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Is JPMorgan Diversified Return International Equity ETF (JPIN) a Strong ETF Right Now?

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A smart beta exchange traded fund, the JPMorgan Diversified Return International Equity ETF (JPIN - Free Report) debuted on 11/06/2014, and offers broad exposure to the Foreign Large Value ETF category of the market.

What Are Smart Beta ETFs?

Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.

Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.

But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.

These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics.

While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.

Fund Sponsor & Index

Because the fund has amassed over $349.27 million, this makes it one of the average sized ETFs in the Foreign Large Value ETF. JPIN is managed by J.P. Morgan. Before fees and expenses, JPIN seeks to match the performance of the FTSE Developed ex North America Diversified Factor Index.

The JP Morgan Diversified Factor International Equity Index utilizes a rules-based approach combining risk-weighted portfolio construction with multi-factor security screening based on value, quality and momentum factors.

Cost & Other Expenses

Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.

Operating expenses on an annual basis are 0.37% for this ETF, which makes it on par with most peer products in the space.

JPIN's 12-month trailing dividend yield is 3.93%.

Sector Exposure and Top Holdings

Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings.

Looking at individual holdings, Hana Financial Group Inc (A086790) accounts for about 0.5% of total assets, followed by Woori Financial Group and Sk Hynix Inc Common (A000660).

JPIN's top 10 holdings account for about 4.55% of its total assets under management.

Performance and Risk

The ETF has added roughly 22.75% and is up about 17.6% so far this year and in the past one year (as of 07/23/2025), respectively. JPIN has traded between $52.18 and $64.65 during this last 52-week period.

The fund has a beta of 0.72 and standard deviation of 14.50% for the trailing three-year period, which makes JPIN a medium risk choice in this particular space. With about 468 holdings, it effectively diversifies company-specific risk .

Alternatives

JPMorgan Diversified Return International Equity ETF is a reasonable option for investors seeking to outperform the Foreign Large Value ETF segment of the market. However, there are other ETFs in the space which investors could consider.

Vanguard International High Dividend Yield ETF (VYMI) tracks FTSE All-World ex US High Dividend Yield Index and the Schwab Fundamental International Equity ETF (FNDF) tracks Russell RAFI Developed ex US Large Co. Index (Net). Vanguard International High Dividend Yield ETF has $11.09 billion in assets, Schwab Fundamental International Equity ETF has $16.67 billion. VYMI has an expense ratio of 0.17% and FNDF changes 0.25%.

Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Foreign Large Value ETF

Bottom Line

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.

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