JPMAM launches active sustainable ETFs

Oksana Patron

13 December 2022

J.P. Morgan Asset Management has launched two new active sustainable exchange traded funds (ETFs) on the Australian Securities Exchange (ASX), the JPMorgan Climate Change Solutions Active ETF (T3MP) and JPMorgan Sustainable Infrastructure Active ETF (JPSI).

Both funds would take active approach to finding companies that are developing solutions that focus on both climate change and sustainability, the firm said.

T3MP would invest in companies believed to benefit from growing demand for climate change solutions, including companies producing less carbon-intensive energy such as wind or solar power; improving the electric grid; investing in less carbon-intensive forms of agriculture, construction, or transportation; or developing technologies to reduce waste.

At the same time, JPSI would help build a more sustainable future by investing in essential assets such as electricity networks; water networks and water treatments; wind, hydropower and solar; healthcare facilities and care homes; affordable housing and student accommodation; data storage and telecommunications tower operations; sustainable railway network, sustainable warehousing and sustainable transportation systems.

“We are excited to be bringing T3MP and JPSI to market – and they join our growing suite of active ETF products. These strategies bring the best of JPMAM’s global active management capabilities and provide investors access to our vast global investment capabilities, enabling them to pursue their long-term investment goals,” Andrew Creber, Australia and New Zealand chief executive, said.

Additionally, both T3MP and JPSI would use JPMAM’s proprietary natural language processing tool, ThemeBot, to review nearly 13,000 stocks globally and analysing tens of millions of data sources.