JP Morgan European Growth and Income (JEGI)

[BBLSP1]

I can only say what happened in my account to my JETI shares. I bought JETI (N shares) last year, and after the merger my account now holds 1.7247xN JEGI shares. I didn't do anything, the broker just did it for me. I guess I may have lost a small fraction of a share along the way!

Thanks for the response. For me, one broker got it spot on, but another left me 3 shares short based on the 1.72487 conversion figure. Not much, but possibly an element of 'scraping' going on across all shareholders!

[richfool]

JEGI not doing too well today, thanks to Putin. Down over 6.5%.

[Arborbridge]

JEGI not doing too well today, thanks to Putin. Down over 6.5%.

I think it may have gone XD today too, which doesn't help. If it weren't for the muddle in my mind about what the dividend policy and yield are after this merger, I would feel tempted to topup.
On the face of it, I seem to have gone from a reasonable dividend payer and contributor to my annual income, to either something like 2% or a total unknown.

Arb.

[seagles]

JEGI not doing too well today, thanks to Putin. Down over 6.5%.

I think it may have gone XD today too, which doesn't help. If it weren't for the muddle in my mind about what the dividend policy and yield are after this merger, I would feel tempted to topup.
On the face of it, I seem to have gone from a reasonable dividend payer and contributor to my annual income, to either something like 2% or a total unknown.

Arb.

I believe that the "data" that shows 2% and semi annual divi's is not accurate based on :-

Results - Provides exposure to Europe’s long-term capital growth potential while targeting a 4% annual dividend, delivered quarterly*. From JP Morgans own web-site on JEGI.

[mike]

When JP Morgan's 2 linked European IT's (Income JETI and Growth JETG) combined to be one new fund JEGI in early 2022 it stated that its dividend policy would be

a target annual dividend on the Ordinary Shares of 4 per cent. per annum (based on the NAV
as at close of business on the last Business Day of the preceding financial year)

We are now in the third year of this new policy, and after a 1.05p quarterly dividend for the FY ending 31 March 2024, JEGI have just announced their 1st quarterly dividend for the FY ending 31 March 2025.

This has been set at 1.20p per quarter, following their year end NAV of 118.3p. So an increase of some 14.3% on last year's dividend.

I used to hold JETI, the income part of their previous European IT, but reduced my exposure when they moved to their current dividend policy, so JEGI provides about 5% of my income. [*] Did I make a hasty decision reducing my exposure ? I suppose time will tell when there is a reduction in NAV on the last day of the FY.

For holders - Dividend 1.20p per share, ex-div 30 May, paid 5 July.
https://www.investegate.co.uk/announcem ... on/8212154


* For comparison, Far East HFEL & SOI provide about 20% of my income combined, North America NAIT about 12%, and the general overseas MYI & HINT about 25% combined. The rest is between mainly-non-UK infrastucture BBGI, emerging/frontier markets BRFI & UEM, and UK income ITs.

[Arborbridge]

When JP Morgan's 2 linked European IT's (Income JETI and Growth JETG) combined to be one new fund JEGI in early 2022 it stated that its dividend policy would be

a target annual dividend on the Ordinary Shares of 4 per cent. per annum (based on the NAV
as at close of business on the last Business Day of the preceding financial year)

We are now in the third year of this new policy, and after a 1.05p quarterly dividend for the FY ending 31 March 2024, JEGI have just announced their 1st quarterly dividend for the FY ending 31 March 2025.

This has been set at 1.20p per quarter, following their year end NAV of 118.3p. So an increase of some 14.3% on last year's dividend.

I used to hold JETI, the income part of their previous European IT, but reduced my exposure when they moved to their current dividend policy, so JEGI provides about 5% of my income. [*] Did I make a hasty decision reducing my exposure ? I suppose time will tell when there is a reduction in NAV on the last day of the FY.

For holders - Dividend 1.20p per share, ex-div 30 May, paid 5 July.
https://www.investegate.co.uk/announcem ... on/8212154

I decided to take the masterly inactive route and just let JETI turn into JEGI. It's done rather well having given an XIRR of over 10%. The increase in dividend is welcome and re-establishes some faith in this as an income provider. Some people keep telling me Europe is finished, but it doesn't seem so - it has some clever companies.


Arb.

* For comparison, Far East HFEL & SOI provide about 20% of my income combined, North America NAIT about 12%, and the general overseas MYI & HINT about 25% combined. The rest is between mainly-non-UK infrastucture BBGI, emerging/frontier markets BRFI & UEM, and UK income ITs.

[clissold345]

I decided to take the masterly inactive route and just let JETI turn into JEGI. It's done rather well having given an XIRR of over 10%. The increase in dividend is welcome and re-establishes some faith in this as an income provider. Some people keep telling me Europe is finished, but it doesn't seem so - it has some clever companies.

Arb.

I think Arborbridge meant to write the above in answer to mike's post - but he got the quoting wrong.

[Arborbridge]

I decided to take the masterly inactive route and just let JETI turn into JEGI. It's done rather well having given an XIRR of over 10%. The increase in dividend is welcome and re-establishes some faith in this as an income provider. Some people keep telling me Europe is finished, but it doesn't seem so - it has some clever companies.

