First retail-focused trust launch of 2019 celebrates
JPMorgan Global Core Real Assets is targeting net asset value total returns of 7% to 9%.
27th September 2019 10:25
by Kyle Caldwell from interactive investor
JPMorgan Global Core Real Assets is targeting net asset value total returns of 7% to 9% a year once fully invested.
JPMorgan Global Core Real Assets (LSE:JARA) has raised £148.9 million of its £150 million target, ahead of listing on the London Stock Exchange on 24 September.
The trust will invest in infrastructure, transport and real estate projects, as well as making direct investments in listed real assets. It will invest in six in-house JP Morgan funds that retail investors cannot buy separately. Overall, the portfolio will hold approximately 500 private real assets. Pulkit Sharma and Jason DeSena will manage JARA.
The launch marks only the fifth investment trust to launch in 2019 and the first to be focused on private investors. The other four to list this year are Cameron Investors Trust (LSE:CIT), Riverstone Credit Opportunities (LSE:RCOI), US Solar (LSE:USF) and The Schiehallion Fund (LSE:MNTN).
John Scott, chairman of JPMorgan Global Core Real Assets, notes that launches in the closed- ended fund universe have become few and far between in recent times.
He adds: "To see a fundraising so well-supported by a broad range of investors, both within and outside the UK, is testament to the shared conviction we all have in what JPMorgan Global Core Real Assets is seeking to deliver.
"The company's objective of income generation and capital growth from investing in globally diversified private real assets across infrastructure, transport and real estate, as well as direct investment in listed real assets, is a compelling one. We can now turn our attention towards delivering this objective and growing the company."
JARA is targeting net asset value total returns of 7% to 9% a year once fully invested. A quarterly dividend will also be paid, amounting to 4% to 6% once fully invested.
According to Numis, the investment trust broker, overall management fees – including fees on the underlying funds but excluding underlying performance fees – are estimated at 0.98% annually if net assets are up to £100 million (falling to 0.97% at £300 million, 0.91% at £500 million and 0.87% at £1 billion).
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.
This article was originally published in our sister magazine Money Observer, which ceased publication in August 2020.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.
These articles are provided for information purposes only. Â Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. Â The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.