Latest news with #JEPI
Yahoo
4 hours ago
- Business
- Yahoo
Active ETFs Catch a Wave of Investor Interest
Rising fund inflows underscore a broader shift in investor preference toward actively managed ETFs. According to JPMorgan, over 39% of ETF flows in 2025 have been directed toward active strategies. Supporting this trend, 34% of ETF allocations in April went to active ETFs, per ETF Action, as quoted on Investopedia. This highlights a broader shift in investor preference, with investors increasingly moving away from passive ETFs in favor of active approaches. Let's take a closer look at the factors behind the rise of active ETFs. Per JPMorgan, of all the fund launches this year, active funds accounted for 94% of all ETF launches in 2025. Last month, 46 active ETFs were launched, injecting momentum into the industry. Deloitte's Center for Financial Services forecasts that U.S. active ETF assets under management (AUM) will soar from $856 billion in 2024 to $11 trillion by 2035, marking a 13-fold increase. By that time, active ETFs are expected to represent 27% of total ETF AUM. Per ETF Trends, continued innovation within ETFs is expected to sustain strong interest in active ETFs. Over the past year, inverse ETFs, leveraged ETFs and options-based ETFs have entered the market, expanding the options available to advisors and investors. As investors become more aware and performance data on active ETFs becomes more widely available and transparent, demand and fund inflows into these products are expected to accelerate. According to Deloitte, one of the most important factors driving the growth in actively managed funds is investors shifting away from mutual funds toward ETFs, induced by lower ETF expense ratios for comparable strategies. This year has been marked by volatility, which has created an environment suitable for active managers to exploit opportunities and potentially outperform the passive funds. Investors are turning bullish and becoming less sensitive to uncertainties caused by tariffs. According to YCharts, the percentage of investors who are bullish on the market has increased since late February. The adoption of active ETFs is expected to grow among both institutional and retail investors. Per Investopedia, the recent surge in active fund inflows is largely driven by retail investors, especially younger and more aggressive traders. Below, we highlight a few active funds for investors to consider. JPMorgan Equity Premium Income Fund employs a covered call strategy, selling call options on top of a stock portfolio to generate income in the form of option premiums. The fund has amassed an asset base of $39.79 billion and charges an annual fee of 0.35%. JEPI has a one-month average trading volume of about 5.05 million shares. JEPI generates income through a combination of selling options and investing in U.S. large-cap stocks. JPMorgan Equity Premium Income Fund has a dividend yield of 8.34%. JEPI has gained 1.74% over the past month and 6.74% over the past year. JPMorgan NASDAQ Equity Premium Income ETF employs a covered call strategy, selling call options on top of a stock portfolio to generate income in the form of option premiums. The fund has amassed an asset base of $26.44 billion and charges an annual fee of 0.35%. JEPQ has a one-month average trading volume of about 6.35 million shares. JEPQ generates income through a combination of selling options and investing in the tech-heavy Nasdaq-100. JPMorgan NASDAQ Equity Premium Income ETF has a dividend yield of 11.58%. JEPQ has gained 3.63% over the past month and 8.49% over the past year. iShares U.S. Equity Factor Rotation Active ETF seeks to outperform the investment results of the large and mid-capitalization U.S. equity markets by providing diversified and tactical exposure to style factors via a factor rotation model. The fund has amassed an asset base of $17.84 billion and charges an annual fee of 0.27%. DYNF has a one-month average trading volume of about 1.94 million shares. iShares U.S. Equity Factor Rotation Active ETF has a dividend yield of 0.88%. DYNF has gained 7.03% over the past month and 16.86% over the past year. Capital Group Dividend Value ETF seeks to produce consistent income that exceeds the average yield of the S&P 500 by focusing on companies that pay dividends or have the potential to pay dividends. The fund has amassed an asset base of $17.09 billion and charges an annual fee of 0.33%. CGDV has a one-month average trading volume of about 3.36 million shares. The fund has allocated about 78.5% of its assets to large-cap securities. Capital Group Dividend Value ETF has a dividend yield of 1.50%. The fund has gained 6.09% over the past month and 14.91% over the past year. Avantis U.S. Small Cap Value ETF seeks long-term capital appreciation by investing primarily in a diverse group of U.S. small-cap companies across market sectors and industry groups. The fund has amassed an asset base of $15.42 billion and charges an annual fee of 0.25%. AVUV has a one-month average trading volume of about 830,000 shares. Avantis U.S. Small Cap Value ETF has a dividend yield of 1.77%. The fund has gained 6.67% over the past month but has fallen 3.57% over the past year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report iShares U.S. Equity Factor Rotation Active ETF (DYNF): ETF Research Reports Avantis U.S. Small Cap Value ETF (AVUV): ETF Research Reports JPMorgan Equity Premium Income ETF (JEPI): ETF Research Reports Capital Group Dividend Value ETF (CGDV): ETF Research Reports JPMorgan Nasdaq Equity Premium Income ETF (JEPQ): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research
