On Thursday, J.P. Morgan Asset Management announced the launch of two active equity ETFs, JPMorgan ActiveBuilders U.S. Large Cap Equity ETF (JUSA) and JPMorgan ActiveBuilders International Equity ETF (JIDA). The funds join JPMorgan ActiveBuilders Emerging Markets Equity ETF (JEMA) to round out J.P. Morgan Asset Management’s ActiveBuilders ETF core equity suite.
Delivered through the transparent active ETF structure, all three funds will employ the expertise of the JPM Global Equities platform’s qualitative and quantitative insights. The ActiveBuilders core equity suite seeks to improve returns and better-manage risk across the U.S., EMEA, and emerging markets within a low-cost ETF structure.
“We’re excited to harness the full scale of J.P. Morgan’s Global Equity Platform to deliver a core equity suite that looks to offer investors premier active management capabilities to help them meet their goals – combining the low cost, tax-efficient beta of a passive ETF with the value add of active management. Whether it is retail investors looking to meet their retirement goals or sophisticated asset allocators who are seeking to differentiate their portfolios by going beyond fee budgets, ActiveBuilders offer another way to enhance equity exposure while managing costs and potentially avoiding outsized manager risks,” said Bryon Lake, Head of Americas ETF Client at J.P. Morgan Asset Management. “JUSA, JIDA, and JEMA each offers the ability for investors to potentially strengthen their core portfolios and broader asset allocation strategy by combining JPMorgan’s fundamental insights with the lower fees and tracking error of passive investing.”
Now Joining J.P. Morgan
The JPMorgan ActiveBuilders U.S. Large Cap Equity ETF (JUSA) seeks to provide long-term capital appreciation. In implementing its strategy, the fund invests primarily in equity securities of large, well-established companies in the United States, seeking to outperform the S&P 500 Index over time while maintaining similar risk characteristics. The fund leverages the best ideas across J.P. Morgan’s Global Equities platform and the tenured investment team, comprising more than 35 years of combined experience co-headed by portfolio managers Davis Jiang and Tim Snyder, based in New York.
The JPMorgan ActiveBuilders International Equity ETF (JIDA) seeks to provide long-term capital appreciation. In implementing its strategy, the fund invests primarily in international equity securities of various market capitalizations, seeking to outperform the MSCI EAFE Index over time while maintaining similar risk characteristics, including sector and geographic risks. The fund is co-headed by portfolio managers Nick Horne, Philippa Clough, and Bruno Baisch, all based in London.
“As long-term capital market assumption trends shift and we enter a new economic and business cycle, investors demand the tools to efficiently adjust their equity exposures to improve alpha,” said Paul Quinsee, Global Head of Equities, J.P. Morgan Asset Management, who oversees JPMAM’s $550 billion Equity Franchise. “The ActiveBuilders equity suite seeks to benefit from the full breadth of our active management capabilities, timely market views, and deep local expertise so that investors can feel confident in our commitment to unlock better outcomes.”
The launch of JUSA and JIDA expands J.P. Morgan Asset Management’s full U.S. ETF suite to 36 products, which hold more than $64 billion in assets under management. J.P. Morgan Asset Management ranks as a top ten ETF issuer with respect to AUM and net flows across the active fund and ETF industry for 2021.
J.P. Morgan’s Global Equities platform manages $700 billion across US Equity ($396bn), International Equity ($119bn), and EMEA ($184bn) investment strategies. With collaboration among 370 equity investment professionals and an average of 13 years of experience across seven locations, J.P. Morgan has been managing equity strategies for more than 30 years.
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