Optimally positioned for liquidity, yield and duration
Interest rates may be expected to rise from current lows, but worries over inflation mean traditional money market investors still need to maximise yield on their cash investments. At the same time, many bond investors are looking to reduce duration in a rising rate environment.
In these challenging markets, Ultra-Short Duration strategies provide a low risk and liquid source of yield, and a low overall sensitivity to changes in interest rates, thanks to their focus on very short duration debt securities (typically less than one year).
Ultra-Short Duration funds can be used to boost income and reduce interest rate risk
J.P. Morgan Ultra-Short Income ETFs: Liquidity that’s actively managed and easily traded
J.P. Morgan’s Ultra-Short Income ETFs provide access to the active security selection and credit research expertise of one of the world’s largest liquidity managers, combined with the trading, cost and transparency benefits provided by the exchange-traded fund (ETF) wrapper.
The funds aim to generate incremental returns above money market funds, while maintaining a high level of liquidity, by investing across a diversified basket of high quality, short maturity bonds and debt instruments chosen by our expert team of credit analysts and liquidity managers.
The funds can help short-term investors to target a higher income on their strategic cash balances, and fixed income investors to manage credit risk and interest rate risk in their bond portfolios.
Benefit from the ETF wrapper
- Intra-day pricing allows for timely and efficient changes to cash allocations
- Low-cost daily liquidity provides the defensive qualities needed for reserve cash even in challenging markets
- Full portfolio transparency means holdings and positioning are visible daily
Benefit from active management
- Proprietary credit research and conservative philosophy targets diversified portfolio of high quality issuers
- Dynamic risk management focuses relentlessly on maintaining liquidity through the nimble deployment of risk
- Backed by the extensive resources of J.P. Morgan’s Global Liquidity platform (over 128 liquidity professionals and nearly USD 884 billion AUM as of 31 March 2021)
(JPST) JPMorgan ETFs (Ireland) ICAV - USD Ultra-Short Income UCITS ETF
JPST aims to deliver current income in a low-risk framework by investing in a diversified portfolio of US dollar-denominated short-term investment-grade fixed and floating-rate corporate and structured debt, while actively managing credit and duration exposure.
(JEST) JPMorgan ETFs (Ireland) ICAV – EUR Ultra-Short Income UCITS ETF
JEST aims to deliver current income in a low-risk framework by investing in a diversified portfolio of euro-denominated short-term investment-grade fixed and floating-rate corporate and structured debt, while actively managing credit and duration exposure.