LONDON - JPMorgan Investment Trusts has announced the indicative gearing ratios for a range of its investment trust companies as of December 20, 2024. The update, which reflects the company's financial leverage, shows varying levels of gearing across its portfolio of trusts.
The JPMorgan American Investment Trust PLC reported a gearing ratio of 2.7%, while the JPMorgan Asia Growth & Income PLC maintained a gearing ratio of 0.0%, indicating no borrowing. Meanwhile, the JPMorgan China Growth & Income PLC showed a higher gearing ratio of 4.4%.
Other trusts with notable gearing ratios include the JPMorgan Claverhouse Investment Trust PLC at 7.6%, JPMorgan European Growth & Income PLC at 4.6%, and JPMorgan Emerging Markets Investment Trust PLC, which interestingly reported a negative gearing ratio of -0.2%.
The JPMorgan European Discovery (NASDAQ:WBD) Trust PLC disclosed a gearing ratio of 6.1%, and the JPMorgan Global Emerging Markets Income Trust PLC had a gearing ratio of 6.9%. In contrast, the JPMorgan Global Growth & Income PLC reported a slightly negative gearing ratio of -0.1%.
The JPMorgan Indian Investment Trust PLC also reported a negative gearing ratio of -0.8%. The highest gearing ratio was reported by The Mercantile Investment Trust (LON:MRCM) PLC at 15.5%, followed by the JPMorgan Japanese Investment Trust PLC at 14.3%.
The JPMorgan UK Small Cap Growth & Income PLC and JPMorgan US Smaller Companies Investment Trust PLC both reported gearing ratios of 9.1% and 7.6%, respectively.
Gearing ratios are a measure of financial leverage, indicating the level to which a company's operations are funded by creditor's funds versus shareholder's funds. High gearing ratios can suggest a company is aggressively financing growth with debt, which can lead to higher earnings volatility.
The reported gearing ratios are indicative and reflect the company's financial position on the specified date. This announcement is based on a press release statement and provides investors with a snapshot of the company's leverage as part of its regular financial disclosures.
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