About JHQRX
JPMorgan Hedged Equity Fund Class R6 is a mutual fund designed to provide equity market participation with a focus on mitigating downside risk. The fund invests primarily in U.S. large-cap equities, constructing a portfolio that closely follows the composition of the S&P 500 Index, while supplementing this exposure with a systematic options overlay strategy. Every three months, the portfolio managers implement a defined option collar: they purchase put options 5% below the current S&P 500 level to protect against moderate losses, offset the cost by selling deeper out-of-the-money puts 20% below the market, and further finance this protection by selling out-of-the-money call options, typically 3.5% to 5.5% above the index. This approach limits potential losses in sharp downturns—up to a 15% buffer between a 5% and 20% decline—while capping participation in strong market rallies. Managed by an experienced team at J.P. Morgan, this fund seeks to offer smoother returns, reduced volatility, and better risk-adjusted performance compared to conventional equity funds. Its largest equity holdings include technology and consumer giants such as Microsoft, NVIDIA, Apple, Amazon, and Meta Platforms, reflecting its large blend investment style. The fund caters to institutional retirement plans, with a low expense ratio and a minimum initial investment requirement.
Fund Family JPMorgan
Category Options Trading
Performance Rating Above Average
Risk Rating Average
Stock Exchange Nasdaq
Ticker Symbol JHQRX
Share Class Class R6
Index S&P 500 TR
JHQRX had a total return of 3.78% in the past year, including dividends. Since the fund's
inception, the average annual return has been 8.21%.
