Expect more runway for international ETFs in 2026, predicts JPMorgan's chief ETF strategist

• International markets are expected to continue their outperformance trend.
• The dollar is projected to devalue by about 1% annually over the next decade.
• International equities trade at a 32% discount to the US, compared to a 19% average discount over the last 20 years.
• Opportunities are seen in financials, energy, materials, and select industries, with international value having low correlation to US large-cap growth.

JPMorgan's Chief ETF Strategist, Jon Maier, predicts continued outperformance for international markets in 2026. He attributes this to a projected 1% annual dollar devaluation, strong valuations for international equities (trading at a 32% discount to the US), and opportunities in financials, energy, materials, and select industries. He specifically recommends the JPMorgan International Value ETF (JIVE).