Fund Evaluator:

JPMorgan Hedged Equity 3 R6 Overview

JPMorgan Hedged Equity 3 R6 (JHTRX) is an actively managed Nontraditional Equity Equity Hedged fund. JPMorgan launched the fund in 2021.

The investment seeks to provide capital appreciation. Under normal circumstances, the fund invests at least 80% of its assets in equity securities. "Assets" means net assets plus the amount of borrowings for investment purposes. It will also systematically purchase and sell exchange traded put options and sell exchange traded call options, employing an option overlay known as a "Put/Spread Collar" strategy. The fund's investments in equity securities will be primarily in common stocks of U.S. companies with market capitalizations similar to those within the universe of the S&P 500 Index.

About JPMorgan Hedged Equity 3 R6 (JHTRX)

There are 4 members of the management team with an average tenure of 3.59 years: Hamilton Reiner (2021), Raffaele Zingone (2021), Judy Jansen (2024), Matthew Bensen (2024). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and ICE BofA US 3M Trsy Bill TR USD index with a weighting of 100%. JPMorgan Hedged Equity 3 R6 has 157 securities in its portfolio. The top 10 holdings constitute 43.9% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

JPMorgan Hedged Equity 3 R6 is part of the Equity global asset class and is within the Nontraditional Equity fund group. JPMorgan Hedged Equity 3 R6 has 0.1% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 88.5%. There is 0.1% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). JPMorgan Hedged Equity 3 R6 has 11.5% of the portfolio in cash.

Assets Under Management

The fund has $616 million in total assets, which is above the $432 million average for the Equity Hedged category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

JHTRX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The JPMorgan Hedged Equity 3 R6 expense ratio is below average compared to funds in the Equity Hedged category. JPMorgan Hedged Equity 3 R6 has an expense ratio of 0.34%, which is 75% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. JPMorgan Hedged Equity 3 R6 has a portfolio turnover rate of 44%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 69% for the Equity Hedged category.

Recently, in the month of July 2026, JPMorgan Hedged Equity 3 R6 returned 0.7%, which earned it a grade of B, as the Equity Hedged category had an average return of -0.0%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

JPMorgan Hedged Equity 3 R6 has a trailing yield of 0.77%, which is below the 0.94% category average. The fund normally distributes its income quarterly.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

JPMorgan Hedged Equity 3 R6 Grades

Year to date, the fund has returned 3.1%, 2.3 percentage points worse than the category, which translates into a grade of D. The fund has returned 9.2% over the past year (grade of D), 11.9% over the past three years (grade of B) and 7.2% per year over the past five years (grade of B).

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