REG - JPMorgan Claver IT - Final Results
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RNS Number : 9768X JPMorgan Claverhouse IT PLC 25 March 2026
LONDON STOCK EXCHANGE ANNOUNCEMENT
JPMORGAN CLAVERHOUSE INVESTMENT TRUST PLC
FINAL RESULTS FOR THE YEAR ENDED 31st DECEMBER 2025
Legal Entity Identifier: 49300NFZYYFSCD52W53
Information disclosed in accordance with the DTR 4.1.3
The Directors of JPMorgan Claverhouse Investment Trust plc (the "Company")
announce the Company's results for the year ended 31st December 2025.
Highlights:
· Net asset value (NAV) total return (with debt at fair value) for
the year ended 31st December 2025 was +27.6%, outperforming the FTSE
All-Share Index (the "Benchmark") total return of +24.0%. Share price total
return for the period was +28.9%.
· Five-year cumulative NAV total return was +74.9% outperforming
the Benchmark's +73.6%; five-year share price cumulative total return
was +69.3%.
· The three best performing sectors in the FTSE All-Share during
2025 were aerospace, defence, banks and insurance. The portfolio benefitted
from being overweight all three of these sectors over the course of the year
and was a key driver of the Company's performance versus the benchmark.
· Four quarterly interim dividends totalling 36.2p per share were
paid for the year ended 31st December 2025, representing a 2.3%
increase over the previous year (35.4p). This marks the 53rd consecutive
year of dividend increases.
· The Company repurchased 1,565,648 shares into Treasury at a
total cost of £12.1 million during the year, helping to narrow the discount
and add value for shareholders, ending the year at a discount of 4.9% from
5.6% in the previous year.
· For the financial year commencing 1st January 2026, the Board
intends to pay the first three quarterly interim dividends at 8.50p per
share (up from 8.40p), with the fourth to be announced in January 2027.
· Since 2015, the dividend has increased by 68.4% (from 21.5p to
36.2p per share), significantly outpacing inflation over the same period.
Victoria Stewart, Chair, commented:
"My fellow Board members and I are pleased with the performance of the new
portfolio management team and the total return generated in the 18 months
since the team assumed control of the portfolio. The Board also welcomes their
efforts to refocus the portfolio more towards dividend growth opportunities
and we remain confident this approach will ensure the Company continues to
deliver attractive returns and a growing income for shareholders over the long
term."
Anthony Lynch, Katen Patel and Callum Abbot, Portfolio Managers, commented:
"UK equities remain attractively valued…making it one of the few markets
globally that does not look over-valued by historic standards. We therefore
see plenty of scope for attractive future returns, particularly if the
momentum in sectors such as financials and defence can be sustained, or if
earnings growth broadens out across the market. We are confident that the
portfolio is very well-positioned to continue to meet its objective to deliver
capital and income growth to its shareholders in coming years."
CHAIR'S STATEMENT
This is my first Annual Report as Chair of your Company and it is my pleasure
to be able to report that the Company has delivered strong returns to
shareholders and outperformed its benchmark, the FTSE All-Share Index, over
the 12 months to 31st December 2025.
Performance and Manager Review
The investment environment for UK stocks was very favourable over the past
year. The Company's benchmark returned +24.0% over the 12 months to end
December 2025, outpacing the S&P500 Index. While domestic economic
activity remained lacklustre, UK equities drew support from several other
sources. The most notable market boost was provided by global investors
rotating away from the US due to concerns about the unpredictable economic
policies of the new administration, US Dollar weakness and a potential AI
investment bubble. Support also came from an increase in mergers and
acquisitions activity (M&A) which gathered momentum in 2025, with both
corporate and private equity investors targeting underpriced UK businesses.
These developments suggested investors were beginning to appreciate the value
on offer in this market.
Against this supportive backdrop, the Company's total return net asset value
(NAV) (with debt at fair value) increased by 27.6%, outperforming its
Benchmark by 3.6 percentage points. Its share price rose 28.9%, leading to a
further narrowing of the share price discount relative to NAV. Relative
performance was enhanced by both sector allocation and stock selection
decisions which are discussed in the Investment Manager's Report on pages 12
to 15 of the 2025 Annual Report, along with details of portfolio changes over
the past year and the Portfolio Managers' assessment of the market outlook.
This pleasing performance enhances the Company's strong longer-term track
record.
As at 31st December 2025, the Company's NAV per share (with debt at fair
value) was 911.0p and the share price was 866.0p. Since the end of the review
period, the NAV per share (with debt at fair value) has decreased to 880.1p
and the share price has fallen to 836.0p as at 23rd March 2026.
Revenue and Dividends
The Board's dividend policy seeks to increase the total dividend each year
and, taking a run of years together, to increase dividends at a rate close to
or above inflation. Consistent with this policy, the Directors declared a
fourth quarterly interim dividend of 11.00p per share for the year ended 31st
December 2025, paid on 2nd March 2026, which brought the total dividend per
share for the year to 36.2p (2024 total: 35.4p), an increase of 2.3% on the
prior year. I am pleased to report that this is the 53rd successive year in
which the dividend has been raised, a record which only very few investment
trusts have attained.
Following the payment of the fourth interim dividend for 2025, taking a run of
years together, the Company will have paid dividends above inflation over the
past ten years. Since 2015 the dividend has increased from 21.5p per share to
36.2p per share in 2025, an increase of 68.4%. During the same period
inflation has been 39.7%.
Turning to the dividend for the current year, the Board intends to raise the
first three quarterly interim dividends for 2026 to 8.50p per share, from the
8.40p per share dividends paid during each of the first three quarters of the
previous financial year. The fourth quarterly dividend will be announced in
January 2027, in accordance with usual practice.
At the time of writing, UK inflation has now fallen sharply from the 30-year
high seen in October 2022. The Board will continue to monitor the outlook of
dividend income and may continue to draw prudently on revenue reserves, if
necessary, as it has done in 2024 and 2025, to assist the Company in meeting
its dividend policy objectives. Revenue return per share for the 12 months to
31st December 2025 was 33.71p, compared with 30.15p earned in 2024 and the
Company's revenue reserves remain substantial, having been accumulated over
many years. After the payment of the fourth interim dividend for 2025, revenue
reserves will represent 19.39p per share, as at 23rd March 2026.
As I stated in the Half Year Report, your Board is very focused on returning
the Company to a fully covered dividend, over time. Income generated by the
portfolio is the key to achieving this goal. The Board welcomes the Portfolio
Managers' ongoing efforts to enhance income generation by adding more investee
companies with positive dividend growth prospects, as well as maintaining
their focus on businesses already paying high and growing dividends. This
approach, which was adopted in mid-2024 when the new portfolio management team
assumed responsibility for the portfolio, has already begun to narrow the
differential between the Company's revenue return and dividends per share and
this should further improve dividend cover over the next few years. In
addition to revenue reserves, the Company also has other distributable
reserves of £117.1 million and the Board is confident that it can continue to
fulfil the dividend policy.
