JPMorgan Global Growth & Income - JPM Elect merger strengthens investment case

JPMorgan Global Growth & Income (JGGI) yesterday announced that it has signed heads of terms with the board of JPMorgan Elect (JPE) in respect of a proposed merger with JPE, which will see assets transferred to JGGI. This merger follows JGGI’s well-received combination with Scottish Investment Trust, which was finalised in August this year. It will further increase JGGI’s assets under management by over £330m, to £1.64bn, making it one of the UK’s largest investment trusts and a leading investment vehicle for global equity, which also offers a relatively attractive dividend (currently 3.9%). Subject to the approval of the shareholders of both JGGI and JPE, and regulatory and tax clearances, it is expected the merger will be completed by the end of the calendar year.