Global Quantitative &

Derivatives Strategy
23 June 2021

Tactical Equity Derivatives

Strategy
Retail: Trading Winners and Losers in COVID-19
Wallet Normalization - Buy TGT Call Spreads and
BBY Bear Risk Reversals
 Buy Target Call Spreads: In a recent note, The US Consumer: Still in Bloom Global Quantitative and
or Pending Gloom, Lakos-Bujas et al., 21 June), we take a constructive view on Derivatives Strategy
the consumer spending outlook over the next few quarters with what appears to Shawn P Quigg AC
be an ideal setup going into the 2021 summer/holiday and back-to-school (1-212) 622-7063
seasons. J.P. Morgan retail analyst Chris Horvers highlights TGT (Overweight, shawn.p.quigg@jpmorgan.com
$260 Dec-21 target) as a key beneficiary/COVID-19 wallet winner with Marko Kolanovic, PhD
continued top line growth and margin upside, driven by strong back to (1-212) 622-3677
school/work season trends and lean inventories. To monetize these trends, we marko.kolanovic@jpmorgan.com
recommend investors purchase TGT August 250/270 call spreads for $3.39, J.P. Morgan Securities LLC
indicatively ($237.21 reference price), taking advantage of the stocks below
average implied volatility and flat volatility skew. The reward-to-risk of this
structure is nearly 6:1. Current 2M ATM implied volatility of ~25% trades 2 pts
below its 5-year average (40th %-ile rank). Our structure assists in neutralizing
some of the ATM volatility by taking advantage of its flat volatility skew, which
ranks in its 4th %-ile over the last five years. The risk to this structure is the
premium paid, equating to 1.4% of the reference price.

 Buy Best Buy Co Bear Risk Reversals: Conversely, J.P. Morgan retail analyst
Chris Horvers sees BBY (Neutral, $118 Dec-21 price target) as a stock that
could see tailwinds from COVID-19, but yet to prove its ability to sustain its
COVID-acquired wallet share, in addition to potentially pulling-forward top line
benefits such as back-to-school and holiday sales. Despite the tailwinds from
COVID-19 creating a favorable macro backdrop for the company, the stock has
been unable to hold gains above the $120 level, failing eight times over the last
year (Fig. 1), and is now facing wallet normalization. With the potential for
consumer spending on “nesting” (e.g., TV’s/appliances, WFH equipment) likely
to dissipate in exchange for consumption in reopening/return to travel/apparel,
BBY shares are likely now swimming against the current. We recommend
investors purchase BBY August 120c/100p bear risk reversals (i.e., selling
the call to finance the purchase of the put), collecting $0.36, indicatively
($111.04 reference price), taking advantage of the stock’s flat volatility
skew. Current 2M implied volatility skew (90-110%) is flat, ranking in its 11th
%-ile over the last 5-years. If at expiration shares close at/above the call strike,
investors will be short stock at $120.36, up 8.4% from the reference price, and
above our year-end price target.

See page 3 for analyst certification and important disclosures.

J.P. Morgan does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the
firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in
making their investment decision.
www.jpmorganmarkets.com
This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Figure 1: BBY has failed to break above the $120 level as a COVID-19 recovery stock and now faces wallet normalization
130

125

120

115
Price

110

105

100

95
Jun-20 Sep-20 Dec-20 Mar-21 Jun-21

BBY Layer of Resistance / Short Call Strike

Source: J.P. Morgan Quantitative and Derivatives Strategy, Bloomberg Finance L.P.

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Risks of Common Option Strategies