Arb.

I think Arborbridge meant to write the above in answer to mike's post - but he got the quoting wrong.

Not for the first time and forgot to use the preview facility

[kempiejon]

Some people keep telling me Europe is finished, but it doesn't seem so - it has some clever companies.

They might be right soon but historically wrong. I invest in Europe exUK with Vanguards VERX which over 5 years is up 60% my VUKE ftse100 is up 40% over the same period. Perhaps Europe is finished just less finished than UK? USA managed 90%.

[Lootman]

Some people keep telling me Europe is finished, but it doesn't seem so - it has some clever companies.

They might be right soon but historically wrong. I invest in Europe exUK with Vanguards VERX which over 5 years is up 60% my VUKE ftse100 is up 40% over the same period. Perhaps Europe is finished just less finished than UK? USA managed 90%.

Yeah, I see Europe as an "old economy" market. Too regulated and taxed to really give world-beating returns. The UK is just a special case of that. Arguably more committed to capitalism but in practice suffering from the same structural issues as Europe.

So I am overweight North America, Asia and emerging markets. And like you I use VERX as a proxy for Europe for the sake of having some exposure to it just in case. But otherwise pay no attention to it.

[richfool]

I have a significant holding of JEGI, held since it was JETI and topped up along the way.. It's performed very well. My holding is currently up +20%.

Conversely, my holding of EAT (European small coys) provides a good dividend yield (c10%), but my holding is down -20%.

(I get my US exposure through BRSA for dividend income and through JAM for growth. Though my holdings of various global trusts give me significant US exposure (e.g. JGGI, ATST, VEVE etc).

[Arborbridge]

I have a significant holding of JEGI, held since it was JETI and topped up along the way.. It's performed very well. My holding is currently up +20%.

Conversely, my holding of EAT (European small coys) provides a good dividend yield (c10%), but my holding is down -20%.

(I get my US exposure through BRSA for dividend income and through JAM for growth. Though my holdings of various global trusts give me significant US exposure (e.g. JGGI, ATST, VEVE etc).

I looked up BRSA, the S stands for Sustainable. Yet they have a slice of Shell. I guess it depends whether you think the means justify the ends...

PS, not criticising your choice of invesment in BRSA, indeed, it looks quite interesting.

[kempiejon]

I looked up BRSA, the S stands for Sustainable. Yet they have a slice of Shell. I guess it depends whether you think the means justify the ends...

Long ago I had a pension with Friends Provident, I chose a fund with an ethical bent and when I looked under the hood they had Shell and/or BP justifying it as they were among the largest producers of green energy - at sub 1% of their business. More recently I was reading recently that some ESG funds still invest in companies with sub par green principals as it allows the find managers some influence. Green hog-washing.

[Arborbridge]

I looked up BRSA, the S stands for Sustainable. Yet they have a slice of Shell. I guess it depends whether you think the means justify the ends...

Long ago I had a pension with Friends Provident, I chose a fund with an ethical bent and when I looked under the hood they had Shell and/or BP justifying it as they were among the largest producers of green energy - at sub 1% of their business. More recently I was reading recently that some ESG funds still invest in companies with sub par green principals as it allows the find managers some influence. Green hog-washing.

It is a difficult one - personally, I believe we need companies like Shell with big resources that can help to solve these problems. The question is how to motivate them to do more than a bit of green-washing around the edges of their businesses.

Arb.

[richfool]

I have a significant holding of JEGI, held since it was JETI and topped up along the way.. It's performed very well. My holding is currently up +20%.

Conversely, my holding of EAT (European small coys) provides a good dividend yield (c10%), but my holding is down -20%.

(I get my US exposure through BRSA for dividend income and through JAM for growth. Though my holdings of various global trusts give me significant US exposure (e.g. JGGI, ATST, VEVE etc).

I looked up BRSA, the S stands for Sustainable. Yet they have a slice of Shell. I guess it depends whether you think the means justify the ends...

PS, not criticising your choice of invesment in BRSA, indeed, it looks quite interesting.

BRSA used to be BRNA (North America). Then the "S" word crept in. I recollect they used to hold AZN.

Re JEGI, I like the holdings, many, if not most, of which do business throughout the world, not just in Europe, (like many of the FTSE100 companies), so I don't really view it as a European IT..

https://www.hl.co.uk/shares/shares-sear ... income-plc

[Charlottesquare]

They might be right soon but historically wrong. I invest in Europe exUK with Vanguards VERX which over 5 years is up 60% my VUKE ftse100 is up 40% over the same period. Perhaps Europe is finished just less finished than UK? USA managed 90%.

Yeah, I see Europe as an "old economy" market. Too regulated and taxed to really give world-beating returns. The UK is just a special case of that. Arguably more committed to capitalism but in practice suffering from the same structural issues as Europe.

So I am overweight North America, Asia and emerging markets. And like you I use VERX as a proxy for Europe for the sake of having some exposure to it just in case. But otherwise pay no attention to it.

Do not disagree, I certainly carry more in N America and Asia plus some world ITs, but suspect I am far more cautious than you are re emerging markets.