JPMorgan American

JAM offers investors a core portfolio of US equities, blending both growth and value styles, while aiming to outperform the S&P 500…

Add to watchlist Request a meeting Download View key data

Disclosure – Non-Independent Marketing Communication

This is a non-independent marketing communication commissioned by JPMorgan American. The report has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on the dealing ahead of the dissemination of investment research.

JPMorgan American

Summary

JPMorgan American (JAM) offers investors a core exposure to US equities. In June 2019 it adopted a new approach, blending two dedicated value- and growth-based allocations. This is achieved through two experienced investment managers, Jonathan Simon (value) and Timothy Parton (growth), with each manager given up to 20 positions and up to 60% of the trust’s assets at any one time.

The two come together to create a wholly bottom-up portfolio which balances both styles, never taking a substantial overweight in a single factor but rather overweighting companies which reflect each manager’s highest convictions. JAM also maintains a small allocation to small-cap growth stocks, intending to thereby offer investors a core allocation to US equities.

Recently, the team have seen fit to make a slight reduction to the trust’s growth allocation, which had rallied sharply in 2020. They have instead begun to increase the weighting to value stocks, specifically financials. The current split is 52% growth and 48% value. 2020 marked a very dramatic year for the stock market, but one JAM was well positioned to take advantage of thanks to its approach. The trust has so far generated an NAV total return performance of 42% since June 2019 (when the current approach was implemented), outperforming the S&P 500’s 33.4% return.

JAM also has the lowest charges of any North American trust with an expected OCF of c. 0.4% once the management fee waiver expires, far below the average 0.9% charged by its peers. While investors may view these as attractive features, JAM currently trades at a 5.9% discount, although this is slightly narrower than its peer group’s average discount.

Kepler View

Thanks to its distinctive balanced approach, we believe JAM offers investors an attractive solution for a ‘core’ exposure to US equities, or potentially even a ‘one-stop shop’ exposure to the US equity market. This is thanks to its ability to balance the two dominant styles of US equities – growth and value – in a single portfolio.

While Jonathan and Tim have had a relatively short tenure as managers of JAM, we believe that there is sufficient evidence in their success in managing the growth/value balance of the portfolio to warrant a narrower discount. This is evidenced by JAM’s recent outperformance in a market characterised by rapid shifts between growth and value styles, as well as by the team’s strong track record of managing a similar strategy in their open-ended vehicle.

We believe that JAM’s current discount offers a potentially attractive entry point, and we feel that there are medium-term catalysts for its reversion. The most obvious catalyst is a continuing track record of outperformance and the board’s prudent policy of share buybacks. We also believe that the complexity in navigating the US market, especially over the medium term once the euphoria surrounding value stocks dissipates, may support investor demand for a ‘core’ equity product like JAM if it becomes harder to discern which style will outperform. Even in the case that one style outperforms the other, both managers’ alpha generation and balanced approach could allow JAM to perform well over the cycle.

Bull
Bear
Has outperformed both peers and benchmark during the COVID-19 crisis
Can underperform during periods of exclusively growth- or value-driven markets
Offers investors a catch-all US equity portfolio, utilising both growth and value investment styles
Gearing can amplify losses on the downside
Lowest OCF in the sector, even after management fee waiver expires
The team still have a relatively short track record managing the trust (albeit with a long track record elsewhere)

Portfolio

JPMorgan American Investment Trust (JAM) offers investors a blended portfolio of both growth and value styles, invested across the large-cap US equity space. JAM has long been a mainstay of the AIC North America sector and has been under the stewardship of JPMorgan Asset Management throughout recent memory, although JAM has been operating as an investment trust since 1881. The trust’s current primary managers, Jonathan Simon and Timothy Parton, have been at the helm since June 2019. The two represent a unique combination of high-conviction, bottom-up growth and value investors. Despite the change, JAM maintains the same investment objective as it did under the previous manager: to achieve capital growth from North American investments by outperformance of the S&P 500 Index. Likewise, the board remains dedicated to ensuring JAM offers a ‘core’ exposure to US equities. With JAM straddling both growth and value styles of investing, Jonathan and Tim can leverage JPMorgan Asset Management’s full range of US equity analysts across both the growth and core/value teams: a suite of approximately 40 analysts in total, each dedicated to their own industry.

