JP Morgan’s BBUS ETF: At 2 bps, the Lowest Fee ETF in the US

December 3, 2019 | News
https://dailyalts.com/wp-content/uploads/2019/12/mobile-phone-1595784_1920-jpmorgan-cheap-etf.jpg

JPMorgan BetaBuilders U.S. Equity ETF charges just 0.02%. The ETF offers exposure to large- and midcap stocks.

When it launched in March 2019, the JPMorgan BetaBuilders U.S. Equity ETF (BBUS) under-cut the then cheapest ETFs from BlackRock’s iShares and Charles Schwab, which had been the lowest-fee offerings for broad US equity exposure, at 0.03 percent each. JP Morgan’s BBUS was, therefore, cheaper by a third.

JP Morgan asterisks the fee with a remark “ordinary brokerage commissions apply.” Brokerage commissions are history, of course.

It would be interesting to watch what else is consumed by the kamikaze dive of financial services fees. SoFi is offering zero-fee ETFs and Salt Financial a negative fee on its Salt Low truBeta US Market Fund (cboe:LSLT). However, these ETFs are yet to capture investors’ fancy.

At the time of its launch, the low fees on JP Morgan BBUS immediately sparked speculation on when, if at all, the fund house would launch a zero-fee ETF. That has not happened, and BBUS remains at the top of the low-fee ETF sweepstakes.

About JP Morgan BBUS

  • Fund house JP Morgan
  • tracks a market-cap-weighted index of US large- and midcap stocks (Morningstar US Target Market Exposure Index)
  • charges a very low fee for a comprehensive, market-neutral portfolio of large- and midcap stocks
  • open-ended fund launched on March, 12, 2019
  • expense ratio 0.02%
  • AUM $62.28 million
  • 1 month return 4.71%
  • 3-month return 10.58%
  • currently trading at $56.60
  • top sectors are technology 27.23%, financials 16.11%, healthcare 13.68%

[Related Story: Liquid Alternatives: SEC Proposes New ETF Derivatives Rules   ]

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2021/01/dragon-872933_640.jpg
FinTech: China Tightens Antitrust Regulatory Screws On Fintechs
January 22, 2021     FinTech, Latest News, News, Regulations

The People’s Bank of China published a draft set of rules on Wednesday for anti-trust regulation of the non-bank payment providers in the fintech sector. The draft is in the…

https://dailyalts.com/wp-content/uploads/2021/01/bitcoin-4353069_640.jpg
Digital Assets: BlackRock Dips Its Toes In Bitcoin Waters
January 22, 2021     Digital Assets, Latest News, News

Filings out Wednesday show that the BlackRock Strategic Income Opportunities Portfolio and BlackRock Global Allocation Fund may invest in cash-settled bitcoin futures, among other assets. BlackRock (NYSE: BLK), the world’s…

https://dailyalts.com/wp-content/uploads/2021/01/summer-169643_640.jpg
Artificial Intelligence: AI Helping Manage Wind Farms By Forecasting Wind Conditions
January 22, 2021     Artificial Intelligence, News

AI is playing an increasingly bigger role in the management of wind energy, wind farms, and the maintenance of wind turbines through machine condition monitoring systems. Google (NASDAQ: GOOGL) predicts…

https://dailyalts.com/wp-content/uploads/2021/01/electric-car-2783573_640.jpg
Alternative Investments/ESG: Harvest Portfolios Launches The Harvest Clean Energy ETF

Harvest Portfolios Group Inc. completed last week the initial offering of Class A Units of the Harvest Clean Energy ETF (TSE: HCLN). The units of the ETF commenced trading on…