Globe and Mail
26-05-2025
- Business
- Globe and Mail
JPMorgan Announces Cash Distributions for the JPMorgan ETFs
TORONTO, May 26, 2025 (GLOBE NEWSWIRE) -- J.P. Morgan Asset Management (JPMAM)* today announced the final May 2025 cash distributions for the below listed JPMorgan ETFs. The JPMorgan ETFs trade on the Toronto Stock Exchange (TSX). Unitholders of record on June 2, 2025 will receive cash distributions payable on June 6, 2025. Details of the 'per unit' distributions are as follows: JPMorgan ETF name Ticker symbol Distribution per unit ($) Payment frequency JPMorgan US Equity Premium Income Active ETF JEPI 0.14655 Monthly JPMorgan Nasdaq Equity Premium Income Active ETF JEPQ 0.23942 Monthly To learn more about the JPMorgan ETFs, please visit For more information, please e-mail: About J.P. Morgan Asset Management J.P. Morgan Asset Management, with assets under management of US$3.5 Trillion 1 (as of September 30, 2024), 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: * Legal entity in Canada: JPMorgan Asset Management (Canada) Inc. 1 Source: J.P. Morgan Asset Management, as of September 30, 2024. Commissions, trailing commissions, management fees and expenses all may be associated with ETF investments. Please read the prospectus before investing. ETFs are not guaranteed, their values change frequently and past performance may not be repeated. Past returns are not necessarily indicative of future performance. You should not rely on or view any past performance as a guarantee of future investment performance. Nasdaq®, Nasdaq-100 Index®, Nasdaq 100® and NDX® are registered trademarks of Nasdaq, Inc. (which with its affiliates is referred to as the 'Corporations') and are licensed for use by J.P. Morgan Asset Management (Canada) Inc. and J.P. Morgan Investment Management Inc. JPMorgan Nasdaq Equity Premium Income Active ETF has not been passed on by the Corporations as to its legality or suitability. This ETF is not issued, endorsed, sold, or promoted by the Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THIS ETF. This communication is issued in Canada, by JPMorgan Asset Management (Canada) Inc., which is a registered Portfolio Manager and Exempt Market Dealer in all Canadian provinces and territories except the Yukon and is also registered as an Investment Fund Manager in British Columbia, Ontario, Quebec and Newfoundland and Labrador. J.P. Morgan Asset Management is the brand for the asset management business of JPMorgan Chase & Co. and its affiliates worldwide.
Yahoo
26-05-2025
- Business
- Yahoo
JPMorgan Announces Cash Distributions for the JPMorgan ETFs
TORONTO, May 26, 2025 (GLOBE NEWSWIRE) -- J.P. Morgan Asset Management (JPMAM)* today announced the final May 2025 cash distributions for the below listed JPMorgan ETFs. The JPMorgan ETFs trade on the Toronto Stock Exchange (TSX). Unitholders of record on June 2, 2025 will receive cash distributions payable on June 6, 2025. Details of the 'per unit' distributions are as follows: JPMorgan ETF name Ticker symbol Distribution per unit ($) Payment frequency JPMorgan US Equity Premium Income Active ETF JEPI 0.14655 Monthly JPMorgan Nasdaq Equity Premium Income Active ETF JEPQ 0.23942 Monthly To learn more about the JPMorgan ETFs, please visit For more information, please e-mail: About J.P. Morgan Asset Management J.P. Morgan Asset Management, with assets under management of US$3.5 Trillion1 (as of September 30, 2024), 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: * Legal entity in Canada: JPMorgan Asset Management (Canada) Inc. 1 Source: J.P. Morgan Asset Management, as of September 30, 2024. Commissions, trailing commissions, management fees and expenses all may be associated with ETF investments. Please read the prospectus before investing. ETFs are not guaranteed, their values change frequently and past performance may not be repeated. Past returns are not necessarily indicative of future performance. You should not rely on or view any past performance as a guarantee of future investment performance. Nasdaq®, Nasdaq-100 Index®, Nasdaq 100® and NDX® are registered trademarks of Nasdaq, Inc. (which with its affiliates is referred to as the 'Corporations') and are licensed for use by J.P. Morgan Asset Management (Canada) Inc. and J.P. Morgan Investment Management Inc. JPMorgan Nasdaq Equity Premium Income Active ETF has not been passed on by the Corporations as to its legality or suitability. This ETF is not issued, endorsed, sold, or promoted by the Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THIS ETF. This communication is issued in Canada, by JPMorgan Asset Management (Canada) Inc., which is a registered Portfolio Manager and Exempt Market Dealer in all Canadian provinces and territories except the Yukon and is also registered as an Investment Fund Manager in British Columbia, Ontario, Quebec and Newfoundland and Labrador. J.P. Morgan Asset Management is the brand for the asset management business of JPMorgan Chase & Co. and its affiliates worldwide.
