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Associated equity: JPMorgan European Discovery Trust
JPMorgan European Discovery Trust (JEDT) aims to provide capital growth from a diversified portfolio of smaller European companies (excluding the UK).
Read why JEDT is buying into high-quality smaller companies here.
JPMorgan European Discovery Trust — 2 videos in collection
Edison recently published a note on JPMorgan European Discovery Trust.
This trust invests in European small-cap companies, excluding the UK.
European small caps have outperformed most other markets over the long term, although they underperformed large caps in 2022 and 2023, as the sector was confronted by a number of challenges.
Against this unfavourable backdrop, JP Morgan European Discovery Trust underperformed due to asset allocation decisions.
Following a strategic review, the trust’s board appointed three new managers, with effect from 1st March 2024.
Since then, the trust’s relative performance has improved, and it is outpacing its peers.
The new team is very excited by the outlook for the sector and the trust.
Several previous headwinds are now supporting European small caps, and history suggests that current low valuations are due for a substantial re-rating.
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