- Business
- JPMorgan Diversified Return Emerging Markets Equity ETF (JPEM) is an exchange-traded fund that seeks to track the investment results of the FTSE Emerging Diversified Factor Index through a multi-factor stock selection process emphasizing value, momentum, and quality factors to achieve diversified risk-adjusted returns across emerging market equities. The ETF provides exposure to a broad portfolio of approximately 576 large-, mid-, and small-cap stocks primarily from emerging markets including China, Brazil, India, Taiwan, Mexico, Turkey, South Africa, Saudi Arabia, Malaysia, and the UAE; top holdings include Reliance Industries, Taiwan Semiconductor Manufacturing, Bank of China, China Construction Bank, and Infosys Technologies. It features an expense ratio of 0.44%, annual distributions, optimized index replication without derivatives, and tiered weighting focused on blend-style large-cap companies with lower volatility relative to market-cap weighted benchmarks.
JPEM operates as a series of the J.P. Morgan Exchange-Traded Fund Trust, an open-end management investment company organized under Delaware statutory trust laws and sponsored by J.P. Morgan Investment Management Inc., with custodial services provided by JPMorgan Chase Bank; the fund targets institutional and retail investors seeking emerging markets equity exposure with enhanced risk diversification. It maintains a weighted average market capitalization of approximately $78.7 billion, with allocations of 50.8% large-cap, 40.0% mid-cap, and 7.4% small-cap securities, alongside 95.7% in emerging markets and 4.2% in developed markets.
Launched on January 7, 2015, and listed on NYSE Arca, JPEM is managed by a team at J.P. Morgan Asset Management including Yazann Romahi, Joe Staines, Kartik Aiyar, Yegang Wu, and Natalia Zvereva, with primary oversight from the firm's operations headquartered in New York, New York.
No major strategic changes, such as acquisitions, partnerships, funding rounds, name changes, or new product launches specific to JPEM, have been reported in the last 1-2 years; J.P. Morgan Asset Management has pursued broader ETF expansions, including the launch of the JPMorgan U.S. Research Enhanced Large Cap ETF in March 2025 and plans to convert the JPMorgan Unconstrained Debt Fund in May 2025, reflecting ongoing innovation in its ETF lineup.