GARP vs. JEPQ

Last updated Jun 14, 2026

GARP (iShares MSCI USA Quality GARP ETF) and JEPQ (JPMorgan Nasdaq Equity Premium Income ETF) are both exchange-traded funds - GARP is a Large Cap Growth Equities fund tracking the MSCI USA Quality GARP Select Index, while JEPQ is a Nasdaq-100 fund tracking the Nasdaq-100 Index. Both are passively managed. Over the past 3 years, GARP returned 31.05%/yr vs 19.91%/yr for JEPQ. Their correlation of 0.94 suggests significant overlap in exposure. GARP charges 0.15%/yr vs 0.35%/yr for JEPQ.

Performance

GARP vs. JEPQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Quality GARP ETF (GARP) and JPMorgan Nasdaq Equity Premium Income ETF (JEPQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, GARP achieves a 16.96% return, which is significantly higher than JEPQ's 7.85% return.

GARP

• 1D: 0.21%
• 1M: 3.69%
• YTD: 16.96%
• 6M: 17.70%
• 1Y: 38.39%
• 3Y*: 31.05%
• 5Y*: 18.96%
• 10Y*: —

JEPQ

• 1D: 0.62%
• 1M: 1.08%
• YTD: 7.85%
• 6M: 8.80%
• 1Y: 26.60%
• 3Y*: 19.91%
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

GARP vs. JEPQ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
GARP iShares MSCI USA Quality GARP ETF	16.96%	21.49%	37.42%	42.86%	-11.32%
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	7.85%	15.18%	24.85%	36.28%	-11.16%

Correlation

The correlation between GARP and JEPQ is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (All Time) Calculated using the full available price history since May 4, 2022	0.94

The correlation between GARP and JEPQ has been stable across timeframes, ranging from 0.91 to 0.94 - a consistent structural relationship.

GARP vs. JEPQ - Sectors Allocation Comparison

Sectors	GARP	JEPQ
Technology	55.2%	58.9%
Communication Services	11.9%	13.9%
Consumer Cyclical	8.5%	11.8%
Financial Services	7.2%	0.3%
Industrials	6.6%	2.8%
Healthcare	5.3%	3.9%
Energy	2.9%	0.3%
Utilities	1.2%	1.1%
Basic Materials	1.1%	0.9%
Real Estate	0.4%	0.2%
Consumer Defensive	-	6.0%

Return for Risk

GARP vs. JEPQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

GARP

GARP Risk / Return Rank: 64
GARP Sharpe Ratio Rank: 69
GARP Sortino Ratio Rank: 63
GARP Omega Ratio Rank: 63
GARP Calmar Ratio Rank: 61
GARP Martin Ratio Rank: 65

JEPQ

JEPQ Risk / Return Rank: 74
JEPQ Sharpe Ratio Rank: 73
JEPQ Sortino Ratio Rank: 69
JEPQ Omega Ratio Rank: 79
JEPQ Calmar Ratio Rank: 66
JEPQ Martin Ratio Rank: 81

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

GARP vs. JEPQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Quality GARP ETF (GARP) and JPMorgan Nasdaq Equity Premium Income ETF (JEPQ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	GARP	JEPQ	Difference
Sharpe ratio: Return per unit of total volatility	1.93	2.03	-0.10
Sortino ratio: Return per unit of downside risk	2.53	2.69	-0.16
Omega ratio: Gain probability vs. loss probability	1.33	1.40	-0.07
Calmar ratio: Return relative to maximum drawdown	2.65	2.91	-0.26
Martin ratio: Return relative to average drawdown	10.37	13.84	-3.47

GARP vs. JEPQ - Sharpe Ratio Comparison

The current GARP Sharpe Ratio is 1.93, which is comparable to the JEPQ Sharpe Ratio of 2.03. The chart below compares the historical Sharpe Ratios of GARP and JEPQ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

GARP vs. JEPQ - Drawdown Comparison

The maximum GARP drawdown since its inception was -31.34%, which is greater than JEPQ's maximum drawdown of -20.07%. Use the drawdown chart below to compare losses from any high point for GARP and JEPQ.

Drawdown Indicators

	GARP	JEPQ	Difference
Max Drawdown Largest peak-to-trough decline	-31.34%	-20.07%	-11.27%
Max Drawdown (1Y) Largest decline over 1 year	-13.69%	-8.82%	-4.87%
Max Drawdown (3Y) Largest decline over 3 years	-23.73%	-20.07%	-3.66%
Max Drawdown (5Y) Largest decline over 5 years	-30.61%	—	—
Current Drawdown Current decline from peak	-4.27%	-1.64%	-2.63%
Average Drawdown Average peak-to-trough decline	-7.35%	-3.41%	-3.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.49%	1.85%	+1.64%

Volatility

GARP vs. JEPQ - Volatility Comparison

iShares MSCI USA Quality GARP ETF (GARP) has a higher volatility of 7.61% compared to JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) at 4.98%. This indicates that GARP's price experiences larger fluctuations and is considered to be riskier than JEPQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	GARP	JEPQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.61%	4.98%	+2.63%
Volatility (6M) Calculated over the trailing 6-month period	15.12%	10.22%	+4.90%
Volatility (1Y) Calculated over the trailing 1-year period	18.79%	12.61%	+6.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.11%	16.73%	+5.38%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.95%	16.73%	+7.22%

GARP vs. JEPQ - Expense Ratio Comparison

GARP has a 0.15% expense ratio, which is lower than JEPQ's 0.35% expense ratio.

Dividends

GARP vs. JEPQ - Dividend Comparison

GARP's dividend yield for the trailing twelve months is around 0.26%, less than JEPQ's 10.22% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
GARP iShares MSCI USA Quality GARP ETF	0.26%	0.31%	0.38%	0.75%	1.85%	0.67%	0.75%
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	10.22%	10.53%	9.65%	10.03%	9.44%	0.00%	0.00%

Frequently Asked Questions

Can I hold both GARP and JEPQ in my portfolio?

With a correlation of 0.91, GARP and JEPQ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, GARP or JEPQ?

GARP has higher volatility (7.61%) compared to JEPQ (4.98%). In terms of maximum drawdown, GARP dropped -31.34% vs JEPQ's -20.07%.

Which ETF is better, GARP or JEPQ?

On 3-year performance, GARP leads with 31.05% vs 19.91% for JEPQ. On fees, GARP is cheaper at 0.15% per year. On volatility, JEPQ has been the lower-risk option at 4.98%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, GARP or JEPQ?

Over the 3-year period, GARP has performed better with a 31.05% return vs 19.91%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, GARP or JEPQ?

GARP is cheaper with a 0.15% expense ratio, compared with 0.35% for JEPQ.

Which ETF pays a higher dividend yield, GARP or JEPQ?

JEPQ has the higher dividend yield at 10.22%, compared with 0.26% for GARP.

What is the main difference between GARP and JEPQ?

GARP is categorized as Large Cap Growth Equities, while JEPQ is Nasdaq-100. GARP tracks MSCI USA Quality GARP Select Index, while JEPQ tracks Nasdaq-100 Index. They also come from different issuers: iShares and JPMorgan. Their fees differ too: 0.15% for GARP and 0.35% for JEPQ.

Which has better risk-adjusted returns?

JEPQ currently has the higher Sharpe Ratio (2.03 vs 1.93), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.