Risks to Strategies: Not all option strategies are suitable for investors; certain strategies may expose investors to significant potential
losses. We have summarized the risks of selected derivative strategies. For additional risk information, please call your sales
representative for a copy of “Characteristics and Risks of Standardized Options.” We advise investors to consult their tax advisors and
legal counsel about the tax implications of these strategies. Please also refer to option risk disclosure documents.
Put Sale: Investors who sell put options will own the underlying asset if the asset’s price falls below the strike price of the put option.
Investors, therefore, will be exposed to any decline in the underlying asset’s price below the strike potentially to zero, and they will not
participate in any price appreciation in the underlying asset if the option expires unexercised.
Call Sale: Investors who sell uncovered call options have exposure on the upside that is theoretically unlimited.
Call Overwrite or Buywrite: Investors who sell call options against a long position in the underlying asset give up any appreciation in
the underlying asset’s price above the strike price of the call option, and they remain exposed to the downside of the underlying asset in
the return for the receipt of the option premium.
Booster : In a sell-off, the maximum realized downside potential of a double-up booster is the net premium paid. In a rally, option losses
are potentially unlimited as the investor is net short a call. When overlaid onto a long position in the underlying asset, upside losses are
capped (as for a covered call), but downside losses are not.
Collar: Locks in the amount that can be realized at maturity to a range defined by the put and call strike. If the collar is not costless,
investors risk losing 100% of the premium paid. Since investors are selling a call option, they give up any price appreciation in the
underlying asset above the strike price of the call option.
Call Purchase: Options are a decaying asset, and investors risk losing 100% of the premium paid if the underlying asset’s price is below
the strike price of the call option.
Put Purchase: Options are a decaying asset, and investors risk losing 100% of the premium paid if the underlying asset’s price is above
the strike price of the put option.
Straddle or Strangle: The seller of a straddle or strangle is exposed to increases in the underlying asset’s price above the call strike and
declines in the underlying asset’s price below the put strike. Since exposure on the upside is theoretically unlimited, investors who also
own the underlying asset would have limited losses should the underlying asset rally. Covered writers are exposed to declines in the
underlying asset position as well as any additional exposure should the underlying asset decline below the strike price of the put option.
Having sold a covered call option, the investor gives up all appreciation in the underlying asset above the strike price of the call option.
Put Spread: The buyer of a put spread risks losing 100% of the premium paid. The buyer of higher-ratio put spread has unlimited
downside below the lower strike (down to zero), dependent on the number of lower-struck puts sold. The maximum gain is limited to the
spread between the two put strikes, when the underlying is at the lower strike. Investors who own the underlying asset will have downside
protection between the higher-strike put and the lower-strike put. However, should the underlying asset’s price fall below the strike price
of the lower-strike put, investors regain exposure to the underlying asset, and this exposure is multiplied by the number of puts sold.
Call Spread: The buyer risks losing 100% of the premium paid. The gain is limited to the spread between the two strike prices. The seller
of a call spread risks losing an amount equal to the spread between the two call strikes less the net premium received. By selling a covered
call spread, the investor remains exposed to the downside of the underlying asset and gives up the spread between the two call strikes
should the underlying asset rally.
Butterfly Spread: A butterfly spread consists of two spreads established simultaneously – one a bull spread and the other a bear spread.
The resulting position is neutral, that is, the investor will profit if the underlying is stable. Butterfly spreads are established at a net debit.
The maximum profit will occur at the middle strike price; the maximum loss is the net debit.
Pricing Is Illustrative Only: Prices quoted in the above trade ideas are our estimate of current market levels, and are not indicative
trading levels.

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Companies Discussed in This Report (all prices in this report as of market close on 22 June 2021)
Best Buy(BBY/$111.04/N), Target Corporation(TGT/$237.21/OW)
Analyst Certification: The Research Analyst(s) denoted by an “AC” on the cover of this report certifies (or, where multiple Research
Analysts are primarily responsible for this report, the Research Analyst denoted by an “AC” on the cover or within the document
individually certifies, with respect to each security or issuer that the Research Analyst covers in this research) that: (1) all of the views
expressed in this report accurately reflect the Research Analyst’s personal views about any and all of the subject securities or issuers; and
(2) no part of any of the Research Analyst's compensation was, is, or will be directly or indirectly related to the specific recommendations
or views expressed by the Research Analyst(s) in this report. For all Korea-based Research Analysts listed on the front cover, if
applicable, they also certify, as per KOFIA requirements, that the Research Analyst’s analysis was made in good faith and that the views
reflect the Research Analyst’s own opinion, without undue influence or intervention.
All authors named within this report are Research Analysts unless otherwise specified. In Europe, Sector Specialists (Sales and Trading)
may be shown on this report as contacts but are not authors of the report or part of the Research Department.
Important Disclosures

