What Is the JPEM ETF? Complete Guide to Returns, Expense Ratio, Holdings, and Alternative ETFs
The JPMorgan Diversified Return Emerging Markets Equity ETF (JPEM) is a passive multi-factor fund that combines multiple equity factors and spreads risk across emerging markets. Its factor exposure, risk-diversification framework, and security-selection and weighting differences relative to FNDE, XSOE, and EMGF are key considerations when choosing it.
SubscribeWhat Is the JPMorgan Diversified Return Emerging Markets Equity ETF?
It is a passive multi-factor ETF that combines value, quality, momentum, and other factors to select securities, while diversifying country and sector weights based on risk. This approach reduces concentration risk and provides broad exposure to emerging markets.
It may suit investors seeking emerging markets exposure that combines multi-factor security selection with country- and sector-level risk diversification.
This ETF is passively managed by JPMorgan to track an index.
How Does the JPMorgan Diversified Return Emerging Markets Equity ETF Invest?
| Item | Details |
|---|---|
| Investment Focus | Emerging Market Equities |
| Management Style | Passive (Multi-Factor and Risk Diversification) |
| Selection Criteria | Value, Quality, Momentum, and Other Factors |
| Dividend Frequency | Quarterly |
| Expense Ratio | 0.44% |
The ETF combines value, quality, momentum, and other factors to select securities, then allocates country and sector weights based on risk to reduce concentration. Unlike a straightforward market-cap-weighted approach, it pursues a rules-based strategy that applies both factor selection and risk diversification.
- Multi-factor selection with country- and sector-level risk diversification
- Weighting designed to reduce concentration in emerging-market market caps
JPMorgan Diversified Return Emerging Markets Equity ETF Size and Cost (AUM and Expense Ratio)
Assets under management (AUM) total $402.2M, with an annual expense ratio of 0.44%.
Its multi-factor selection and risk-based diversification are the main points of comparison with straightforward market-cap-weighted emerging-market ETFs.
JPMorgan Diversified Return Emerging Markets Equity ETF Performance and Fund Flows
1-Year Price Performance
Dividend & Yield
52-Week Price RangeEmerging-market equities are highly sensitive to global risk appetite, dollar strength, and local economic conditions. By reducing concentration in individual countries and securities, a multi-factor risk-diversification strategy may prove relatively resilient during volatile periods. Because the portfolio follows a rules-based methodology, its performance may differ from that of market-cap-weighted indices.
Fund flows into multi-factor and risk-diversification products can fluctuate with market risk appetite, currency movements, and style rotations. Capital may also shift toward these products when interest in diversification and risk management increases. Performance may vary depending on economic and currency conditions in individual countries.
JPMorgan Diversified Return Emerging Markets Equity ETF Advantages and Disadvantages
Its strengths are multi-factor security selection and country- and sector-level risk diversification, while emerging-market risk, currency exposure, and tracking difference are key considerations.
💪 Key Advantages
⚠️ Key Risks
JPMorgan Diversified Return Emerging Markets Equity ETF Alternatives and Related Products
Investors seeking more straightforward emerging-market exposure may consider VWO or EEM as direct alternatives, while those seeking emerging-market exposure at a lower cost may also compare products such as IEMG. The three products shown in the table—FNDE, XSOE, and EMGF—use different selection criteria, focusing respectively on fundamentals, the exclusion of state-owned enterprises, and factor-based strategies. This ETF differentiates itself by combining multi-factor selection with country- and sector-level risk diversification.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 FNDE | Schwab Fundamental Emerging Markets Equity ETF | $42.65 | +0.3% | $10.5B | 0.39% | 3.48% | +19.0% |
 FRDM | Alpha Architect Freedom 100 Emerging Markets ETF | $70.83 | +1.1% | $3.6B | 0.49% | 1.55% | +61.2% |
 XSOE | WisdomTree Emerging Markets ex-State-Owned Enterprises Fund | $47.86 | +1.4% | $2.2B | 0.32% | 1.58% | +28.4% |
 PXH | Invesco RAFI Emerging Markets ETF | $29.86 | +0.5% | $2.1B | 0.47% | 4.09% | +17.2% |
 EMGF | iShares Emerging Markets Equity Factor ETF | $72.62 | +1.2% | $2.0B | 0.26% | 1.99% | +29.9% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
| TSM | Taiwan Semiconductor Manufacturing ADR | 0.02% | $433.24 | +1.2% | $2.25T | 31.3 | 0.96% |
| VALE | Vale SA ADR | 0.01% | $15.23 | -0.3% | $64.8B | 32.1 | 6.62% |
| ITUB | Itau Unibanco Holding SA ADR | 0.01% | $8.33 | +0.4% | $45.0B | 10.9 | 7.06% |
| AU | AngloGold Ashanti Plc | 0.01% | $104.42 | +0.5% | $52.7B | 14.0 | 4.67% |
| PBR-A | Petroleo Brasileiro SA Petrobras ADR | 0.01% | $19.11 | -0.6% | $52.0B | 4.8 | 7.78% |
 BMRC | Bank of Marin Bancorp | 0.01% | $27.79 | +0.3% | $450.0M | - | 3.6% |
 GGAL | Grupo Financiero Galicia ADR | 0.01% | $43.86 | -1.9% | $5.8B | 58.6 | 1.48% |
| INFY | Infosys Ltd ADR | 0.01% | $11.07 | +1.5% | $44.9B | 13.6 | 5.6% |
 BBD | Banco Bradesco SA ADR | 0.01% | $3.60 | +0.6% | $20.1B | 8.3 | 8.31% |
| AMX | America Movil SAB de CV ADR | 0.01% | $22.83 | +0.0% | $69.9B | 13.8 | 3.02% |
JPMorgan Diversified Return Emerging Markets Equity ETF Investor Checklist
Here are the key points to review before investing in JPEM. Although its multi-factor and risk-diversification approach may be appealing, investors should assess emerging-market risk, currency exposure, and tracking difference in advance. It is also advisable to compare it with straightforward emerging-market funds and other factor-based products.
| Checkpoint | What to Review | Current Status |
|---|---|---|
| 📊 Multi-Factor | Review the value, quality, momentum, and other factor exposures | Multi-Factor |
| ⚖️ Risk Diversification | Review the country- and sector-level risk-diversification approach | Risk-Weighted |
| 💱 Currency | Review exposure to emerging-market currencies | No Currency Hedging |
| 🌏 Emerging-Market Risk | Review political and policy risks in individual countries | Requires Review |
Political and policy risks in individual countries, currency fluctuations, and tracking differences resulting from factor selection and risk diversification are the main variables affecting long-term performance. A rules-based strategy may diverge from the broader market depending on market conditions. Losses may still occur during broad emerging-market downturns despite the portfolio's diversification.
This ETF is a potential option for investors seeking emerging-market exposure that combines multi-factor selection with country- and sector-level risk diversification. Investors prioritizing straightforward emerging-market exposure may compare products such as VWO or EEM, while those seeking multi-factor and risk-diversification may consider this fund alongside those alternatives.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of June 10, 2026.
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