A Safe-Haven, Active Bond ETF for a Rising Rate Environment

J.P. Morgan Asset Management has rolled out an actively managed short-term bond exchange traded fund to help investors generate income beyond that of traditional money market funds while diminishing volatility and duration exposure.

On Friday, J.P. Morgan launched the JPMorgan Ultra-Short Income ETF (JPST).

The active bond ETF leverages the expertise of J.P. Morgan’s Global Liquidity business and will be managed by the J.P. Morgan Investment Management team, including James McNerny, Ioana Martin, David Martucci, Cecilia Junker and Kyongsoo Noh.

“J.P. Morgan is a leading global fixed income manager with deep experience in all areas of the market,” Martucci said in a note. “The JPMorgan Ultra-Short Income ETF is a natural extension of our well-established Global Liquidity platform and offers our clients another smart option.”

“JPST taps into J.P. Morgan’s deep bench of talent and investment capabilities,” Bob Deutsch, U.S. Head of ETFs for J.P. Morgan Asset Management, said in a note. “In a rising interest rate environment, investors are increasingly looking for a safe haven to park their cash and mitigate risk, and we are proud to offer an innovative solution to help our clients build stronger portfolios.”