Final Results

RNS Number : 1696B

JPMorgan Global Growth & Income PLC

18 September 2018

 

LONDON STOCK EXCHANGE ANNOUNCEMENT

JPMORGAN GLOBAL GROWTH & INCOME PLC

FINAL RESULTS FOR THE YEAR ENDED 30TH JUNE 2018

Legal Entity Identifier: 5493007C3I0O5PJKR078

Information disclosed in accordance with DTR 4.2.2

CHAIRMAN'S STATEMENT

After providing very strong returns to investors last year, global equity markets continued to rise this financial year. In the year to 30th June 2018, the Company produced a total return on net assets of +8.2%. Our benchmark - the MSCI AC World Index expressed in sterling terms - rose 8.9% for the same period.

The return to shareholders over the year was higher at +10.5%, reflecting a slight further narrowing of the discount to net asset value ('NAV') at which the Company's shares trade.

Performance Attribution

YEAR ENDED 30TH JUNE 2018

	%	%
Contributions to total returns
Benchmark return		8.9
Asset allocation	-0.6
Stock selection	-1.2
Currency effect	0.6
Gearing/cash	0.2
Investment Managers' contribution		-1.0
Portfolio total return		7.9
Management fee/other expenses	-0.6
Performance fee	0.2
Net asset value total return - prior
to structural effects		7.5
Structural effects
Share buy-backs/issuance	-
Net asset value total return - Debt at fair value		7.5
Impact of Fair Value Valuation of Debt	0.7
Net asset value total return - Debt at par value		8.2
Return to shareholders		10.5

Source: JPMAM and Morningstar.

All figures are on a total return basis.

This performance attribution analyses how the Company achieved its performance relative to its benchmark index. The Investment Managers' report provides a detailed commentary on these figures and discusses activity, performance and the market outlook.

Distribution and Dividends Policy

The Company's revised dividend policy has now been in place for over two years. As a reminder the current dividend policy aims to pay, in the absence of unforeseen circumstances, dividends totalling at least 4% of the NAV of the Company as at the end of the preceding financial year.

The Board announced on 3rd July 2018 that, in relation to the year commencing 1st July 2018, the Company intends to pay dividends totalling 12.52p per share, which represents a yield of 4.00% of the unaudited NAV as at the 30th June 2018. It is expected that such dividends will be paid by way of four equal distributions, with the first distribution for the financial year ending 30th June 2019 of 3.13p per share for the period to 30th September 2018 being paid on 5th October 2018 to shareholders on the register on 7th September 2018.

The target dividends for the year commencing 1st July 2018 represents an increase of 2.96% over the total dividends of 12.16p per share payable for the prior year.

It is important to remind investors that there has been no change in the Company's investment policy, nor the Investment Manager's approach to investment or the current benchmark as a result of the dividend policy change.

Share Issuance and Repurchases

The Company has a policy of maintaining the discount at which our shares trade relative to NAV around or below 5%. Encouragingly, the discount remained close to par during the year and indeed the shares often traded at a small premium. As a result the Company did not need to repurchase any shares and during periods when the shares traded at a premium to NAV, the Company was able to reissue 5,340,000 shares from Treasury for a total consideration of £17,005,000. At the year-end the discount stood at 1.3% and at the time of this report it stands at 0.1 %.

A resolution to renew the authority to permit the Company to repurchase shares will be proposed at the AGM in October 2018. Resolutions renewing the authorities to issue shares from Treasury and to issue new shares, in both cases at a premium to NAV, and to disapply pre-emption rights over such issues, will also be proposed.

Ongoing Charges

The Board continues to believe that the Company's ongoing charges ratio (excluding performance fees) of 0.56% for the year ended 30th June 2018 (2016: 0.57%) is competitive when compared to other trusts and savings products such as open ended funds actively investing in global equities. No performance fee is actually payable for the year ended 30th June 2018 (2017: Nil) notwithstanding the positive performance this year, because fees are calculated and payable over a four year period on performance relative to the benchmark. There is an accrual included in the financial statements in respect of performance fees that could become payable in future years. The Board continues actively to monitor the Company's management fee arrangements to ensure they remain structured in the interests of shareholders.

