Investing with confidence - J.P. Morgan Asset Management

Investing with confidence

It is J.P. Morgan Asset Management's obligation to arrange adequate protection for our clients' assets when managing their assets and investments. As one of the world's leading financial institutions we have robust internal controls and safeguards in place to ensure that our clients' investments are segregated from our own assets at all times.

Please note that this doesn't mean we can provide protection against market fluctuations – any investment in stocks and shares can fall in value and you may not get back the full amount invested.

One of the world's leading financial institutions

J.P. Morgan Asset Management has been managing money for more than 150 years and today we are responsible for over $1.7 trillion in assets under management as at 31 December 2015 - a testament not only to our investment expertise, but also to our clients' trust in us.

J.P. Morgan Asset Management benefits from being part of JPMorgan Chase & Co., which is one of the world's leading financial services providers. In 2016, J.P. Morgan Chase ranked 20th out of 500 companies in Fortune's annual list of the World's Most Admired Companies, which is voted for by 4,000 company executives, directors, and securities analysts. In the 'megabanks' sector, J.P. Morgan Chase ranked second in several categories including 'long-term investment', 'innovation', 'people management', ‘social responsibility’, 'financial soundness' and ‘global competitiveness’.

We believe that the reputation of our parent group, including its strong balance sheet and commitment to financial strength, along with our investment expertise and experience, provides reassurance to thousands of investors around the world.

Separation of client assets from our assets

The UK financial services regulator, the Financial Conduct Authority (FCA), requires us to keep clients' assets separate from our own assets. As a result, any investments you hold with us will be registered directly in your name, or will be held in a nominee account on your behalf. Any cash you may hold with us will be held in a client money bank account or held in accordance with FCA regulations.

This ringfencing means your cash and assets should be protected from any potential creditors of J.P. Morgan if a J.P. Morgan company, which is incorporated and regulated in the United Kingdom, was ever to be declared insolvent or cease trading.

Please refer to the Key Features and Terms and Conditions document for further details. OEIC investors should refer to the Supplementary Information Document for OEICs.

Financial Services Compensation Scheme

In addition to the above segregation of assets, your investments with us may also be covered by the Financial Services Compensation Scheme (FSCS). This means that if a J.P. Morgan company, incorporated and regulated in the UK was to become insolvent or cease trading you may be entitled to compensation should you suffer a loss as a result. The FSCS covers 100% of the first £50,000 of any investment you hold with J.P. Morgan. The level of any compensation paid by the FSCS will depend on the circumstances of your claim.

Any cash held within an ISA is protected in a client money account and is outside of the FSCS.

Cash within your J.P. Morgan account will be held in a client money bank account with a UK bank or in accordance with FCA regulations. Should the bank in which the money is deposited become insolvent or cease trading, you may be entitled to claim up to a total of £75,000 from the FSCS. However, you should note that this claim would take account of any money held directly by you with the bank.

You should note that the FSCS will not provide protection against losses caused by the bankruptcy of any of the underlying stocks in your investment portfolio (either held directly or as part of a pooled fund).

Further details of the FSCS can be obtained from  

Financial Services Compensation Scheme
10th Floor
Beaufort House
15 St Botolph Street
London EC3A 7QU

About J.P. Morgan Asset Management