JPMorgan Launches New Auto Callable Contingent Interest Notes

JPMorgan Chase & Co. has launched a new structured investment product called the 2.5yrNC6m NDX/RTY/SPX Auto Callable Contingent Interest Notes. Issued by JPMorgan Chase Financial Company LLC and guaranteed by JPMorgan Chase & Co., these notes come with a minimum denomination of $1,000 and are linked to the performance of three major indices: the Nasdaq-100 Index, Russell 2000 Index, and S&P 500 Index. The notes have a pricing date of October 16, 2026, a final review date of April 16, 2029, and a maturity date of April 19, 2029.

The notes offer a contingent interest rate ranging from 9.25% to 11.25% per annum, paid monthly, but only if the underlying indices perform well. The interest payments are contingent on the indices not falling below 70% of their initial values. If the notes are not automatically called and the final value of any underlying index is below its trigger value, investors could lose more than 30% of their principal or even all of it.

JPMorgan highlights several risks associated with these notes, including the potential for loss of principal, the lack of guaranteed interest payments, and exposure to the credit risks of JPMorgan Chase Financial Company LLC and JPMorgan Chase & Co. The notes also come with limited liquidity, as J.P. Morgan Securities LLC is not obligated to purchase them in the secondary market. Additionally, the estimated value of the notes is lower than the original issue price, and investors are advised to consult their tax advisors regarding the tax consequences.

The automatic call feature means that if the indices meet or exceed their initial values on any review date (except the first six and the final review date), the notes will be automatically called, and investors will receive their principal plus any applicable contingent interest payments. If the notes are not called and the indices perform poorly, investors will receive a payment based on the least performing underlying index.