BBMC | JPMorgan BetaBuilders U.S. Mid Cap Equity ETF

BBMC ISSUER

The issuer of the BBMC, which is the JPMorgan Funds, aims to closely mirror the Morningstar® US Mid Cap Target Market Exposure Extended IndexSM (the Underlying Index), prior to fees and expenses. At least 80% of the fund's assets are invested in securities included in the Underlying Index, which primarily consists of equity securities traded in the United States, targeting those falling between the 85th and 95th percentiles in market capitalization. These securities span various sectors, including healthcare and information technology, though the composition may evolve. The fund employs a passive indexing strategy, seeking to replicate the constituent securities of the Underlying Index, predominantly through replication but also utilizing representative sampling when necessary. Additionally, the fund may invest in exchange-traded futures to correspond with the Underlying Index's performance. While classified as diversified, the fund may operate as non-diversified depending on the structure of the Underlying Index. Thus, the BBMC issuer endeavors to offer investors passive exposure to a diversified range of mid-cap securities within the United States market.

BBMC DIVIDEND

BBMC, the JPMorgan Funds' investment product, offers dividends to its investors as a portion of its earnings. The dividend payout is typically derived from the income generated by the underlying securities held within the fund, which primarily consist of mid-cap equity securities traded in the United States. Investors in BBMC can expect to receive regular dividend distributions, providing them with a source of passive income. These dividends serve as a potential incentive for investors seeking not only capital appreciation but also consistent returns over time. As with any investment, the dividend yield of BBMC may vary based on market conditions, the performance of the underlying securities, and the fund's overall financial health

BBMC TRACKING

BBMC, managed by JPMorgan Funds, employs a meticulous tracking strategy to closely mirror the performance of its benchmark index, the Morningstar® US Mid Cap Target Market Exposure Extended IndexSM. This tracking mechanism ensures that the fund's returns closely correspond to those of the underlying index before accounting for fees and expenses. The fund aims to replicate the constituent securities of the benchmark index as accurately as possible, predominantly through a passive indexing approach. Additionally, in instances where full replication is impractical, BBMC may utilize a representative sampling strategy to approximate the investment characteristics of the index. This commitment to tracking enables investors to gain exposure to a diversified portfolio of mid-cap securities within the United States market with a high degree of accuracy, providing them with the potential to achieve their investment objectives efficiently.

BBMC CORRELATION

BBMC, managed by JPMorgan Funds, maintains a correlation strategy aimed at aligning its performance with that of its benchmark index, the Morningstar® US Mid Cap Target Market Exposure Extended IndexSM. Correlation measures the relationship between the returns of the fund and those of its underlying index, reflecting how closely their movements align. BBMC seeks to achieve a high correlation with its benchmark, meaning that as the index moves, the fund's performance should move similarly. This correlation strategy is essential for investors seeking to replicate the market exposure provided by the index accurately. By closely tracking the performance of the benchmark index, BBMC aims to offer investors a reliable means of gaining exposure to mid-cap equities within the United States market, thereby potentially achieving their investment goals with greater consistency and predictability.

BBMC SECTOR

BBMC, managed by JPMorgan Funds, maintains a sector allocation strategy designed to provide investors with exposure to a diversified range of industries within the United States market. The fund's holdings span various sectors, including but not limited to healthcare and information technology, as dictated by the composition of its benchmark index, the Morningstar® US Mid Cap Target Market Exposure Extended IndexSM. This sector diversification strategy aims to mitigate risk by spreading investments across different segments of the economy, thereby reducing the impact of sector-specific downturns on the overall performance of the fund. By allocating assets across multiple sectors, BBMC seeks to capture opportunities for growth while managing volatility, offering investors a balanced approach to investing in mid-cap equities within the United States market.

BBMC EXPOSURE

BBMC, a product of JPMorgan Funds, provides investors with exposure to the mid-cap segment of the United States equity market through a passive indexing approach. The fund's investment objective is to closely replicate the performance of its benchmark index, the Morningstar® US Mid Cap Target Market Exposure Extended IndexSM, before fees and expenses. By investing at least 80% of its assets in securities included in the underlying index, BBMC offers investors broad exposure to a diversified portfolio of mid-cap companies primarily traded in the United States. This exposure allows investors to participate in the potential growth opportunities offered by mid-cap stocks while diversifying risk across a range of companies and industries. With BBMC, investors can access this segment of the market efficiently and effectively, aligning their investment objectives with the performance of the mid-cap segment of the U.S. equity market.