The investment process behind JAM is distinctive, characterised by the combination of Jonathan’s value style of investing and Tim’s growth style. At any given time JAM will be split between growth and value allocations, with each manager having picked up to 20 stock positions representing between 40% and 60% of JAM’s large-cap assets, with allocations reflecting the strength of the managers’ convictions at a given time. While the portfolio predominantly invests in large-cap equities, JAM maintains a small but dedicated allocation to small-cap growth stocks through a separate fund. The split between Tim and Jonathan is currently 52% to Tim (growth) and 48% to Jonathan (value). Given the high-conviction blend of styles and market cap, JAM has a high active share of 68.2%, despite being a predominantly large-cap strategy (Source: JPMorgan, as at 31/12/2020).

The board has seen fit to establish a target 5% small-cap weighting, with the ability to make this up 10% of JAM’s assets. This change was made in the third quarter of 2020 because the board wished to make a formal and meaningful allocation to small-cap equities, whereas previously there was no target allocation, and since June 2019 it had remained at c. 1%. The focus is firmly on small-cap growth stocks, and this allocation is managed by Eytan Shapiro, who largely replicates the style of the JPMorgan US Small Cap Growth Fund. In our view this allocation has the potential to further enhance JAM’s returns and improve its ability to offer a ‘core’ exposure to US equities. Currently, exposure to small caps is 6% of NAV.

Despite having two separate managers, there is still plenty of overlap in the fundamental analysis both managers use. Strong balance sheets, high-quality management and competitive advantages all underpin the companies in JAM’s portfolio. Jonathan prefers to buy companies which are out of favour with the market but which still have strong balance sheets and cash flows. He believes that such companies’ discounts are temporary and will eventually come back into favour. This is an important distinction of his value style of investing as Jonathan does not seek to identify the catalyst behind a rotation into value stocks, but rather aims to identify quality companies at a discount, confident that their strength will eventually allow them to return to a premium valuation. Tim on the other hand aims to identify companies which have a growth trajectory that is not priced in by the market. He will account for factors such as price momentum and earnings revisions, hallmarks of ‘growth’ investing.

Due to the inherent industry biases associated with growth and value investing, the managers typically have a free rein over certain sectors. For example, Tim will often have ownership of technology stocks, while Jonathan will often have sole discretion over investment in financials; nonetheless, there are a number of stocks which are on both managers’ radar (such as JAM’s holding in Charles Schwab, the brokerage company). Given the managers’ style biases, there can be extreme variations in the valuations of JAM’s holdings, with the most stark difference being between Tim’s position in Tesla and Jonathan’s position in Loews, which are at polar ends of the valuation spectrum.

Despite JAM’s capacity for valuation extremes, stock-specific risk matters more to the managers than style or factor risk. Tim and Jonathan (and the broader analyst teams) sit down regularly to discuss their stock convictions, including where they feel they need to de-risk. One such example was in 2018 (prior to their taking over management of JAM) when the team felt growth stock valuations were becoming stretched and correspondingly increased the trust’s overweight to value stocks by 5% as a result. Despite the managers’ differences in investment style, JAM has largely maintained an overall balanced exposure to US equities since Jonathan and Tim took over, as can be seen by the graph below. The duo’s ability to balance their convictions reflects the board’s intention to offer investors a broad exposure to US equities, free of the style biases that can creep into other funds. This is an important distinction, given that US equity markets have been driven by an increasingly narrow number of stocks over recent months, specifically the FAANGs and growth-focussed technology names.

Morningstar growth/value score

Source: Morningstar, as at 31/12/2020

Values over 200 indicate a portfolio with a clear growth bias, values between 200 and 100 indicate a portfolio with a core allocation, and values below 100 indicate a portfolio with a clear value bias.

While JAM’s allocation is predominantly driven by a combination of manager conviction and allocation limitations, there are nuances to the portfolio construction which are not immediately apparent. While the portfolio is constructed in an entirely bottom-up manner, with no consideration given to their benchmark’s allocation, the team do aim to avoid holding conflicting stocks within the portfolio. As an example, they prefer PayPal over Visa: although they acknowledge the investment case behind both stocks, they believe PayPal to have better customer incentives and a more valuable brand. They also prefer to own AbbVie over its competitors, specifically Johnson & Johnson and Pfizer. Despite the recent headlines around the latter two companies’ vaccine rollout, the team believe the market is overvaluing these companies due to pandemic-induced hype, and that AbbVie’s pipeline of cancer treatment drugs (as well as its production of Humira, one of the world’s best-selling drugs) makes it a more compelling long-term investment. While the idea of not owning competing companies may seem obvious, we believe that it is a very important nuance for JAM. It shows the co-operation of Jonathan and Tim in combining their two distinct investment styles and ensures investors gain access to a broad sectoral exposure in US equities, a key factor in JAM’s ability to offer a ‘core’ US equity portfolio.

