JPMorgan Multi-Asset Trust – Long-term return objective of 6% per annum
JPMorgan Multi-Asset Trust (MATE) is a new investment company that will invest across a range of different asset classes. It will aim to achieve a total return of 6% per annum, over the long term, through a combination of income and capital growth. It will seek to achieve these target returns whilst maintaining lower levels of volatility than a traditional equity portfolio.
At 31 December 2017, JPMorgan Asset Management managed $1.7tn across approximately 500 strategies. MATE’s manager, the UK subsidiary of JPMorgan Asset Management, will allocate money to a selection of assets on investors’ behalf, choosing the investment strategies that it believes will deliver returns in-line with the investment objective.
MATE is being offered as a rollover vehicle for an existing investment trust, JPMorgan Income & Capital Trust Plc, which reaches the end of its life on 28 February 2018. MATE is also being made available to new investors through an intermediaries offer, initial offer for subscription and an initial placing.
Initial quarterly dividend of 4%
MATE is targeting a yield of 4% on the initial issue price. Dividends will be paid quarterly and the trust has a progressive dividend policy. This target yield has been selected as the manager believes that it is sustainable and, while MATE has the flexibility to pay dividends out of capital if necessary, it expects the dividend to be covered.
The details of the share issue, including the risk factors that investors should take into consideration, are more fully described in the prospectus published on 24 January 2018 and we urge readers to read this before making any investment decision.
MATE : JPMorgan Multi-Asset Trust – Long-term return objective of 6% per annum