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Even as trade hostilities dominated headlines and geopolitical risks persisted, most markets defied sceptics in 2025. This resilience was supported by unprecedented government stimulus, delivered at a time of relatively healthy economic conditions. The average investment trust generated a share price total return of 12% over the year1.
Looking ahead to this year, geopolitical instability is already a huge factor and the threat of US tariffs against its European allies is dominating the news agenda at the time of writing. Uncertainty is likely to remain a defining feature for markets as they assess implications for trade, regulation and corporate profitability.
Within this environment, it is essential to tap into proven investment experience, backed by thorough research, and to not put all your eggs in one basket. A portfolio comprising a diverse range of assets can be a better way to manage risk while maximising the likelihood of consistent investment returns, although it does not remove the risk altogether.
Today’s global investment opportunities are becoming increasingly complex and accessing the full potential of these diverse markets can be daunting. However, investment trusts provide a structured way to build a portfolio which maximises your potential returns while helping to minimise the risk inherent in any investment.
An investment trust is a professionally managed, closed-ended, pooled investment vehicle that offers several valuable benefits to investors, including:
- Closed-end Structure: Investment trusts have a closed-end structure. By fixing the number of shares issued, the investment trust’s portfolio manager has the freedom to execute buy and sell decisions when the timing is most advantageous, rather than being subject to the vagaries of when investors decide to invest or sell trust shares. (Investors should note that closed-end trusts may trade at a premium or discount to their net asset value, potentially resulting in investors buying assets at a price above their market value or selling shares at a price below the underlying assets’ true market value).
- Stock Market Listing: Investment trust shares are listed on the London Stock Exchange, which allows investors to conveniently buy or sell shares, and easily find the current price of shares.
- Ability to Borrow: Investment trusts can borrow to increase the amount of money invested (“gearing”), allowing them to quickly take advantage of emerging opportunities without having to sell existing holdings. Gearing can enhance returns during rising markets and exacerbate losses during declining markets.
- Accountability: An independent board of directors, elected by shareholders, oversees the operation and management of investment trusts. The board also has oversight of a fund manager’s performance and the power to replace an underperforming manager. Shareholders have the right to vote on all substantive issues that impact the trust’s management.
- Competitive Pricing: Investment trusts typically have lower operating costs than open-ended funds, which may result in greater wealth accumulation over the long term.
- Income Reserve Strategy: An investment trust can retain up to 15%* of its income each year, which can then be used to supplement income when needed in future years and help provide level income payments to investors. While this approach aims to smooth income over time, dividends may fluctuate and, in certain situations, could impact the capital value of the investment.
- Accessibility: Investment trust shares can be bought and sold through most leading online investment platforms. These third-party platform providers will usually allow you to hold your shares in an Individual Savings Account (ISA), Junior ISA and Self-Administered Personal Pension (SIPP) - all of which bring potential tax advantages.
Why J.P. Morgan Asset Management
Successfully tapping global investment opportunities via investment trusts requires an experienced and trusted partner with a long-term track record of strong performance.
At J.P. Morgan Asset Management, our singular goal for more than 150 years has been to help our clients build stronger portfolios. Our global strength, local expertise and team-based approach means we can undertake the in-depth on-the-ground research which uncovers opportunities others may miss. By working with us, institutions, intermediaries, and individual investors have benefited from key advantages unique to J.P. Morgan Asset Management, including:
- Size and scale: Responsible for USD 3.4 trillion in assets globally2, J.P. Morgan Asset Management is supported by over 1,300 investment professionals2 with an annual research budget of USD 490 mm2, which is used for the expressed purpose of uncovering new investment opportunities and mitigating portfolio risks.
- Wide range of choices: Our investment trusts cover a broad range of global markets, and investment styles to meet investors’ varied investment objectives (whether this be income, growth or a combination of both) and risk profiles.
- Performance results: Past performance, of course, should never be used to predict current or future returns. However, we do have a proud record of delivering attractive investment results.
- Our JPMorgan American Investment Trust plc won three awards in 2025 - the ‘North American Equity – Active’ award at the AJ Bell Investment Awards 20253, as chosen by AJ Bell platform investors; ‘Best for Capital Growth’ category at the 2025 QuotedData Investors’ Choice Awards4; and ‘Best North America trust’ at the Citywire Investment Trust Awards 20255.
- In 2025, JPMorgan Global Growth & Income plc completed the successful merger with Henderson International Income Trust plc (HINT), creating an enlarged JGGI with total assets of £3.3bn (as at 16 June 2025). It also won a QuotedData Investors’ Choice Award, in the Global category4.
- JPMorgan Emerging Markets Growth & Income plc won at the AJ Bell Investment Awards 2025 - in the Emerging Markets Equity Active category3.
- JPMorgan Japanese Investment Trust plc won two awards in 2025 - “Japan Equity – Active” award at the AJ Bell Investment Awards 2025³ and the “Single Country (Developed Markets)" award at the Investment Week Investment Company of the Year Awards 20256.
- JPMorgan European Growth & Income plc won in the Europe category at the Investment Week Investment Company of the Year Awards 20256.
- J.P. Morgan Asset Management won Best Large Asset Manager at the QuotedData Investors’ Choice Awards in 20254.
- Commitment to investors: We recognise that many investors look for regular income, and we continue to ensure our range targets this need. In 2025, JPMorgan Emerging Markets Growth & Income plc7 and JPMorgan India Growth & Income plc8 introduced enhanced dividend policies, drawing on a combination of dividend income, capital and income reserves to deliver a set dividend payout. In addition, JPMorgan Asia Growth & Income plc increased its enhanced annual payout from 4% to 6%, paid quarterly. While these policies aim to provide regular income, they cannot be guaranteed and there may be times when dividends are paid from capital, which can affect the value of the investment.
- Deep-rooted culture: Sustained outperformance is a function of an enduring culture. Maintaining the continuity of the people and processes that created a record of historical achievement is foundational to future success.
Getting started
Long-term investors interested in building a portfolio of diversified, global assets from one of the UK’s leading investment trust providers, should contact their financial adviser.
- For more information about the full range of J.P. Morgan investment trusts, including investment objectives, risks, and fees, visit the Investment Trust homepage.
Past performance is not a reliable indicator of future results