TIDMJARA TIDMJARU TIDMJARE
RNS Number : 1038T
JPMorgan Global Core Real Assets Ld
23 March 2021
LONDON STOCK EXCHANGE ANNOUNCEMENT
JPMORGAN GLOBAL CORE REAL ASSETS LIMITED
QUARTERLY NET ASSET VALUE AND DISCLOSURE UPDATE
Legal Entity Identifier: 549300D8JHZTH6GI8F97
JPMorgan Global Core Real Assets Limited ("JARA" or "the
Company") announces an unaudited Net Asset Value ("NAV") per share
as at 28th February 2021 of 87.96 pence. During the quarter to 28th
February 2021 the Company paid a dividend of 1 penny per share on
25th February 2021 to shareholders on the register as at the close
of business on 29th January 2021, bringing the total return for the
quarter to -2.64%. Due to the timing of NAV releases from the
underlying strategies, JARA's Transportation and Asia-Pacific Real
Estate allocations are still held at cost.
Across both public and private allocations, and measured in
local currency, JARA's real estate and infrastructure allocations
rose 2.1% and 1.5%, respectively (1) . The 4.6% depreciation of the
US dollar versus sterling over the quarter delivered a material
drag to performance. The Manager however notes the reversal of some
of this weakness post the quarter end.
(1) Latest performance statistics for the Infrastructure and
Transport private strategy allocations are as at 31st December
2020.
Disclosure Update
Now JARA is near fully invested across its major strategies of
Infrastructure, Global Real Estate and Transportation, the Manager
is pleased to provide the following portfolio disclosure which it
intends to continue to develop:
1. Occupancy and Asset Productivity
As at the 31st December 2020, occupancy of leased assets was
97%, of which 96% paid income as expected in Q4 of 2020. These
takings are not dissimilar to historical averages and show the
benefit of a focus on high quality assets and counterparties,
broadly diversified across asset, sector, geography and regulatory
regimes.
Across the portfolio there is currently an exposure of under 5%
to development assets, primarily focused within the real estate
allocation where it is deemed there is a benefit to targeting newer
industrial/logistics assets in prime locations. We feel this is an
example of how JARA's underlying strategy teams are actively
managing their portfolios to capitalise on local opportunities.
2. Lease/Contract Duration
Current average lease duration was 4.9 years with just 3.2% of
JARA's portfolio leases due to expire in 2021. We break out the
lease/contract profile further below:
Lease
Year Expiry
2021 3.2%
2022 6.5%
2023 6.9%
2024 8.5%
------ --------
3. Leverage
The team also note that, despite the volatility of 2020,
leverage remains moderate with JARA's portfolio weighted average
loan to value being 33.8%. The blended LTV on the property
allocation sits at 28.9% and the Infrastructure and Transport
segment is at 55.6%. The underlying strategies generally take a
conservative view on overall leverage use and this approach has
benefitted them over the past year of COVID related volatility.
Where reported, the blended average cost of debt across the
portfolio is 3.3%, with 82% being fixed and 18% floating and a
weighted average maturity of 4.8 years.
Maturity
year % Maturing
2021 8.7%
2022 11.4%
2023 12.6%
2024 9.0%
2025 + 41.0%
---------- -----------
4. Investment Progress
The Company is currently 90% invested. This represents full
investment of IPO proceeds as well as significant investment of any
capital raised since IPO.
5. Ownership
Another strength of the JPM Alternatives platform is, due to its
scale, being able to gain access to large assets with control
positions. Below we break out JARA's look through exposure. The
vast majority of the asset base has majority or control positions
and just 1.4% of the portfolio is minority owned.
Ownership
Wholly Owned 63.8%
Majority
Owned 10.7%
Join Venture 24.2%
Minority
Owned 1.4%
-------------- ------
6. Portfolio Diversity
The portfolio as at the latest reporting dates of each of the
underlying strategies has 262 investments and, at a more granular
individual asset level, there is a look through exposure to 886
individual assets.
The Company aims to provide holders of the Ordinary Shares with
a stable income and constant currency capital appreciation through
exposure to a globally diversified portfolio of Core Real Assets in
accordance with the Company's investment policy. The Company is
seeking exposure to Core Real Assets through various real asset
strategies, namely: Global Infrastructure, Global Real Estate,
Global Transport and Global Liquid Real Assets. J.P. Morgan's
Alternative Solutions Group has the primary responsibility for
managing the Company's portfolio. JARA remains invested in line
with the original allocations as outlined in the 2019 IPO
Prospectus.
7. Currency
The main currency exposures of the portfolio (including
liquidity funds) have diversified considerably since the last
quarter end due to the drawdown into the other private strategies
and they are as follows:
Currency % of NAV
USD 66.8%
---------
EUR 8.6%
---------
AUD 6.6%
---------
JPY 5.6%
---------
GBP 3.5%
---------
RMB 2.9%
---------
CAD 2.0%
---------
NZD 1.3%
---------
SGD 0.8%
---------
HKD 0.6%
---------
8. Dividend Yield
The most recent dividend of 1 penny per share paid to investors
on 2 5th February 2021, brings the forward yield on a constant
basis to 4.0 pence per share. As the portfolio approaches full
investment, the Manager expects the level of income to increase
further and the Board will assess the dividend level, which in the
absence of unforeseen circumstances, it expects to be within the
target range of 4%-6% yield on issue price as set out in the
Company's prospectus.
9. Issuance
During the period the Company issued no new shares and there are
currently 208,807,952 shares in issue.
23rd March 2021
Alison Vincent
JPMorgan Funds Limited - Company Secretary
Telephone 0207 742 4000
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
NAVKLLFLFXLLBBD
(END) Dow Jones Newswires
March 23, 2021 03:00 ET (07:00 GMT)
Jpmorgan Global Core Rea... (LSE:JARU)
Historical Stock Chart
From Mar 2024 to Apr 2024
Jpmorgan Global Core Rea... (LSE:JARU)
Historical Stock Chart
From Apr 2023 to Apr 2024
