JEPI vs JEPQ: Which JPMorgan Income ETF Delivers More?
JEPI and JEPQ are both actively managed JPMorgan ETFs that generate income through equity-linked notes (ELNs) and covered call strategies. JEPI targets the S&P 500 universe, focusing on low-volatility value stocks. JEPQ targets the Nasdaq 100 universe with tech-heavy growth exposure. Both aim for monthly income but differ significantly in risk profile and total return potential.
Key Differences
- JEPI yields ~7-8% annually; JEPQ yields ~9-11% — JEPQ's higher yield comes with higher volatility
- JEPI holds defensive, low-vol S&P 500 stocks; JEPQ holds Nasdaq 100 tech giants (AAPL, MSFT, NVDA)
- Both use ELN-based options strategies — not traditional covered calls — which caps upside in bull markets
- JEPI has lower beta (~0.6) vs JEPQ (~0.8) — JEPI drops less in downturns but rallies less in upswings
- Same TER at 0.35% — actively managed fee, higher than passive alternatives
Live Comparison
Interactive comparison with real data. Toggle dividends and tax settings to see the full picture.
Bottom Line
JEPI is better for conservative income seekers who want lower volatility and steadier payments. JEPQ is for investors willing to accept more risk for higher yield and tech upside. Neither replaces a core equity holding — they sacrifice long-term total return for current income.