JP Morgan AM debuts all-country active ETF in triple launch

ETF stream
2024-12-17

JP Morgan Asset Management has extended its active ETF range with all-country equity, Paris-aligned benchmark (PAB) Europe and euro high yield bond strategies, ETF Stream can reveal.

The JPM All Country Research Enhanced Index Equity Active UCITS ETF (JRAW), JPM Europe Research Enhanced Index Equity SRI Paris Aligned Active UCITS ETF (JSEE) and JPM EUR High Yield Bond Active UCITS ETF (JEHY) are listed on the London Stock Exchange, Deutsche Boerse, Borsa Italiana and SIX Swiss Exchange.

The two equity ETFs carry total expense ratios (TERs) of 0.25%, while JEHY boasts a TER of 0.45%.

JRAW captures global large and mid-cap companies and is benchmarked against the MSCI ACWI.

Managed by Piera Elisa Grassi, Raffaele Zingone and Lina Nassar, JRAW seeks to overweight companies with strong forward-looking earnings potential while underweighting overvalued companies.

The ETF is classified Article 8 under the Sustainable Finance Disclosure Regulation (SFDR) and becomes the firm's ninth product in the firm’s $25bn research enhanced index equity ETF range.

JSEE seeks to generate long-term outperformance against the MSCI Europe SRI EU Paris Aligned Benchmark Overlay ESG Custom index by investing in a portfolio of European companies aligned with the Paris Agreement.

JPMAM’s third socially responsible PAB equity ETF also applies the firm’s research enhanced methodology and is classified Article 9 under SFDR.

JEHY becomes the firm’s second active high yield ETF in Europe after ETF Stream revealed the launch of the JPM USD High Yield Bond Active UCITS ETF (JPHY) last month.

Classified Article 8 under SFDR, JEHY is managed by Peter Aspbury and Russell Taylor and aims to achieve long-term returns exceeding the ICE BofA Euro Developed Markets High Yield Constrained index of euro denominated securities below investment grade.

Travis Spence (pictured), global head of ETFs at JPMAM, commented: "The launch of these three new active ETFs underscores our commitment to broadening our existing suites of active ETFs, providing clients with even more opportunities to align their investments with their financial goals and sustainability preferences.

“We are excited to introduce JRAW for investors who prefer the MSCI AWCI index as their global equity benchmark, while JSEE expands our suite of active equity SRI PAB ETFs, complementing JSEU and JSEG.

“In fixed income, where active management is both proven and traditionally preferred, JEHY offers investors access to a fully active European high yield strategy with the added benefits of the ETF structure.”

JPMAM’s recent string of product debuts round off what has been Europe’s most prolific year for active ETF launches. The continent’s active roster now stands at 136 products, according to ETFbook data.

This cadence of demand and launch activity looks set to continue in 2025, with a recent survey by ETF Stream and JPMAM finding 49% of European professional investors plan to increase their allocation to active ETFs over the coming 12 months.

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