As one would imagine, given the COVID-19-induced market dynamics which characterised most of 2020 where growth largely outperformed value, Tim has been trimming a number of his holdings which have seen their valuations rise alongside the broader growth stock rally. He has specifically trimmed his ‘COVID-19 winners’, such as Tesla, Microsoft and AMD. Jonathan has been correspondingly increasing his allocation to value stocks, reflecting the increasing confidence he has in his companies as we enter the post-pandemic recovery, and tending to favour the unloved value and cyclical companies rather than the growth names which have driven the market over most of the last 12 months. In fact, all of JAM’s largest overweights (compared to the S&P 500) are in Jonathan’s value stocks, with the largest increase being made to JAM’s exposure to financials. The top five overweights can be seen below.

Top five overweight stocks

Stock
Portfolio Weight (%)
Relative Overweight (%)
Loews
4.2
4.2
Capital One Financial
3.4
3.3
Charles Schwab
3.3
3.0
AbbVie
3.3
2.7
AutoZone
2.7
2.7

Source: JPMorgan, as at 31/12/2020
Relative overweight is against JAM’s benchmark, the S&P 500.

Stock-specific changes to JAM’s portfolio include the recent addition of John Deere, the agricultural machinery manufacturer, which sits firmly in the growth camp. Tim is excited by the ever increasing use of technology by John Deere, in what has typically been an under-advanced industry. The company believes that it can increase the crop yields of consumers, which will also reduce the water consumption of farms, specifically as a result of its proprietary technology, and this is something the JAM team believe is being undervalued by the market. Jonathan recently added Raytheon, the aerospace and defence company, despite the impact COVID-19 has had on air traffic. Raytheon derives c. 50% of its revenues from defence contracts, a sticky source of income, and with a new incumbent US government there is an increased likelihood of further defence spending. Other than the defence-specific tailwinds, Raytheon maintains a strong, cash-heavy balance sheet and has a history of effective cost-cutting. Raytheon has been unloved by the market in recent months, offering an attractive entry point, and the team are confident that its defence contracts will see its valuations improve once the market acknowledges its reliable revenue streams.

On the other hand, the team sold their holding in Walgreens, the pharmacy chain store which owns Boots in the UK. The team were concerned about the company’s ability to generate a sufficiently high return on invested capital, given the highly competitive market it operates in. To remain competitive, the team believe it needs a large amount of additional investment to bring its stores up to scratch and maintain a competitive advantage – an amount of investment the team do not find conducive to long-term returns. They have instead invested in Procter & Gamble, the consumer goods giant, as they believe it has a much more attractive return on invested capital. The current top ten positions can be seen below.

Top ten holdings

Stock
Sector
Weight (%)
Microsoft
Information Technology
5.2
Apple
Information Technology
4.6
Amazon
Consumer Discretionary
4.2
Capital One Financial
Financials
4.0
Loews
Financials
3.9
Alphabet
Communication Services
3.7
Bank of America
Financials
3.7
Berkshire Hathaway
Financials
3.5
AbbVie
Healthcare
3.1
Charles Schwab
Financials
3.0
Total

38.9

Source: JPMorgan, as at 28/02/2021

Gearing

JAM maintains a strategic gearing level of 10%, typically operating with a tactical gearing level of 5% +/- 5%. This means that JAM’s short-term gearing can range from a maximum of 10% to 0%. This flexibility is in place as the use of gearing is at the managers’ discretion. JAM’s gearing thus reflects the managers’ conviction in the portfolio at any given time. The managers do not look to increase the overall exposure to the market, but rather utilise gearing to invest in attractive opportunities where they have conviction. The managers periodically request the board to adjust the strategic level of gearing, depending on their outlook. For example, during the unusual market conditions brought about by COVID-19 in March 2020, the board adjusted the gearing range to between 6% and 14%, allowing the managers the flexibility to take advantage of valuation opportunities.

