF Education
      • ETF Investing
      • ETF Strategist
      • Faith-Based Investing
      • Financial Literacy
      • Fixed Income
      • Free Cash Flow
      • Innovative ETFs
      • Invest Beyond Cash
      • Leveraged & Inverse
      • Modern Alpha
      • Portfolio Strategies
      • Tax Efficient Income
    • Asset Class
      • Equity
        • U.S. Equity
        • Int'l Developed
        • Emerging Market Equities
      • Alternatives
        • Gold/Silver/Critical Materials
        • Crypytocurrency
        • Currency
        • Volatility
      • Fixed Income
        • Investment Grade Corporates
        • US Treasuries & TIPS
        • High Yield Corporates
        • Int'l Fixed Income
    • ETF Ecosystem
    • ETFs in Canada
    • Market Outlook
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Database Categories
    • Indexes
    • Scenario Analysis
    • Watchlists
    • Head-To-Head ETF Comparison Tool
    • Mutual Fund To ETF Converter
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF of the Week Podcast
    • Gaining Perspective Podcast
    • ETF Prime Podcast
    • Video
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Leveraged & Inverse ETF Channel
  2. Final Vote on Semiconductor Bill Might Boost These ETFs
Leveraged & Inverse ETF Channel
Share

Final Vote on Semiconductor Bill Might Boost These ETFs

Ben HernandezAug 02, 2022
2022-08-02

The U.S. semiconductor industry is looking to wean itself off dependence on China for chip technology, and it’s inching closer. Per an NPR report, a bill that would help boost competitiveness of U.S. semiconductors cleared a procedural vote in the Senate.

Next up, a final vote will push the Creating Helpful Incentives to Produce Semiconductors (CHIPS) bill through the Senate. The bill itself will allow for $54 billion in grants for semiconductor manufacturing and research, as well as additional government funding to support tech hubs and tax credits.

“We used to make 40% of the world’s chips, we make about 12% now,” said Secretary of Commerce Gina Raimondo during a virtual roundtable discussion with U.S. President Joe Biden. “The reality is, while we have invested nothing to spur domestic chip manufacturing, China has invested more than $150 billion to build their own domestic capacity. So we’re very much behind.”

It’s a bold move forward for the U.S. chip industry after the Congressional Research Service cited that four-fifths of global fabrication capacity was located in Asia (based on data from 2019). The Biden administration said that boosting the domestic chip industry will help ease supply chain disruptions, giving bullish semiconductor industry investors much to cheer about.

The overarching theme is to boost the broader technology sector. In a world where technology constitutes a certain degree of global economic power, innovation is a must.

“Chips alone are not going to be sufficient to preserve U.S. technology leadership, which is why we need the rest of the innovation bill so that we invest not just in the core technology powering innovation today, but also the technologies that will power innovation tomorrow,” said National Security Adviser Jake Sullivan.

2 ETFs to Play the Move

For a more targeted trading approach on semiconductors, consider the Direxion Daily Semiconductor Bull 3X ETF (SOXL B+). SOXL seeks daily investment results equal to 300% of the daily performance of the PHLX Semiconductor Sector Index, which measures the performance of domestic companies engaged in the design, distribution, manufacture, and sale of semiconductors.

For a broader play on the tech sector, traders can look at the Direxion Daily Technology Bull 3X ETF (TECL A-). The fund seeks daily investment results, before fees and expenses, of 300% of the daily performance of the Technology Select Sector Index, which focuses on U.S. tech companies.

For more news, information, and strategy, visit the Leveraged & Inverse Channel.


Content continues below advertisement

Loading Articles...
Our Sites
  • VettaFi
  • Advisor Perspectives
  • ETF Trends
Tools
  • ETF Screener
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Database Pro
More Tools
  • Financial Advisor & RIA Center
Explore ETFs
  • ETF News
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Information
  • Contact Us
  • Terms of Use and Privacy Policy
  • © 2025 VettaFi LLC. All rights reserved.

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X