This report is a product of the research department's Global Quantitative and Derivatives Strategy group. Views expressed may differ
from the views of the research analysts covering stocks or sectors mentioned in this report. Structured securities, options, futures and
other derivatives are complex instruments, may involve a high degree of risk, and may be appropriate investments only for sophisticated
investors who are capable of understanding and assuming the risks involved. Because of the importance of tax considerations to many
option transactions, investors considering options should consult with their tax advisor as to how taxes affect the outcome of contemplated
option transactions.
 Market Maker/ Liquidity Provider: J.P. Morgan is a market maker and/or liquidity provider in the financial instruments of/related to
Target Corporation, Best Buy.
 Manager or Co-manager: J.P. Morgan acted as manager or co-manager in a public offering of securities or financial instruments (as
such term is defined in Directive 2014/65/EU) for Best Buy within the past 12 months.
 Client: J.P. Morgan currently has, or had within the past 12 months, the following entity(ies) as clients: Target Corporation, Best Buy.
 Client/Investment Banking: J.P. Morgan currently has, or had within the past 12 months, the following entity(ies) as investment
banking clients: Target Corporation, Best Buy.
 Client/Non-Investment Banking, Securities-Related: J.P. Morgan currently has, or had within the past 12 months, the following
entity(ies) as clients, and the services provided were non-investment-banking, securities-related: Target Corporation, Best Buy.
 Client/Non-Securities-Related: J.P. Morgan currently has, or had within the past 12 months, the following entity(ies) as clients, and
the services provided were non-securities-related: Target Corporation, Best Buy.
 Investment Banking (past 12 months): J.P. Morgan received in the past 12 months compensation for investment banking services
from Target Corporation, Best Buy.
 Investment Banking (next 3 months): J.P. Morgan expects to receive, or intends to seek, compensation for investment banking
services in the next three months from Target Corporation, Best Buy.
 Non-Investment Banking Compensation: J.P. Morgan has received compensation in the past 12 months for products or services
other than investment banking from Target Corporation, Best Buy.
 Debt Position: J.P. Morgan may hold a position in the debt securities of Target Corporation, Best Buy, if any.
Company-Specific Disclosures: Important disclosures, including price charts and credit opinion history tables, are available for
compendium reports and all J.P. Morgan–covered companies by visiting https://www.jpmm.com/research/disclosures, calling 1-800-477-
0406, or e-mailing research.disclosure.inquiries@jpmorgan.com with your request. J.P. Morgan’s Strategy, Technical, and Quantitative
Research teams may screen companies not covered by J.P. Morgan. For important disclosures for these companies, please call 1-800-477-
0406 or e-mail research.disclosure.inquiries@jpmorgan.com.

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Date Rating Price ($) Price Target

($)
13-Aug-18 N 82.71 79
Target Corporation (TGT, TGT US) Price Chart 22-Aug-18 N 83.27 89
20-Nov-18 N 77.79 80
10-Jan-19 N 70.29 75
372 N $80 OW $100 OW $140 OW $113
OW $135 OW $193 OW $230
06-Mar-19 N 76.00 81
23-May-19 OW 77.56 100
310 N $89 N $81 OW $130 OW $137
OW $129 OW $169 OW $210 OW $260
21-Aug-19 OW 85.53 115

N $79 N $75 OW $115 OW $144OW $120 OW $154OW $197 OW $233

08-Nov-19 OW 110.59 130
248
20-Nov-19 OW 110.85 140
Price($) 27-Jan-20 OW 114.32 144
186
03-Mar-20 OW 109.06 137
26-Mar-20 OW 91.04 113
124
23-Apr-20 OW 106.84 120
11-May-20 OW 115.83 129
62
20-May-20 OW 123.17 135
12-Aug-20 OW 131.72 154
0
20-Aug-20 OW 154.22 169
Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun
18 18 18 19 19 19 19 20 20 20 20 21 21 09-Nov-20 OW 161.50 193
18-Nov-20 OW 163.04 197
Source: Bloomberg Finance L.P. and J.P. Morgan; price data adjusted for stock splits and dividends.
Initiated coverage Apr 20, 2000. All share prices are as of market close on the previous business day. 13-Jan-21 OW 199.10 210
19-Apr-21 OW 208.55 230
13-May-21 OW 202.96 233
19-May-21 OW 206.43 260

Best Buy (BBY, BBY US) Price Chart Date Rating Price ($) Price Target
($)
28-Aug-18 N 81.66 79
N $90 N $105 N $117 20-Nov-18 N 62.20 75
192
29-Aug-19 N 69.00 71
N $75 N $77 N $83 N $124 N $118 25-Nov-19 N 72.64 77
160
26-Nov-19 N 74.25 90
N $79 N $71 N $85 N $115 N $113
128 18-May-20 N 78.61 85