Discount, Share Repurchases
During the review period, the discount at which the Company's shares traded
relative to its NAV (with debt at fair value) ranged between 3.7% and 7.1% and
averaged 5.5%. The Board believes it is in the best interest of shareholders
to use its repurchase and allotment authorities to manage short-term
imbalances between the supply and demand of the Company's shares, with the
intention of reducing the volatility of the discount or premium, in normal
market conditions. During the reporting period, the Company repurchased a
total of 1,565,648 shares, at a cost of £12.1 million. As at 31st December
2025, the Company's discount (to its cum-income, debt at fair value NAV) was
4.9%, compared to a discount of 5.6% at the end of the previous year.
Since then, the Board has continued to make targeted repurchases, buying a
further 60,054 shares, at a cost of £ 0.5 million, as at 23rd March 2026 and
the discount has slightly widened to 5.0%.Regardless of the effectiveness of
share buybacks in underpinning the share price, the Board recognises that
strong and consistent investment performance is essential to ensure the
Company's shares trade close to NAV over the long term. Good progress was made
in this respect in 2025.
Gearing/Long-Term Borrowing
The Board believes that a moderate level of gearing is an efficient way to
enhance shareholder returns over the long term and is a valuable feature of
the investment company structure. The Company's gearing policy (excluding the
effect of any futures) is to operate within a range of 5% net cash and 20%
geared in normal market conditions. The Portfolio Managers have discretion to
vary the gearing level between 5% net cash and 17.5% geared and their decision
whether and to what extent to utilise gearing is based on bottom-up stock
selection opportunities. The Company ended the review period 5.4% geared,
compared to 7.6% at 31st December 2024. Historically, gearing has averaged
6.0%.
The Company implements gearing through long term fixed rate debt and Contracts
for Difference (CFDs). It holds £30 million of 3.22% private placement notes
maturing in March 2045. The £40 million revolving loan facility with The
Royal Bank of Scotland International Limited, originally due to mature in May
2025, was temporarily reduced to £20 million for a further four months and
now has been fully repaid and not renewed in September 2025, as Contracts for
Difference are now used.
Contracts for Difference are a flexible, low-cost, capital efficient
derivative and thus offer equity exposure without owning the individual
shares. As such, Contracts for Difference provide the investor with leveraged
exposure to the underlying asset. The Board will closely monitor the use and
cost effectiveness of this form of gearing.
Board succession
Your board has continued to evolve over 2025 adding new areas of experience
and expertise and will continue to do so over 2026 as valued members retire.
Tom Smethers was appointed to the Board as a non-executive director in
February 2025. He is currently Chief Financial Officer of Carlsberg Britvic
and brings considerable experience of finance, risk and the consumer
environment. I assumed the Company's Chairmanship at the conclusion of the
Annual General Meeting (AGM) held on 1st May 2025, following the retirement of
former Chairman, David Fletcher. Concurrent with my appointment to this
position, I stepped down as Chair of the Remuneration Committee and I no
longer serve as a member of the Audit Committee, although I attend Audit
Committee meetings by invitation. Joanne Fintzen was unanimously appointed to
succeed me as Chair of the Remuneration Committee and I have been unanimously
appointed by the Board to succeed Jill May as Chair of the Nomination
Committee, with effect from the conclusion of the 2026 AGM.
Looking to the future, the Board is delighted to announce the appointment of
Graham Oldroyd as a non-executive director with effect from the conclusion of
the 2026 AGM. He will assume the roles of Senior Independent Director (SID)
and Chair of the Management Engagement Committee (MEC) following the 2026 AGM.
Jill May, the Board's SID, Chair of Nomination Committee and Chair of MEC,
will step down at the 2026 AGM. I would like to take this opportunity to thank
Jill for her significant contribution to the effective functioning of the
Board during her tenure and wish her all the best for the future. I would also
like to reiterate the Board's thanks to David Fletcher for his many years on
the Board as a non-executive director and latterly for his significant
contribution as Chairman.
Environmental, Social and Governance issues
Financially material Environmental, Social and Governance ('ESG') factors have
been integrated into the Investment Manager's investment process over recent
years and these issues are considered as part of the decision making in
whether to invest in a stock. The Board receives regular ESG updates from the
Investment Manager. See page 21 of the 2025 Annual Report for details on the
development and integration of ESG factors into the Investment Manager's
process.
Outlook
As we began 2026, the positive market developments which bolstered
UK equities over the past year suggested there were good reasons to be upbeat
about the prospects for the market and the Company, in 2026. The factors that
drove the rotation out of US equities into the UK and other markets in 2025
remained in place. Furthermore, despite the strength of the market over the
past year, UK equity valuations remained attractive, relative to both history
and to other markets. This should help sustain recent investor interest and
M&A activity in this market, as well as provide continued motivation for
companies to re-purchase their own shares, as they have done over the past
year.
My fellow Board members and I are pleased with the performance of the new
portfolio management team and the total return generated in the 18 months
since the team assumed control of the portfolio. The Board also welcomes their
efforts to refocus the portfolio more towards dividend growth opportunities
and we remain confident this approach will ensure the Company continues to
deliver attractive returns and a growing income for shareholders over the long
term.
As investors will be aware, in addition to growing concerns regarding shadow
banking, there have been significant recent developments in the Middle East
which add a further source of uncertainty for markets. Whilst at the time of
writing, there is still little clarity on the likely duration of disruption,
particularly with respect to energy supply and the eventual impact on
economies, companies and consumers, there is scope for further fall out and
significant disparity between the performance of different markets, sectors
and stocks.
Prior to this uncertainty, the UK economy looked likely to provide a more
conducive backdrop for domestic stock prices this year. There were early signs
of some improvement in consumer and business sentiment once the 2025 budget
was behind us and with inflation well below its late 2022 highs and interest
rates on a downward trajectory, household incomes, domestic demand and
corporate profit margins looked set to strengthen.
Besides a continual focus on the oversight of the portfolio management process
and performance, your board is committed to using all of the investment
company levers, including share buybacks, gearing and a smoothing of the
dividend distribution, to deliver a cost-efficient income strategy for
shareholders. This year investment performance has been strong, buybacks have
helped maintain a stable and slightly narrower share price discount to NAV,
while a switch to using Contracts for Difference rather than debt finance
should reduce the cost of gearing.
Annual General Meeting
The Company's sixty-third Annual General Meeting will be held at 60 Victoria
Embankment, London EC4Y 0JP, on Thursday 7th May 2026, at 12 noon. The
Company's Portfolio Managers, Anthony Lynch, Callum Abbot and Katen Patel,
will give a presentation to shareholders, reviewing the past year and
commenting on the outlook for the current year. The meeting will be followed
by refreshments, providing shareholders with the opportunity to meet the
Directors and the Portfolio Managers. My fellow directors and I look forward
to welcoming as many shareholders as possible to the Annual General Meeting.
