With more than US$4 trillion in global assets under management, J.P. Morgan Asset Management is looking to Asia to power its next phase of growth – and it is betting that localisation, active ETFs, and private markets will be key to getting there.

The global asset manager currently oversees around US$300 billion in Asia, or roughly 7.5% of its total AUM, but has set its sights on eventually crossing the US$1 trillion mark in the region. According to Dan Watkins, CEO, APAC, that ambition will not be achieved through a one-size-fits-all regional strategy, but through tailored approaches designed for individual markets.

“To succeed in APAC, you’ve got to think local, not regional – and that applies both to clients and to product strategy,” Watkins said.

For JPMAM, unlocking Asia’s diverse wealth pools, from Australia’s vast pension system to Hong Kong’s income-focused investors and the region’s under-allocated ultra-high-net-worth segment, will be central to shifting the dial on its global balance sheet.

Proactively active

A central pillar of that growth strategy is active ETFs.

This month, the asset manager became the world’s largest issuer of actively managed ETFs, overseeing more than US$250 billion in active ETF assets. Watkins believes the structure is particularly well-suited to Asian investors, many of whom seek income without sacrificing exposure to equity upside.

“Asian – and particularly Hong Kong – investors love income, but they also don’t want to miss out on equities and the capital growth that comes with them,” he said.

JPMAM is also targeting markets where it sees scope to deepen its presence, including Australia, China and Japan.

Australia stands out given its status as the world’s fourth-largest retirement market, worth roughly US$4.3 trillion. While its ETF ecosystem remains predominantly passive, Watkins sees structural opportunity as pension funds increase allocations to global asset managers.

“[There is] a huge superannuation client base in Australia, which holds significant assets on behalf of underlying pension clients,” he said.

“If we can continue to serve the large superannuation clients well and help evolve the ETF market from being purely passive to one that embraces active ETFs, those two factors together will drive Australia’s growth,” he noted.

Other markets in APAC, however, call for more bespoke approaches to ETFs, Watkins added.

“Each market here is at a very different stage of maturity, with different attitudes toward passive versus active, and varying levels of regulatory support for building out their active ETF markets,” he said. 

While the firm operates as an onshore ETF provider in Australia, China and Taiwan, markets such as South Korea present a distinct dynamic.

“The typical [South] Korean retail investor opens a brokerage account and buys US ETFs directly from US exchanges. So, our job there is mainly to support these self-directed investors by helping them understand our products,” he said. 

Alternative choices

Beyond ETFs, alternatives are expected to become an increasingly important contributor to AUM growth for Watkins, particularly among ultra- and high-net-worth investors.

“Our focus will therefore remain on the private wealth space – particularly through the private bank channel. Typically, that U/HNW segment has been significantly under-allocated to private markets over many years,” he said.

The firm’s clients also seek exposure “as returns in private markets can be attractive through the right strategy and offer a great diversifier relative to public markets,” he noted.

To close the allocation gap, JPMAM aims to provide clients with more options through private banks, feeder funds, and evergreen strategies.

“Some private banks buy the alternative strategies directly, which we fully support and already do today. Others leverage feeder fund structures. That’s a business we already run in Australia with our global transport offering,” Watkins explained.

“There’s been a significant increase in evergreen fund launches across the market over the past couple of years. Our goal is to provide clients with solutions across all three channels,” he said.

“Each market here is at a very different stage of maturity, with different attitudes toward passive versus active, and varying levels of regulatory support for building out their active ETF markets.”

Maintaining momentum

As competition intensifies in regional financial centres such as Hong Kong and Singapore, product innovation remains central to maintaining relevance.

In Singapore, the firm launched the JPMorgan Singapore & Asia Equity Income Fund, investing in both domestic and Asia ex-Japan equities. The launch followed its appointment in July 2025 as one of three asset managers awarded a mandate by the city-state’s financial regulator to deepen Singapore’s equity markets.

In Hong Kong, the asset manager rolled out the Hang Seng JPMorgan US Equity Premium Income Active ETF in July 2025. It also launched the Asia Equity High Income Fund in 2024, which Watkins said raised US$1 billion within nine months.

“We’re a large player in this market, but you have to earn your clients’ respect every year by consistently servicing them well, delivering performance, and bringing them exciting products,” he concluded.