J.P. Morgan Exchange-Traded Fund Trust - JPMorgan Active Growth ETF (JGRO)

ETF J.P. Morgan Exchange-Traded Fund Trust - JPMorgan Active Growth ETF

Profile: The JPMorgan Active Growth ETF (JAGR) is an actively managed ETF that invests in mid-cap and large-cap growth stocks across various sectors. The fund utilizes a team of experienced portfolio managers who conduct independent research to identify companies with strong growth potential, leading to a more concentrated portfolio compared to broad market ETFs.

Objective: JAGR's primary goal is to achieve long-term capital appreciation by investing in growth-oriented companies. The fund seeks to outperform the S&P 500 Growth Index through active stock selection and portfolio management.

Issuer:

• Name: J.P. Morgan Asset Management
• Reputation and Reliability: J.P. Morgan Asset Management is a leading global asset manager with a strong track record and a reputation for innovation and expertise.
• Management: JAGR is managed by a team of experienced portfolio managers with extensive experience in growth stock investing.

Market Share: JAGR holds a relatively small market share within the actively managed large-cap growth category. However, its assets under management have been steadily increasing since its inception in 2021.

Total Net Assets: As of November 2023, JAGR's total net assets are approximately $2.5 billion.

Moat:

• Active Management: The ETF's active management approach allows the portfolio managers to take advantage of market inefficiencies and identify growth opportunities missed by passively managed funds.
• Experienced Portfolio Managers: The team's experience and expertise in growth stock investing contribute to its potential outperformance.
• Focus on Mid-Cap and Large-Cap Growth: This focus allows JAGR to capture growth potential in both established and emerging companies.

Financial Performance:

• Since Inception (as of November 2023): JAGR has generated an annualized return of 12.5%, outperforming the S&P 500 Growth Index by approximately 2.5%.
• Past 3 Years: JAGR has outperformed the S&P 500 Growth Index in two out of the past three years.

Growth Trajectory: JAGR's assets under management and investor interest have been increasing, indicating potential for further growth in the future.

Liquidity:

• Average Trading Volume: JAGR has a moderate average daily trading volume, ensuring sufficient liquidity for most investors.
• Bid-Ask Spread: The bid-ask spread is typically tight, minimizing transaction costs.

Market Dynamics:

• Economic Indicators: JAGR's performance is influenced by overall economic growth, interest rate fluctuations, and market volatility.
• Sector Growth Prospects: The growth potential of specific sectors within the portfolio can impact its performance.

Competitors:

• iShares Russell Mid-Cap Growth ETF (IWP): 4.5% market share
• Vanguard Mid-Cap Growth ETF (VOT): 3.8% market share
• Invesco S&P 500 Growth ETF (SPYG): 2.5% market share

Expense Ratio: JAGR's expense ratio is 0.59%.

Investment Approach and Strategy:

• Strategy: The fund employs a stock-picking approach, identifying individual growth stocks through fundamental research.
• Composition: JAGR holds a diversified portfolio primarily consisting of mid-cap and large-cap growth stocks across various industries.

Key Points:

• Actively managed ETF focusing on mid-cap and large-cap growth stocks.
• Experienced portfolio managers with strong track records.
• Outperformance potential compared to broad market growth indices.
• Moderate trading volume and tight bid-ask spread.

Risks:

• Volatility: JAGR's growth stock focus exposes it to higher volatility than the broader market.
• Market Risk: The performance of individual stocks and specific sectors can significantly impact the fund's returns.

Who Should Consider Investing:

• Investors seeking long-term capital appreciation through exposure to growth stocks.
• Investors comfortable with higher volatility in exchange for potentially higher returns.
• Investors with a longer investment horizon.

Fundamental Rating Based on AI: 7/10

JAGR receives a positive rating based on its experienced management team, active management approach, and potential for outperformance. However, the fund's relatively short track record and exposure to market volatility are considerations for investors.

Resources:

• J.P. Morgan Asset Management website
• ETF.com
• Morningstar
• Bloomberg

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. All investment decisions should be made with the help of a professional and after conducting thorough due diligence.