What is the goal of the Fund?
The Fund will seek long-term capital growth.
Fees and Expenses of the Fund
The following table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.
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ANNUAL FUND OPERATING EXPENSES
(Expenses that you pay each year as a percentage of the value
of your investment)
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Class R5
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Management Fees
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0.90
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%
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Distribution (Rule
12b-1)
Fees
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NONE
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Other Expenses
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0.31
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Shareholder Service Fees
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0.05
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Remainder of Other Expenses
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0.26
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Total Annual Fund Operating Expenses
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1.21
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Fee Waivers and Expense
Reimbursements
1
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(0.26
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)
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Total Annual Fund Operating Expenses
After Fee Waivers and Expense
Reimbursements
1
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0.95
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1
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The Funds adviser, administrator and distributor (the Service Providers) have contractually agreed to waive fees and/or reimburse expenses to the extent Total Annual
Fund Operating Expenses of Class R5 Shares (excluding acquired fund fees and expenses, dividend expenses related to short sales, interest, taxes, expenses related to litigation and potential litigation, extraordinary expenses and expenses related to
the Board of Trustees deferred compensation plan) exceed 0.95% of their average daily net assets. This contract cannot be terminated prior to 3/1/15, at which time the Service Providers will determine whether or not to renew or revise it.
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Example
This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods
indicated. The Example also assumes that your investment has a 5% return each year and that the Funds operating expenses are equal to the total annual fund operating expenses after fee waivers and expense reimbursements shown in the fee table
through 2/28/15 and total annual fund operating expenses thereafter. Your actual costs may be higher or lower.
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WHETHER OR NOT YOU SELL YOUR SHARES, YOUR
COST WOULD BE:
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1 Year
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3 Years
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5 Years
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10 Years
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CLASS R5 SHARES ($)
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97
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358
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640
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1,443
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Portfolio Turnover
The Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and
may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Funds performance. During the Funds most recent fiscal year,
the Funds portfolio turnover rate was 41% of the average value of its portfolio.
1
What are the Funds main investment strategies?
Under normal market conditions, the Fund will invest at least 80% of the value of its Assets in equity securities of real estate investment trusts (REITs),
including REITs with relatively small market capitalizations, and other real estate companies. Assets means net assets, plus the amount of borrowings for investment purposes. The Fund will invest primarily in foreign companies of various
sizes, including foreign subsidiaries of U.S. companies. The Funds assets may be invested in issuers in emerging markets.
A real estate
company is a company that derives at least 50% of its revenues from the ownership, construction, financing, management or sale of commercial, industrial, or residential real estate (or that has at least 50% of its assets invested in such real
estate). Real estate companies include REITs. A REIT is a pooled investment vehicle that generally invests in income-producing real estate or real estate-related loans or interests. REITs are classified as equity REITs, mortgage REITs, or hybrid
REITs. Equity REITs, which invest the majority of their assets directly in real property, derive their income primarily from rents. Equity REITs can also realize capital gains by selling properties that have appreciated in value. Mortgage REITs,
which invest the majority of their assets in real estate mortgages, derive their income primarily from interest payments. Hybrid REITs combine the characteristics of both equity and mortgage REITs. The Fund does not invest in real estate directly.
The Fund concentrates its investments in the real estate group of industries. This means that, under normal circumstances, the Fund will invest
at least 25% of its assets in the real estate group of industries.
Equity securities in which the Fund invests are common stocks, preferred
stocks, convertible securities, depositary receipts and rights and warrants to buy common stocks.
The Fund may invest in securities denominated
in U.S. dollars, major reserve currencies and currencies of other countries in which it can invest. No more than 20% of the Funds assets will be invested in debt securities denominated in a currency other than the U.S. dollar or issued by a
foreign government or international organization, such as the World Bank. The Fund may from time to time hedge a portion of its foreign currency exposure into the U.S. dollar.
The Fund may use currency forwards to manage currency exposure of its foreign investments relative to its benchmark.
Investment Process: The Funds adviser, JPMorgan Investment Management Inc. (JPMIM or the adviser), manages the Fund utilizing a disciplined investment process that focuses on
superior stock selection rather than sector or theme bets. JPMIMs portfolio management team continuously screens the target universe of investments, selecting companies that exhibit
superior financial strength, operating returns and attractive growth prospects in JPMIMs opinion.
