J.P. Morgan just bought a slice of an eight-year-old ETF shop.

Jed Laskowitz JPMorgan Asset Management Co-Head Global Investment Management Solutions

Today Jed Laskowitz, co-head of global investment management solutions for J.P. Morgan Asset Management [profile], confirms that the giant bank has acquired a passive, minority stake in Global X Management Company [profile]. The pricing and terms of the deal and the size of J.P. Morgan's stake were not disclosed.

In the statement, the J.P. Morgan folks insist that the deal "will have no impact on how J.P. Morgan ETF Solutions and Global X operate their respective businesses," and that they will be doing "no co-marketing, investment management, distribution agreements or share governance."

Laskowitz describes the deal as "expanding and deepening [J.P. Morgan's] participation in this fast-growing industry." Bob Deutsch, global head of ETF solutions at JPMAM, tells 401kWire that investing in Global X is a complement to his "big plans for [a] continued buildout" of JPMAM's own ETF business. And he says that he's "very excited" about the Global X deal.

"We think that it's got the potential to lead to a deeper strategic partnership over time," Deutsch says. "It's too early to say what that might be."

"This new strategic investment from J.P. Morgan will help Global X to accelerate the growth of our product suite and the expansion of our client service capabilities," states Global X CEO Bruno del Alma.

Global X offers more than 40 ETFs, while JPMAM has seven of its own strategic beta ETFs. 

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