JAM’s gearing is implemented through both flexible bank borrowings and more structural gearing. JAM currently has an £80m floating debt facility in place with ING Bank, due to expire in July 2022. The structural leverage is provided by the recent issuance of a $65m fixed-rate, 11-year unsecured loan note via a private placement with a UK-based life assurance company at a fixed interest rate of 2.55% per annum. This note is due to expire in February 2031 and the board believes it offers JAM long-dated finance at an attractive rate.

Five-year gearing

Source: Morningstar

Returns

JAM’s current strategy was introduced on 1 June 2019, and the trust remains benchmarked against the S&P 500. As can be seen by the below graph, there can be no doubt JAM has achieved its total return objective of outperforming the S&P 500, having generated NAV total returns of 42% and a share price return of 39.9% since the change in strategy. These returns compare to the S&P 500’s return of 33.4%, as well as to the peer group’s NAV return of 37.3% and share price return of 38.9%, and represent NAV outperformance of 8.6% and 4.7% respectively.

Performance since change of manager

Source: Morningstar

Past performance is not a reliable indicator of future returns.

This outperformance is not only the result of the managers’ good stock selection, which contributed 9% to JAM’s returns over 2020, but also of JAM’s ability to capitalise on both growth and value style tailwinds. While JAM has had slightly higher volatility than its peers since the change in its management, with an annualised standard deviation of 21.8% compared to its peers’ 20.8% (a possible consequence of JAM’s dedicated small-cap allocation). Yet it is more than made up for by JAM’s superior performance, with JAM having a Sharpe ratio of 0.96 compared to its peers’ 0.92 over the same period. JAM also compares well to dedicated value and growth indices, with the Russell 1000 Growth having returned 50.6% since June 2019, and the Russell 1000 Value having returned 21.2%. If one were to try to replicate JAM’s allocation using a simple 50/50 (or even 60/40) combination of the two styles, the result would have underperformed JAM, lacking both the stock selection contribution and the managers’ more subtle style rotations over time.

The impact of JAM’s balanced approach is made acutely apparent when we observe its discrete annual performance, especially considering the performance of growth versus value over the last two years. Given JAM’s short track record under the current management, it is more insightful to observe the performance of JPMorgan Equity Focus Fund, an open-ended fund managed in a similar fashion to JAM by both Tim and Jonathan. For six of the last ten years, JPMorgan Equity Focus Fund outperformed the S&P 500, and in all but one period it outperformed either the Russell 1000 Growth or Value index. We believe that this return profile is what investors should expect in a US ‘core’ equity profile, outperforming the S&P 500 over the long term while also avoiding periods of substantial underperformance brought about by changes in investor sentiment towards growth and value styles.

Discrete annual performance

Source: Morningstar

Past performance is not a reliable indicator of future returns.

Whilst the benefits of this approach are most likely to be felt over the long term, we think it is over the last 12 months that the advantage of JAM’s approach has been most apparent, thanks to the dramatic rotations between growth and value stocks that we have seen in markets. JAM generated an enviable NAV total return of 48.5% and share price total return of 44.3% over the last 12 months, easily beating the 34.8% of the S&P 500 but slightly behind the average NAV performance of its investment trust peer group, which returned 49.1% in NAV terms. We note that the peer group’s slight outperformance is thanks to the outperformance of a single aggressively growth-focussed strategy, Baillie Gifford US Growth Trust, with JAM being the second-best performer of the sector.

One-year performance

Source: Morningstar

Past performance is not a reliable indicator of future returns.

Coming out of the initial crash in March 2020 – and for much of the year, in fact – growth investing drove the market, primarily through the huge premium the ‘COVID-19 winners’ commanded. However, the last months of 2020 saw the beginnings of a dramatic reversal in US markets as cyclicals and value stocks began to rally, and investors began to price in the economic recovery and increased demand for such companies’ services. JAM has been able to capitalise on both trends, with Tim’s growth portfolio having driven much of the returns in the second and third quarters of 2020, his position in Tesla having been the top contributor to JAM’s return over the last 12 months. However, it has been Jonathan who has come out on top over the last three months as his position in financials, the largest sectoral overweight for JAM, has been the main driver of the trust’s more recent outperformance.

Dividend

It is important to note that the objective of JAM is capital growth and not the provision of income, and that any dividend paid will be a coincidental result of the investment strategy rather than a direct consequence. This means that JAM’s dividend cannot be assumed to be progressive. The last full-year dividend paid by JAM was 6.5p per share in the trust’s 2019 financial year, with an interim dividend of 2.5p per share paid so far in 2020.

