jpmorgan emerging markets investment trust annual …...china 1.6 philippines 0.9 india 0.7 taiwan...

FOR PROFESSIONAL CLIENTS/QUALIFIED INVESTORS ONLY - NOT FOR RETAIL USE OR DISTRIBUTION

JPMorgan Emerging Markets Investment Trust

Annual General Meeting

17th November 2015




17th November 2015

Austin Forey, Portfolio Manager

2 | FOR PROFESSIONAL CLIENTS/QUALIFIED INVESTORS ONLY - NOT FOR RETAIL USE OR DISTRIBUTION

Agenda

The past year

Conventional wisdom: usually wrong

Investing for the long term

Thoughts for the future

And finally…


Performance

JPMorgan Emerging Markets Investment Trust plc as of 30th September 2015 – 12 month rolling returns

(%) 30/09/14 to

30/09/15

30/09/13 to

30/09/14

30/09/12 to

30/09/13

30/09/11 to

30/09/12

30/09/10 to

30/09/11

Share price -6.60% 1.95% 4.46% 10.90% -14.73%

Net asset value -4.54% 3.10% 2.83% 13.29% -14.06%

MSCI Emerging Markets Net Index -13.61% 4.19% 0.69% 12.81% -15.18%

Source: J.P. Morgan Asset Management.

Inception: 01 Jul 1991. Benchmark: MSCI Emerging Markets Net.

Past performance is not a guide to the future.

Performance data has been calculated including tax, ongoing charges and portfolio transaction costs and excluding entry and exit charges, with any income reinvested, in GBP.


The past year: investment performance

Stock selection: +1.9%, asset allocation +2.9%

Positives:

India, South Africa, financials

Negatives:

China, consumer

Markets fell considerably in the period from June

to the end of September, with some currencies

very weak

Source: J.P. Morgan Asset Management. Data as of 30th September 2015. Past performance is not an indication of future performance.

30th June 2014 – 30th June 2015

Portfolio return +8.5%

Index +3.2%

Return on NAV +7.4%

Ordinary share price return +6.6%

30th June 2015 – 30th September 2015

Portfolio return -9.0%

Index -14.8%

Ordinary share price return -10.7%


The past year: markets

Source: Factset. MSCI. Data as of 30th September 2015. Past performance is not an indication of future performance.

70

80

90

100

110

120

30

/06/2

014

14

/07/2

014

28

/07/2

014

11

/08/2

014

25

/08/2

014

08

/09/2

014

22

/09/2

014

06

/10/2

014

20

/10/2

014

03

/11/2

014

17

/11/2

014

01

/12/2

014

15

/12/2

014

29

/12/2

014

12

/01/2

015

26

/01/2

015

09

/02/2

015

23

/02/2

015

09

/03/2

015

23

/03/2

015

06

/04/2

015

20

/04/2

015

04

/05/2

015

18

/05/2

015

01

/06/2

015

15

/06/2

015

29

/06/2

015

13

/07/2

015

27

/07/2

015

10

/08/2

015

24

/08/2

015

07

/09/2

015

21

/09/2

015

Chinese ‘A’ shares

in lift-off

…Rouble follows Commodity prices fall

Chinese currency

devalues

Malaysian Airlines

plane shot down

over Ukraine

Govt. moves to shore

up Chinese equities Oil price halves..

MSCI Emerging Markets index in GBP (rebased)

Sanctions

against

Russia

Still no rise in interest rates…


The past year: market detail

Source: Factset MSCI Emerging Markets Index Index. Data shows returns 1 year from 30th June 2014. Past performance is not an indication of future performance.

MSCI Country % returns in GBP

Hungary 14.2

China 1.6

Philippines 0.9

India 0.7

Taiwan -5.1

MSCI EM (Emerging Markets) Index -13.6

Russia -28.2

Indonesia -29.0

Malaysia -44.8

Brazil -47.0

MSCI Sector % returns in GBP

Health Care -1.7

Information Technology -5.0

Consumer Staples -5.9

Consumer Discretionary -9.6

Financials -12.3

MSCI EM (Emerging Markets) Index -13.6

Telecommunication Services -14.5

Utilities -19.2

Materials -25.1

Energy -33.0


The past year: longer term context

Source: Datastream as of 30th September 2015: MSCI Emerging Markets Index. Past performance is not an indication of future performance.

Index, 31 Jan 95 = 100

0

50

100

150

200

250

300

350

400

1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015

0

10

20

30

40

50

60

70

80

90

100

110

120

130

140

19

95

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

07

20

08

20

09

20

10

20

11

20

12

20

13

20

14

20

15

MSCI Emerging Markets Index Performance in GBP MSCI Emerging Markets Index relative to Developed World

Index, 31 Jan 95 = 100


The portfolio

Source: UBS Portfolio Analysis System, J.P. Morgan Asset Management. Prism. Index: MSCI Emerging Markets Index as of 30th September 2015. The targets and aims provided above are the

Investment Manager’s targets and aims only and are not necessarily part of the Fund’s investment objectives and policies as stated in the prospectus. There is no guarantee that these will be achieved.