Price($)
22-May-20 N 77.98 83
96 22-Jul-20 N 90.28 105
18-Nov-20 N 119.02 115
64 24-Nov-20 N 122.04 124
23-Feb-21 N 116.73 117
32 25-Feb-21 N 113.46 113
26-May-21 N 114.42 118
0
Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun
18 18 18 19 19 19 19 20 20 20 20 21 21

Source: Bloomberg Finance L.P. and J.P. Morgan; price data adjusted for stock splits and dividends.
Initiated coverage Jul 02, 2002. All share prices are as of market close on the previous business day.

The chart(s) show J.P. Morgan's continuing coverage of the stocks; the current analysts may or may not have covered it over the entire
period.
J.P. Morgan ratings or designations: OW = Overweight, N= Neutral, UW = Underweight, NR = Not Rated
Explanation of Equity Research Ratings, Designations and Analyst(s) Coverage Universe:
J.P. Morgan uses the following rating system: Overweight [Over the next six to twelve months, we expect this stock will outperform the
average total return of the stocks in the analyst’s (or the analyst’s team’s) coverage universe.] Neutral [Over the next six to twelve
months, we expect this stock will perform in line with the average total return of the stocks in the analyst’s (or the analyst’s team’s)
coverage universe.] Underweight [Over the next six to twelve months, we expect this stock will underperform the average total return of
the stocks in the analyst’s (or the analyst’s team’s) coverage universe.] Not Rated (NR): J.P. Morgan has removed the rating and, if
applicable, the price target, for this stock because of either a lack of a sufficient fundamental basis or for legal, regulatory or policy

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

reasons. The previous rating and, if applicable, the price target, no longer should be relied upon. An NR designation is not a
recommendation or a rating. In our Asia (ex-Australia and ex-India) and U.K. small- and mid-cap equity research, each stock’s expected
total return is compared to the expected total return of a benchmark country market index, not to those analysts’ coverage universe. If it
does not appear in the Important Disclosures section of this report, the certifying analyst’s coverage universe can be found on J.P.
Morgan’s research website, www.jpmorganmarkets.com.

J.P. Morgan Equity Research Ratings Distribution, as of April 03, 2021

Overweight Neutral Underweight
(buy) (hold) (sell)
J.P. Morgan Global Equity Research Coverage* 49% 38% 12%
IB clients** 54% 48% 38%
JPMS Equity Research Coverage* 46% 39% 14%
IB clients** 78% 70% 55%
*Please note that the percentages might not add to 100% because of rounding.
**Percentage of subject companies within each of the "buy," "hold" and "sell" categories for which J.P. Morgan has provided investment banking
services within the previous 12 months.
For purposes only of FINRA ratings distribution rules, our Overweight rating falls into a buy rating category; our Neutral rating falls into a hold rating
category; and our Underweight rating falls into a sell rating category. Please note that stocks with an NR designation are not included in the table above.
This information is current as of the end of the most recent calendar quarter.

Equity Valuation and Risks: For valuation methodology and risks associated with covered companies or price targets for covered
companies, please see the most recent company-specific research report at http://www.jpmorganmarkets.com, contact the primary analyst
or your J.P. Morgan representative, or email research.disclosure.inquiries@jpmorgan.com. For material information about the proprietary
models used, please see the Summary of Financials in company-specific research reports and the Company Tearsheets, which are
available to download on the company pages of our client website, http://www.jpmorganmarkets.com. This report also sets out within it
the material underlying assumptions used.
A history of J.P. Morgan investment recommendations disseminated during the preceding 12 months can be accessed on the Research &
Commentary page of http://www.jpmorganmarkets.com where you can also search by analyst name, sector or financial instrument.

Analysts' Compensation: The research analysts responsible for the preparation of this report receive compensation based upon various
factors, including the quality and accuracy of research, client feedback, competitive factors, and overall firm revenues.
Other Disclosures
J.P. Morgan is a marketing name for investment banking businesses of JPMorgan Chase & Co. and its subsidiaries and affiliates
worldwide.