The board is aware that dividends are an important component of shareholder returns and follows a prudent payout policy which will allow both the provision of income and the build-up of a revenue reserve. JAM’s current revenue reserve represents 1.5x coverage of the 2019 full-year dividend. The board has stated that it aims to hold dividends at least at 6.5p for the current financial year, though it remains unclear whether this will be fully covered by revenue, or whether the board will need to utilise the reserve. JAM currently offers investors a historic dividend yield of 1.1%, below the simple average 2.4% yield of its peers and the 1.5% yield of the S&P 500 (Source: JPMorgan Cazenove, as at 16/02/2021).

Revenue and dividend per share

Source: JPMorgan

Management

Since 1 June 2019, JAM has been run primarily by Jonathan Simon and Timothy Parton, supported by Eytan Shapiro, who runs the trust’s small allocation to small-cap growth stocks. Jonathan and Tim are the current managers of the JPMorgan Equity Focus Fund strategy that has approximately US$5bn under management, and is run in a similar manner with a blend of both managers’ growth and value styles. With regards to JAM, the duo follow an unconstrained bottom-up approach, combining what they believe are the high-quality companies across the value and growth spectrum in a portfolio which balances the board’s intention to create a ‘core’ offering in US equities and the team’s current convictions.

Jonathan Simon, a managing director at JPMorgan, is a portfolio manager in the US equity group with some 40 years of industry experience. An employee since 1980, Jonathan manages the JPMorgan Mid Cap Value Fund and the JPMorgan Value Advantage Fund. He is also the co-portfolio manager of the JPMorgan US Equity All Cap Fund and the JPMorgan America Equity Fund. Jonathan joined the firm as an analyst in the London office, and transferred to New York in 1983. He became a portfolio manager in 1987 and served as president of Robert Fleming’s US asset management operations from 1990 until 2000.

Tim Parton, also a managing director at JPMorgan, is a portfolio manager in the US equity group and has 38 years of investment experience. An employee since 1986, Tim has managed a variety of small- and mid-cap portfolios. He has been managing the US Mid Cap Growth strategy, which includes the JPMorgan Mid Cap Growth Fund, since November 2001. He also runs the US Multicap Growth strategy, which includes the JPMorgan Growth Advantage Fund, since its inception in September 2005.

Eytan Shapiro, also a managing director at JPMorgan, is the CIO of the growth & small-cap US equity team. An employee of JPMorgan since 1985, he is responsible for managing the US small-cap growth strategy, which includes the JPMorgan US Small Cap Growth Fund. Prior to joining the small-cap team in 1992, Eytan worked as a portfolio manager in the firm’s Hong Kong office.

Discount

JAM currently trades at a 5.9% discount, slightly narrower than the simple average 6.8% discount of its peers. It is important to highlight that all bar one trust in the AIC North America sector trade at a discount, the outlier being Baillie Gifford US Growth Trust, the aggressively growth-focussed strategy which has been at the forefront of the tailwinds supporting US equities over many months (Source: JPMorgan Cazenove, as at 16/03/2021).

JAM operates a share buyback policy, with the board committed to purchasing shares when they stand at anything more than a small discount to the NAV. Over the last 12 months the board has repurchased 10.7m shares, which represent 5.5% of the current shares in issue.

While JAM has seen its fair share of discount volatility over the past year, as can be seen in the below graph, its discount has been less volatile than the peer group’s. We believe that JAM’s core positioning insulates it somewhat from the specific market sentiment towards either growth or value investing, which has swung wildly over the last 12 months during the course of the pandemic. Going forward we believe that the market recognising the benefit of this attribute could be an overall tailwind to sentiment towards the trust, and a potential catalyst for a discount narrowing. Over the short term there has been a clear preference for value stocks as part of the post-pandemic recovery; however, looking past that, the medium-term picture is more opaque about which style will outperform once the immediate post-COVID euphoria dissipates. As such, investors may have an increased appetite for a core exposure to US equities such as JAM, one which does not require them to make an active bet on either value or growth.

Five-year discount

Source: Morningstar

Past performance is not a reliable indicator of future returns.