Yahoo
15-05-2025
- Business
- Yahoo
What's Behind the Surge in Options Income ETFs?
Income-hungry investors have been piling into ETFs that use options to deliver juicy dividends. We've seen a surge in launches of these products recently, as providers employ innovative strategies to package derivatives within the ETF structure to meet rising investor demand. In addition to offering high yields, these strategies generally help reduce portfolio volatility. However, investors should remember that there's no free lunch in investing. These products tend to perform best in sideways markets and often underperform during strong bull runs. That said, they can provide some downside protection when stocks fall. Roni Israelov, Senior Quantitative Researcher at Citadel, refers to these strategies as a 'Devil's Bargain.' His research shows that trading options to generate income can undermine long-term investment returns. Our own analysis of the most popular derivatives-backed ETFs also suggests that investors may be leaving significant returns on the table in their pursuit of high income. Nevertheless, these products have attracted substantial inflows this year, as market volatility has shaken investor confidence. The JPMorgan Equity Premium Income ETF JEPI uses proprietary research to select around 130 stocks and writes S&P 500 Index call options to generate income. Its top holdings include NVIDIA (NVDA), Microsoft MSFT, and Meta META. JEPI and its sister fund, the JPMorgan Nasdaq Equity Premium Income ETF JEPQ, are among the top asset gatherers this year. The Amplify CWP Enhanced Dividend Income ETF DIVO aims to deliver high income from both dividends and covered calls. Its managers focus on high-quality large-cap companies with a history of dividend growth and write covered calls on individual stocks. While DIVO has outperformed JEPI, both have significantly lagged the S&P 500 over the long term. JEPQ and the Global X Nasdaq 100 Covered Call ETF QYLD continue to underperform the Nasdaq 100 ETF QQQ. To learn more about these ETFs, please watch the short video above. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT) : Free Stock Analysis Report Invesco QQQ (QQQ): ETF Research Reports Global X Nasdaq 100 Covered Call ETF (QYLD): ETF Research Reports Amplify CWP Enhanced Dividend Income ETF (DIVO): ETF Research Reports JPMorgan Equity Premium Income ETF (JEPI): ETF Research Reports Meta Platforms, Inc. (META) : Free Stock Analysis Report JPMorgan Nasdaq Equity Premium Income ETF (JEPQ): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-05-2025
- Business
- Yahoo
JEPQ Joins the Big Leagues as Options Income ETFs Surge
The JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) just cracked the top 10 ETF inflows list, pulling in $5.7 billion in new money year to date. Its sister fund, the JPMorgan Equity Premium Income ETF (JEPI), has added another $3.5 billion over the same period. That's no small feat. JEPQ & JEPI Income Strategies Just three years after launching, JEPQ now manages more than $24 billion in assets. JEPI, which launched in 2020, has ballooned to nearly $39 billion. Together, the two anchor a rapidly growing category of exchange-traded funds using options overlay strategies to generate income. These strategies typically involve selling call options on top of a portfolio of stocks, a tactic known as covered call writing. In exchange for giving up some upside, the funds collect option premiums that can be distributed to investors as income. JEPI takes a slightly more complex approach, using equity-linked notes (ELNs) to replicate a covered call strategy on the S&P 500. ELNs are debt instruments whose returns are tied to the performance of an underlying strategy; in this case, an S&P 500 covered call approach. JEPI allocates up to 20% of its portfolio to ELNs, while the rest is invested in a basket of low-volatility, value-oriented U.S. stocks. ESG criteria may also play a role in stock selection. This hybrid approach has delivered stronger returns than more mechanical strategies like the one used by the Global X S&P 500 Covered Call ETF (XYLD). Since launching in 2020, JEPI has returned approximately 70%, compared to 56% for XYLD over the same period. For comparison, JEPI's performance has been in line with the iShares MSCI USA Min Vol Factor ETF (USMV) but trails the SPDR S&P 500 ETF Trust (SPY), which gained 107% in that timeframe. Lower Volatility, Higher Yields JEPI has delivered on its low-volatility promise, with a standard deviation of around 11.5% over the past year—the lowest among the ETFs mentioned. JEPQ applies the same concept to a different corner of the market, drawing most of its holdings from the Nasdaq-100. It also uses ELNs to replicate a Nasdaq-based covered call strategy, distributing the income monthly. Like JEPI, it aims to offer high yield and reduced volatility relative to its benchmark. So far, the strategy has worked. Since its 2022 launch, JEPQ has returned 44%, more than double the 20% return of the Global X Nasdaq 100 Covered Call ETF (QYLD). Still, it lags the 57% gain for the Invesco QQQ Trust (QQQ), which tracks the Nasdaq-100 without any options overlay. In terms of volatility, JEPQ lands somewhere in the middle: It posted a 17.8% standard deviation over the past year, compared to 22.8% for QQQ and 16.5% for QYLD.
