JP Morgan Asset Management CEO George Gatch sounded a note of caution on the valuations of the Magnificent Seven tech stocks and flatly ruled out launching a Bitcoin product.
The manager of the $3.1 trillion (CHF2.7 billion) fund also set a five-year target of $1 trillion for active assets of exchange-traded funds (ETFs). He stressed that AI was already “fundamental” to the business, but was lukewarm on acquisitions.
Speaking at the firm’s European asset management conference in London on March 13, Gatch said that after the “extraordinary” returns of the Magnificent Seven over the past year, it is risky to simply buy the S&P 500 against an active manager.