Charges

JAM has a current reported OCF of 0.18%. However, this figure still reflects a management fee waiver which expired on 29/02/2020. With annual management fees now being applied for the majority of the 2020 financial year, the ongoing charges ratio is expected to be closer to 0.4%. The annual management fee is applied in a tiered manner, with a 0.35% charge on net assets up to £500m, 0.3% on net assets between £500m and £1bn, and 0.25% on net assets above £1bn.

Even after management fees are applied JAM will remain by far the cheapest trust in the AIC North America sector, given the sector’s average 0.90% OCF. Such a low OCF is a clear attraction for the trust, as lower fees are typically associated with higher performance due to the lower cost drag. This figure is not only competitive in the trust space but also in wider actively managed US funds.

JAM’s extremely low OCF is due to a combination of the board’s successful negotiations with the manager and JAM’s scale advantage. The board has managed to reduce the OCF of the trust considerably over the years (JAM’s OCF has fallen from 0.62% in 2016 and 0.55% in 2017). With a market cap of £1.3bn, JAM is the largest trust in the sector and thus able to spread the fixed costs of running the trust over a wider base than competitors can. JAM currently has a KID RIY of 0.62%, below the peer group’s 0.94% average, though the method of calculation can vary between trust. (Source: JPMorgan Cazenove, as at 11/03/2021).

ESG

Being a JPMorgan equity strategy, JAM’s managers fully incorporate ESG factors in their company analysis. The team utilise a proprietary 40-question ESG checklist, with 12 questions on environmental factors, 12 on social factors and 16 on governance. The checklist is constructed in a ‘yes/no’ fashion, where companies which score ‘yes’ on a question have it highlighted as a potential red flag (a negative factor); this method has been applied to over 2,000 stocks globally. Red flags do not necessarily prevent a company from being included in JAM’s portfolio but rather help the managers to identify material ESG risks, factors which should be addressed in their analysis of a company. Example questions include: Does the company have issues with toxic emissions, waste management or other environmental damage? Does the company have issues with labour relations? Does the board lack diversity in its directors? The team also utilise quantitative ESG scores from third-party data as well as the skill set of JPMorgan’s dedicated ESG specialists – especially on the off chance that a stock is not covered by the 40-question checklist.

The managers have been increasingly aware of the advantages that sustainable products can offer, highlighting their recent investment in John Deere as an example. While we outlined the company’s competitive advantages in the Portfolio section, the team are also impressed by its rapidly improving ESG credentials. John Deere recently took steps to expand its ESG reporting, as can be seen in its annual statement highlighting the advantages its proprietary technology has in allowing for more sustainable farming. The team believe that the market is not only underestimating the cost-saving advantages John Deere offers through higher yields, but also from reduced environmental damage, where sustainable farming will either be directly rewarded by the consumer or through government policy shifts.

Morningstar rates the sustainability of JAM’s portfolio as ‘average’ when compared to the wider Morningstar US large-cap growth equity category. Given JAM’s dual aspects of growth and value investing, we feel that this rating underrates the relative sustainability of the portfolio, as JAM is designed to sit in a peer group of core equities, rather than one of growth. In fact the value component of JAM is likely to drag down its sustainability score relative to broader growth equities, which can often have a higher sustainability rating due to the large presence of technology and quality consumer names which make up much of the US growth space. The team believe that their growth portfolio does not have the same level of governance issues that the broader space does, as Tim is particularly cognisant of the governance issues which are commonplace in US growth stocks. Likewise Jonathan is aware of the poor sustainability of some ‘deep value’ equities, a subset he also actively avoids.

Fund History

Disclaimer

This report has been issued by Kepler Partners LLP.  The analyst who has prepared this report is aware that Kepler Partners LLP has a relationship with the company covered in this report and/or a conflict of interest which may impair the objectivity of the research.

Past performance is not a reliable indicator of future results. The value of investments can fall as well as rise and you may get back less than you invested when you decide to sell your investments. It is strongly recommended that if you are a private investor independent financial advice should be taken before making any investment or financial decision.

Kepler Partners is not authorised to make recommendations to retail clients. This report has been issued by Kepler Partners LLP, is based on factual information only, is solely for information purposes only and any views contained in it must not be construed as investment or tax advice or a recommendation to buy, sell or take any action in relation to any investment.

The information provided on this website is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would subject Kepler Partners LLP to any registration requirement within such jurisdiction or country. In particular, this website is exclusively for non-US Persons. Persons who access this information are required to inform themselves and to comply with any such restrictions.