Shareholders wishing to follow the Annual General Meeting proceedings without
attending in person can do so via conferencing software. Registration and
access details will be available on the Company's website:
http://www.jpmclaverhouse.co.uk (http://www.jpmclaverhouse.co.uk/) , or by
contacting the Company Secretary at jpmam.investment.trusts@jpmorgan.com.
(file://///EMEA.AD.JPMORGANCHASE.COM/AWM/IM/LDNIMGROUP16/GROUPS/GRPSHARE/SPF/WPDOCS/JPM%20CLAVERHOUSE/Co-Sec/Co-Sec%202026/Report%20&%20Accounts/Annual%20Report/Mark%20Ups/jpmam.investment.trusts@jpmorgan.com.)
As is normal practice, all voting on the resolutions will be conducted by a
poll. Shareholders viewing the meeting via conferencing software will not be
able to vote on the poll and we therefore encourage all shareholders and
particularly those who cannot physically attend, to exercise their votes in
advance of the meeting by completing and submitting their form of proxy either
by post or electronically. Detailed instructions are included in the Notes to
the Notice of Annual General Meeting on page 95 of the 2025 Annual Report.
Completion of a proxy card and its return will not preclude you from attending
the meeting and voting in person. If your shares are held through a platform,
platform providers often provide shareholders with the ability to receive
company documentation, to vote their shares and to attend general meetings, at
no cost. Please refer to your investment platform for more details or visit
the Association of Investment Companies' ('AIC') website at
http://www.theaic.co.uk/aic/shareholder-voting-consumer-platforms
(http://www.theaic.co.uk/aic/shareholder-voting-consumer-platforms) for
information on which platforms provide these services and how to utilise them.
We would like to ensure we answer all your questions fully, so if you have any
detailed or technical questions, it would be helpful if you could raise them
in advance with the Company Secretary either in writing to 60 Victoria
Embankment, London EC4Y 0JP, via email at jpmam.investment.trusts@jpmorgan.com
or via the 'Ask a Question' link on the Company's website.
Keeping in touch
During the past year, the Portfolio Managers held regular calls with
shareholders, including webinars and provided portfolio and market updates on
the Company's website. In addition, the Company now delivers email updates
with regular news and views, as well as the latest performance data. If you
have not already signed up to receive these communications and you wish to do
so, please click here or scan the QR code on page 11 of the 2025 Annual
Report.
Victoria Stewart
Chair
24(th) March 2026
INVESTMENT MANAGER'S REPORT
Market review
In 2025, international trade frictions and elevated security tensions were
central drivers for global markets. However, despite this mixed geopolitical
backdrop, 2025 proved to be a strong year for UK equities, with the FTSE
All-Share delivering an impressive +24.0% return.
Domestically, GDP growth remains challenging, with the rate of growth
decelerating sequentially in each quarter, constrained by low consumer and
business confidence as well as persistently stubborn inflation. Public policy
has yet to deliver on the government's promises to boost growth and was also
therefore a drag on the economy. This was reflected in a muted, albeit still
positive, performance from the more domestically orientated medium and smaller
sized companies in the Company's benchmark. However, the UK equity market's
high exposure to sectors such as aerospace, defence, banks and insurance
ensured the delivery of strong returns for investors, with defence companies
benefitting from the prospect of increased defence spending and financial
companies enjoying a healthy yield environment.
In addition, the UK's compelling valuation discount versus other regions
provided some support to returns at a time where investors are becoming
increasingly concerned about stretched valuations in sectors such as US
Technology as well as the broader outlook for the US economy. The FTSE
All-Share began the year on just 11.5x price/earnings versus the MSCI World on
19x. As well as attracting takeover approaches, the UK market's compelling
valuations encouraged UK listed companies to continue repurchasing their stock
via share buy backs at accretive valuations.
Performance
In the 12 months to 31st December 2025, the Company delivered a total return
on net assets (including dividends re-invested, with debt at fair value) of
+27.6%, compared to the Benchmark's return of +24.0%. The total return on
share price was +28.9%, with the discount narrowing to 4.9% (NAV with debt at
fair value).
The three best performing sectors in the FTSE All-Share during 2025 were
aerospace & defence, banks and insurance. The portfolio benefitted from
being overweight all three of these sectors over the course of the year. This
was a key driver of the trust's performance versus the benchmark, more than
offsetting the performance drag from the portfolio's overweight to more
domestically orientated medium and small sized companies, which lagged the
overall index.
In particular, relative performance over the 12-month review period benefitted
from overweight positions in banks such as NatWest and Barclays. Both these
institutions saw their share prices perform well as interest rates remained
higher for longer than the market had previously expected. In addition, a
relatively stable UK economy reduced the need to make provision for credit
risks. These overweight holdings more than offset the negative relative
contribution from our decision to be underweight Lloyds Banking Group and
Standard Chartered within the sector, which we view as less attractively
valued. The portfolio's overweight position in Telecom Plus also detracted.
This is a capital-light, multi-utility company that trades as the 'Utility
Warehouse' and has experienced intensified competition for energy customers
over the year relative to expectations. Investors were also unsettled by a
change in the timing of the company's cost recognition, which pushed the
reporting of some profits into the second-half of the year.
The portfolio's holding in Serco also contributed positively to returns, as
this outsourced services company delivered strong order intake from defence
related contracts across the UK, US and Europe, which now account for the bulk
of its order book. Relative performance also benefited from our decision not
to hold Diageo, which faced ongoing destocking and weak consumer demand in its
North American markets.
Top contributors and detractors to performance vs FTSE All-Share Index
Average Average
Top five stocks active position Attribution Bottom five stocks active position Attribution
Diageo -1.6% 0.99% Lloyds Banking -1.8% -0.74%
Natwest 2.6% 0.81% Telecom Plus 1.4% -0.58%
Barclays 1.6% 0.66% Hilton Food 0.7% -0.52%
Serco 1.5% 0.64% Standard Chartered -1.0% -0.43%
Compass -1.7% 0.53% 4imprint 1.0% -0.36%
Source: JPMAM, 12 months to 31st December 2025.
Performance attribution
Year ended 31st December 2025
% %
Contributions to total returns
Benchmark return 24.0%
Stock & sector selection 2.9%
Gearing & cash 1.9%
Investment Manager contribution 4.8%
Cost of debt -0.2%
Portfolio total return 28.6%
Management fees and other administrative expenses -0.6%
Share buyback 0.2%
Sub total -0.4%
Return on net assets with debt at par value(A) 28.2%
Change in the fair value of the long term debt(1) -0.6%
Return on net assets with debt at fair value(A) 27.6%
Source: Morningstar/J.P.Morgan. All figures are on a total return basis
Performance attribution analyses how the Company achieved its recorded
performance relative to its Benchmark.
(1) Reflects the effect of fair value of the 3.22% £30 million
private placement loan. The fair value has been calculated using discounted
cash flow techniques, using the yield from similar dated gilt plus a margin
based on the five year average for the AA Barclays Sterling Aggregate
Corporate Bond spread. Please refer to Note 18 on page 83 of the 2025 Annual
Report, for fair value details.
(A) Alternative Performance Measure ('APM').
