A field effect transistor is formed as follows. A trench is formed in a semiconductor region. A dielectric layer lining the trench sidewalls and bottom is formed. The trench is filled with a conductive material. The conductive material is recessed into the trench to thereby form a shield electrode in a bottom portion of the trench. The recessing of the conductive material includes isotropic etching of the conductive material. An inter-electrode dielectric (IED) is formed over the recessed shield electrode.