All research material made available to clients are simultaneously available on our client website, J.P. Morgan Markets, unless
specifically permitted by relevant laws. Not all research content is redistributed, e-mailed or made available to third-party aggregators.
For all research material available on a particular stock, please contact your sales representative.
Any long form nomenclature for references to China; Hong Kong; Taiwan; and Macau within this research material are Mainland China;
Hong Kong SAR (China); Taiwan (China); and Macau SAR (China).

Options and Futures related research: If the information contained herein regards options- or futures-related research, such information
is available only to persons who have received the proper options or futures risk disclosure documents. Please contact your J.P. Morgan
Representative or visit https://www.theocc.com/components/docs/riskstoc.pdf for a copy of the Option Clearing Corporation's
Characteristics and Risks of Standardized Options or
http://www.finra.org/sites/default/files/Security_Futures_Risk_Disclosure_Statement_2018.pdf for a copy of the Security Futures Risk
Disclosure Statement.
Changes to Interbank Offered Rates (IBORs) and other benchmark rates: Certain interest rate benchmarks are, or may in the future
become, subject to ongoing international, national and other regulatory guidance, reform and proposals for reform. For more information,
please consult: https://www.jpmorgan.com/global/disclosures/interbank_offered_rates
Private Bank Clients: Where you are receiving research as a client of the private banking businesses offered by JPMorgan Chase & Co.
and its subsidiaries (“J.P. Morgan Private Bank”), research is provided to you by J.P. Morgan Private Bank and not by any other division
of J.P. Morgan, including, but not limited to, the J.P. Morgan Corporate and Investment Bank and its Global Research division.

