J.P. Morgan Asset Management Launches Two Active ETFs: JTEK and JDOC

Rhea-AI Summary

J.P. Morgan Asset Management has launched two actively-managed ETFs, JPMorgan U.S. Tech Leaders ETF (JTEK) and JPMorgan Healthcare Leaders ETF (JDOC), listed on the Nasdaq Stock Market. JTEK invests in technology and technology-enabled companies, while JDOC invests in healthcare companies. Both funds aim to provide long-term capital appreciation. JTEK employs a flexible, all-cap approach and is managed by Joseph Wilson and Eric Ghernati. JDOC is managed by Matt Cohen, Holly Morris, and Dominic Valder. The funds are priced at 65 basis points.

Positive

• J.P. Morgan Asset Management is a top ten ETF issuer in the U.S.
• JTEK invests in technology and technology-enabled companies.
• JDOC invests in pharmaceutical, biotechnology, healthcare services, healthcare technology, medical technology, and life sciences companies.
• Both funds aim to provide long-term capital appreciation.
• JTEK employs a flexible, all-cap approach to investing.
• JDOC is managed by a team with over 10 years of an established track record.

Negative

• None.

Funds seek to deliver JPM active management expertise and risk controls through ETF technology

NEW YORK, Nov. 2, 2023 /PRNewswire/ -- J.P. Morgan Asset Management today announced the launch of two actively-managed ETFs, JPMorgan U.S. Tech Leaders ETF (JTEK) and JPMorgan Healthcare Leaders ETF (JDOC) on the Nasdaq Stock Market.

JPMorgan U.S. Tech Leaders ETF (JTEK) invests primarily in equity securities issued by technology and technology-enabled companies that develop or harness new technologies to reimagine products, establish new markets or attain leadership in existing markets. JTEK employs a flexible, all-cap approach to investing and leverages the long tenured U.S. Technology Leaders strategy. JTEK was listed on the Nasdaq Stock Exchange on October 5, 2023.

The strategy is run by managing director Joseph Wilson and executive director Eric Ghernati who also currently serve as co-portfolio managers of the J.P. Morgan U.S. Technology Leaders Strategy.

JPMorgan Healthcare Leaders ETF (JDOC) seeks to provide long-term capital appreciation by primarily investing in equity securities issued by pharmaceutical, biotechnology, healthcare services, healthcare technology, medical technology and life sciences companies. Leveraging an existing healthcare strategy with a strong performance track record, J.P. Morgan Asset Management has created JDOC to provide a differentiated solution that can be broadly accessed by our clients. JDOC was listed on the Nasdaq Stock Exchange on November 2, 2023.

The strategy is led by a proven team of managing director Matt Cohen, M.D., managing director Holly Morris, and executive director Dominic Valder, with over 10 years of an established track record.

"Technology and healthcare play a vital role in investor portfolios," said Bryon Lake, Global Head of ETF Solutions at J.P. Morgan Asset Management. "We're excited to offer our clients these attractive new strategies that can help them achieve the right balance of active security selection, while maintaining thoughtful portfolio construction and risk management."

J.P. Morgan Asset Management ranks as a top ten ETF issuer in the U.S. with respect to AUM, and number one year to date in net active flows across active ETFs in the U.S.¹

Both funds will be priced at 65 basis points.

About J.P. Morgan Asset Management

J.P. Morgan Asset Management, with assets under management of $2.8 trillion (as of 6/30/2023), is a global leader in investment management. J.P. Morgan Asset Management's clients include institutions, retail investors and high net worth individuals in every major market throughout the world. J.P. Morgan Asset Management offers global investment management in equities, fixed income, real estate, hedge funds, private equity and liquidity. For more information: www.jpmorganassetmanagement.com. J.P. Morgan Asset Management is the marketing name for the asset management businesses of JPMorgan Chase & Co., and its affiliates worldwide. 

JPMorgan Chase & Co. (NYSE: JPM) is a leading financial services firm based in the United States of America ("U.S."), with operations worldwide. JPMorgan Chase had $3.9 trillion in assets and $313 billion in stockholders' equity as of June 30, 2023. The Firm is a leader in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing and asset management. Under the J.P. Morgan and Chase brands, the Firm serves millions of customers in the U.S., and many of the world's most prominent corporate, institutional and government clients globally. Information about JPMorgan Chase & Co. is available at www.jpmorganchase.com.

Investors should carefully consider the investment objectives and risks as well as charges and expenses of an ETF before investing. The summary and full prospectuses contain this and other information about the ETF and should be read carefully before investing. To obtain a prospectus: Call 1-844-4JPM-ETF.

Risk Summary, JTEK: Investments that are concentrated in a single industry, region, or issuer do not represent a complete investment program and may lead to a higher degree of market risk.

Risk Summary, JDOC: Companies in the healthcare sector are subject to extensive government regulation and their profitability can be significantly affected by restrictions on government reimbursement for medical expenses, rising costs of medical products and services, pricing pressure, limited product lines and an increased emphasis on the delivery of healthcare through outpatient services.  Companies in the healthcare sector are heavily dependent on obtaining and defending patents, which may be time consuming and costly. The expiration of patents may adversely affect the profitability of these companies. Healthcare companies are also subject to extensive litigation based on product liability and similar claims. In addition, their products can become obsolete due to industry innovation and changes in technologies. Developments affecting the healthcare sector and industries within this sector may have a disproportionate impact on this investment.

J.P. Morgan Distribution Services, Inc., member FINRA

NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE

¹ Data according to Bloomberg as of October 24, 2023.

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SOURCE J.P. Morgan Asset Management

FAQ

What are the names of the two ETFs launched by J.P. Morgan Asset Management?

The two ETFs launched by J.P. Morgan Asset Management are JPMorgan U.S. Tech Leaders ETF (JTEK) and JPMorgan Healthcare Leaders ETF (JDOC).

What types of companies does JTEK invest in?

JTEK primarily invests in equity securities issued by technology and technology-enabled companies.

What types of companies does JDOC invest in?

JDOC primarily invests in equity securities issued by pharmaceutical, biotechnology, healthcare services, healthcare technology, medical technology, and life sciences companies.

What is the investment strategy of JTEK?

JTEK employs a flexible, all-cap approach to investing.

Who are the portfolio managers of JTEK?

JTEK is managed by Joseph Wilson and Eric Ghernati.

Who are the portfolio managers of JDOC?

JDOC is managed by Matt Cohen, Holly Morris, and Dominic Valder.

What is the pricing of both funds?

Both funds are priced at 65 basis points.