Edison Investment Research - JPMorgan Global Convertibles Income Fund (JGCI) Review: Balancing equity upside with downside protection

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Edison Investment Research

Review: Balancing equity upside with downside protection

JPMorgan Global Convertibles Income Fund Limited (JGCI) targets income and capital growth through investment in a globally diversified portfolio of convertible securities. The fundâ€™s yield of over 4% is above the MSCI World and FTSE All-Share equity indices by close to two percentage points and one point respectively. A key attraction of convertibles is that they are seen to offer downside protection in a market downturn and a degree of participation in a stronger equity market, with lower volatility. As a closed-ended fund, JGCI is able to invest in more illiquid convertibles generally offering a higher return; this is likely to have helped the fund achieve an NAV total return performance at a similar level to equity markets since it was launched in June 2013.

01/08/2014 8 EN

Underlying

JPMorgan Global Convertibles Income Fund

JPMorgan Global Convertibles Income Fund is a closed-ended investment company. Co. invests in a globally diversified portfolio of convertible securities and other suitable instruments exhibiting convertible or exchangeable characteristics. The assets of Co. are managed by JPMorgan Funds Limited. The value of Co.'s investment portfolio at June 30 2017 was £185.0 million and consisted predominantly of quoted debt securities.

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GG00B96SW597 Guernsey

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Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Review: Balancing equity upside with downside protection

JPMorgan Global Convertibles Income Fund - Positive outlook for niche asset class

JPMorgan Global Convertibles Income Fund - Continuity of approach under new team head

Steady NAV progression and a 4.5% yield

Norcros - Sale of Johnson Tiles UK agreed

Henderson Far East Income - Repositioning to raise total returns

Freelancer - AI to drive return to growth

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