A list of Alternative Performance Measures, with explanations and calculations
and a glossary of terms are provided on pages 99 to 102 of the 2025 Annual
Report.
Purchases
During the review period, the purchases we made were focused on businesses
where we believe the dividend is not only secure, but also likely to grow over
time. By adding more companies with good dividend growth prospects as well as
maintaining an emphasis on businesses already paying high and growing
dividends, we intend to enhance portfolio income generation over time. For
example, Softcat, the UK's leading IT value-added reseller, was a new addition
to the portfolio during the review period. Technology vendors rely on
businesses such as Softcat to extend their sales reach into the small and
medium-sized business segment allowing Softcat to deliver double digit gross
profit growth every year since its IPO in 2015, as it benefitted from market
share gains in this growing, yet highly fragmented market. Having increased
its basic dividend at a 12% annualised growth rate over the past five years
and paid a special dividend every year since its IPO, we expect this stock to
continue to deliver significant dividend growth in coming years, boosting its
dividend yield from its current level of 2.4%.
We also increased the portfolio's overweight position in NatWest, which now
represents the portfolio's largest overweight position relative to benchmark.
Notwithstanding a number of small interest cuts in 2025, this bank is a
significant beneficiary of the current higher interest rate environment since
2022 and is well-positioned to earn an attractive spread between the interest
paid on deposits and the rate received on loans. Additionally, we believe that
NatWest's track-record for generating efficiencies is likely to deliver profit
growth at a faster rate than income growth. This in turn is likely to result
in strong dividend growth, which would lift the already high dividend yield of
5.7%.
Sales
We sold out of the portfolio's holdings in two home construction companies,
Barratt Redrow and Taylor Wimpey. The recovery in sales rates has lagged our
expectations and the pressure from build cost inflation has also weighed on
earnings progression. The proceeds of these sales were redeployed into SEGRO
and LondonMetric Property within the Real Estate Investment Trust (REIT
)sector, where we see a similar level of interest rate sensitivity to
housebuilders, but with higher conviction in earnings progression, underpinned
by contractual rental uplifts and new developments and more attractive
dividend yields.
We also significantly reduced our active weights in two information services
businesses, RELX and London Stock Exchange Group, selling out of the latter
entirely. These disposals were motivated by elevated valuations and we
reallocated the capital into more attractively-rated areas of the market. Our
timing proved fortuitous, as the shares of both these businesses have
underperformed since our sales, reflecting market concerns that they could be
'AI losers'. However, we are not convinced of this argument and will continue
to monitor their performance, against the possibility that valuations drop
sufficiently to justify re-purchasing these names.
Portfolio positioning
The portfolio held 63 stocks at the end of December, towards the lower end of
the target range of 60-80 holdings. Nonetheless, we believe this level of
diversification is sufficient to allow us to take full advantage of the
breadth of our investment universe, while also reducing reliance on any one
company to generate a disproportionate portion of our income.
One of the benefits of the investment trust structure is the ability to gear
the portfolio, which has the potential to enhance returns over the medium to
longer term. We achieved our chosen level of gearing on a stock-by-stock
basis, assessing the prospects for potential investments relative to the cost
of that gearing. We believe that economic momentum is improving and with many
valuations continuing to sit near historic lows, we see plenty of
opportunities to invest in high quality, growing businesses at lower than
usual valuation multiples. We are therefore using gearing to increase our
exposure to these opportunities. The portfolio is currently 5.4% geared.
Top over-weight positions vs FTSE All-Share Index
Top five overweight positions Active
Natwest +3.0%
Barclays +2.1%
Serco +1.9%
ICG +1.8%
HSBC +1.8%
Source: JPMAM, as at 31st December 2025.
As discussed above, the portfolio remains overweight banks, with NatWest,
Barclays and HSBC all featuring among our five largest investments. We have
added to the portfolio's holdings in this sector through the year, primarily
by increasing our holding in NatWest. In addition to the still supportive rate
environment, the valuations of all these companies remain attractive, cost and
capital discipline is good and we expect a further strengthening in returns on
equity, underpinned by lending growth. Together these factors should result in
strong dividend growth from already attractive dividend yields.
We also have a significant overweight holding in Serco. This business has
undergone a material turnaround in recent years and has significantly
reorientated its business towards defence, which now accounts for around 80%
of the company's recent order intake. Despite this, the shares still trade at
a material valuation discount to other businesses with defence exposure.
Finally, we have an overweight holding in ICG, an alternative asset manager
focused on private market investments. ICG has demonstrated a very good track
record for fundraising, attracting investors to recently seeded strategies, as
well as successfully scaling up subsequent vintage tranches of
well-established strategies. With fundraising now more broadly spread across a
greater range of strategies, we are confident that this momentum can be
maintained, as evidenced by the group's continued strong performance despite
the more difficult fundraising environment seen since 2022. Furthermore, ICG's
investors commit capital on a multi-year basis and in our view, the market
currently under-appreciates the duration of associated management fees. We
also see potential for significant operating leverage, which should feed
through to attractive levels of dividend growth from an already high 4.4%
dividend yield.
Market outlook
We are positive about the outlook for the UK market and for the Company's
portfolio holdings. While the UK economy has been stuck in a 'holding pattern'
of below trend growth and sticky inflation for some time, with around 70% of
the FTSE All-Share's earnings being derived from overseas, this is potentially
more of a problem for domestic activity and UK policymakers, than it is for
the UK stock market. The past year is a case in point, when the market
performed very well, with strong earnings growth delivered by certain pockets
of the market, despite the economy's lacklustre performance.
Markets have begun 2026 on uncertain footing, with a revived geopolitical risk
premium shaping sentiment. This year has already seen regime change in
Venezuela, the country with the largest oil reserves globally and war in Iran,
which has disrupted shipping through the Strait of Hormuz, through which c.20%
of global petroleum liquids transit. Beyond geopolitics, markets have focused
on risks in private credit markets, driven by concerns over the impact that
generative and agentic AI may have on the business models of perceived 'AI
losers' such as software companies. The longer-term impacts of these events
and themes could lead to a wide range of outcomes for markets and may throw up
opportunities for stock pickers along the way.
UK equities remain attractively valued on just 13x price to earnings, making
it one of the few markets globally that does not look over-valued by historic
standards and we therefore see plenty of scope for attractive future returns,
particularly if the momentum in sectors such as financials and defence can be
sustained, or if earnings growth broadens out across the market. We are
confident that the portfolio is very well-positioned to continue to meet its
objective to deliver capital and income growth to its shareholders in coming
years.
For and on behalf of the Investment Manager
Anthony Lynch
Callum Abbot
Katen Patel
Portfolio Managers
24th March 2026
PRINCIPAL AND EMERGING RISKS
The Board, through delegation to the Audit Committee, has undertaken a robust
assessment and review of the principal risks facing the Company, together with
a review of any new and emerging risks that may have arisen during the year to
31st December 2025, including those that would threaten its business model,
future performance, solvency or liquidity.