The Funds adviser takes an
in-depth
look at each companys ability to generate earnings over a long-term business cycle, rather than focusing solely on near-term expectations. These research efforts allow the portfolio management team to
determine the companys normalized earnings and growth potential, from which they evaluate whether the companys current price fully reflects its long-term value.
The Funds adviser will seek to select securities of issuers from countries other than the United States. The adviser may change its allocation among countries at any time. The Fund will sell securities
if the adviser believes the issuer of such securities no longer meets the criteria above, or if the adviser believes that more attractive opportunities are available.
The Fund is non-diversified.
The Funds Main Investment Risks
The Fund is subject to management risk and may not achieve its objective if the advisers expectations regarding particular securities or markets are
not met.
An investment in this Fund or any other fund may not provide a complete investment program. The suitability
of an investment in the Fund should be considered based on the investment objective, strategies and risks described in this prospectus, considered in light of all of the other investments in your portfolio, as well as your risk tolerance, financial
goals and time horizons. You may want to consult with a financial advisor to determine if this Fund is suitable for you.
Equity Market
Risk.
The price of equity securities may rise or fall because of changes in the broad market or changes in a companys financial condition, sometimes rapidly or unpredictably. These price movements may result from factors affecting
individual companies, sectors or industries selected for the Funds portfolio or the securities market as a whole, such as changes in economic or political conditions. When the value of the Funds securities goes down, the value of your
investment in the Fund decreases in value.
General Market Risk
. Economies and financial markets throughout the world are becoming
increasingly interconnected, which increases the likelihood that events or conditions in one country or region will adversely impact markets or issuers in other countries or regions.
2
Real Estate Securities Risk.
The Funds investments in real estate securities, including REITs,
are subject to the same risks as direct investments in real estate and mortgages, and their value will depend on the value of the underlying real estate interests. These risks include default, prepayments, changes in value resulting from changes in
interest rates and demand for real and rental property, and the management skill and credit-worthiness of REIT issuers. The Fund will indirectly bear its proportionate share of expenses, including management fees, paid by each REIT in which it
invests in addition to the expenses of the Fund.
Industry Focus Risk.
The Fund concentrates its investments in the real estate group of
industries. This concentration increases the risk of loss to the Fund by increasing its exposure to economic, business, political or regulatory developments that may be adverse to the real estate group of industries.
Foreign Securities and Emerging Market Risk.
Investments in foreign issuers and foreign securities (including depositary receipts) are subject to
additional risks, including political and economic risks, civil conflicts and war, greater volatility, expropriation and nationalization risks, currency fluctuations, higher transaction costs, delayed settlement, possible foreign controls on
investment, and less stringent investor protection and disclosure standards of foreign markets. In certain markets where securities and other instruments are not traded delivery versus payment, the Fund may not receive timely
payment for securities or other instruments it has delivered and may be subject to increased risk that the counterparty will fail to make payments when due or default completely.
Events and evolving conditions in certain economies or markets
may alter the risks associated with investments tied to countries or regions that historically were perceived as comparatively stable becoming riskier and more volatile. These risks are magnified in countries in emerging markets.
Smaller Cap Company Risk.
Investments in securities of smaller companies may be riskier, more volatile and vulnerable to economic, market
and industry changes than securities of larger, more established companies. As a result, share price changes may be more sudden or erratic than the prices of other equity securities, especially over the short term.
Derivatives Risk.
Derivatives, including foreign currency exchange contracts, may be riskier than other types of investments because they may be more
sensitive to changes in economic or market conditions than other types of investments and could result in losses that significantly exceed the Funds original investment. Many derivatives create leverage thereby causing the Fund to be more
volatile than it would be if it had
not used derivatives. Derivatives also expose the Fund to counterparty risk (the risk that the derivative counterparty will not fulfill its contractual obligations), including the credit risk of
the derivative counterparty. Certain derivatives are synthetic instruments that attempt to replicate the performance of certain reference assets. With regard to such derivatives, the Fund does not have a claim on the reference assets and is subject
to enhanced counterparty risk.
Non-Diversified
Fund Risk.
Since the Fund is
non-diversified,
it may invest a greater percentage of its assets in a particular issuer or group of issuers than a diversified fund would. This increased investment in fewer issuers may result in the Funds
shares being more sensitive to economic results among those issuing the securities.