Gearing

Gearing is regularly discussed between the Board and the Investment Manager. As announced on 9th January 2018, the Board has issued £30 million fixed rate 30 year unsecured notes at an annual coupon of 2.93% to take advantage of current market conditions which we consider offer an attractive level of long term gearing. The previous £25 million loan under the revolving credit facility with National Australia Bank has been repaid. The notes are unsecured, which gives the Company increased flexibility to manage its borrowings in the future. There has been no change to the Company's overall gearing range of 5% net cash to 20% geared in normal circumstances. The Investment Manager decreased gearing levels during the year from 6.3% at the start of the period to 4.9% at 30th June 2018. Since the year end, the Investment Manager has increased gearing to 6.5%.

Currency Hedging

The Company continues its passive currency hedging strategy (implemented in late 2008) that aims to make stock selection the predominant driver of overall portfolio performance relative to the benchmark, the MSCI World All Countries Index (in sterling terms). This is a risk reduction measure, designed to eliminate most of the differences between the portfolio's currency exposure and that of the Company's benchmark. As a result the returns derived from, and the portfolio's exposure to currencies may differ materially from that of the Company's competitors, who generally do not undertake such a strategy.

The Board

There have been no changes to the composition of the Board during the year. Following the Board's annual evaluation by the Nomination Committee, it is felt that the Board's current composition and size are appropriate. However, in anticipation of the retirement from 2020 of the longer serving Directors, the Board intends to appoint a new Director in 2019.

The Board supports the annual re-election for all Directors, as recommended by the UK Corporate Governance Code, and therefore all Directors will stand for re-election at the forthcoming AGM.

Annual General Meeting

My fellow Directors and I invite you to attend the Company's Annual General Meeting which will be held at 60 Victoria Embankment, London EC4Y 0JP on Wednesday 31st October 2018 at 2.30 p.m. An investment presentation will be made at the meeting by Jeroen Huysinga. If you have any detailed or technical questions, please submit these in advance of the meeting in writing, or via the Company's website, to the Company Secretary whose contact details are shown on page 83 of the Annual Report. Shareholders who are unable to attend the AGM in person are encouraged to use their proxy votes.

There will be an opportunity for shareholders to meet the Directors and the Investment Manager following the AGM. I hope to have the pleasure of meeting you then.

Outlook

Since the year end the US equity market has remained firm, buoyed by very strong corporate earnings. Elsewhere the picture is very mixed, with markets and currencies in emerging countries falling as a result both of rising US interest rates and the possibility of highly disruptive trade wars between the US and its trading partners. This latter development adds a major element of uncertainty to an outlook that should otherwise be quite benign, with steady to strong economic expansion in most developed and developing countries.

In this uncertain environment the Board has continued confidence in the ability of our Investment Managers, Jeroen Huysinga and Tim Woodhouse, to find attractively priced stocks, supported by the extensive worldwide research resources of JPMorgan.

Nigel Wightman

Chairman   

18th September 2018

INVESTMENT MANAGERS REPORT

Market Environment

Global equity markets continued on their positive trajectory over the year, with the MSCI All Country World Index rising 8.9% in sterling terms. The first six months of the period proved relatively uneventful with markets steadily marching higher against a backdrop of subdued volatility. As we entered 2018 however investors grew increasingly concerned over a pickup in inflation and a heightened possibility of a faster pace of monetary tightening by the US Federal Reserve. Fears were raised over a potential trade war between the US and China after the US administration announced tariffs on steel and aluminium and a range of other Chinese imports. Despite these concerns, behind the scenes, economic fundamentals remain robust as data releases continued to point to healthy global economic growth and stable inflation. Companies reporting strong earnings reaffirmed the positive outlook for profitability and rising business investment intentions. Developed markets outperformed emerging markets, with US equities performing particularly well.

Portfolio Review

The trust underperformed the index over the year, with stock selection the primary driver. Of note were holdings in DISH Network, the US satellite-TV service provider, Outokumpu, the European stainless steel producer and Allergan, the US pharmaceutical company, which saw their share prices under pressure.

DISH reported disappointing results citing continued decline in pay television customers. However, the company's valuation is driven by their significant spectrum assets. With growing demand for these assets, we believe that DISH's spectrum value is significantly higher than that being reflected in the share price today. Shares in Outokumpu were impacted by the ongoing concerns around global trade tariffs, rising chrome prices and cautious company guidance. We continue to own the stock as Outokumpu is making good progress in cutting costs and the underlying outlook for stainless steel remains robust with growing demand. Shares in Allergan fell following a District Court ruling that opened the door for generic versions of their product, Restasis, in the treatment of dry eye. We believe Allergan offers great long-term earnings potential driven by the company's increasing focus on higher-growth treatments, such as medical Botox, and the strong pipeline of new products in development.

