JPMorgan American (JAM)

JPMorgan American (JAM) has been the best-performing trust in the AIC North America sector over the past five years (to 11/09/2026), delivering more consistent returns than its peers across the period, notably thanks to its allocation to both growth and value stocks. JAM has also kept pace with the S&P 500 over the same timeframe.

Currently, the Portfolio is tilted towards the growth factor, as managers Jack Caffrey, Graham Spence, and Felise Agranoff have increased their exposure to companies well positioned to benefit from accelerating investment in AI. For example, they have built a new position in Micron Technology, expecting the company to continue seeing strong demand for its memory chips. The team also initiated a small position in SpaceX, Elon Musk’s aerospace and space transportation company, as it offers exposure to space-based computing and AI-related initiatives.

However, the team believes that the most attractive beneficiaries of the AI investment cycle are outside the information technology sector. That includes, for example, the industrials sector, with the team having built new positions in Comfort Systems, a provider of mechanical and electrical contracting services, as well as United Rentals, an equipment rental company. Conversely, they have exited their positions in companies they see as exposed to AI disruption, like customer relationship management platform HubSpot, or where their conviction has diminished, such as 3M Company, a producer of industrial and consumer goods.

To increase exposure to smaller companies without reducing the trust’s allocation to large caps, Gearing has been increased since the end of last year, from 4.7% to 6.3% as at the end of July. Meanwhile, JAM is currently trading at a 3.2% Discount, in line with its five-year average.