Key Points
- Passive income through ETFs beats stock-picking risks by providing instant diversification.
- High yields can accelerate goals, but blend funds for balance.
- Compounding turns consistent contributions into life-changing sums over time.
- It sounds nuts, but SoFi is giving new active invest users up to $1k in stock, see for yourself (Sponsor)
Exchange-traded funds (ETFs) have become a go-to for investors seeking straightforward ways to build wealth without the hassle of picking individual stocks.JPMorgan Chase(NYSE:JPM), one of the largest financial institutions globally, stands out in this space with its lineup of ETFs designed for income generation. These funds offer low costs, broad exposure, and reliable payouts, making them solid choices for anyone aiming to create a steady stream of passive income.
For retirees or those planning ahead, hitting $10,000 in annual dividends can feel like a stretch. But with disciplined saving and the right ETFs, it’s achievable. Through the power of time and the magic of compounding, we can break it down into a more manageable figure.
Let’s see exactly how much you’d need to invest in each of the following three top JPMorgan ETFs to reach that $10,000 mark and turn a hefty initial outlay into a reliable income engine.
JPMorgan Equity Premium Income ETF (JEPI)
TheJPMorgan Equity Premium Income ETF(NYSEARCA:JEPI) has gained traction since its 2020 launch for blending stock returns with enhanced income. It holds a portfolio of about 130 large-cap U.S. stocks, focusing on low-volatility names like those in tech and healthcare. What sets JEPI apart is its covered call strategy: the fund sells out-of-the-money call options on theS&P 500to generate premium income, which funds its monthly dividends.
JEPI
$56.87▲ $1.85(3.25%)1YPre-Market1D5D1M3M6M1Y5YMAXThis approach delivers a trailing 12-month yield of 7.2%, well above the S&P 500’s average. With an expense ratio of just 0.35%, it’s cost-efficient for active management. Assets under management top $40 billion, reflecting strong investor trust. Year-to-date through October 2025, JEPI has returned about 5.1%, lagging the broader market slightly due to its defensive tilt but excelling in down months.
To pull in $10,000 annually from JEPI, you’d need roughly $139,500 invested. That’s $10,000 divided by 0.0717. For context, if you add $500 monthly and reinvest dividends at a 7% annual growth rate, you could hit this target in under 15 years starting from zero. JEPI suits conservative investors who want market exposure without the full ride’s ups and downs.
JPMorgan Nasdaq Equity Premium Income ETF (JEPQ)
If you’re bullish on tech but wary of volatility, theJPMorgan Nasdaq Equity Premium Income ETF(NYSEARCA:JEPQ) deliversNasdaq-100exposure with an income twist. Launched in 2022, it invests in the index’s top holdings such asMicrosoft(NASDAQ:MSFT),Apple(NASDAQ:AAPL), andNvidia(NASDAQ:NVDA) while overlaying a covered call strategy on the Nasdaq-100 itself. This generates extra cash from option premiums, paid out monthly.
JEPQ
$57.30▲ $9.33(16.29%)1Y1D5D1M3M6M1Y5YMAXJEPQ’s trailing yield sits at 9.45%, driven by the Nasdaq’s growth stocks and those premiums. Its expense ratio matches JEPI at 0.35%, and AUM has surged to over $30 billion amid tech enthusiasm. Performance-wise, it’s up 10.1% year-to-date, capturing much of the AI boom while cushioning drops through income.
Hitting $10,000 a year requires about $106,000 in JEPQ. This lower entry point makes it appealing for growth-oriented portfolios. However, the tech focus means more swings — beta around 0.85 versus the Nasdaq’s 1.0. Ideal for those comfortable with sector concentration but seeking yields that outpace bonds or traditional dividends.
JPMorgan Dividend Leaders ETF (JDIV)
For a straightforward bet on reliable payers, theJPMorgan Dividend Leaders ETF(NYSEARCA:JDIV) targets companies with strong dividend track records worldwide. It selects from theMSCI ACWI Index, emphasizing firms that grow or sustain payouts relative to peers. Holdings span about 100 stocks, including U.S. giants likeProcter & Gamble(NYSE:PG) and international names from Europe and Asia, for true diversification.
JDIV
$53.80▲ $6.17(11.47%)1Y1D5D1M3M6M1Y5YMAXJDIV offers a trailing yield of 1.69%, with a 0.47% expense ratio. AUM hovers at just $7.9 million, much smaller than its siblings but growing steadily. Its size disguises the ETFs performance this year, delivering 18.4% returns, blending income stability with appreciation.
To generate $10,000 yearly, however, it’s going to take a sizable chunk of change: almost $592,000 invested. This higher amount reflects the fund’s conservative yield, but it shines in reliability: over 80% of holdings have raised dividends for a decade or more. Still, by adding $1,500 a month, you can reach the goal in under 20 years, and it’s a perfect vehicle for international exposure without currency headaches, as it hedges against forex risks.
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