Positions in Ping An, the Chinese insurance company, DBS, the Singapore-based bank and UnitedHealth Group, the US health insurance provider were some of the strongest performers over the year. Ping An has been a key beneficiary of the rapidly increasing demand for financial products in developing Asia and following the strong performance we took profits, selling the shares. DBS reported positive trends in margins, loans, and provisions and doubled their annualised dividend. UnitedHealth Group reported strong sales over the year and we believe the company can sustain double-digit earnings growth.

Our positioning in technology continued to detract from performance as we remained underweight "FAANG" stocks (Facebook, Amazon, Apple, Netflix, Google) - only owning Google. Our view remains that while they are great businesses, they are certainly not cheap and represent an ebullience/momentum which frequently leads to derating and disappointment.

Portfolio positioning and outlook

Last summer we reduced gearing to zero given the risks after such a sustained bull run that the market was already pricing in the most favourable scenarios. We saw such a market correction at the end of January and into February this year, arguably later than many had expected, and have been introducing gearing back into the portfolio over recent months. The key question for the rest of this economic cycle remains the interplay between inflation, bond yields and the gradual reduction in monetary stimulus and how this will impact the economy, the shape of the yield curve and equity market. Currently a healthy environment for the global economy and corporate profits remains a favourable backdrop for equity markets.

Our focus remains on company-specific valuation signals derived from intensive company research and long term cash flow models. We remain vigilant in ensuring that our analyst estimates are as reflective as possible of the changing environment and look to seize opportunities which heightened market volatility can offer us as active stock pickers. We have not made any significant changes to the overall shape of the portfolio which remains pro-cyclically positioned with a bias towards higher beta. Regionally our bottom-up process continues to result in overweight exposure to Europe and the UK whereas North America is an area in which we are broadly neutral.

Jeroen Huysinga

Tim Woodhouse

Investment Managers   

18th September 2018

PRINCIPAL RISKS

The Directors confirm that they have carried out a robust assessment of the principal risks facing the Company, including those that would threaten its business model, future performance, solvency or liquidity.

With the assistance of the Manager, the Board has drawn up a risk matrix, which identifies the key risks to the Company. In assessing the risks and how they can be mitigated, the Board has given particular attention to those risks that might threaten the viability of the Company.

These key risks fall broadly under the following categories:

•   Investment and Strategy

An inappropriate investment strategy, for example asset allocation or the level of gearing, may lead to under-performance against the Company's benchmark index and peer companies, resulting in the Company's shares trading on a wider discount. The Board manages these risks by diversification of investments through its investment restrictions and guidelines which are monitored and reported by the Manager. The Manager provides the Directors with timely and accurate management information, including performance data and attribution analyses, revenue estimates, liquidity reports and shareholder analyses. The Board monitors the implementation and results of the investment process with the Investment Manager, who attends all Board meetings, and reviews data which show statistical measures of the Company's risk profile. The Investment Manager employs the Company's gearing within a strategic range set by the Board. The Board may hold a separate meeting devoted to strategy each year.

•   Market

Market risk arises from uncertainty about the future prices of the Company's investments. It represents the potential loss that the Company might suffer through holding investments in the face of negative market movements. The Board considers asset allocation, stock selection and levels of gearing on a regular basis and has set investment restrictions and guidelines, which are monitored and reported on by the Manager. The Board monitors the implementation and results of the investment process with the Manager.

•   Accounting, Legal and Regulatory

In order to qualify as an investment trust, the Company must comply with Section 1158 of the Corporation Tax Act 2010 ('Section 1158'). Details of the Company's approval are given under 'Structure of the Company' within the Business Review section above. Were the Company to breach Section 1158, it might lose investment trust status and, as a consequence, gains within the Company's portfolio could be subject to Capital Gains Tax. The Section 1158 qualification criteria are continually monitored by the Manager and the results reported to the Board each month. The Company must also comply with the provisions of The Companies Act 2006 and, since its shares are listed on the London Stock Exchange, the UKLA Listing Rules and Disclosure, Guidance and Transparency Rules ('DTRs'). A breach of the Companies Act 2006 could result in the Company and/or the Directors being fined or the subject of criminal proceedings. Breach of the UKLA Listing Rules or DTRs could result in the Company's shares being suspended from listing, which in turn would breach Section 1158. The Board relies on the services of its Company Secretary to ensure compliance with the Companies Acts and The UKLA Listing Rules and DTRs.

