Fund Profile

JPMorgan Global Growth & Income 05 June 2024

Disclaimer

Disclosure – Non-Independent Marketing Communication

This is a non-independent marketing communication commissioned by JPMorgan Global Growth & Income. 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.

Overview
JGGI’s rapid growth in assets reflects outstanding performance…
Overview

The past couple of years have seen JPMorgan Global Growth and Income (JGGI) merge with three trusts: Scottish Investment Trust (SCIN), JPMorgan Elect in 2022, and more recently JPMorgan Multi-Asset Growth and Income (MATE). This has contributed to the significant growth in JGGI’s net assets from £723m to £2.5bn at the time of writing. JGGI is now by some way the largest trust in the AIC Global Equity Income sector. Along with greater liquidity for investors of all sizes, this has brought a reduction in its ongoing charges .

This success in raising money – the trust has regularly issued shares notwithstanding the mergers – is built on excellent performance, the trust being the leading performer in the sector and outperforming global equity indexes over multiple time frames (see Performance). JGGI has been managed by Helge Skibeli for five years, Tim Woodhouse – who joined the team as co-manager in 2017 – and more recently by James Cook. The managers have access to JPMorgan’s expansive team of analysts, driving equity research from across the globe, who are aligned through a central research process focusing on quality and valuations, leading to a high competition for capital.

JGGI pays a Dividend equal to 4% of the trust’s financial year-end NAV. Given it isn’t reliant on the underlying income to pay the dividend, the managers have greater flexibility to invest in wherever they see high quality and attractively valued opportunities. This has allowed them to manage the portfolio with a greater allocation to growthier equities which, alongside their awareness for managing the risk exposures of the portfolio, have contributed to its success.

JGGI has been awarded a Kepler Income and Growth rating for 2024.

Analyst's View

In our view, a third merger of assets in as many years highlights the quality of JGGI’s strategy which has seen JGGI significantly increase in size, with regular issuance on top of the mergers, bringing with it greater liquidity. Furthermore, thanks to a tiered management fee structure, as the trust continues to grow it will benefit from a greater proportion of assets in the cheapest tier, which will have a significant impact on charges over time. Given its continued growth in 2024, the fees should already be lower on an ongoing basis. These two characteristics alone mean we think it will appeal to an ever wider pool of investors.

A key reason for the success in raising such large amounts of money is that JGGI’s performance has been impressive versus the sector and a range of global equity indexes as it has benefitted from the greater allocation to growthier areas of the market that have driven markets over much of the past five years. That said, the managers’ stock selection has proven to consistently deliver alpha regardless of the stylistic biases driving markets. Moreover, from a total return perspective, this has also helped grow the dividend, which at 4% of financial year-end NAV is an attractive feature. Therefore, we believe that JGGI is an easy choice for a wide range of investors who are seeking a ready-made core global equity portfolio, or for those looking to enhance their income growth or capital growth amongst a broader range of holdings.

Bull

  • Merger of assets leads to further benefits that come with increased scale
  • Strong relative and absolute performance over multiple time frames
  • 4% of financial year-end NAV dividend policy can offer good income

Bear

  • Consistently trades at a premium to NAV, which can impact returns if premium falls
  • Growth bias may enhance volatility compared with other strategies in the Global Equity Income sector
  • Dividend may experience some volatility in tandem with NAV
Continue to Portfolio
2024 Kepler Income & Growth Rated Fund

This trust has been awarded a rating by Kepler Trust Intelligence for income & growth... Find out more

