JMEE vs TSME

JMEEAJPMorgan Small & Mid Cap Enhanced Equity ETF

TSMECThrivent Small-Mid Cap Equity ETF

In short

JMEE Enhanced indexing, not index hugging for its own sake: JMEE keeps sector weights close to the S&P 1000, then lets proprietary stock rankings pick the names. Roughly 700 holdings at 0.35%.

TSME Active stock picking pointed at the part of the US market where it still has room to work: small and mid caps, run by Thrivent's own managers since 2022 and priced at the going rate for active equity rather than a premium.

Stated mandate

JMEE The fund seeks returns above the S&P 1000 Index by using proprietary stock rankings and fundamental analysis, while maintaining broadly similar sector weights.

TSME The Fund seeks long-term capital growth.

Why people hold it

• JMEE Index shape, active edges. Sector weights stay broadly in line with the S&P 1000 while proprietary rankings and fundamental analysis pick the stocks, spread over roughly 700 names.jpmorgan.com
• 0.35% with no waiver holding it there, below the median for active small/mid-cap funds. Cheaper than DFMC at 0.43%; AVMC (0.18%) and FEMV (0.23%) undercut it.
• Not a 2020s startup: the strategy dates to 1998 and runs a multi-billion-dollar book, so the research process has been through a few full market cycles.
• One of the strongest implementations in the active small/mid-cap group.

• TSME A live stock picker, not an index clone, working in US small and mid caps. The cheap leaders in its active-equity cohort (DFAU, AVLC) mostly fish in large caps.
• The 0.65% expense ratio sits right at the median for active US equity funds, so the active mandate does not come with a surcharge versus the active field.
• Portfolio construction and staying power both hold up in a crowded active-equity field, placing the fund in the upper half of its peer group.
• Trading friction is mild for an active fund, so buying and selling costs less than it does on thinly traded small-cap products.

Worth knowing

• JMEE Active, not a replicator. There is no index to copy, so results ride on JPMorgan's stock rankings rather than a published rulebook.
• Benchmark-like sector weights mean it moves with the small and mid-cap market. This is a tilt on that exposure, not a cushion against it.
• Distributions land once or twice a year, and it trades moderately rather than heavily, so spreads matter more than in the biggest index funds.

• TSME Small and mid caps swing harder than large caps, and the mandate keeps the fund parked there through the rough stretches.
• Against index-style large-cap peers such as DFAU at 0.12%, the 0.65% fee is a wide gap that the stock picking has to work against.
• Launched in 2022, so the track record is short and payouts arrive once or twice a year rather than monthly.

Full JMEE profile⁠

Full TSME profile⁠