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JPMorgan Chase & Co. has announced the pricing of callable fixed rate notes maturing on April 30, 2035, featuring a 5.50% annual interest rate and the possibility of early redemption at the issuer's discretion. These unsecured, unsubordinated notes, identified by CUSIP 48130KHD2, are offered in minimum denominations of $1,000. Pricing was set on July 29, 2026, with settlement scheduled for July 31, 2026. Prospective investors should thoroughly assess the call risk and JPMorgan Chase's credit exposure before investing.
Key Points
- NYSE: VYLD 6 JPMorgan Chase & Co. pricing supplement for callable fixed rate notes
- Callable fixed rate notes issued with a 5.50% annual coupon, maturing April 30, 2035
- Issuer may redeem notes on the last calendar day of January, April, July, and October annually starting July 31, 2028
- Redemption notice to be delivered to The Depository Trust Company at least 5 business days prior to any Redemption Date
Callable Note Offering Structure and Terms
The notes represent unsecured, unsubordinated obligations of JPMorgan Chase, ranking equally with other unsecured debt and subject to the bank's credit risk. Designed for investors seeking fixed income with periodic coupon payments, the call feature introduces potential early redemption risk. Principal and interest payments depend solely on JPMorgan Chase's ability to fulfill its obligations, with no government or deposit insurance backing.
Pricing was established on July 29, 2026, with an original issue date of July 31, 2026, following standard business day conventions. Notes are available in minimum denominations of $1,000 and integral multiples, accessible to both institutional and qualified retail investors. The 30/360 day count convention is applied for interest accrual.
Interest Payment Schedule and Coupon Details
Interest is paid annually in arrears at a fixed rate of 5.50% per annum, calculated as $1,000 times the interest rate and day count fraction per $1,000 principal. Payments occur each July 31 from 2027 through 2034, with a final payment on April 30, 2035, unless redeemed earlier. If redemption occurs on a date that is not an Interest Payment Date, accrued interest through the redemption date is paid.
Interest periods begin on the original issue date and end the day before the first Interest Payment Date, with subsequent periods spanning between Interest Payment Dates. Interest accrues using the Unadjusted Interest Accrual Convention, not accounting for non-business days. This ensures predictable cash flows for holders until maturity or redemption, though yields may be lower than comparable non-callable debt.
Call Feature and Redemption Terms
JPMorgan Chase may redeem the entire note offering in full, not in part, on Redemption Dates falling on the last calendar day of January, April, July, and October annually, starting July 31, 2028, through January 31, 2035. Redemption payments include principal plus accrued and unpaid interest through the redemption date, subject to business day and interest accrual rules.
The issuer must notify The Depository Trust Company at least 5 business days before any Redemption Date if it intends to call the notes, providing investors advance notice to consider reinvestment options. The call feature modifies the risk-return profile, limiting upside if interest rates decline below 5.50%, while maintaining exposure to JPMorgan Chase's credit risk.
Pricing, Distribution, and Commission Details
The pricing supplement notes that the public price includes estimated hedging costs, though specific pricing and total offering size were not finalized at the preliminary pricing date. J.P. Morgan Securities LLC acts as agent for distribution, coordinating selling commissions with affiliated and unaffiliated broker-dealers. Commissions are approximately $5.00 per $1,000 principal, capped at $10.00 per note.
For eligible institutional and fee-based advisory accounts, prices range between $980.10 and $1,000 per $1,000 principal note, allowing pricing flexibility. Broker-dealers may waive commissions for these clients. This compensation structure reflects the complexities of distributing structured debt across institutional and retail channels while managing potential conflicts of interest.
Credit Risk and Investor Safeguards
The notes are not bank deposits, lack FDIC insurance, and are not guaranteed by any bank entity. Payment relies entirely on JPMorgan Chase's unsecured creditworthiness, exposing investors to the company's financial condition. Holders have no special protections beyond those of other unsecured creditors and would rank equally in insolvency or restructuring events.
Detailed risk factors are provided in the prospectus and product supplements. Investors are advised to consult financial, legal, tax, and accounting professionals before investing, considering the unique risks of callable notes. Evaluating whether the 5.50% coupon compensates adequately for credit and call risks is essential, especially amid declining interest rates increasing early redemption likelihood.
Business Day Conventions and Settlement Process
The "Following" business day convention applies, ensuring payments or actions falling on non-business days occur on the next business day. Both the Original Issue Date and Pricing Date adhere to this rule, facilitating smooth settlement on July 31, 2026. Investors must remit payment and receive ownership evidence at settlement.
The Depository Trust Company holds the notes in book-entry form, eliminating physical certificates and enabling efficient trading and settlement. Interest and redemption payments are distributed through DTC to holders recorded at the close of business on the day before payment dates.
Regulatory Compliance and SEC Registration
Issued under JPMorgan Chase's Series E medium-term notes program, these notes are registered with the SEC under Registration Statement No. 333-293684. The preliminary pricing supplement incorporates by reference the product supplement no. 1-I, prospectus supplement, and base prospectus all dated April 17, 2026, forming the full disclosure package under SEC Regulation 424(b)(2).
Investors can access these documents via the SEC EDGAR system at www.sec.gov using JPMorgan Chase's CIK 19617. The supplement clarifies that neither the SEC nor state securities commissions have approved or disapproved the notes or verified disclosure accuracy, making any contrary claims a criminal offense.
Risk Profile and Investor Suitability
The callable structure exposes investors to reinvestment risk if JPMorgan Chase redeems notes when market rates are below 5.50%, forcing reinvestment at lower yields. Conversely, if rates rise above 5.50%, investors benefit from the fixed coupon but lose potential gains from holding longer maturity debt. These notes suit investors comfortable with JPMorgan Chase's credit risk and willing to accept early redemption possibilities.
Yields may be lower than comparable conventional bonds due to the issuer's call option. Credit quality is critical, as any deterioration affects market value and payment probability. Investors should weigh these factors when comparing this offering to traditional fixed income securities.
Important Dates and Timeline for Investors
Key dates include the Pricing Date on July 29, 2026, when terms are finalized, and Settlement on July 31, 2026, when notes are issued and funds exchanged. Interest payments commence July 31, 2027, continuing annually through July 31, 2034, with a final payment on April 30, 2035.
Potential redemption dates begin July 31, 2028, recurring quarterly on the last calendar day of January, April, July, and October, with the final redemption opportunity on January 31, 2035. Investors should be aware that JPMorgan Chase may call the notes any time after July 31, 2028, and the five-business-day notice period allows for planning reinvestment strategies.
