The Invesco Dynamic Semiconductors ETF (PSI) is an exchange-traded fund designed to track the performance of companies operating in the U.S. semiconductor industry. The ETF is managed by Invesco and trades under the ticker PSI on the Nasdaq.

Classified as a sector equity ETF, the fund invests in companies engaged in the design, manufacture, and distribution of semiconductors and related components. Its strategy provides investors with targeted exposure to an industry that plays a critical role in the global technology ecosystem and modern manufacturing.

The ETF follows a passive management approach and seeks to replicate the performance of the Dynamic Semiconductor Intellidex Index, which selects and weights semiconductor companies based on a combination of fundamental and quantitative factors, including growth, valuation, quality, and market momentum.

Diversification and sector exposure

PSI provides exposure primarily associated with:

• Semiconductors.

• Chip manufacturing.

• Semiconductor equipment.

• Information technology.

• Artificial intelligence.

• Computing.

• Electronics.

• Hardware.

The portfolio includes companies operating across the semiconductor value chain, including chip designers, manufacturers, equipment suppliers, and businesses supporting technology infrastructure.

The ETF's performance generally reflects developments in the global semiconductor industry, driven by demand for computers, smartphones, data centers, artificial intelligence, electric vehicles, and other electronic devices.

Structure and costs

PSI shares trade on the secondary market on the Nasdaq during regular trading hours. Share creation and redemption occur through authorized participants, a mechanism intended to help align the ETF's market price with its net asset value (NAV).

The fund charges a management fee as outlined in its prospectus and does not apply a performance fee. Dividends received from portfolio holdings may be distributed periodically to shareholders according to the fund's distribution policy.

History and evolution of the ETF

The Invesco Dynamic Semiconductors ETF was launched in 2005 to provide investors with exposure to semiconductor companies through a strategy based on fundamental and quantitative factors.

Since inception, the fund has tracked the expansion of the semiconductor industry, reflecting the growth of cloud computing, mobile devices, artificial intelligence, and the broader digital economy.

In recent years, rising demand for high-performance chips, the expansion of data centers, advances in generative artificial intelligence, and increased investment in technology infrastructure have continued to drive the performance of the companies represented in the ETF's portfolio.

Additional Information

Invesco Dynamic Semiconductors ETF (United States) is an exchange-traded fund (ETF), with assets under management totaling $2.66 billion.

Over the past 12 months, Invesco Dynamic Semiconductors ETF recorded a return of 97.88%, with its price trading between $68.46 and $187.82 during the same period.

The ETF is traded under the ticker PSI.