*Portfolio yield is the aggregate weighted sum of the stock level yields which are calculated (12-month forward DPS / Current price)*100. **Net debt to equity ratio excludes financials.. Numbers are UBS

analyst estimates where available, and otherwise consensus.

Portfolio characteristics as of 30th September 2015

Fund Benchmark

Price to earnings (forward) 15.5x 10.7x

Price to book 3.0x 1.3x

Gross prospective dividend yield* (%) 2.4 3.2

Return on equity (%) 18.9 12.0

**Net Debt/Equity Ratio (%) 18 32

Beta 0.95

Tracking error (%) 6.4

Holdings 72 823

Active share (%) 80.8


Conventional wisdom? Usually wrong

“What about the.. … economy? “Well, what about.. … inflation?

… currency? … real returns?

… politics? … management?

… short term? … long term?

… risk?” … price?”

For illustrative purposes only. The opinions and views expressed here are those held by the author at the date of publication which are subject to change and are not to be taken as or construed as

investment advice.


Investing for the long term

Source: Internet. Company websites. For illustrative purposes only.


Thoughts for the future: China

Source: Company websites. Images for illustrative purposes only. The companies above are shown for illustrative purposes only. Their inclusion should not be interpreted as a recommendation to buy or

sell. The use of the above company logos is in no way an endorsement for J.P. Morgan Asset Management.


Thoughts for the future: China

Source: JPMorgan Asset Management. There can be no assurance that the professionals currently employed by J.P. Morgan Asset Management will continue to be employed by J.P. Morgan Asset

Management.


And finally...

Annualized Cumulative

5 yrs 3.2% 17%

10 yrs 3.9% 46%

15 yrs 3.9% 77%

20 yrs 3.6% 101%

Source: JPMorgan Asset Management annual reports. Data as at June 2015. Past performance is not an indication of future performance. Calendar Year Returns and

Cumulative Performance since June 1995

Investment Manager Contribution %

-30%

0%

30%

60%

90%

-20

-10

0

10

20

30

40

50

60

70

Jun-95 Jun-96 Jun-97 Jun-98 Jun-99 Jun-00 Jun-01 Jun-02 Jun-03 Jun-04 Jun-05 Jun-06 Jun-07 Jun-08 Jun-09 Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15

Calendar Year Returns

Cumulative Performance (RHS)


And finally...

Source: Bloomberg: share price of JPMorgan Emerging Markets Investment Trust (JMG) since Austin Forey has been Portfolio Manager. Past performance is not an indication of future performance. As

of November 2015.

21 year share price performance of JPMorgan Emerging Markets Investment Trust


And finally…

Thank you


J.P. Morgan Asset Management

This is a promotional document and as such the views contained herein are not to be taken as an advice or recommendation to buy or sell any investment or

interest thereto. Reliance upon information in this material is at the sole discretion of the reader. Any research in this document has been obtained and may have

been acted upon by J.P. Morgan Asset Management for its own purpose. The results of such research are being made available as additional information and do

not necessarily reflect the views of J.P.Morgan Asset Management. Any forecasts, figures, opinions, statements of financial market trends or investment

techniques and strategies expressed are unless otherwise stated, J.P. Morgan Asset Management’s own at the date of this document. They are considered to be

reliable at the time of writing, may not necessarily be all-inclusive and are not guaranteed as to accuracy. They may be subject to change without reference or

notification to you.

It should be noted that the value of investments and the income from them may fluctuate in accordance with market conditions and taxation agreements and

investors may not get back the full amount invested. Changes in exchange rates may have an adverse effect on the value, price or income of the product(s) or

underlying overseas investments. Both past performance and yield may not be a reliable guide to future performance. There is no guarantee that any forecast

made will come to pass. Furthermore, whilst it is the intention to achieve the investment objective of the investment product(s), there can be no assurance that

those objectives will be met.

J.P. Morgan Asset Management is the brand name for the asset management business of JPMorgan Chase & Co and its affiliates worldwide. You should note that

if you contact J.P. Morgan Asset Management by telephone those lines may be recorded and monitored for legal, security and training purposes. You should also

take note that information and data from communications with you will be collected, stored and processed by J.P. Morgan Asset Management in accordance with

the EMEA Privacy Policy which can be accessed through the following website http://www.jpmorgan.com/pages/privacy.

Investment is subject to documentation which is comprised of the Key Features/Terms and Condition and Investment Trusts Profi les copies of which can be

obtained free of charge from JPMorgan Asset Management Marketing Limited. Issued by JPMorgan Asset Management Marketing Limited which is authorised and

regulated in the UK by the Financial Conduct Authority. Registered in England No: 288553. Registered address: 25 Bank St, Canary Wharf, London E14 5JP.

http://www.jpmorgan.com/pages/privacy




17th November 2015

jpmorgan emerging markets investment trust annual …...china 1.6 philippines 0.9 india 0.7 taiwan...

Documents