Fund History

06 Nov 2024 Divi Up!
Enhanced dividend strategies are growing in popularity, what do they offer investors?
21 Oct 2024 Monthly roundup: news on CHRY and ATST, highlights of our latest webinar series and the most popular investments in September
Jo and Ryan discuss the latest news, reviews and interviews in the investment trust world...
13 Oct 2024 Top of the stocks: most bought and sold shares in September
We run the rule over the most popular shares and investment trusts last month…
30 Sep 2024 Results analysis: JPMorgan Global Growth & Income
JGGI’s outperformance of its benchmark stems from the managers' strong stock selection…
12 Sep 2024 Monthly roundup: launch of AVGI, news on TRIG and PRS and the most popular investments in August
Jo and Ryan discuss the latest news, reviews and interviews in the investment trust world...
07 Sep 2024 Top of the stocks: most bought and sold shares in August
We run the rule over the most popular shares and investment trusts last month…
24 Jul 2024 Go big or go home
Two of our analysts debate whether trusts consolidating and getting larger is good or bad for investors…
10 Jul 2024 Things can only get better
Discounts are yawning but markets are thawing and boards are on the offensive; Labour might not be the only thing making a comeback this year...
03 Jul 2024 Flash update: JPMorgan Global Growth & Income
JGGI has announced a large increase in its dividend for the current financial year…
05 Jun 2024 Fund Analysis
JGGI’s rapid growth in assets reflects outstanding performance…
07 May 2024 Thomas McMahon speaks on the Money Makers podcast
Thomas McMahon, Head of Investment Companies Research, appears on the Money Makers podcast to discuss three current themes in the investment trust sector: BCPT and commercial property, ASIT and split-level trusts, and the UK micro-cap sector...
03 Apr 2024 Tall poppies
We highlight those trusts having to print new shares to keep up with demand…
17 Jan 2024 Top of the Pops
We reveal the winners of our investment trust ratings for 2024…
10 Jan 2024 Definitely maybe
Fund flows and discounts may shed some light on a once-in-a-generation opportunity…
29 Sep 2023 Fund Analysis
JGGI has delivered consistently strong performance across multiple time periods…
11 May 2023 Tipping point
Battered growth strategies have staged a comeback recently, but what happens now?
02 May 2023 Fund Analysis
JGGI’s flexible, bottom-up investment approach has led to sector-leading performance over five years…
11 Jan 2023 Solving the Rubik’s Cube
We reveal the winners of our investment trust ratings for 2023…
11 Nov 2022 Fund Analysis
JGGI’s wider-than-average discount may offer long-term investors an opportune entry point following the successful merger with SCIN…
18 Feb 2022 Fund Analysis
JGGI’s flexible approach to income investing has generated strong, sector-leading returns over a volatile 12 months…
19 Jan 2022 Apples and pears
We examine the relationship between the demand for open- and closed-ended funds, and ask whether investor behaviour can be predicted...
22 Dec 2021 No humbug
Our analysts look back at a year of predictions, theories and ideas, and highlight those they think could matter most…
01 Oct 2021 Results analysis: JPMorgan Global Growth & Income
JGGI has generated strong outperformance over its 2021 financial year, effectively navigating the pandemic while still providing an attractive yield…
28 Jul 2021 How are the mighty fallen
Dividend culture as we knew it is dead, according to Kepler's David Johnson, but investment trusts offer a solution...
29 Jun 2021 Fund Analysis
JGGI is now the best-performing trust in the AIC’s Global Equity Income sector, thanks to its managers’ flexible approach to global equity investing…
05 Mar 2021 Results analysis: JPMorgan Global Growth & Income
JGGI is well positioned for the year ahead and offers useful diversification for income hungry investors...
20 Jan 2021 Kepler's top-rated investment trusts for 2021
We update our annual quantitative ratings for investment trusts…
19 Nov 2020 Fund Analysis
JGGI offers a differentiated solution to global equity income investing…
12 Mar 2020 The importance of buying earners*
Our analysis shows that the impact of dividend contributions on long term returns is anything but trivial...
03 Mar 2020 Fund Analysis
JGGI is an attractive option for income-hungry investors…
27 Feb 2020 Robbing Peter to pay Paul?
Two of our analysts discuss the growing trend for companies to pay an income out of capital…
01 Aug 2019 Fund Analysis
JPMorgan Global Growth & Income combines a strong track record of NAV growth with a robust yield...
View all

Welcome to Kepler Trust Intelligence

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.
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}}
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}}
?
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}}
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.