J.P. Morgan Exchange-Traded Fund Trust - JPMorgan Active Developing Markets Equity ETF (JADE)

Overview

The JPMorgan Active Developing Markets Equity ETF (JPMD) is an actively managed fund that seeks long-term capital appreciation by investing primarily in equity securities of companies located in developing markets. The ETF offers exposure to a broad range of emerging market equities, selected using a fundamental, bottom-up investment approach.

Reputation and Reliability

JPMorgan is a well-established and reputable financial institution with a long history of managing investment funds.

Management Expertise

The management team consists of experienced investment professionals with deep expertise in emerging markets equity investing.

Goal

To achieve long-term capital appreciation by investing in developing markets equity securities.

Investment Approach and Strategy

Strategy: The ETF employs an active management strategy, selecting investments based on fundamental research and analysis rather than tracking a specific index.

Composition The ETF primarily holds stocks of companies located in developing markets.

Market Share: Data unavailable to calculate market share accurately.

Total Net Assets (AUM): 204331819

Key Competitors

• IEMG
• VWO
• SPEM
• EEM

Competitive Landscape

The emerging markets ETF space is highly competitive, dominated by large, passively managed funds like IEMG and VWO. JPMD's active management approach differentiates it, but it faces the challenge of outperforming these low-cost index trackers. Advantages include potential for alpha generation through stock selection; disadvantages include higher expense ratio and potential for underperformance relative to the benchmark.

Historical Performance: Historical performance data unavailable. Refer to fund factsheet.

Benchmark Comparison: Benchmark comparisons require specific performance data not available from the public source.

Expense Ratio: 0.39

Average Trading Volume

The ETF exhibits moderate liquidity with an average trading volume which can affect trade execution.

Bid-Ask Spread

The bid-ask spread for JPMD is variable, impacted by trading activity and market fluctuations.

Market Environment Factors

Economic growth rates in developing markets, geopolitical stability, currency fluctuations, and commodity prices can significantly impact JPMD's performance.

Growth Trajectory

JPMD's growth trajectory depends on the overall performance of developing markets, successful stock selection by the fund's managers, and investor demand for active emerging markets exposure. Changes in strategy and holdings are at the discretion of the fund managers based on market conditions.

Competitive Edge

JPMD's competitive edge lies in its active management approach, which allows the fund managers to select securities based on fundamental research and analysis, potentially outperforming passive benchmarks. This approach allows for strategic allocation to companies and sectors with the highest growth potential, navigating market inefficiencies and capturing alpha. The expertise of the JPMorgan investment team adds further value. However, active management is not guaranteed and may result in over or under performance compared to passive EM ETFs.

Volatility

JPMD's volatility is influenced by the inherent volatility of developing markets, which are often subject to greater economic and political uncertainty compared to developed markets.

Market Risk

Specific market risks include currency risk, political risk, and regulatory risk associated with investing in developing markets. Changes in global trade policies and economic sanctions can also impact the ETF's performance.

Ideal Investor Profile

JPMD is suitable for investors seeking long-term capital appreciation through exposure to developing markets equities. The ETF is suitable for those who believe in active management's potential to outperform passive index funds.

Market Risk

JPMD is best suited for long-term investors with a higher risk tolerance due to the inherent volatility of emerging markets.

The JPMorgan Active Developing Markets Equity ETF (JPMD) offers actively managed exposure to developing market equities. While it benefits from JPMorgan's investment expertise, it also carries risks associated with active management and emerging markets volatility. Investors should carefully consider their risk tolerance and investment objectives before investing in JPMD. It could offer potential alpha but comes at a higher expense ratio and might not always perform up to expectations. JPMD provides an opportunity to invest in developing markets with a specific active investment strategy.

Data Sources:

• JPMorgan Asset Management Website
• ETF.com
• Morningstar.com

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Market share data is based on available estimates and may not be precise. Total Net Assets data is approximate and based on the most recent available data, which is as of Dec 31st, 2023.