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

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Designed to provide broad exposure to the Foreign Large Value ETF category of the market, the JPMorgan Diversified Return International Equity ETF (JPIN - Free Report) is a smart beta exchange traded fund launched on 11/06/2014.

What Are Smart Beta ETFs?

The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market.

Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.

However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta.

Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.

This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results.

Fund Sponsor & Index

Because the fund has amassed over $355.48 million, this makes it one of the average sized ETFs in the Foreign Large Value ETF. JPIN is managed by J.P. Morgan. This particular fund seeks to match the performance of the FTSE Developed ex North America Diversified Factor Index before fees and expenses.

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

Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.

Operating expenses on an annual basis are 0.37% for JPIN, making it on par with most peer products in the space.

It's 12-month trailing dividend yield comes in at 3.84%.

Sector Exposure and Top Holdings

ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.

When you look at individual holdings, Mitsui Mining & Smelting (5706.T) accounts for about 0.59% of the fund's total assets, followed by Hd Hyundai Electric Co and Nitto Denko Corp Common (6988.T).

The top 10 holdings account for about 4.83% of total assets under management.

Performance and Risk

So far this year, JPIN return is roughly 25.93%, and was up about 15.1% in the last one year (as of 09/26/2025). During this past 52-week period, the fund has traded between $52.18 and $67.96.

The fund has a beta of 0.72 and standard deviation of 14.00% for the trailing three-year period, which makes JPIN a medium risk choice in this particular space. With about 467 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 $12.09 billion in assets, Schwab Fundamental International Equity ETF has $17.63 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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