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Legal entity responsible for the production and distribution of research: The legal entity identified below the name of the Reg AC
Research Analyst who authored this material is the legal entity responsible for the production of this research. Where multiple Reg AC
Research Analysts authored this material with different legal entities identified below their names, these legal entities are jointly
responsible for the production of this research. Research Analysts from various J.P. Morgan affiliates may have contributed to the
production of this material but may not be licensed to carry out regulated activities in your jurisdiction (and do not hold themselves out as
being able to do so). Unless otherwise stated below, this material has been distributed by the legal entity responsible for production. If you
have any queries, please contact the relevant Research Analyst in your jurisdiction or the entity in your jurisdiction that has distributed
this research material.
Legal Entities Disclosures and Country-/Region-Specific Disclosures:
Argentina: JPMorgan Chase Bank N.A Sucursal Buenos Aires is regulated by Banco Central de la República Argentina (“BCRA”-
Central Bank of Argentina) and Comisión Nacional de Valores (“CNV”- Argentinian Securities Commission” - ALYC y AN Integral
N°51). Australia: J.P. Morgan Securities Australia Limited (“JPMSAL”) (ABN 61 003 245 234/AFS Licence No: 238066) is regulated
by the Australian Securities and Investments Commission and is a Market, Clearing and Settlement Participant of ASX Limited and CHI-
X. This material is issued and distributed in Australia by or on behalf of JPMSAL only to "wholesale clients" (as defined in section 761G
of the Corporations Act 2001). A list of all financial products covered can be found by visiting
https://www.jpmm.com/research/disclosures. J.P. Morgan seeks to cover companies of relevance to the domestic and international
investor base across all Global Industry Classification Standard (GICS) sectors, as well as across a range of market capitalisation sizes. If
applicable, in the course of conducting public side due diligence on the subject company(ies), the Research Analyst team may at times
perform such diligence through corporate engagements such as site visits, discussions with company representatives, management
presentations, etc. Research issued by JPMSAL has been prepared in accordance with J.P. Morgan Australia’s Research Independence
Policy which can be found at the following link: J.P. Morgan Australia - Research Independence Policy. Brazil: Banco J.P. Morgan S.A.
is regulated by the Comissao de Valores Mobiliarios (CVM) and by the Central Bank of Brazil. Ombudsman J.P. Morgan: 0800-7700847
/ ouvidoria.jp.morgan@jpmorgan.com. Canada: J.P. Morgan Securities Canada Inc. is a registered investment dealer, regulated by the
Investment Industry Regulatory Organization of Canada and the Ontario Securities Commission and is the participating member on
Canadian exchanges. This material is distributed in Canada by or on behalf of J.P.Morgan Securities Canada Inc. Chile: Inversiones J.P.
Morgan Limitada is an unregulated entity incorporated in Chile. China: J.P. Morgan Securities (China) Company Limited has been
approved by CSRC to conduct the securities investment consultancy business. Dubai: JPMorgan Chase Bank, N.A., Dubai Branch is
regulated by the Dubai Financial Services Authority (DFSA) and its registered address is Dubai International Financial Centre - The Gate,
West Wing, Level 3 and 9 PO Box 506551, Dubai, UAE. This material has been distributed to persons regarded as professional clients or
market counterparties as defined under the DFSA rules. European Economic Area (EEA): Unless specified to the contrary, research is
distributed in the EEA by J.P. Morgan AG (“JPM AG”), which is a member of the Frankfurt Stock Exchange, is authorised by the
European Central Bank (“ECB”) and is regulated by the Federal Financial Supervisory Authority (BaFin). JPM AG is a company
incorporated in the Federal Republic of Germany with a registered office at Taunustor 1, 60310 Frankfurt am Main, the Federal Republic
of Germany. The material has been distributed in the EEA to persons regarded as professional investors (or equivalent) pursuant to Art. 4
para. 1 no. 10 and Annex II of MiFID II and its respective implementation in their home jurisdictions (“EEA professional investors”).
This material must not be acted on or relied on by persons who are not EEA professional investors. Any investment or investment activity
to which this material relates is only available to EEA relevant persons and will be engaged in only with EEA relevant persons. Hong
Kong: J.P. Morgan Securities (Asia Pacific) Limited (CE number AAJ321) is regulated by the Hong Kong Monetary Authority and the
Securities and Futures Commission in Hong Kong, and J.P. Morgan Broking (Hong Kong) Limited (CE number AAB027) is regulated by
the Securities and Futures Commission in Hong Kong. JP Morgan Chase Bank, N.A., Hong Kong (CE Number AAL996) is regulated by
the Hong Kong Monetary Authority and the Securities and Futures Commission, is organized under the laws of the United States with
limited liability. India: J.P. Morgan India Private Limited (Corporate Identity Number - U67120MH1992FTC068724), having its
registered office at J.P. Morgan Tower, Off. C.S.T. Road, Kalina, Santacruz - East, Mumbai – 400098, is registered with the Securities
and Exchange Board of India (SEBI) as a ‘Research Analyst’ having registration number INH000001873. J.P. Morgan India Private
Limited is also registered with SEBI as a member of the National Stock Exchange of India Limited and the Bombay Stock Exchange
Limited (SEBI Registration Number – INZ000239730) and as a Merchant Banker (SEBI Registration Number - MB/INM000002970).
Telephone: 91-22-6157 3000, Facsimile: 91-22-6157 3990 and Website: www.jpmipl.com. JPMorgan Chase Bank, N.A. - Mumbai
Branch is licensed by the Reserve Bank of India (RBI) (Licence No. 53/ Licence No. BY.4/94; SEBI - IN/CUS/014/ CDSL : IN-DP-
CDSL-444-2008/ IN-DP-NSDL-285-2008/ INBI00000984/ INE231311239) as a Scheduled Commercial Bank in India, which is its
primary license allowing it to carry on Banking business in India and other activities, which a Bank branch in India are permitted to
undertake. For non-local research material, this material is not distributed in India by J.P. Morgan India Private Limited. Indonesia: PT
J.P. Morgan Sekuritas Indonesia is a member of the Indonesia Stock Exchange and is regulated by the OJK a.k.a. BAPEPAM LK. Korea:
J.P. Morgan Securities (Far East) Limited, Seoul Branch, is a member of the Korea Exchange (KRX). JPMorgan Chase Bank, N.A., Seoul
Branch, is licensed as a branch office of foreign bank (JPMorgan Chase Bank, N.A.) in Korea. Both entities are regulated by the Financial
Services Commission (FSC) and the Financial Supervisory Service (FSS). For non-macro research material, the material is distributed in
Korea by or through J.P. Morgan Securities (Far East) Limited, Seoul Branch. Japan: JPMorgan Securities Japan Co., Ltd. and JPMorgan
Chase Bank, N.A., Tokyo Branch are regulated by the Financial Services Agency in Japan. Malaysia: This material is issued and
distributed in Malaysia by JPMorgan Securities (Malaysia) Sdn Bhd (18146-X), which is a Participating Organization of Bursa Malaysia
Berhad and holds a Capital Markets Services License issued by the Securities Commission in Malaysia. Mexico: J.P. Morgan Casa de