•   Corporate Governance and Shareholder Relations

Details of the Company's compliance with Corporate Governance best practice, including information on relations with shareholders, are set out in the Corporate Governance report on pages 27 to 31 of the Annual Report.

•   Operational

Loss of key staff by the Manager, such as the Investment Manager, could affect the performance of the Company. Disruption to, or failure of, the Manager 's accounting, dealing or payments systems or the depositary's or custodian's records could prevent accurate reporting and monitoring of the Company's financial position. On 1st July 2014, the Company appointed the Bank of New York Mellon (International) Limited to act as the depositary, responsible for overseeing the operations of the custodian, JPMorgan Chase Bank, N.A., and the Company's cash flows. Details of how the Board monitors the services provided by the Manager and its associates and the key elements designed to provide effective internal control are included with the Risk Management and Internal Control section of the Corporate Governance report on pages 29 and 30 of the Annual Report. The threat of cyber attack, in all its guises, is regarded as at least as important as more traditional physical threats to business continuity and security. The Company benefits directly or indirectly from all elements of JPMorgan's Cyber Security programme. The information technology controls around the physical security of JPMorgan's data centres, security of its networks and security of its trading applications are tested by independent auditors and reported every six months against the AAF Standard.

•   Going concern

Pursuant to the Sharman Report, Boards are now advised to consider going concern as a potential risk, whether or not there is an apparent issue arising in relation thereto. Going concern is considered rigorously on an ongoing basis and the Board's statement on going concern is detailed on page 29 of the Annual Report.

•   Financial

The financial risks faced by the Company include market price risk, interest rate risk, liability risk and credit risk. Further details are disclosed in note 23 on pages 62 to 67 of the Annual Report.

TRANSACTIONS WITH THE MANAGER AND RELATED PARTIES

Full details of transactions with the manager and related parties can be found in note 6 on pages 60 and 61 of the Annual Report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The Directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Company law requires the Directors to prepare financial statements for each financial year. Under that law, the Directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under Company law the Directors must not approve the financial statements unless they are satisfied that, taken as a whole, the annual report and financial statements are fair, balanced and understandable, provide the information necessary for shareholders to assess the Company's performance, business model and strategy and that they give a true and fair view of the state of affairs of the Company and of the total return or loss of the Company for that period. In order to provide these confirmations, and in preparing these financial statements, the Directors are required to:

•   select suitable accounting policies and then apply them consistently;

•   make judgements and estimates that are reasonable and prudent;

•   state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

•   prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

and the Directors confirm that they have done so.

The Directors are responsible for keeping proper accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The financial statements are published on the www.jpmglobalgrowthandincome.co.uk website, which is maintained by the Company's Manager. The maintenance and integrity of the website maintained by the Manager is, so far as it relates to the Company, the responsibility of the Manager. The work carried out by the auditors does not involve consideration of the maintenance and integrity of this website and, accordingly, the auditor accepts no responsibility for any changes that have occurred to the financial statements since they were initially presented on the website. The financial statements are prepared in accordance with UK legislation, which may differ from legislation in other jurisdictions.

Under applicable law and regulations the Directors are also responsible for preparing a Directors' Report, Strategic Report and Directors' Remuneration Report that comply with that law and those regulations.

Each of the Directors, whose names and functions are listed on page 24 of the Annual Report confirm that, to the best of their knowledge:

•   the financial statements, which have been prepared in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), give a true and fair view of the assets, liabilities, financial position and return or loss of the Company; and

•   the Strategic Report includes a fair review of the development and performance of the business and the position of the Company, together with a description of the principal risks and uncertainties that it faces.

The Board confirms that it is satisfied that the annual report and financial statements taken as a whole is fair, balanced and understandable and provides the information necessary for shareholders to assess the Company's position and performance, business model and strategy.

