Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

JP Morgan trust to abandon performance fee

JP Morgan trust to abandon performance fee

The £196 million JPMorgan Mid Cap Investment Trust has become the latest fund to remove its performance fee.

Managed by William Meadon and Georgina Brittain (pictured), who has a Citywire + rating, the trust formerly charged 0.4% a year with a performance fee worth 17.5% of any outperformance over its FTSE 250 benchmark.

Now the fund will have a simplified fee structure of 0.65% a year on total assets less liabilities, excluding bank borrowings, worth up to £250 million and 0.6% a year on assets above that threshold.

‘It is felt that this new fee structure balances the need for the company’s ongoing charges to remain competitive post RDR, whilst rewarding the manager for its efforts,’ explained Andrew Barker, the trust’s chairman.

The move is the latest in a series of changes to trust’s fee arrangements, following similar action from groups including Henderson and Lindsell Train.

Over the past three years, JPMorgan Mid Cap has returned 87.6% compared with 60.6% from the FTSE 250 index.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the FED

Winter market warmers, the post QE world and timing the FED

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Wealth Manager on Twitter