JPMorgan Chase Unveils New Auto Callable Contingent Interest Notes
JPMorgan Chase Financial Company LLC has introduced a new structured investment product called the 18mNC6m NDXT/RTY Auto Callable Contingent Interest Notes. These notes are backed by the Nasdaq-100® Technology Sector Index SM and the Russell 2000® Index, with a pricing date set for October 30, 2026, and a maturity date of May 4, 2028. The minimum denomination for these notes is $1,000, and they offer a contingent interest rate of at least 10.00% per annum, paid monthly at a rate of at least 0.83333%, provided certain conditions are met.
The notes feature an automatic call provision: if on any review date (excluding the first six and the final review date) the closing value of each underlying index is greater than or equal to its initial value, the notes will be automatically called. Investors will then receive their principal plus any applicable contingent interest payments. If the notes are not called and the final value of each underlying index is greater than or equal to its trigger value, investors will receive their principal plus the final contingent interest payment. However, if the final value of either underlying index is below its trigger value, investors could lose more than 25.00% of their principal, potentially even all of it.
The estimated value of the notes is set at no less than $900.00 per $1,000 principal amount note. The investment comes with several risks, including potential loss of principal, exposure to declines in the underlying indices, and the limited appreciation potential capped at the sum of any contingent interest payments. Additionally, the notes are subject to the credit risks of both JPMorgan Chase Financial Company LLC and JPMorgan Chase & Co., as well as market risks associated with non-U.S. securities and small capitalization companies, particularly in the technology sector.
Potential investors should be aware of the lack of liquidity, as J.P. Morgan Securities LLC is not obligated to purchase the notes in the secondary market. The notes also carry tax consequences that may be uncertain, and investors are advised to consult with a tax adviser. The risks identified are not exhaustive, and further details can be found in the prospectus supplement and the applicable product supplement.