JPMorgan ARK Innovation ETF Autocallable Notes: Lawsuits

JPMorgan ARK Innovation ETF Autocallable Notes Results in Potential  Risk

The White Law Group is investigating potential securities lawsuits involving JPMorgan ARK Innovation ETF Autocallable Notes.

Investors who purchased a structured product from JPMorgan linked to the ARK Innovation ETF may face significant downside risk depending on fund performance.

The structured note in question—JPMorgan’s Auto Callable Contingent Interest Notes linked to the ARK Innovation ETF (CUSIP: 48132RC40)—was issued in February 2021 with a face value of $16,571,000. The note’s performance is tied to ARK’s actively managed ETF, and poor performance could substantially reduce or eliminate the final payout.

Details of the Investment – JPMorgan ARK Innovation ETF 

• Issue Date: February 23, 2021
• Linked Security: ARK Innovation ETF (NYSEARCA: ARKK)
• Product Type: Auto Callable Contingent Interest Structured Note
• Face Value: $16,571,000
• Final Payout: Depends on ARKK price on August 22, 2022
• If ARKK price ? $93.94 (Interest Barrier): $1,000 + $13.125 final interest payment
• If ARKK < $93.94 and < $134.20 (Trigger Value): investor may receive reduced payout based on ARKK’s final value
• Total Loss Potential: Up to 100% of principal if ARKK performs poorly and closes below the trigger value at maturity 

Why Could the Investment Lose Value (JPMorgan ARK Innovation ETF )?

This note links returns to the ARK Innovation ETF, which is subject to active management and high volatility. In this case:

• Automatically called if ARKK closes ? $134.20 on a review date
• If not called and closes < $93.94 on final date, repayment may be reduced significantly
• Contingent interest only paid if ARKK closes ? barrier on review dates
• Estimated value at issuance: $971.25 per $1,000 note 

Understanding the Risks of Autocallable Notes

Although marketed with high yield potential, the risks include:

• Market volatility of the ARKK ETF
• Credit risk of JPMorgan Chase Financial Company LLC
• Potential loss of capital if ETF underperforms
• No guaranteed return or fixed interest payments
• Not FDIC insured or government backed 

Did Your Financial Advisor Recommend This Investment?

If this ARKK-linked product was recommended without proper disclosure of its risks, or was unsuitable for your investment profile, you may be able to recover losses through FINRA arbitration.

FINRA Arbitration vs. Class Action

• FINRA arbitration is usually better for larger individual losses
• Class actions are more suited to many investors with similar smaller claims 

Free Consultation

The White Law Group is investigating potential claims involving JPMorgan ARK Innovation ETF Autocallable Notes. Call (888) 637-5510 for a free consultation.

Visit www.whitesecuritieslaw.com for more information on active cases.