JPMorgan will invest $1.5 trillion in key areas of the U.S. over 10 years. Which stocks will benefit?

JPMorgan, the largest US bank, has launched a ten-year strategy to invest $1.5 trillion in sectors critical to "national economic security and resilience" in the US. The bank will invest up to $10 billion in companies developing and supplying minerals, defense technology and batteries, as well as those involved in artificial intelligence and quantum technologies. The bank's strategy has already sparked a rally of companies from across the economy. Who else is likely to win?

JPMorgan plans to invest in (mostly) mid- and large-cap U.S. companies to "help accelerate growth, spur innovation and strengthen strategic manufacturing," the bank said in a statement.

"It has become painfully obvious that the U.S. has allowed itself to become overly dependent on unreliable sources of critical minerals, products and manufacturing - everything critical to our national security," said JPMorganChase Chairman and CEO Jamie Dimon.

The bank has already planned to secure about $1 trillion in investments over the next 10 years and expects to add up to $500 billion more to that amount with "additional resources, capital and focus."

- Defense and Airspace. Includes defense technologies, autonomous systems, drones, next-generation communications, and secure communication channels

- Energy security and resilience. Includes batteries, grid resilience and distributed energy.

- Advanced and strategic technologies. Includes AI, cybersecurity, quantum computing.

- Supply chain and advanced manufacturing -- Includes critical minerals, precursors for the pharmaceutical industry and robotics

JPMorgan has divided these four categories into 27 sub-areas, the list of which it will be able to adjust over time.

Shares of a number of quantum companies rose sharply after JPMorgan Chase announced this sector as one of its priorities. Thus, shares of Arqit Quantum jumped by 20%, D-Wave Quantum - rose by 23%, and Rigetti Computing - by 25%. IONQ shares rose by 16%, Quantum Computing - added 13%.

In addition, shares of companies related to rare earth metals and lithium showed sharp growth, MarketWatch writes. Thus, shares of USA Rare Earth jumped by 18%, MP Materials - by 21%, Lithium Americas - by 12%, Albermarle - by 7%, and Ramaco Resources - by 11%.

Business Insider cited exchange traded funds (ETFs) for each of the four areas JPMorgan selected.

- Defense: iShares Dow Jones US Aerospace & Defense ETF (ITA). Key positions: General Electric, RTX Corporation and Boeing.

- Energy: VanEck Uranium & Nuclear ETF (NLR); iShares Energy Storage & Materials ETF (IBAT); Invesco Solar ETF (TAN). Key positions include Constellation Energy, Bloom Energy, Nextracker, Oklo, First Solar.

- Innovation: Roundhill Generative AI & Technology ETF (CHAT) Key positions include Nvidia, Alphabet and Oracle.

- Supply Chains: TCW Transform Supply Chain ETF (SUPP) Key positions include Nvidia, Waste Connections and Martin Marietta.

JPMorgan's plan is another example of Donald Trump's "America First" (America First) policy, the Financial Times writes. At the same time, Dimon told reporters that the 10-year plan is an initiative of JPMorgan, not the White House, and that it will be "100% commercial" and not charitable, Reuters reports.

Quantum stocks have seen explosive growth over the past month, with Rigetti and D-Wave securities, for example, rising 175% and 130%, respectively. Technology giants such as Google, Microsoft and Amazon have shown interest in quantum computers, which have the potential to solve problems that are inaccessible.
interest in quantum computers, which have the potential to solve problems inaccessible to traditional computers. In February this year, Microsoft unveiled its first quantum chip called Majorana 1, while Google announced as far back as late last year
its own quantum breakthrough, the Willow chip.

This article was AI-translated and verified by a human editor