JPMorgan New Bond

USA

JPMorgan lists another actively managed bond ETF

JP Morgan is listing another actively managed bond ETF as part of its broad based product roll out. The JPMorgan Core Plus Bond ETF (JCPB) will aim to deliver more income than other core bond ETFs, while still acting as a low cost core bond fund (0.40% total fee).

JCPB will invest in all kinds of bonds, including: treasuries, foreign bonds, non-USD denominated, corporates, MBS and ABS-backed. However it will try and maintain a two-thirds tilt towards investment grade bonds and subprime debt will be restricted to 10% of the portfolio’s NAV.

JPMorgan will use its in-house risk analytics to pick bonds, while taking into account currency, credit risk and spreads.

The fund can also invest in derivatives to hedge risk.