SKN | JPMorgan Increases Reported Strategy Holdings by 36% as MSCI Index Removal Approaches

Key Points:

• JPMorgan reported holding 848,932 shares of Strategy worth approximately $131.3 million as of September 30, representing a 36% increase from its June position.
• The bank’s SEC filing also disclosed substantial options exposure and approximately $7.8 million in face value of Strategy convertible bonds.
• The increase comes as Strategy prepares for removal from the MSCI USA Index on November 30, raising questions about institutional positioning and potential index-related selling.

JPMorgan Chase has expanded its reported exposure to Strategy, the publicly traded company whose corporate strategy centers on accumulating Bitcoin, even as the bank’s analysts have highlighted potential selling pressure associated with an upcoming index exclusion. Its latest quarterly regulatory filing provides a closer look at the bank’s reported equity, options and convertible bond positions. However, the disclosure requires careful interpretation: a 13F filing can include securities held through client accounts and trading activities, rather than representing investments made exclusively with the bank’s own capital.

JPMorgan’s Reported Strategy Stake Expands

According to its quarterly Form 13F filing with the U.S. Securities and Exchange Commission, JPMorgan reported 848,932 shares of Strategy as of September 30, 2026. The position was valued at approximately $131.3 million at the end of the quarter.

The reported share count represents a 36% increase from the 624,387 shares disclosed at the end of June, according to figures reported by The Block. The increase is notable because Strategy’s equity provides investors with exposure to a company whose financial position and market valuation are closely connected to Bitcoin.

Strategy, formerly known as MicroStrategy, is a software company that has made Bitcoin accumulation the central component of its corporate strategy. Its shares have consequently become an important publicly traded instrument through which institutional and retail market participants can obtain indirect exposure to Bitcoin-related market movements.

Nevertheless, JPMorgan’s larger reported position should not automatically be interpreted as a decision by the bank to increase its proprietary Bitcoin exposure. The filing covers reportable securities managed across different parts of the institution, including client accounts and trading positions.

Options and Convertible Bonds Add Complexity

The filing also disclosed options linked to Strategy shares, including calls covering 349,500 shares and puts covering 1,148,500 shares. These positions indicate that JPMorgan’s reported exposure extends beyond ordinary equity holdings.

Calls generally gain value when the underlying share price rises, while puts can gain value when the share price falls. However, the reported figures alone do not establish the bank’s overall directional market view. Options can serve different purposes, including hedging, trading strategies and managing exposure to other positions. A complete assessment would require additional information about the structure and purpose of the positions.

JPMorgan also reported approximately $7.8 million in face value of Strategy convertible bonds. These debt instruments can be converted into equity under specified terms, creating another connection between the bank’s reported securities exposure and Strategy’s capital structure.

MSCI Exclusion Creates an Important Market Test

The increased holdings come ahead of Strategy’s planned removal from the MSCI USA Index following the provider’s November index review. The change is scheduled to take effect after the market closes on November 30, 2026, under a revised framework excluding companies classified as non-operating businesses.

The classification focuses on companies whose primary activity involves holding assets rather than operating a conventional business. Because Strategy’s central corporate activity is acquiring and holding Bitcoin, the company falls within the framework’s scope. Strategy had already acknowledged the expected exclusion in its late-October quarterly report.

Index-tracking funds generally adjust their portfolios when a constituent is removed, potentially creating selling pressure around the effective date. JPMorgan previously estimated in November 2025 that an MSCI exclusion could generate as much as $2.8 billion in Strategy share sales. Its analysis also suggested that potential exclusions by other index providers could produce another $8.8 billion in outflows. These are estimates of possible selling pressure, not confirmed transactions or guaranteed market outcomes.

Institutional Positioning Requires a Broader Interpretation

The contrast between JPMorgan’s growing reported Strategy holdings and its analysts’ warnings about index-related selling illustrates the complexity of institutional exposure to Bitcoin-linked equities. The bank’s filing reflects a larger reported position, but it does not establish that JPMorgan’s own investment committee has adopted a more bullish view of Bitcoin or Strategy.

Investors will be watching the November 30 index adjustment and subsequent regulatory disclosures for evidence of how institutional holdings evolve. The scale of actual fund-related selling, Strategy’s response to changing market conditions and the behavior of other major index providers will help determine whether the exclusion creates a temporary technical disruption or contributes to a broader reassessment of Bitcoin-linked corporate equities.