Tradeable Index Strategies
Tradeable Index Strategies: FX
J.P. Morgan's tradeable FX index strategies support specific investor objectives for regional exposure to Asian, Latin American and Emerging Europe currencies. We also offer an FX index strategy to capture the interest rate differential between high and low yielding currencies.
The CANDY index is targeted at investors seeking exposure to the Convergence And Yield opportunities in the currencies of the four main EU candidates - Poland (PLN), Czech Republic (CZK), Hungary (HUF) and Slovakia (SKK). Productivity gains in these countries, driven by FDI inflows, should result in Central European currencies appreciating further in the run up to their EMU membership. Real time values are available on Bloomberg at .JPMCANDY <Index>.
Our INCOMEFX index uses a well established strategy to generate positive returns by depositing money in a high yielding currency and borrowing money in a lower yielding currency, thereby earning the interest rate differential or "carry". INCOMEFX is designed within a framework to optimize returns - high annual income and capital growth - commensurate with the amount of risk undertaken. The INCOMEFX strategy uses a dual approach to meet its objectives: 1) Analyze the monthly return generated by an investment in 14 currency pairs and select the 4 pairs with the highest ratio of return to risk; and 2) Replicate an equally-weighted trading position in these 4 currency pairs with the objective of generating the target income. Pricing is is available on Bloomberg at IFXJPMUS <Index>. Euro and Japanese Yen denominated versions are also provided under the tickers IJXPMEU <Index> and IFXJPMJP <Index>.
For more information on specific J.P. Morgan Tradeable Index Strategies, please review product descriptions below or contact your J.P. Morgan representative.
Note: The data above may not be the latest available and should be used for information purposes only.
* SEC Legend: JPMorgan Chase & Co. has filed a registration statement (including a prospectus) with the SEC for any offerings to these indices. Before you invest, you should read the prospectus in that registration statement and the other documents relating to this offering that JPMorgan Chase & Co. has filed with the SEC for more complete information about JPMorgan Chase & Co. and this offering. You may get these documents without cost by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, JPMorgan Chase & Co., any agent or any dealer participating in the this offering will arrange to send you the prospectus and each prospectus supplement as well as any product supplement and term sheet if you so request by calling toll-free 866-535-9248.
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Investment suitability must be determined individually for each investor, and the financial instruments described herein may not be suitable for all investors. The products described herein should generally be held to maturity as early unwinds could result in lower than anticipated returns. This information is not intended to provide and should not be relied upon as providing accounting, legal, regulatory or tax advice. Investors should consult with their own advisors as to these matters.
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