JPMorgan’s new 'Guide to ETFs'

JPMorgan's quarterly ETF guide highlights the surge in AI-driven thematic ETFs, with infrastructure, energy, and materials all feeding into the AI story. Jon Maier explains that many thematic trends are converging toward AI, and the report shows a sharp decline in mutual fund flows as investors increasingly favor ETFs for tax efficiency and liquidity. - AI-themed ETF assets have skyrocketed since 2018, with infrastructure, energy, and materials riding the AI wave. - Jon Maier sees many thematic trends morphing toward AI, creating a sustained ecosystem. - Infrastructure ETFs have performed well for years and feed into the AI story. - Energy and materials are also key components of the AI value chain. - Mutual fund flows have been consistently negative since 2020, while ETF adoption grows. - Tax efficiency and liquidity are major advantages of ETFs over mutual funds. - The shift from mutual funds to ETFs is expected to continue.