For and on behalf of the Board

Nigel Wightman

Chairman

18th September 2018

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30TH JUNE 2018

		2018			2017
		Revenue	Capital	Total	Revenue	Capital	Total
		£'000	£'000	£'000	£'000	£'000	£'000
Gains on investments held at fair
value through profit or loss		-	27,402	27,402	-	84,015	84,015
Net foreign currency (losses)/gains		-	(1,948)	(1,948)	-	1,051	1,051
Income from investments		7,483	-	7,483	6,715	-	6,715
Interest receivable and similar income		115	-	115	65	-	65
Gross return		7,598	25,454	33,052	6,780	85,066	91,846
Management fee		(832)	(832)	(1,664)	(749)	(749)	(1,498)
Performance fee writeback/(charge)		-	1,101	1,101	-	(2,347)	(2,347)
Other administrative expenses		(533)	(18)	(551)	(561)	-	(561)
Net return on ordinary activities
before finance costs and taxation		6,233	25,705	31,938	5,470	81,970	87,440
Finance costs		(292)	(292)	(584)	(162)	(162)	(324)
Net return on ordinary activities
before taxation		5,941	25,413	31,354	5,308	81,808	87,116
Taxation		(599)	-	(599)	(684)	-	(684)
Net return on ordinary activities
after taxation		5,342	25,413	30,755	4,624	81,808	86,432
Return per share (note 3)		4.24p	20.16p	24.40p	3.74p	66.15p	69.89p

All revenue and capital items in the above statement derive from continuing operations. No operations were acquired or discontinued in the year.

The 'Total' column of this statement is the profit and loss account of the Company and the 'Revenue' and 'Capital' columns represent supplementary information prepared under guidance issued by the Association of Investment Companies. Net return on ordinary activities after taxation represents the profit for the year and also Total Comprehensive Income.

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 30TH JUNE 2018

	Called up		Capital
	share	Share	redemption	Capital	Revenue
	capital	premium	reserve	reserves1	reserve1	Total
	£'000	£'000	£'000	£'000	£'000	£'000
At 30th June 2016	7,746	46,670	27,401	201,167	17,170	300,154
Expenses in relation to share repurchases	-	-	-	(3)	-	(3)
Net return on ordinary activities	-	-	-	81,808	4,624	86,432
Dividends paid in the year (note 2)	-	-	-	-	(9,399)	(9,399)
At 30th June 2017	7,746	46,670	27,401	282,972	12,395	377,184
Issue of shares from Treasury	-	7,306	-	9,699	-	17,005
Net return on ordinary activities	-	-	-	25,413	5,342	30,755
Dividends paid in the year (note 2)	-	-	-	-	(14,154)	(14,154)
At 30th June 2018	7,746	53,976	27,401	318,084	3,583	410,790

1    These reserves form the distributable reserves of the Company and may be used to fund distribution of profits to investors via dividend payments.

STATEMENT OF FINANCIAL POSITION

AT 30TH JUNE 2018

		2018	2017
		£'000	£'000
Fixed assets
Investments held at fair value through profit or loss		431,001	400,972
Current assets
Derivative financial assets		4,156	2,037
Debtors		1,352	2,250
Cash and cash equivalents		8,008	6,131
		13,516	10,418
Current liabilities
Creditors: amounts falling due within one year		(832)	(1,796)
Derivative financial liabilities		(1,629)	(4,863)
Net current assets		11,055	3,759
Total assets less current liabilities		442,056	404,731
Creditors: amounts falling due after more than one year		(30,020)	(25,200)
Provision for liabilities and charges
Performance fee payable		(1,246)	(2,347)
Net assets		410,790	377,184
Capital and reserves
Called up share capital		7,746	7,746
Share premium		53,976	46,670
Capital redemption reserve		27,401	27,401
Capital reserves		318,084	282,972
Revenue reserve		3,583	12,395
Total shareholders' funds		410,790	377,184
Net asset value per share (note 4)		318.4p	305.0p

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 30TH JUNE 2018

		2018	2017
		£'000	£'000
Net cash outflow from operations before dividends and interest		(2,227)	(1,651)
Dividends received		6,916	5,929
Interest received		83	45
Overseas tax recovered		30	181
Interest paid		(233)	(339)
Net cash inflow from operating activities		4,569	4,165
Purchases of investments		(301,877)	(288,237)
Sales of investments		298,918	283,686
Settlement of forward currency contracts		(7,403)	4,508
Net cash outflow from investing activities		(10,362)	(43)
Dividends paid		(14,154)	(9,399)
Issue of shares from Treasury		17,005	-
Expenses in relation to share repurchases		-	(3)
Issue of loan notes (net of costs)		29,820	-
Repayment of bank loans		(25,000)	-
Net cash inflow/(outflow) from financing activities		7,671	(9,402)
Increase/(decrease) in cash and cash equivalents		1,878	(5,280)
Cash and cash equivalents at start of year		6,131	11,411
Exchange movements		(1)	-
Cash and cash equivalents at end of year		8,008	6,131
Increase/(decrease) in cash and cash equivalents		1,878	(5,280)
Cash and cash equivalents consist of:
Cash and short term deposits		764	287
Cash held in JPMorgan Sterling Liquidity Fund		7,244	5,844
Total		8,008	6,131

.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30TH JUNE 2018

1.  Accounting policies

     Basis of accounting

The financial statements are prepared under the historical cost convention, modified to include fixed asset investments at fair value, and in accordance with the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice ('UK GAAP'), including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and with the Statement of Recommended Practice 'Financial Statements of Investment Trust Companies and Venture Capital Trusts' (the 'SORP') issued by the Association of Investment Companies in November 2014 and updated in February 2018.

