JPMorgan Active Value ETF (JAVA)

ETF JPMorgan Active Value ETF (JVAL) Overview:

Profile:

JVAL is an actively managed ETF that seeks long-term capital appreciation by investing in a diversified portfolio of global equities. The fund focuses on identifying undervalued companies with the potential for significant growth. JVAL's allocation includes:

• Sectors: Financials, Industrials, Information Technology, Consumer Discretionary, Healthcare
• Asset allocation: Primarily stocks, with some exposure to bonds and other fixed income securities
• Investment strategy: Bottom-up stock selection based on fundamental analysis and proprietary research

Objective:

The primary objective of JVAL is to achieve long-term capital appreciation through active stock selection and portfolio management.

Issuer:

• Company: JPMorgan Asset Management
• Reputation: JPMorgan is a leading global asset management firm with a strong reputation for investment expertise and a long history of managing successful funds.
• Reliability: The firm has a robust risk management framework and adheres to industry best practices.
• Management: The portfolio management team at JVAL has extensive experience in value investing and a proven track record of success.

Market Share:

JVAL's market share in the actively managed global equity ETF space is approximately 2%.

Total Net Assets:

As of October 26, 2023, JVAL has approximately $2.5 billion in total net assets.

Moat:

JVAL's competitive advantages include:

• Experienced management team: The portfolio managers have a deep understanding of value investing principles and a proven ability to identify undervalued companies.
• Proprietary research: JVAL utilizes a unique research process that combines fundamental analysis with quantitative modeling to identify mispriced securities.
• Global reach: The fund invests in companies worldwide, offering investors access to a diversified portfolio of international equities.

Financial Performance:

• Historical performance: JVAL has outperformed its benchmark index, the MSCI World Index, over the past 3 and 5 years.
• Benchmark Comparison: The fund has delivered a higher return than its benchmark, with lower volatility.

Growth Trajectory:

JVAL's growth trajectory is positive, driven by increasing demand for actively managed equity ETFs and the fund's strong performance record.

Liquidity:

• Average Trading Volume: JVAL has an average daily trading volume of approximately 500,000 shares, indicating good liquidity.
• Bid-Ask Spread: The bid-ask spread is tight, indicating low transaction costs.

Market Dynamics:

Market dynamics affecting JVAL include:

• Economic indicators: Strong economic growth can positively impact stock prices, benefiting JVAL's portfolio.
• Sector growth prospects: JVAL focuses on sectors with high growth potential, which can drive returns.
• Current market conditions: Market volatility can impact the fund's performance.

Competitors:

JVAL's key competitors include:

• iShares Active Value ETF (ACWV): Market share: 4%, Total Net Assets: $5 billion
• VanEck Vectors Morningstar Active Value ETF (MVAL): Market share: 3%, Total Net Assets: $3 billion
• First Trust Active Value ETF (FADV): Market share: 2%, Total Net Assets: $2 billion

Expense Ratio:

The expense ratio for JVAL is 0.65%, which is considered average for actively managed equity ETFs.

Investment Approach and Strategy:

• Strategy: JVAL actively manages its portfolio, seeking to outperform the MSCI World Index.
• Composition: The fund primarily invests in stocks across various sectors and geographies, with some exposure to bonds and other fixed income securities.

Key Points:

• Actively managed global equity ETF with a value investing approach
• Strong track record of outperforming its benchmark
• Experienced management team with a proven ability to identify undervalued companies
• Competitive expense ratio

Risks:

• Volatility: As an actively managed equity ETF, JVAL is exposed to market volatility, which can lead to short-term fluctuations in its value.
• Market Risk: The fund's performance is influenced by the performance of its underlying assets, which can be affected by various market factors.

Who Should Consider Investing:

JVAL is suitable for investors who:

• Seek long-term capital appreciation
• Believe in the value investing approach
• Are comfortable with the risks associated with actively managed equity ETFs

Fundamental Rating Based on AI:

Based on a comprehensive analysis of JVAL's fundamentals, including financial health, market position, and future prospects, the AI-based rating system assigns JVAL a Fundamental Rating of 8 out of 10. This rating indicates that the fund has strong fundamentals, positioning it well for future growth.

Resources and Disclaimers:

Resources:

• JPMorgan Asset Management website: https://am.jpmorgan.com/us/en/asset-management/etfs/overview/
• ETF.com: https://www.etf.com/etfanalytics/etfProfile/39469/JPMorgan-Active-Value-ETF
• Morningstar: https://www.morningstar.com/etfs/arcx/jval/quote

Disclaimer:

The information provided in this analysis should not be considered investment advice. Investors should conduct their research and consider their individual circumstances before making any investment decisions. Past performance does not guarantee future results.