Fund review: JPM America Equity

Off the demand for its high-alpha Luxembourg-domiciled Sicav, JP Morgan Asset Management has launched an onshore version of the JPM America Equity fund.

Opened on 31 January, the fund offers a high-alpha concentrated portfolio of large-cap US equities. It is co-managed by Jonathan Simon and Greg Luttrell, who will combine their respective value and growth experience and styles to seek opportunities.

The Sicav has top quartile performance over one year as at the end of January.

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Despite differing styles, the managers will take a long-term approach to finding quality companies in the US. The fund is available for Isas and Sipps. Its minimum initial investment is £1,000 with an initial charge of 3 per cent.


Last year was interesting for the US. The markets did not falter despite events that could have affected investments, such as the government shutdown in October.

Demand is high for this fund, as it is a mirror of an offshore version, which has had solid returns over the past few years. The two managers’ styles could add some security to the fund so it is ready for any wave in the market, be it growth or value.

This is attractive because it means the managers will have flexibility to tilt towards either strategy in response to market conditions. It will hold just 20 to 40 high conviction stocks from across the US equity market.

The small number means the managers must be rigorous in finding companies to invest in. The US market is huge and there are thousands of stocks to choose from, so to whittle it down to just 20 will take some skill.

The strategy is clearly popular with investors; it already has £2bn in assets and accounts for more than 7 per cent of assets under management in the IMA’s North America sector.

This fund could be a good investment for those looking to enter the US market through a high alpha fund while economic confidence is recovering and any macro headwinds are subsiding.