Redemption Risk.
The Fund could experience a loss when
selling securities to meet redemption requests by shareholders. The risk of loss increases if the redemption requests are unusually large or frequent or occur in times of overall market turmoil or declining prices.
Investments in the Fund are not deposits or obligations of, or guaranteed or endorsed by, any bank and are
not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency.
You could lose money investing in the Fund.
The Funds Past Performance
This section
provides some indication of the risks of investing in the Fund. The bar chart shows how performance of the Funds Class R5 Shares has varied from year to year over the past seven calendar years. The table shows the average annual total returns
over the past one year, five years and the life of the Fund. The table compares that performance to the Morgan Stanley Capital International (MSCI) EAFE (Europe, Australia, Far East) Index (net of foreign withholding taxes), the FTSE EPRA/NAREIT
Developed ex US Net of Tax US Tax Stance (net of foreign withholding taxes) and the Lipper International Real Estate Funds Average, an average based on the total returns of all funds within the Funds designated category as determined by
Lipper. Unlike the other indexes, the Lipper average includes the expenses of the mutual funds included in the average. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future.
Updated
performance information is available by visiting www.jpmorganfunds.com or by calling
1-800-480-4111.
3
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Best Quarter
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2nd quarter, 2009
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31.14%
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Worst Quarter
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4th quarter, 2008
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25.98%
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AVERAGE ANNUAL TOTAL RETURNS
(For periods ended December 31, 2013)
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Past
1 Year
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Past
5 Years
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Life of
Fund
(since
11/30/06)
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CLASS R5 SHARES
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Return Before Taxes
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2.60
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%
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12.96
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%
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(0.19
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)%
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Return After Taxes on Distributions
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1.51
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10.99
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(1.69
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Return After Taxes on Distributions
and Sale of Fund Shares
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1.78
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9.79
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(0.52
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MSCI EAFE Index
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(Net of Foreign Withholding Taxes) (Reflects No Deduction for Fees, Expenses or Taxes, Except Foreign Withholding
Taxes)
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22.78
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12.44
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2.20
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FTSE EPRA/NAREIT DEVELOPED EX US NET OF TAX US TAX STANCE
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(Net of Foreign Withholding Taxes) (Reflects No Deduction for Fees, Expenses or Taxes, Except Foreign Withholding
Taxes)
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5.95
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15.73
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0.71
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LIPPER INTERNATIONAL REAL ESTATE FUNDS AVERAGE
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(Reflects No Deduction for Taxes)
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2.65
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13.77
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(0.79
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After-tax
returns are calculated using the historical highest individual federal
marginal income tax rates and do not reflect the impact of state and local taxes. Actual
after-tax
returns depend on the investors tax situation and may differ from
those shown, and the
after-tax
returns shown are not relevant to investors who hold their shares through
tax-deferred
arrangements such as 401(k) plans or individual retirement accounts.
Management
J.P. Morgan Investment Management Inc.
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Portfolio
Manager
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Managed
Fund
Since
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Primary Title with
Investment Adviser
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Kay Herr
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2006
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Managing Director
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Jason Ko
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2011
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Executive Director
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Purchase and Sale of Fund Shares
There are no minimum or maximum purchase requirements with respect to Class R5 Shares.
If you are
investing through a retirement plan, please follow instructions provided by your plan to invest.
In general, you may purchase or redeem shares on
any business day:
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Through your Financial Intermediary or the eligible retirement plan or college savings plan through which you invest in the Fund
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By writing to J.P. Morgan Funds Services, P.O. Box 8528, Boston, MA 02266-8528
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After you open an account, by calling J.P. Morgan Funds Services at
1-800-480-4111
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Tax Information
The Fund intends to make distributions that may be taxed as ordinary income or capital gains, except when your investment is in a 401(k) plan or other
tax-advantaged
investment plan, in which case you may be subject to federal income tax upon withdrawal from the tax-advantaged investment plan.
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase shares of the Fund
through a broker-dealer or other financial intermediary (such as a bank), the Fund and its related companies may pay the financial intermediary for the sale of Fund shares and related services. These payments may create a conflict of interest by
influencing the broker-dealer or financial intermediary and your salesperson to recommend the Fund over another investment. Ask your salesperson or visit your financial intermediarys website for more information.
SPRO-INTR-R5-214
4
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