With the assistance of the Manager, the Audit Committee has drawn up a risk
matrix, which identifies the key risks to the Company, as well as emerging
risks. The risk matrix, including emerging risks, are reviewed formally by the
Audit Committee every six months or more regularly as appropriate. During the
year under review, the Audit Committee worked extensively with the Manager to
review and update the risk matrix. At each meeting, the Board considers
emerging risks which it defines as potential trends, sudden events or changing
risks which are characterised by a high degree of uncertainty in terms of
occurrence probability and possible effects on the Company. As the impact of
emerging risks is understood, they may be entered on the Company's risk matrix
and mitigating actions considered as necessary. In assessing the risks and how
they can be mitigated, the Board has given particular attention to those risks
that might threaten the viability of the Company. The principal and emerging
risks facing the Company, how they have changed during the year and how the
Board aims to manage or mitigate these risks are set out below.
At the end of 2026 the Company will be required to adopt Provision 29 of the
Governance Code 2024 requiring the Directors to make an annual declaration
covering the effectiveness of material controls at the year-end date
(31st December). To this end, the Board and Audit Committee has begun working
with the Manager to further review and revise the risk register linking
principal risks to principal controls where relevant.
These principal risks are listed below:
Movement
Principal risk Description Mitigating Activities During the Year
Geopolitical and macro- economic U.S. trade and foreign policy under the second Trump administration adds The Investment Manager continuously monitors geopolitical developments and æ
complexity to the geopolitical landscape leading to a higher risk of market societal issues relevant to its business and the Board regularly interrogates
volatility. These trade and other tensions, particularly in the Middle East, the Investment Manager regarding its assessment of these risks and how it is The rise in geopolitical tensions contributed to some volatility and
could cause broad economic disruption. mitigating them through its investment decision making, including gearing. The uncertainty over the year.
Board notes that the Company is a closed-end vehicle and unlike open ended
funds has semi-permanent capital and does not have to sell investments at low
valuations in volatile markets due to share redemptions.
Share price discount to NAV The shares of the Company are traded freely and are therefore subject to the The Board seeks to narrow the discount by undertaking measured buybacks of the â
influences of supply and demand and investors' perception to the markets the Company's shares, taking account of market conditions and having established
Company invests in. The share price is therefore subject to fluctuations and guidelines and parameters. The Board continued to use targeted buybacks of the Company's own shares to
like all investment trusts may trade at a discount to the NAV which could lead
mitigate market imbalances and manage the discount at which the Company's
to significant buyback activity and a reduction in the size of the Company. The Company and Manager work with the Corporate Broker to understand demand shares traded.
for the Company's shares and in periods of unusual supply and demand, the
buyback policy may be used to mitigate large volume driven swings in share
price.
Cybersecurity Threat of cyber-attack, in all its guises such as hacking, malware, ransomware The Company benefits directly or indirectly from all elements of JPMorgan's â
etc. is regarded as at least as important as more traditional physical threats cyber security programme. The Directors scrutinise the Manager's internal
to business continuity and security. In addition to threatening the Company's controls to assure the Board that the Company's data is appropriately The Manager's comprehensive cybersecurity measures are currently in effect and
operations, such an attack is likely to raise reputational issues which may protected and give assurance over monitoring of outsourcers. The controls were reviewed by the Board over the year.
damage the Company's share price and reduce demand for its shares. around the physical security of JPMorgan's data centres, security of its
networks and security of its trading applications are tested by the
independent reporting auditor and reported on every six months against the
AAF 01/06 Standard.
Market factors such as interest rates, inflation and equity market performance Market factors such as interest rates, inflation and equity market performance The Board monitors the implementation and results of the investment process â
may impact the value of investments and the performance of the Company. and regularly discusses portfolio positioning with the portfolio management
team. The Board has set investment restrictions and guidelines, which are Over the year inflation and interest rates fell. Recent events in the Middle
monitored and reported on by the Investment Manager. East have introduced uncertainty around forward-looking forecasts.
The Board monitors the changing risk landscape and potential threats to the
Company with the support of regular reports and ad hoc reports as required,
the directors' own experience and external insights gained from industry and
shareholder events.
Strategy and Performance Inappropriate or poorly executed investment or business strategy, for example The Board manages these risks by setting its objectives carefully and through â
asset allocation or the level of gearing, may lead to underperformance against diversification of Investments. The Company operates various investment
the Company's benchmark index and peer companies, resulting in the Company's restrictions and guidelines designed to ensure that the mandate given to the The Company continued to pursue its investment objective in accordance with
shares trading at a widening discount. Investment Manager is properly executed and these guidelines are monitored and the agreed strategy.
reported on by the Manager.
The Board monitored the performance of the portfolio over the year under
The Board monitors the implementation and results of the investment process review, noting a stronger period of performance versus benchmark.
with the Portfolio Managers, who attend all Board meetings and reviews data
which show statistical measures of the Company's risk profile. The Board has
delegated powers to the Investment Manager to determine appropriate levels of
gearing within a strategic range but the Board monitors the use of gearing
closely, even within the delegated range.
The Board holds a separate meeting devoted to strategy each year which
includes a detailed review of the Company's mandate and the investment
environment.
Legal and Regulatory/ Corporate Governance As an investment trust, the Company's operations are subject to wide ranging The Company, through the Manager, has procedures to monitor the status of its â
regulations. The financial services sector continues to experience significant compliance with all requirements and regulations, including those relevant to
regulatory change at national and international levels and failure to act in maintaining its Investment Trust status and complying with the Board's duties The Company continued to comply with all relevant requirements and
accordance with these regulations could cause fines, censure or other losses under the Companies Act. These include receiving and reviewing information and regulations.
including taxation or reputational loss. A breach of Company Law or UK reporting from the Manager and Investment Manager relating to all aspects of
Listing Rules could result in the Company's suspension, underlining the corporate governance, the Listing Rules as applied to Investment Trust
importance of strong governance and regulatory compliance. Companies and the Companies Act. The Depositary (currently The Bank of New
York Mellon International Limited) reports regularly on third party service
providers and their compliance with expected standards of performance and
these reports are reviewed by the Audit Committee.
Climate change The risk or impact of climate change may be higher than currently estimated or The Board receives ESG reports from the Investment Manager on the portfolio â
the increase may be more significant than currently planned. This could have and how financially material ESG considerations have been integrated into
varying impacts on the business models, sustainability and viability of investment decision making. This should mitigate climate-related risk at the Whilst the Company is not a sustainable or ESG investment vehicle, review of
individual companies, whole sectors and even asset classes. stock selection and portfolio construction level, although the portfolio financially material ESG factors remains a part of the investment process.
remains exposed to wider societal and other changes which may be caused by Please see page 21 of the 2025 Annual Report for the Manager's Investment
climate change. Process.
The Board does consider the threat posed by the direct impact on climate
change on the operations of the Manager, Investment Manager and other major
service providers. As extreme weather events become more common, the
resilience, business continuity planning and the location strategies of the
Company's services providers are under greater scrutiny.
