Last week saw a brisk number of launches, but there was a noticeable falloff in the amount of other ETF-related actions such as name/index changes and share splits. Perhaps the biggest overlooked news last week was J.P. Morgan’s launch of two more ActiveBuilders ETFs.
The JPMorgan ActiveBuilders International Equity ETF (JIDA) and the JPMorgan ActiveBuilders U.S. Large Cap Equity ETF (JUSA) both launched on July 8 and list on the NYSE Arca. The funds come with expense ratios of 0.25% and 0.17%, respectively.
They are part of J.P. Morgan’s low-cost and transparent actively managed ETF family, and join the $220 million JPMorgan ActiveBuilders Emerging Markets Equity ETF (JEMA) that launched in March. The issuer has described the family as offering a combination of “the low cost, tax efficient beta of a passive ETF with the value add of active management.”
While JUSA seeks to outperform the S&P 500 while maintaining similar risk characteristics, JIDA looks to do the same with the MSCI EAFE Index.
With the launch of JIDA and JUSA, JEMA changed its name from the JPMorgan Emerging Markets Equity Core ETF to fit in with the ActiveBuilders brand.
It was also announced last week that two iPath ETNs were set to be called today and a third would be called on Aug. 18. The iPath U.S. Treasury 5-Year Bull ETN (DFVL) and the iPath U.S. Treasury 5-Year Bear ETN (DFVS) both launched in 2011 and have never really gained significant assets.
The iPath S&P Dynamic VIX ETN (XVZ), scheduled to be called in August, can switch between long and short positions in VIX futures. It also launched in 2011, but it has roughly $13 million in assets under management.
Completed launches currently hover at around 25 for this year so far. That compares with 150 by this time last year.
Alerian ETF Price Revised
The only other major change last week occurred when the Alerian Energy Infrastructure ETF (ENFR) slashed its expense ratio from 0.65% to 0.35%. The change represents a price reduction of nearly 50%.
Contact Heather Bell at [email protected]