In a three-dimensional transistor configuration, a strain-inducing isolation material is provided, at least in the drain and source areas, thereby inducing a strain, in particular at and in the vicinity of the PN junctions of the three-dimensional transistor. In this case, superior transistor performance may be achieved, while in some illustrative embodiments even the same type of internally stressed isolation material may result in superior transistor performance of P-channel transistors and N-channel transistors.