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

Bolsa, S.A. de C.V.and J.P. Morgan Grupo Financiero are members of the Mexican Stock Exchange and are authorized to act as a broker
dealer by the National Banking and Securities Exchange Commission. New Zealand: This material is issued and distributed by JPMSAL
in New Zealand only to "wholesale clients" (as defined in the Financial Advisers Act 2008). JPMSAL is registered as a Financial Service
Provider under the Financial Service providers (Registration and Dispute Resolution) Act of 2008. Pakistan: J. P. Morgan Pakistan
Broking (Pvt.) Ltd is a member of the Karachi Stock Exchange and regulated by the Securities and Exchange Commission of Pakistan.
Philippines: J.P. Morgan Securities Philippines Inc. is a Trading Participant of the Philippine Stock Exchange and a member of the
Securities Clearing Corporation of the Philippines and the Securities Investor Protection Fund. It is regulated by the Securities and
Exchange Commission. Russia: CB J.P. Morgan Bank International LLC is regulated by the Central Bank of Russia. Singapore: This
material is issued and distributed in Singapore by or through J.P. Morgan Securities Singapore Private Limited (JPMSS) [MCI (P)
018/04/2020 and Co. Reg. No.: 199405335R], which is a member of the Singapore Exchange Securities Trading Limited, and/or
JPMorgan Chase Bank, N.A., Singapore branch (JPMCB Singapore) [MCI (P) 052/09/2020], both of which are regulated by the
Monetary Authority of Singapore. This material is issued and distributed in Singapore only to accredited investors, expert investors and
institutional investors, as defined in Section 4A of the Securities and Futures Act, Cap. 289 (SFA). This material is not intended to be
issued or distributed to any retail investors or any other investors that do not fall into the classes of “accredited investors,” “expert
investors” or “institutional investors,” as defined under Section 4A of the SFA. Recipients of this material in Singapore are to contact
JPMSS or JPMCB Singapore in respect of any matters arising from, or in connection with, the material. As at the date of this material,
JPMSS is a designated market maker for certain structured warrants listed on the Singapore Exchange where the underlying securities
may be the securities discussed in this material. Arising from its role as a designated market maker for such structured warrants, JPMSS
may conduct hedging activities in respect of such underlying securities and hold or have an interest in such underlying securities as a
result. The updated list of structured warrants for which JPMSS acts as designated market maker may be found on the website of the
Singapore Exchange Limited: http://www.sgx.com. South Africa: J.P. Morgan Equities South Africa Proprietary Limited and JPMorgan
Chase Bank, N.A., Johannesburg Branch are members of the Johannesburg Securities Exchange and are regulated by the Financial
Services Board. Taiwan: J.P. Morgan Securities (Taiwan) Limited is a participant of the Taiwan Stock Exchange (company-type) and
regulated by the Taiwan Securities and Futures Bureau. Material relating to equity securities is issued and distributed in Taiwan by J.P.
Morgan Securities (Taiwan) Limited, subject to the license scope and the applicable laws and the regulations in Taiwan. According to
Paragraph 2, Article 7-1 of Operational Regulations Governing Securities Firms Recommending Trades in Securities to Customers (as
amended or supplemented) and/or other applicable laws or regulations, please note that the recipient of this material is not permitted to
engage in any activities in connection with the material that may give rise to conflicts of interests, unless otherwise disclosed in the
“Important Disclosures” in this material. Thailand: This material is issued and distributed in Thailand by JPMorgan Securities (Thailand)
Ltd., which is a member of the Stock Exchange of Thailand and is regulated by the Ministry of Finance and the Securities and Exchange
Commission, and its registered address is 3rd Floor, 20 North Sathorn Road, Silom, Bangrak, Bangkok 10500. UK: Unless specified to
the contrary, research is distributed in the UK by J.P. Morgan Securities plc (“JPMS plc”) which is a member of the London Stock
Exchange and is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential
Regulation Authority. JPMS plc is registered in England & Wales No. 2711006, Registered Office 25 Bank Street, London, E14 5JP. This
material is directed in the UK only to: (a) persons having professional experience in matters relating to investments falling within article
19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) (Order) 2005 (“the FPO”); (b) persons outlined in article 49
of the FPO (high net worth companies, unincorporated associations or partnerships, the trustees of high value trusts, etc.); or (c) any
persons to whom this communication may otherwise lawfully be made; all such persons being referred to as "UK relevant persons". This
material must not be acted on or relied on by persons who are not UK relevant persons. Any investment or investment activity to which
this material relates is only available to UK relevant persons and will be engaged in only with UK relevant persons. Research issued by
JPMS plc has been prepared in accordance with JPMS plc's policy for prevention and avoidance of conflicts of interest related to the
production of Research which can be found at the following link: J.P. Morgan EMEA - Research Independence Policy. U.S.: J.P. Morgan
Securities LLC (“JPMS”) is a member of the NYSE, FINRA, SIPC, and the NFA. JPMorgan Chase Bank, N.A. is a member of the FDIC.
Material published by non-U.S. affiliates is distributed in the U.S. by JPMS who accepts responsibility for its content.
General: Additional information is available upon request. The information in this material has been obtained from sources believed to be
reliable. While all reasonable care has been taken to ensure that the facts stated in this material are accurate and that the forecasts,
opinions and expectations contained herein are fair and reasonable, JPMorgan Chase & Co. or its affiliates and/or subsidiaries
(collectively J.P. Morgan) make no representations or warranties whatsoever to the completeness or accuracy of the material provided,
except with respect to any disclosures relative to J.P. Morgan and the Research Analyst's involvement with the issuer that is the subject of
the material. Accordingly, no reliance should be placed on the accuracy, fairness or completeness of the information contained in this
material. Any data discrepancies in this material could be the result of different calculations and/or adjustments. J.P. Morgan accepts no
liability whatsoever for any loss arising from any use of this material or its contents, and neither J.P. Morgan nor any of its respective
directors, officers or employees, shall be in any way responsible for the contents hereof, apart from the liabilities and responsibilities that
may be imposed on them by the relevant regulatory authority in the jurisdiction in question, or the regulatory regime thereunder.
Opinions, forecasts or projections contained in this material represent J.P. Morgan's current opinions or judgment as of the date of the
material only and are therefore subject to change without notice. Periodic updates may be provided on companies/industries based on
company-specific developments or announcements, market conditions or any other publicly available information. There can be no
assurance that future results or events will be consistent with any such opinions, forecasts or projections, which represent only one
possible outcome. Furthermore, such opinions, forecasts or projections are subject to certain risks, uncertainties and assumptions that have