Loss of Investment Team Loss of key staff by the Investment Manager, such as the Portfolio Managers, The Board keeps the services of the Manager, Investment Manager and â
could affect the performance of the Company. third-party service providers under continual review and these are formally
reviewed by the Management Engagement Committee. The Board regularly seeks This risk remains stable. The Portfolio Managers are supported by significant
assurances from the Investment Manager that the team is suitably resourced and resource within the Investment Manager and the recent changes to the
appropriately remunerated and incentivised in its role as part of its ongoing investment team have reinforced the Company's investment capabilities.
risk management activities. The Board also considers and reviews the
Investment Manager's succession plan for the portfolio management team on an
annual basis.
Operational Disruption to, or failure of the accounting, monitoring, communications and Details of how the Board monitors the services provided by the Manager and its â
payments systems used by outsourced suppliers to the Company (including the associates and the key elements designed to provide effective internal control
Manager, Investment Manager, Depository and Custodian) could prevent accurate are included within the Risk Management and Internal Control section of the To date, the Manager's operations and controls have proven robust and the
reporting and monitoring of the Company's financial position. The risk of Corporate Governance report on page 51 of the 2025 Annual Report. The Audit Board's review process is ongoing. The Company has not been impacted by any
fraud or other control failures within the Manager or other service providers Committee receives independently audited reports all service providers' operational issues over the year.
could result in losses to the Company. internal controls, as well as regular reporting from JP Morgan's Compliance
function.
The Company's management agreement obliges the Manager to report on the
detection of fraud relating to the Company's investments and the Company is
afforded protection through its various contracts with third party service
providers, of which one of the key protections is the Depositary's
indemnification for loss or misappropriation of the Company's assets held in
custody.
EMERGING RISKS:
The Board has considered and kept under review emerging risks, including but
not limited to the impact of armed conflict and heightened geopolitical
tension in the Middle East, technology adoption risk and private credit
systemic risk. The key emerging risks identified are as follows:
Armed conflict and heightened geopolitical tension in the Middle East have
introduced elevated uncertainty for global growth, inflation and risk premia.
The region's role in energy production and transport, combined with the
potential for escalation or supply‑route disruption, creates a wide
distribution of macro-economic outcomes.
Accelerating adoption of artificial intelligence (AI), automation and digital
platforms is reshaping competitive dynamics, productivity and capital
allocation across sectors. While these technologies can expand addressable
markets and improve efficiency, they also create disruption risk, regulatory
uncertainty and execution challenges. Portfolio companies may face margin
pressure and valuation de‑rating if they fail to adapt, while early adopters
may enjoy a transitory advantage that is costly to sustain. The route to
generating revenue from these technologies, alongside the evolution of
standards and guardrails, remains uncertain, clouding earnings visibility and
increasing the risk of mis‑priced growth or stranded assets.
Private credit markets have grown rapidly in recent years, with financing
increasingly provided outside traditional banks through private funds,
business development companies, direct lenders and securitized vehicles. While
this has supported credit availability, it also shifts risk into parts of the
financial system with lighter transparency, variable liquidity management and
fewer backstops. In a stress scenario, correlated losses or funding strains
could spread across these non‑bank channels, amplifying market volatility
and impairing the real economy via tighter credit conditions.
TRANSACTIONS WITH THE MANAGER
Details of the management contract are set out in the Directors' Report on
page 40 of the 2025 Annual Report.. The management fee payable to the Manager
for the year was £1,978,000 (2024: £1,838,000) of which £nil (2024: £nil)
was outstanding at the year end.
Included in administration expenses in note 6 on page 77 of the 2025 Annual
Report are safe custody fees amounting to £8,000 (2024: £7,000) payable to
JPMorgan Chase Bank N.A. of which £1,000 (2024: £1,000) was outstanding at
the year end.
The Manager may carry out some of its dealing transactions through group
subsidiaries. These transactions are carried out at arm's length. The
commission payable to JPMorgan Securities Limited for the year was £nil
(2024: £nil) of which £nil (2024: £nil) was outstanding at the year end.
Other capital charges (handling charges) on dealing transactions amounting to
£9000 (2024: £11,000) were payable to JPMorgan Chase Bank N.A. during the
year of which £1,000 (2024: £2,000) was outstanding at the year end.
The Company also invests in the JPMorgan GBP Liquidity Fund, which is managed
by JPMorgan Asset Management (Europe) S.à r.l. At the year end this was
valued at £11.2 million (2024: £8.3 million). Interest amounting to
£343,000 (2024: £583,000) was receivable during the year, of which £nil
(2024: £nil) was outstanding at the year end.
At the year end, total cash of £324,000 (2024: £243,000) was held with
JPMorgan Chase Bank N.A. A net amount of interest of £3,000 (2024: £48,000)
was receivable by the Company during the year from JPMorgan Chase Bank N.A. of
which £nil (2024: £nil) was outstanding at the year end.
Full details of Directors' remuneration and shareholdings can be found on
pages 54 to 57 of the 2025 Annual Report and in note 6 on page 77 of the 2025
Annual Report.
STATEMENT OF DIRECTORS' RESPONSIBILITIES
The Directors are responsible for preparing the Annual Report and Financial
Statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each
financial year. Under that law the directors have prepared the financial
statements in accordance with United Kingdom Generally Accepted Accounting
Practice (United Kingdom Accounting Standards, comprising FRS 102 'The
Financial Reporting Standard applicable in the UK and Republic of Ireland' and
applicable law).
Under company law, directors must not approve the financial statements unless
they are satisfied that they give a true and fair view of the state of affairs
of the company and of the profit or loss of the company for that period. In
preparing the financial statements, the directors are required to:
• select suitable accounting policies and then apply them consistently;
• state whether applicable United Kingdom Accounting Standards,
comprising FRS 102 have been followed, subject to any material departures
disclosed and explained in the financial statements;
• make judgements and accounting estimates that are reasonable and
prudent; and
• prepare the financial statements on the going concern basis unless it
is inappropriate to presume that the company will continue in business.
The Directors are responsible for safeguarding the assets of the company and
hence for taking reasonable steps for the prevention and detection of fraud
and other irregularities.
The Directors are also responsible for keeping adequate accounting records
that are sufficient to show and explain the company's transactions and
disclose with reasonable accuracy at any time the financial position of the
company and enable them to ensure that the financial statements and the
Directors' Remuneration Report comply with the Companies Act 2006.
The Directors are responsible for the maintenance and integrity of the
company's website. Legislation in the United Kingdom governing the preparation
and dissemination of financial statements may differ from legislation in other
jurisdictions.
The Financial Statements are published on the www.jpmclaverhouse.co.uk
(http://www.jpmclaverhouse.co.uk) website, which is maintained by the
Company's Manager. The maintenance and integrity of the website maintained by
the Manager is, so far as it relates to the Company, the responsibility of the
Manager. The work carried out by the Auditor does not involve consideration of
the maintenance and integrity of this website and accordingly, the Auditor
accepts no responsibility for any changes that have occurred to the Financial
Statements since they were initially presented on the website. The financial
statements are prepared in accordance with UK legislation, which may differ
from legislation in other jurisdictions.
