JP Morgan launches long/short equity factor ETF on NYSE

Jan 26th, 2018 | By | Category: Alternatives / Multi-Asset

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JP Morgan Asset Management (JPMAM) has launched the JPMorgan Long/Short ETF (JPLS US) which provides actively managed long and short exposure to equity factors, with dynamic market beta.

JP Morgan launches actively managed long/short equity factor ETF

JPLS is the fourth ETF in the firm’s line-up of funds offering exposure to alternative asset strategies.

The fund, which has been listed on NYSE Arca, employs a rules-based, bottom-up security selection process using factors such as value, quality, momentum and size, and can maintain long and short positions in global equity markets either directly or through the use of derivatives.

The strategy simultaneously invests in equities (going long) that the adviser believes are attractive based on relevant return factors and sells equities (selling short) that the adviser believes are unattractive based on the relevant return factors.

According to JPMAM, the ETF may serve as a core diversifier or alternative to traditional equity within a portfolio.

The fund is managed by an experienced team led by Yazann Romahi, CIO of quantitative beta strategies and portfolio manager at JPMAM. Its expense ratio is 0.69%.

“As investor needs and demands evolve, we are constantly looking to innovate and be at the forefront of a rapidly expanding ETF market,” said Joanna Gallegos, US head of ETFs for JPMAM. “With JPLS, we are proud to contribute to the democratization of hedge fund investing by offering our clients access to institutional-quality products, which helps them build stronger portfolios.”

JPMAM’s US-listed ETF suite now features twenty one product offerings with over $3 billion in AUM.

JPLS is the fourth ETF in the firm’s line-up of funds offering exposure to alternative strategies. The largest of these is the JPMorgan Diversified Alternatives ETF (JPHF US) with $180 million AUM.

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