JPMorgan Multi-Asset Trust (MATE) is a new investment company that will invest across a range of different asset classes. It will aim to achieve a total return of 6% per annum, over the long term, through a combination of income and capital growth. It will seek to achieve these target returns whilst maintaining lower levels of volatility than a traditional equity portfolio.
MATE’s manager, the UK subsidiary of JPMorgan Asset Management, will allocate money to a selection of assets on investors’ behalf, choosing the investment strategies that it believes will deliver returns in-line with the investment objective.
MATE was offered as a rollover vehicle for an existing investment trust, JPMorgan Income & Capital Trust Plc, which reached the end of its life on 28 February 2018.
MATE is targeting a yield of 4% on the initial issue price. Dividends will be paid quarterly and the trust has a progressive dividend policy. This target yield has been selected as the manager believes that it is sustainable and, while MATE has the flexibility to pay dividends out of capital if necessary, it expects the dividend to be covered.
We have written a note that explains how the fund works –
- “Long-term return objective of 6% per annum”, published in January 2018, notes how MATE aims to achieve their goal with a combination of income and capital growth
You can access the fund’s website here