The Strategic Report and Directors' Report include a fair review of the
development and performance of the business and the position of the Company
together with a description of the principal risks and uncertainties that the
Company faces.
Under applicable law and regulations the Directors are also responsible for
preparing a Directors' Report and Directors' Remuneration Report that comply
with that law and those regulations.
Each of the directors, whose names and functions are listed on page 38 and 39
of the 2025 Annual Report , confirm that to the best of their knowledge:
• the Company financial statements, which have been prepared in
accordance with United Kingdom Accounting Standards, comprising FRS 102, give
a true and fair view of the assets, liabilities, financial position and return
of the Company and
• the Strategic Report and Directors' Report includes a fair review of
the development and performance of the business and the position of the
Company, together with a description of the principal risks and uncertainties
that it faces.
The Board confirms that it is satisfied that the Annual Report and Financial
Statements taken as a whole are fair, balanced and understandable and provide
the information necessary for shareholders to assess the performance, business
model and strategy of the Company.
For and on behalf of the Board
Victoria Stewart
Chair
24(th) March 2026
Statement of Comprehensive Income
Year ended Year ended
31st December 2025 31st December 2024
Revenue Capital Total Revenue Capital Total
£'000 £'000 £'000 £'000 £'000 £'000
Gains on investments held at fair value through profit or loss - 94,864 94,864 - 18,022 18,022
Losses on derivative financial instruments(1) - (640) (640) - - -
Foreign currency exchange gains/(losses) - 12 12 - (15) (15)
Income from investments 19,730 98 19,828 18,745 704 19,449
Income from derivative financial instruments(1) 571 - 571 - - -
Other income 346 - 346 631 - 631
Gross return 20,647 94,334 114,981 19,376 18,711 38,087
Management fee (693) (1,285) (1,978) (643) (1,195) (1,838)
Other administrative expenses (766) - (766) (801) - (801)
Net return before finance costs and taxation 19,188 93,049 112,237 17,932 17,516 35,448
Finance costs (520) (966) (1,486) (717) (1,331) (2,048)
Net return before taxation 18,668 92,083 110,751 17,215 16,185 33,400
Taxation (69) - (69) (7) - (7)
Net return after taxation 18,599 92,083 110,682 17,208 16,185 33,393
Return per ordinary share 33.71p 166.87p 200.58p 30.15p 28.36p 58.51p
(1) These relate to CFDs. Please see page 102 of the 2025 Annual Report for
definition.
All revenue and capital items in the above statement derive from continuing
operations. No operations were acquired or
discontinued in the year.
The 'Total' column of this statement is the profit and loss account of the
Company and the 'Revenue' and 'Capital' columns
represent supplementary information prepared under guidance issued by the
Association of Investment Companies.
'Net return after taxation' represents the return for the year and also Total
Comprehensive Income.
Statement of Changes in Equity
For the year ended 31st December
Called up Share Capital
share premium redemption Capital Revenue
capital account reserve reserves(1) reserve(1) Total
£'000 £'000 £'000 £'000 £'000 £'000
At 31st December 2023 15,037 176,867 6,680 188,588 20,625 407,797
Repurchase of ordinary shares into Treasury - - - (11,639) - (11,639)
Proceeds from share forfeiture(2) - - - 168 - 168
Net return after taxation - - - 16,185 17,208 33,393
Dividends paid in the year (note 2) - - - - (20,147) (20,147)
Forfeiture of unclaimed dividends (note 2)(2) - - - - 123 123
At 31st December 2024 15,037 176,867 6,680 193,302 17,809 409,695
Repurchase of ordinary shares into Treasury - - - (12,110) - (12,110)
Net return after taxation - - - 92,083 18,599 110,682
Dividends paid in the year (note 2) - - - - (19,836) (19,836)
At 31st December 2025 15,037 176,867 6,680 273,275 16,572 488,431
(1) These reserves form the distributable reserves of the Company and may be
used to fund distributions to investors. Refer to note 17 on page 82 of the
2025 Annual Report for further details of the distributable reserves of the
Company, which may be used to fund distributions to investors.
(2) During 2024, the Company undertook an Asset Reunification Program to
reunite inactive shareholders with their shares and unclaimed dividends.
Pursuant to the Company's Articles of Association, the Company has exercised
its right to reclaim the shares of shareholders whom the Company, through its
previous Registrar, has been unable to locate for a period of 12 years or
more. These forfeited shares were sold in the open market by the Registrar and
the proceeds, net of costs, were returned to the Company. In addition, any
unclaimed dividends older than 12 years from the date of payment of such
dividends were also forfeited and returned to the Company.
Statement of Financial Position
At 31st December At 31st December
2025 2024
£'000 £'000
Non current assets
Investments held at fair value through profit or loss 505,873 440,797
Current assets
Derivative financial instrument assets(1) 465 -
Debtors 1,122 954
Cash and cash equivalents 11,536 8,506
13,123 9,460
Current liabilities
Derivative financial instrument liabilities(1) (101) -
Creditors: amounts falling due within one year (464) (10,562)
Net current assets/(liabilities) 12,558 (1,102)
Total assets less current liabilities 518,431 439,695
Non current liabilities
Creditors: amounts falling due after more than one year (30,000) (30,000)
Net assets 488,431 409,695
Capital and reserves
Called up share capital 15,037 15,037
Share premium account 176,867 176,867
Capital redemption reserve 6,680 6,680
Capital reserves 273,275 193,302
Revenue reserve 16,572 17,809
Total shareholders' funds 488,431 409,695
Net asset value per ordinary share 895.0p 729.8p
(1 ) These relate to CFDs. Please see page
102 of the 2025 Annual Report for definition.
Statement of Cash Flows
Year ended Year ended
31st December 31st December
2025 2024
£'000 £'000
Cash flows from operating activities
Net return before finance costs and taxation 112,237 35,448
Adjustment for:
Gains on investments held at fair value through profit or loss (94,864) (18,022)
Losses on derivative financial instruments(1) 640 -
Foreign currency exchange (gains)/losses (12) 15
Dividend income (19,828) (19,449)
Income from derivative financial instruments(1) (571) -
Interest income (346) (631)
Realised gains/(losses) on foreign currency exchange transactions 12 (15)
(Increase)/decrease in other debtors (5) 5
Decrease in accrued expenses (31) (79)
Net cash outflow from operations before dividends, interest and taxation (2,768) (2,728)
Dividends received 19,588 19,519
Interest received 346 665
Overseas withholding tax recovered 8 35
Net cash inflow from operating activities 17,174 17,491
Purchases of investments (105,789) (219,594)
Sales of investments 135,576 236,225
Settlement of future contracts - (431)
Transfer of margin cash from the broker - 432
Income received from derivative financial instruments(1) 571 -
Net settlement of derivative financial instruments(1) (1,004) -
Net cash inflow from investing activities 29,354 16,632
Dividends paid (19,836) (20,147)
Refund of unclaimed dividends - 123
Repurchase of ordinary shares into Treasury (12,113) (11,880)
Proceeds from share forfeiture - 168
Repayment of bank loan (10,000) (25,000)
Drawdown of bank loan - 25,000
Interest paid on bank loans and overdrafts (1,495) (2,177)
Interest paid on derivative financial instruments(1) (54) -
Net cash outflow from financing activities (43,498) (33,913)
Increase in cash and cash equivalents 3,030 210
Cash and cash equivalents at start of year 8,506 8,296
Foreign currency exchange movements - -
Cash and cash equivalents at end of year 11,536 8,506
Cash and cash equivalents consist of:
Cash at bank 324 243
Investment in JPMorgan GBP Liquidity Fund 11,212 8,263
Total 11,536 8,506
(1) These relate to CFDs. Please see page 102 of the 2025 Annual Report for
a definition.