This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.
 Shawn P Quigg Global Quantitative & Derivatives Strategy
(1-212) 622-7063 23 June 2021
shawn.p.quigg@jpmorgan.com

not been verified, and future actual results or events could differ materially. The value of, or income from, any investments referred to in
this material may fluctuate and/or be affected by changes in exchange rates. All pricing is indicative as of the close of market for the
securities discussed, unless otherwise stated. Past performance is not indicative of future results. Accordingly, investors may receive back
less than originally invested. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument.
The opinions and recommendations herein do not take into account individual client circumstances, objectives, or needs and are not
intended as recommendations of particular securities, financial instruments or strategies to particular clients. The recipients of this
material must make their own independent decisions regarding any securities or financial instruments mentioned herein and should seek
advice from such independent financial, legal, tax or other adviser as they deem necessary. J.P. Morgan may trade as a principal on the
basis of the Research Analysts’ views and research, and it may also engage in transactions for its own account or for its clients’ accounts
in a manner inconsistent with the views taken in this material, and J.P. Morgan is under no obligation to ensure that such other
communication is brought to the attention of any recipient of this material. Others within J.P. Morgan, including Strategists, Sales staff
and other Research Analysts, may take views that are inconsistent with those taken in this material. Employees of J.P. Morgan not
involved in the preparation of this material may have investments in the securities (or derivatives of such securities) mentioned in this
material and may trade them in ways different from those discussed in this material. This material is not an advertisement for or
marketing of any issuer, its products or services, or its securities in any jurisdiction.
"Other Disclosures" last revised June 05, 2021.
Copyright 2021 JPMorgan Chase & Co. All rights reserved. This material or any portion hereof may not be reprinted, sold or
redistributed without the written consent of J.P. Morgan. #$J&098$#*P

9
Completed 23 Jun 2021 12:52 AM EDT Disseminated 23 Jun 2021 12:53 AM EDT
This document is being provided for the exclusive use of CHRISTOPHER Olson at JPMorgan Chase & Co. and clients of J.P. Morgan.