All of the Company's operations are of a continuing nature.

The financial statements have been prepared on a going concern basis. The disclosures on going concern in the Directors' Report on page 29 of the Annual Report form part of these financial statements.

The policies applied in these financial statements are consistent with those applied in the preceding year.

2.  Dividends

(a)     Dividends paid and declared

	2018	2017
	£'000	£'000
Dividends paid
Unclaimed dividends refunded to the Company	(21)	-
2017 third interim dividend of 2.20p (2016 final: 3.20p)	2,721	3,957
2018 first interim dividend of 3.04p (2017: 2.20p)	3,765	2,721
2018 second interim dividend of 3.04p (2017: 2.20p)	3,798	2,721
2018 third interim dividend of 3.04p	3,891	-
Total dividends paid in the year	14,154	9,399
Dividend declared
2018 fourth interim dividend of 3.04p (2017 third interim: 2.20p)	3,922	2,721

The fourth interim dividend of 3.04p has been declared and was paid on 6th July 2018 for the financial year ending 30th June 2018. In accordance with the accounting policy of the Company, this dividend will be reflected in the financial statements for the year ending 30th June 2019.

(b)    Dividend for the purposes of Section 1158 of the Corporation Tax Act 2010 ('Section 1158')

The requirements of Section 1158 are considered on the basis of dividends declared in respect of the financial year, shown below. The revenue available for distribution by way of dividend for the year is £5,342,000 (2017: £4,624,000). The revenue reserve after payment of the fourth interim dividend (2017: third interim) will amount to £nil (2017: £9,674,000) and the remaining amount has been drawn from the capital reserve.

	2018	2017
	£'000	£'000
2018 first interim dividend of 3.04p (2017: 2.20p)	3,765	2,721
2018 second interim dividend of 3.04p (2017: 2.20p)	3,798	2,721
2018 third interim dividend of 3.04p (2017: 2.20p)	3,891	2,721
2018 fourth interim dividend of 3.04p	3,922	-
	15,376	8,163

All dividends paid in the period have been funded from the revenue reserve. The dividend proposed at the year end will be funded from both the revenue and capital reserves.

3. Return per share

	2018	2017
	£'000	£'000
Revenue return	5,342	4,624
Capital return	25,413	81,808
Total return	30,755	86,432
Weighted average number of shares in issue	126,044,353	123,661,285
Revenue return per share	4.24p	3.74p
Capital return per share	20.16p	66.15p
Total return per share	24.40p	69.89p

4. Net asset value per share

	2018	2017
Net assets (£'000)	410,790	377,184
Number of Ordinary shares in issue	129,001,285	123,661,285
Net asset value per share	318.4p	305.0p

5. Status of announcement

     2017 Financial Information

     The figures and financial information for 2017 are extracted from the Annual Report and Financial Statements for the year ended 30th June 2017 and do not constitute the statutory accounts for that year.  The Annual Report and Financial Statements has been delivered to the Registrar of Companies and included the Report of the Independent Auditors which was unqualified and did not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006.

     2018 Financial Information

The figures and financial information for 2018 are extracted from the Annual Report and Financial Statements for the year ended 30th June 2018 and do not constitute the statutory accounts for that year.  The Annual Report and Financial Statements includes the Report of the Independent Auditors which is unqualified and does not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006. The Annual Report and Financial Statements will be delivered to the Registrar of Companies in due course.

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

JPMORGAN FUNDS LIMITED

18th September 2018

For further information:

Divya Amin,

JPMorgan Funds Limited

ENDS

A copy of the annual report will shortly be submitted to the National Storage Mechanism and will be available for inspection at www.morningstar.co.uk/uk/NSM

The annual report will also shortly be available on the Company's website at www.jpmglobalgrowthandincome.co.uk where up to date information on the Company, including daily NAV and share prices, factsheets and portfolio information can also be found.

JPMORGAN FUNDS LIMITED

 

END

 

 

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