Nutmeg has partnered with JP Morgan Asset Management (JPMAM) for the launch of five risk-rated portfolios constructed solely of ETFs.

The Smart Alpha range combines JPMAM’s market insights and research with Nutmeg’s digital portfolio management expertise to offer the range exclusively to the robo-advisor’s users.

The portfolios include both passive and active ETFs from JPMAM which look to outperform their benchmarks through the use of overweighting and underweighting securities.

JPMAM’s multi-asset solutions specialists sets the long-term asset allocation and implement tactical adjustments to manage risks at different stages of the market cycle.

The management fee for the portfolios is 0.75% up to £100,000 and then 0.35% above that. 

Nutmeg’s ETF director replaces Port as CIO

James McManus (pictured), CIO at Nutmeg and Industry 30 2020 winner, commented: “The Smart Alpha portfolio range sits at the intersection of passive and active management.

“It builds on our core investment principles and aims to deliver superior returns by giving customers the best of both worlds: a multi-asset portfolio that combines the diversification of a passive approach with active, ESG-integrated, research-driven security selection.”  

Edward Malcolm, head of UK ETF distribution at JPMAM, added: “These portfolios, in partnership with Nutmeg’s technology capabilities, have been designed to complement and enhance the investment opportunities available to Nutmeg customers.”