IN BRIEF: JPMorgan US Smaller Cos NAV falls, eyes set on turnaround
JPMorgan US Smaller Cos Investment Trust PLC - investor focused on smaller US stocks - NAV total return is minus 12.4% in the six months to June 30, compared to minus 10.3% for the Russell 2000 Index benchmark. Total return to shareholders is minus 18.7%, reflecting a widening in the share price discount to NAV from 1.8% at the end of 2024 to 8.8% on June 30. The gearing level holds steady at 7.2%. No dividend is declared, unchanged from last year. Urges shareholders to remember that "while long periods of underperformance by US small caps are normal throughout the history of this sector, they are often followed by strong outperformance." Says small cap earnings hurt by an uneven macro environment of inflationary increases, high interest rates and weak industrial demand. Believes earnings growth can broaden out as "re-shoring, deregulation, and clarity around interest rate and tariffs boost domestic investment and corporate sentiment". Read More