Uploaded March 2026 | Updated September 2026, 2 weeks ago
What actually happens behind the scenes of an active ETF?
When you invest in an active ETF, you’re paying for a team of investment professionals to make decisions about what the fund should buy, sell, or avoid. But how does that process really work?
In this video, Ted Malcolm, Head of UK ETF Distribution at JPMorgan, explains how active ETFs are managed - from analysing global economic trends to selecting individual companies.
We explore the investment process inside an active ETF, including:
• The role of a portfolio manager
• How analysts and research teams support decisions
• The difference between top-down and bottom-up investing
• How portfolios are reviewed, rebalanced and rotated
• Why risk management and diversification are essential
00:00 How active ETFs work
00:16 The team
01:00 The strategy
02:19 The process in action
You’ll also learn how active managers respond to changing market conditions - adjusting exposure across sectors, companies and regions in pursuit of long-term outperformance versus passive benchmarks.
But active management doesn’t guarantee success. Markets evolve constantly, which is why understanding how active ETFs are constructed and managed is essential before investing.
👉 Explore JPM ETFs on InvestEngine: bit.ly/4bbT8cy
👉 Learn more about ETF investing on our blog: bit.ly/4baJDdK
📱 Download the IOS app: apple.co/3N7i7pe
📱 Download the Android app: bit.ly/4aRrBy8
Don't miss out on our regular finance education videos – hit the subscribe button to stay informed and empowered on your investment path.
Want to talk about it? Join the InvestEngine Community: bit.ly/4aVebRO
Follow us on social media:
Instagram: bit.ly/4aRrBOE
TikTok: bit.ly/3PjSwtU
LinkedIn: bit.ly/4re7gru
Reddit: bit.ly/4lgINAP
Disclaimer: Capital at risk. The value of your portfolio with InvestEngine can go down as well as up, and you may get back less than you invest. ETF costs also apply. This video is for information only and is not financial advice. Tax treatment depends on individual circumstances and may change. Past performance is not a reliable indicator of future results.
What actually happens behind the scenes of an active ETF?
When you invest in an active ETF, you’re paying for a team of investment professionals to make decisions about what the fund should buy, sell, or avoid. But how does that process really work?
In this video, Ted Malcolm, Head of UK ETF Distribution at JPMorgan, explains how active ETFs are managed - from analysing global economic trends to selecting individual companies.
We explore the investment process inside an active ETF, including:
• The role of a portfolio manager
• How analysts and research teams support decisions
• The difference between top-down and bottom-up investing
• How portfolios are reviewed, rebalanced and rotated
• Why risk management and diversification are essential
00:00 How active ETFs work
00:16 The team
01:00 The strategy
02:19 The process in action
You’ll also learn how active managers respond to changing market conditions - adjusting exposure across sectors, companies and regions in pursuit of long-term outperformance versus passive benchmarks.
But active management doesn’t guarantee success. Markets evolve constantly, which is why understanding how active ETFs are constructed and managed is essential before investing.
👉 Explore JPM ETFs on InvestEngine: bit.ly/4bbT8cy
👉 Learn more about ETF investing on our blog: bit.ly/4baJDdK
📱 Download the IOS app: apple.co/3N7i7pe
📱 Download the Android app: bit.ly/4aRrBy8
Don't miss out on our regular finance education videos – hit the subscribe button to stay informed and empowered on your investment path.
Want to talk about it? Join the InvestEngine Community: bit.ly/4aVebRO
Follow us on social media:
Instagram: bit.ly/4aRrBOE
TikTok: bit.ly/3PjSwtU
LinkedIn: bit.ly/4re7gru
Reddit: bit.ly/4lgINAP
Disclaimer: Capital at risk. The value of your portfolio with InvestEngine can go down as well as up, and you may get back less than you invest. ETF costs also apply. This video is for information only and is not financial advice. Tax treatment depends on individual circumstances and may change. Past performance is not a reliable indicator of future results.