The information contained in this website is not intended to constitute, and should not be construed as, investment advice. No representation or warranty, express or implied, is given by any person as to the accuracy or completeness of the information and no responsibility or liability is accepted for the accuracy or sufficiency of any of the information, for any errors, omissions or misstatements, negligent or otherwise. Any views and opinions, whilst given in good faith, are subject to change without notice.

This is not an official confirmation of terms and is not a recommendation, offer or solicitation to buy or sell or take any action in relation to any investment mentioned herein. Any prices or quotations contained herein are indicative only.  

Kepler Partners LLP (including its partners, employees and representatives) or a connected person may have positions in or options on the securities detailed in this report, and may buy, sell or offer to purchase or sell such securities from time to time, but will at all times be subject to restrictions imposed by the firm’s internal rules. A copy of the firm’s Conflict of Interest policy is available on request.

PLEASE SEE ALSO OUR TERMS AND CONDITIONS

Kepler Partners LLP is authorised and regulated by the Financial Conduct Authority (FRN 480590), registered in England and Wales at 9/10 Savile Row, London W1S 3PF with registered number OC334771.



Welcome to Kepler Trust Intelligence

Kepler Trust Intelligence is authorised in the UK by the Financial Conduct Authority.
Please enter a valid email address
{{item.msg}}
Please enter a valid password
{{item.msg}}
Please enter a valid email address
{{item.msg}}
Please check your email. If an account exists you'll be sent instructions on how to reset your password.
Kepler Trust Intelligence is authorised in the UK by the Financial Conduct Authority. To ensure that we are able to provide content which is appropriate for you, please tell us a little about yourself.
Please choose an option
{{item.msg}}
Please enter a company name
{{item.msg}}
Please enter a location name
{{item.msg}}
Please choose an option
{{item.msg}}
Please enter a platform
{{item.msg}}
Please choose an option
{{item.msg}}
Please enter a trust
{{item.msg}}
?
The information contained herein is not for distribution and does not constitute an offer to sell or the solicitation of any offer to buy any securities in the United States to or for the benefit of any United States person (being residents of the United States or partnerships or corporations organised under the laws thereof). The investment funds referred to herein have not been registered in the United States under the Investment Company Act of 1940 and units or shares of such funds are not registered in the United States under the Securities Act of 1933.
Please confirm
{{item.msg}}
Please select an option
{{item.msg}}
See benefits
A free Kepler Trust Intelligence account allows you to access premium content including the ‘Kepler View’ – our verdict on the trusts we cover – and historical research so you can see how our view has changed over time. An account also unlocks useful facilities like the ‘follow’ button which lets you keep track of the trusts you’re interested in and as a logged in user you can also download PDFs of our research, and choose the layout of the page you’re reading to suit your preference. We will not share your details unless you give us permission to do so, and we won’t bombard you with emails – we only send one a week.
Please select an option
{{item.msg}}
Please enter your first name
{{item.msg}}
Please enter your last name
{{item.msg}}
Please enter a valid email address
An account already exists with this email - have you forgotten your password?
{{item.msg}}
Please enter a valid password
{{item.msg}}
Please enter a valid password
{{item.msg}}
How will this information be used? Your answers help us to tailor our content to relevant investment trusts, and to ensure that the asset allocation and portfolio strategy research we produce is appropriate to our userbase.
Our Website uses Cookies Cookies are small text files held on your computer. They allow us to give you the best browsing experience possible and mean we can understand how you use our site. Some cookies have already been set. You can delete and block cookies, but parts of our site won’t work without them. By using our website you accept our use of cookies. For further information please refer to the Kepler Privacy Notice.
Need help?

One more thing...

Did you know, you can 'follow' individual trusts on Kepler Trust Intelligence? Use the functions below to set up alerts and we'll send you research and updates on your chosen trusts.

Suggested trusts to follow

Browse all funds
Need help?
Current Site Kepler Trust Intelligence is produced by the investment companies team at Kepler Partners and is the UK’s premier source of detailed qualitative research on investment trusts. Absolute Hedge is a market leading UCITS research database providing proprietary research on funds, themes and strategies in the UCITS space. Kepler Liquid Strategies is a Dublin domiciled UCITS fund platform featuring a number of best-of-breed fund managers. Kepler Partners is a corporate advisory and asset raising boutique specialising in the regulated funds market in Europe and investment trusts in the UK.