J.P. Morgan Asset Management is closing two of its climate-themed ETFs in the fall, highlighting a wider pullback from specialty ESG offerings on Wall Street.
As political trends increasingly dictate the market, J.P. Morgan’s move to close its funds falls in line with a larger decline in ESG investing brought on by the Trump administration. Since Donald Trump’s return to the White House in January 2025, “sin stocks” related to defense, tobacco, and alcohol have gone ballistic as deregulation and cultural pushback erode ESG’s popularity.
The JPMorgan Carbon Transition U.S. Equity ETF (NYSE:JCTR) and the JPMorgan Climate Change Solutions ETF (NYSE:TEMP) will be delisted following the close of business on October 3, the company said. Shareholders can sell shares up to that date, with liquidation proceeds delivered at net asset value on or around October 10. Shareholders who hold through the liquidation will receive cash automatically into their brokerage accounts.
Wave of ESG Fund Closures Across Wall Street
The closures follow a run of ESG and thematic ETF closures due to reduced investor appetite for sustainability-linked products. In June, BlackRock shut down eight ETFs and six mutual funds, including three ESG-themed ETFs with about $109 million in assets, due to poor demand. Goldman Sachs has also pulled out of the sector, closing its Future Consumer Equity ETF and Future Planet Equity ETF, which combined had approximately $29.7 million. Meanwhile, VanEck closed two of its own green-focused funds earlier this year.
The dissolutions reflect a cooling of the once-red-hot ESG trend. After years of rapid launches, many smaller climate and sustainability ETFs have struggled to attract scale, leaving them vulnerable to liquidation. Industry analysts say investors have been rotating toward broader, more liquid products while scrutinizing ESG strategies amid political pushback and uneven performance.
For J.P. Morgan, the move is a rebalancing, not a retreat, from ETFs. The $3.8 trillion asset manager as of June 30, still maintains a broad line-up of equity, fixed income, and alternative strategies.
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