JPMorgan's New ETF Smashes Records With $2 Billion Kick Off

J.P. Morgan Asset Management launched the latest salvo of the 2025 bond ETF boom on Thursday, rolling out the JPMorgan Active High Yield ETF JPHY with a jaw-dropping $2 billion in assets.

Supported by a large institutional investor, the launch is the largest active ETF launch on record, and one that sets a high standard as investors increasingly look to fixed income strategies in uncertain market conditions.

JPHY follows the ICE BofA US High Yield Constrained Index and carries an expense ratio of 0.45%.

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While JPHY is the star, it’s part of an even wider trend of demand for fixed income ETFs. Through mid-June, inflows to fixed income funds were poised to shatter last year’s record $303 billion in net inflows, according to VettaFi.

Advisors, no longer happy to leave client portfolios sitting in cash, are actively looking for smarter yield plays, and JPMorgan is serving up as a go-to provider.

The company currently oversees $55 billion in actively managed fixed income ETFs, taking in $10 billion of new assets already this year.

JPHY capitalizes on that momentum by providing even higher exposure to high-yield bonds, but with continued leverage of JPMorgan’s active management advantage. As opposed to passive rivals like the iShares Broad USD High Yield Corporate Bond ETF USHY and iShares iBoxx $ High Yield Corporate Bond ETF HYG, which have amassed $4 billion and $1.9 billion of inflows, respectively, so far this year, according to VettaFi, JPHY seeks to outperform through active security selection.

“This is just the beginning of a trend that should see active fixed ETF AUM quadruple in the next five years,” George Gatch, CEO of J.P. Morgan Asset Management, said.

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