JAAAX vs. JEPI

Last updated Jun 9, 2026

JAAAX (John Hancock Funds Alternative Asset Allocation Fund) and JEPI (JPMorgan Equity Premium Income ETF) are both funds - JAAAX is a Multistrategy fund managed by John Hancock, while JEPI is a Dividend fund actively managed by JPMorgan. Over the past 5 years, JAAAX returned 4.19%/yr vs 7.28%/yr for JEPI. A 0.75 correlation means they provide meaningful diversification when combined. JAAAX charges 0.72%/yr vs 0.35%/yr for JEPI.

Performance

JAAAX vs. JEPI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in John Hancock Funds Alternative Asset Allocation Fund (JAAAX) and JPMorgan Equity Premium Income ETF (JEPI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, JAAAX achieves a 5.53% return, which is significantly higher than JEPI's 0.04% return.

JAAAX

• 1D: -0.73%
• 1M: -0.23%
• YTD: 5.53%
• 6M: 6.05%
• 1Y: 10.39%
• 3Y*: 7.08%
• 5Y*: 4.19%
• 10Y*: 4.16%

JEPI

• 1D: -0.31%
• 1M: -0.40%
• YTD: 0.04%
• 6M: 0.91%
• 1Y: 7.03%
• 3Y*: 8.80%
• 5Y*: 7.28%
• 10Y*: —

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

JAAAX vs. JEPI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
JAAAX John Hancock Funds Alternative Asset Allocation Fund	5.53%	6.18%	6.59%	5.85%	-3.12%	4.77%	8.88%
JEPI JPMorgan Equity Premium Income ETF	0.04%	8.09%	12.57%	9.83%	-3.49%	21.52%	18.61%

Correlation

The correlation between JAAAX and JEPI is 0.64, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.64
Correlation (3Y) Calculated over the trailing 3-year period	0.72
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (All Time) Calculated using the full available price history since May 22, 2020	0.75

The correlation between JAAAX and JEPI shifts across timeframes, from 0.64 (1 year) to 0.76 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

JAAAX vs. JEPI — Risk / Return Rank

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

JAAAX

JAAAX Risk / Return Rank: 93
JAAAX Sharpe Ratio Rank: 94
JAAAX Sortino Ratio Rank: 93
JAAAX Omega Ratio Rank: 89
JAAAX Calmar Ratio Rank: 94
JAAAX Martin Ratio Rank: 94

JEPI

JEPI Risk / Return Rank: 26
JEPI Sharpe Ratio Rank: 27
JEPI Sortino Ratio Rank: 27
JEPI Omega Ratio Rank: 27
JEPI Calmar Ratio Rank: 24
JEPI Martin Ratio Rank: 26

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.

JAAAX vs. JEPI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for John Hancock Funds Alternative Asset Allocation Fund (JAAAX) and JPMorgan Equity Premium Income ETF (JEPI). 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.

	JAAAX	JEPI	Difference
Sharpe ratio: Return per unit of total volatility	3.14	0.90	+2.24
Sortino ratio: Return per unit of downside risk	4.57	1.35	+3.23
Omega ratio: Gain probability vs. loss probability	1.62	1.17	+0.46
Calmar ratio: Return relative to maximum drawdown	5.24	1.06	+4.18
Martin ratio: Return relative to average drawdown	20.62	3.31	+17.31
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

JAAAX vs. JEPI - Sharpe Ratio Comparison

The current JAAAX Sharpe Ratio is 3.14, which is higher than the JEPI Sharpe Ratio of 0.90. The chart below compares the historical Sharpe Ratios of JAAAX and JEPI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	JAAAX	JEPI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.14	0.90	+2.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.00	0.66	+0.33
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.95	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.86	1.01	-0.14

Drawdowns

JAAAX vs. JEPI - Drawdown Comparison

The maximum JAAAX drawdown since its inception was -15.72%, which is greater than JEPI's maximum drawdown of -13.71%. Use the drawdown chart below to compare losses from any high point for JAAAX and JEPI.

Drawdown Indicators

	JAAAX	JEPI	Difference
Max Drawdown Largest peak-to-trough decline	-15.72%	-13.71%	-2.01%
Max Drawdown (1Y) Largest decline over 1 year	-2.02%	-6.68%	+4.66%
Max Drawdown (3Y) Largest decline over 3 years	-5.66%	-13.26%	+7.60%
Max Drawdown (5Y) Largest decline over 5 years	-6.28%	-13.71%	+7.43%
Max Drawdown (10Y) Largest decline over 10 years	-12.64%	—	—
Current Drawdown Current decline from peak	-0.79%	-4.93%	+4.14%
Average Drawdown Average peak-to-trough decline	-2.04%	-2.12%	+0.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.51%	2.13%	-1.62%

Volatility

JAAAX vs. JEPI - Volatility Comparison

The current volatility for John Hancock Funds Alternative Asset Allocation Fund (JAAAX) is 1.06%, while JPMorgan Equity Premium Income ETF (JEPI) has a volatility of 1.48%. This indicates that JAAAX experiences smaller price fluctuations and is considered to be less risky than JEPI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	JAAAX	JEPI	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.06%	1.48%	-0.42%
Volatility (6M) Calculated over the trailing 6-month period	2.62%	6.09%	-3.47%
Volatility (1Y) Calculated over the trailing 1-year period	3.37%	7.89%	-4.52%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.22%	11.06%	-6.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.38%	10.79%	-6.41%

JAAAX vs. JEPI - Expense Ratio Comparison

JAAAX has a 0.72% expense ratio, which is higher than JEPI's 0.35% expense ratio.

Dividends

JAAAX vs. JEPI - Dividend Comparison

JAAAX's dividend yield for the trailing twelve months is around 1.45%, less than JEPI's 8.28% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
JAAAX John Hancock Funds Alternative Asset Allocation Fund	1.45%	1.53%	1.17%	1.71%	3.02%	1.72%	0.74%	3.38%	1.99%	1.23%	0.77%	2.78%
JEPI JPMorgan Equity Premium Income ETF	8.28%	8.25%	7.33%	8.40%	11.68%	6.59%	5.79%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both JAAAX and JEPI in my portfolio?

JAAAX and JEPI have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, JAAAX or JEPI?

JEPI has higher volatility (1.48%) compared to JAAAX (1.06%). In terms of maximum drawdown, JAAAX dropped -15.72% vs JEPI's -13.71%.

Which has better risk-adjusted returns?

JAAAX currently has the higher Sharpe Ratio (3.14 vs 0.90), 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.