Following shareholder approval, on 13th December 2024 the Jupiter UK Smaller Companies Equity fund merged into the Jupiter UK Smaller Companies fund.
Jupiter have stated the following:
"We have undertaken a comprehensive review of our entire fund range to determine whether there are any funds which have similar investment objectives, investment policies and risk profiles. The review identified the Merging Fund and Receiving Fund as materially similar and therefore appropriate for a merger. Both funds are managed by the same investment team, follow a similar investment approach providing similar investment exposure to UK smaller companies (with approximately 92% alignment of underlying assets) and have a similar risk and reward profile.
The proposed merger also provides unitholders in the Merging Fund with the following:
- the opportunity to invest in a fund which provides continuity of core investment approach (as outlined above);
- no increase in the Fixed Annual Charge ("FAC") for investors of all unit classes; the FAC payable on the equivalent shares classes of the Receiving Fund will be the same as those in the Merging Fund;
- a continuity of investment exposure without crystallising (for UK tax purposes) a capital gain or loss for investors; and
- the opportunity to invest into a larger fund providing greater economies of scale in relation to the FAC charged to investors where a discount is applied according to the value of the scheme property of the fund."
The fund objectives for the current and new fund are shown below:
Current fund Jupiter UK Smaller Companies Equity New fund Jupiter UK Smaller Companies Fund objective: To provide a return, net of fees, higher than that provided by the Numis Smaller Companies plus AIM (Excluding Investment Companies) Index over the long term (at least five years). At least 70% of the fund is investment in shares of smaller companies based in the UK.
New fund Jupiter UK Smaller Companies Fund objective: To achieve capital growth. In seeking to achieve its investment objective the fund will aim to deliver a return, net of fees, greater than that of the Numis Smaller Companies Index excluding Investment Companies over rolling 3 year periods. The fund primarily invests in a portfolio of UK smaller companies.
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- uploaded - 02 January 2025