Indexed ETF strategies provide consistent, cost-effective core solutions for investors looking to build efficient broad market exposure. However, with equity markets volatile and returns expected to be lower over the long term, growth-oriented investors may wish to explore opportunities to seek excess returns as part of a diversified portfolio.
By blending active stock selection with passive index exposure within a robust investment framework, our Research Enhanced Index (REI) Equity Funds and ETFs seek positive alpha at low tracking error, providing a range of highly efficient tools that can be used to complement existing core portfolios, add diversification or to implement tactical views.
A hybrid approach
Our REI approach takes small active positions in stocks based on our proprietary fundamental insights, while also keeping regional, sector and style exposures close to the index at all times to maintain a consistently low tracking error.
The goal is to maximise stock-specific alpha opportunities and to minimise uncompensated market, sector and style risks—all while maintaining a competitive fee.
Seeking alpha in uncertain times
In a lower return environment, active stock selection and efficient index exposure can provide the opportunity to make up any potential return shortfall.
With REI, investors don’t have to choose between passive index exposure and active security selection—they can seek the best of both worlds.
Global core equity solutions for managed fund and ETF investors
Ratings are published by Lonsec Research Pty Ltd ABN 11 151 658 561 AFSL 421 445 (Lonsec). Ratings are general advice only, and have been prepared without taking account of your objectives, financial situation or needs. Consider your personal circumstances, read the product disclosure statement and seek independent financial advice before investing. The rating is not a recommendation to purchase, sell or hold any product. Past performance information is not indicative of future performance. Ratings are subject to change without notice and Lonsec assumes no obligation to update. Lonsec uses objective criteria and receives a fee from the Fund Manager. Visit lonsec.com.au for ratings information and to access the full report. © 2024 Lonsec. All rights reserved.
The funds seek to achieve their stated objectives, there is no guarantee they will be met. Diversification does not guarantee positive returns or eliminates risks of loss. Not all investments are suitable for all investors. Please refer to offering documents for further details.
JPMorgan Global Research Enhanced Index Equity (JREG) is the marketing name of the JPMorgan Global Research Enhanced Index Equity Active ETF (Managed Fund).
JPMorgan Global Research Enhanced Index Equity (Hedged) (JRHG) is the marketing name of the JPMorgan Global Research Enhanced Index Equity Active ETF (Managed Fund) (Hedged).
JPMorgan EM Research Enhanced Index Equity ETF (JREM) is the marketing name of the JPMorgan Emerging Markets Research Enhanced Index Equity Active ETF (Managed Fund).
This information is generic in nature and does not take into account any specific investors’ objectives and should not be treated as offer, research or investment advice. Investors should seek financial advice. Investors should review fund’s Product Disclosure Statement and Target Market Determination (available on https://am.jpmorgan.com/au) to understand the various risks associated with investing in the Fund and in making any investment decision. Risk management does not imply elimination of risks. Provided to illustrate the investment process. Dividend or returns are not guaranteed. ETFs have fees that reduce their performance, indexes do not. Investors cannot directly invest in an index.
Our insights
With one of the longest track records in equity investing, our team has met and endeavours to continue to meet investor needs in different market conditions. Explore more of our insights.