JPSE vs VONV

JPSEBJPMorgan Diversified Return U.S. Small Cap Equity ETF

VONVAVanguard Russell 1000 Value ETF

In short

JPSE Small-cap exposure built to a rulebook instead of to market cap: JPMorgan spreads roughly 600 stocks around, aiming for better risk-adjusted results than a cap-weighted index, at 0.29% a year.

VONV The plain-vanilla value trade, done cheap: about 900 large US value stocks, full replication of the Russell 1000 Value Index, 0.06% a year. No factor cocktail, no premium price tag, and one of the strongest implementations in its factor peer group.

Stated mandate

JPSE The fund seeks U.S. small-cap equity exposure while pursuing potentially better risk-adjusted returns than a market-cap-weighted index.

VONV The fund seeks to track the Russell 1000 Value Index, representing large-capitalization value stocks in the United States. It uses passive indexing and full replication to remain closely aligned with that benchmark.

Why people hold it

• JPSE 0.29% a year, well under the typical fee in its US small-cap peer group. Cost is the one input you control up front, and this one is priced like an index fund.
• Roughly 600 holdings, so no single small-cap stumble drives the fund. Spreading risk is the design, not a byproduct.
• The mandate is explicit: chase small-cap returns without inheriting a cap-weighted index's concentration in whatever the market has already bid up.
• Running since 2016 and one of the stronger implementations in a crowded small-cap field. It also pays out quarterly.

• VONV 0.06% a year, a fraction of the typical fee among factor ETFs. On a rules-based value index there is little room for cleverness, so cost does most of the work.vanguard.com
• Full replication, not sampling: it owns the index's roughly 900 names and has stayed tightly aligned with the Russell 1000 Value benchmark since launching in 2010.
• Same Russell benchmark as pricier rivals for less: the Goldman MarketBeta version (GVUS) charges 0.12% to track the identical value index.
• A multi-billion-dollar fund that trades actively, among the easiest in its group to get in and out of, and it distributes quarterly.

Worth knowing

• JPSE It trades thinly next to the big index small-cap names, so spreads can widen. Limit orders are the standard tool for funds that trade like this.
• Not the cheapest strong option here: DUHP charges 0.20%, AVUV and AVSC 0.25%.
• Weighting by rules rather than size means stretches where it looks nothing like the Russell 2000, up or down. That gap is the point, but it can test patience.

• VONV One screen, one style. Value only, with no quality or momentum overlay, so the ride follows the value side of the market wherever it goes.vanguard.com
• This is the entire value bucket, not a best-ideas portfolio. About 900 holdings means results hug the large-cap value category rather than stray from it.
• Cheaper exists nearby: Vanguard's VYM charges 0.04%, but it screens for dividend yield, a different portfolio than a Russell value index.

Full JPSE profile⁠

Full VONV profile⁠