Notes to the Financial Statements
For the year ended 31st December 2025.
1. Significant accounting policies
The Company is a listed public limited company incorporated in England and
Wales. The registered office is detailed on page l06 of the 2025 Annual
Report.
(a) Basis of accounting
The financial statements are prepared under the historical cost convention,
modified to include fixed asset investments at fair value, in accordance with
the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice
('UK GAAP'), including FRS 102 'The Financial Reporting Standard applicable in
the UK and Republic of Ireland' and with the Statement of Recommended Practice
'Financial Statements of Investment Trust Companies and Venture Capital
Trusts' (the 'SORP') issued by the Association of Investment Companies in July
2022.
All of the Company's operations are of a continuing nature.
The financial statements have been prepared on a going concern basis. In
making their assessment, the Directors have reviewed income and expense
projections, the liquidity of the investment portfolio and considered the
impact of stressed conditions on the portfolio liquidity and income. In
addition, the Directors have also considered the measures in place with key
service providers, including the Manager, to maintain operational resilience.
The Directors consider that the Company has adequate financial resources to
enable it to continue in operational existence for at least 12 months. The
disclosures on going concern on page 48 of the Directors' Report in the 2025
Annual Report form part of these financial statements.
The policies applied in these financial statements are consistent with those
applied in the preceding year with the addition of accounting policies in
respect of Contracts for Difference (CFDs).
2. Dividends
(a) Dividends paid and declared
2025 2024
Pence £'000 Pence £'000
Dividends paid
Fourth quarterly dividend in respect of prior year 10.65 5,940 10.50 6,059
First quarterly dividend 8.40 4,641 8.25 4,721
Second quarterly dividend 8.40 4,641 8.25 4,704
Third quarterly dividend 8.40 4,614 8.25 4,663
Total dividends paid in the year 35.85 19,836 35.25 20,147
Forfeiture of unclaimed dividends over 12 years old(1) n/a (123)
Net dividends paid 35.85 19,836 35.25 20,024
Dividends declared
Fourth quarterly dividend declared 11.00 6,003 10.65 5,949
(1) During 2024, the Company undertook an Asset Reunification Program to
reunite inactive shareholders with their shares and unclaimed dividends.
Pursuant to the Company's Articles of Association, the Company has exercised
its right to reclaim the shares of shareholders whom the Company, through its
previous Registrar, has been unable to locate for a period of 12 years or
more. These forfeited shares were sold in the open market by the Registrar and
the proceeds, net of costs, were returned to the Company. In addition, any
unclaimed dividends older than 12 years from the date of payment of such
dividends were also forfeited and returned to the Company.
All dividends paid and declared in the period have been funded from the
Revenue Reserve.
The fourth quarterly dividend proposed in respect of the year ended 31st
December 2024 amounted to £5,949,000. However, the amount paid amounted to
£5,940,000 due to ordinary shares bought back after the balance sheet date
but prior to the record date.
A fourth quarterly dividend of 11.00p has been declared and was paid on 2nd
March 2026 for the financial year ended 31st December 2025.
In accordance with the accounting policy of the Company, this dividend will be
reflected in the financial statements for the year ending 31st December 2026.
(b) Dividends for the purposes of Section 1158 of the Corporation Tax Act
2010 ('Section 1158')
The requirements of Section 1158 are considered on the basis of dividends
declared in respect of the financial year, shown below.
The revenue available for distribution by way of dividend for the year is
£18,599,000 (2024: £17,208,000). Brought forward revenue reserves amounting
to £17,809,000 (2024: £20,625,000) have been utilised in order to finance
the dividend in respect of the year.
2025 2024
Pence £'000 Pence £'000
First quarterly dividend paid 8.40 4,641 8.25 4,721
Second quarterly dividend paid 8.40 4,641 8.25 4,704
Third quarterly dividend paid 8.40 4,614 8.25 4,663
Fourth quarterly dividend paid 11.00 6,003 10.65 5,949
Total dividends for Section 1158 purposes 36.20 19,899 35.40 20,037
The revenue reserve after payment of the fourth dividend will amount to
£10,569,000 (2024: £11,860,000).
3. Return per ordinary share
2025 2024
£'000 £'000
Revenue return 18,599 17,208
Capital return 92,083 16,185
Total return 110,682 33,393
Weighted average number of ordinary shares in issue during the year 55,181,670 57,065,999
Revenue return per ordinary share 33.71p 30.15p
Capital return per ordinary share 166.87p 28.36p
Total return per ordinary share 200.58p 58.51p
The total return per ordinary share represents both basic and diluted return
per share as the Company has no dilutive shares.
4. Net asset value per ordinary share
The net asset value per ordinary share and the net asset value attributable to
the ordinary shares at the year end follow. These were calculated using
54,570,718 (2024: 56,136,366) ordinary shares in issue at the year end
(excluding Treasury shares).
2025 2024
Net asset value Net asset value
attributable attributable
£'000 pence £'000 pence
Net asset value - debt at par value 488,431 895.0 409,695 729.8
£30 million 3.22% private placement loan March 2045:
Add: amortised cost 30,000 55.0 30,000 53.4
Less: fair value (21,273) (39.0) (20,906) (37.2)
Net asset value - debt at fair value 497,158 911.0 418,789 746.0
JPMORGAN FUNDS LIMITED
24(th) March 2026
For further information, please contact:
Anmol Dhillon
For and on behalf of
JPMorgan Funds Limited
Telephone: 0800 20 40 20 or or +44 1268 44 44 70
Neither the contents of the Company's website nor the contents of any website
accessible from hyperlinks on the Company's website (or any other website) is
incorporated into, or forms part of, this announcement.
ENDS
A copy of the the 2025 Annual Report will be submitted to the National Storage
Mechanism and will shortly be available for inspection at
https://data.fca.org.uk/#/nsm/nationalstoragemechanism
(https://data.fca.org.uk/#/nsm/nationalstoragemechanism)
The 2025 Annual Report will also shortly be available on the Company's website
at www.jpmclaverhouse.co.uk (http://www.jpmclaverhouse.co.uk/) where up to
date information on the Company, including daily NAV and share prices,
factsheets and portfolio information can also be found.
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