Annual Financial Report

RNS Number : 5900J

JPMorgan China Growth & Income PLC

13 December 2022

 

LONDON STOCK EXCHANGE ANNOUNCEMENT

JPMORGAN CHINA GROWTH & INCOME PLC

FINAL RESULTS FOR THE YEAR ENDED 30TH SEPTEMBER 2022

Legal Entity Identifier: 549300S8M91P5FYONY25

Information disclosed in accordance with DTR 4.2.2

The Directors announce the Company's results for the year ended 30th September 2022.

CHAIRMAN'S STATEMENT

Our Company has navigated several periods of extreme volatility during the 28 years since its launch. Unfortunately, the year ended 30th September 2022 has proved to be one of the most challenging of these periods, in terms of the Chinese economy, its stock markets and our Company. Market sentiment had already been shaken by concerns about China's slowing economic growth, its commitment to its 'zero-COVID' policy and heightened tensions between China and the US. It deteriorated further, amidst news of draconian localised COVID lockdowns and China's interventionist policies. At the same time, sentiment was buffeted by broader concerns about global challenges in the aftermath of the COVID pandemic and the Russian invasion of Ukraine, particularly in terms of inflation, interest rates, and global supply chains, as well as more local concerns about China's relationship with Taiwan. Against this backdrop, growth stocks, which dominate our portfolio, fell sharply out of favour.

Faced with these challenges, the Company's total return on net assets fell -36.7% over the year, underperforming the MSCI China Index, which declined 22.0% The Company delivered a return to Ordinary shareholders of -38.5%, reflecting a widening in the discount at which the shares traded over the 12 month period. While this short-term performance is disappointing, we are encouraged that over the longer term, our Company has made positive absolute returns, comfortably outperforming the benchmark over three, five and ten years. Our Company generated an annualised return of 10.7% in terms of net asset value over the last ten years. UK based shareholders may be interested to note that, over the same period, the FTSE All-Share Index generated an annualised return of 6.0%.

Full details of investment performance, changes to the portfolio and the outlook can be found in the Investment Managers' Report in the Annual Report.

The Board was unable to visit Asia this year because of COVID regulations, so once again we held a three day virtual China visit. We had detailed discussions with economists and political commentators, and with JP Morgan's analysts in Shanghai, Hong Kong and Taiwan covering key sectors of our portfolio. The Board expects to visit Asia in May 2023.

Environment, Social and Governance ('ESG') considerations

The Manager believes that sustainable companies are more attractive investments, able to deliver superior returns over time, so the consideration of ESG factors has long been a critical part of the investment process. The Investment Managers' Report in the Annual Report describes the developments in the ESG process that have taken place during the year together with examples of how these are implemented in practice. There is also a separate ESG section in the Annual Report which explains JP Morgan's overall approach to ESG. We provide a standalone, comprehensive report covering ESG metrics in the Documents section on our website.

Dividend

In line with the Company's dividend policy, for the year ended 30th September 2022, four quarterly dividends of 5.70 pence were paid to shareholders. For the year to 30th September 2023, in the absence of unforeseen circumstances, a quarterly dividend of 3.42 pence per share will be paid. This represents an annual dividend of 4% of the Company's NAV as at 30th September 2022.

Gearing

In July 2021, the Company extended its £50 million loan facility (with an option to increase to £60 million) with Scotiabank for a further two years. In November 2021 the Board decided to exercise the accordion facility, thereby increasing the loan facility to £60 million. During the financial year the Company had to repay some of the commitment to avoid breach of loan covenants created by the decline in net assets, amidst periods of extreme market volatility.

At the year-end the Company was 17.2% geared, having averaged approximately 15.6% throughout the year and, at the time of writing, was 14.0%. The Investment Managers have the flexibility to manage the gearing facility within a range set by the Board of 10% net cash to 20% geared, subject to daily market movements.

Share Issues and Repurchases

At last year's Annual General Meeting ('AGM'), shareholders granted the Directors authority to allot new shares and to repurchase the Company's shares for cancellation or to be held in Treasury. During the year, the Company did not repurchase or allot any shares. As in previous years, the Board's objective is to use share repurchase and share issuance authorities to help reduce the volatility in discounts and premiums by managing imbalances between supply and demand. We are therefore seeking approval from shareholders to renew the share issuance and repurchase authorities at the AGM.

The Board

Following the retirement of John Misselbrook after the AGM in January 2022, the size of the Board returned to five Directors, who offer a diverse range of skills, experience, gender and ethnicity. In July 2022, the Board, through its Nomination Committee, carried out a comprehensive evaluation of the Board, its Committees, the individual Directors and the Chairman. Topics evaluated included the size and composition of the Board, Board information and processes, shareholder engagement, training and accountability. The evaluation confirmed the efficacy of the Board.

In accordance with good corporate governance, all Directors will stand for reappointment at the forthcoming AGM.

Review of services provided by the Manager

During the year, the Board, through its Management Engagement Committee, carried out a thorough review of the investment management, secretarial and marketing services provided to the Company by the Manager, as well as the Depositary and Registration services provided to the Company by the outsourced service providers. Following this review, the Board has concluded that the continued appointment of the Manager and the outsourced service providers on the terms agreed is in the interests of the shareholders as a whole.

The Company's ongoing charges for the financial year, as a percentage of the average of the daily net assets during the year, were 1.09% (2021: 0.99%). This small increase reflected the decline in net assets during the period, combined with the relatively high proportion of fixed costs.

Shareholder Engagement

Over the last five years, our Company's shareholder base has changed significantly, with retail investors now representing 84.0% of our register. The Board understands that retail investors hold their shares in different ways, direct, through wealth managers and on investment platforms and not all of these make it easy to participate through voting at the Annual General Meeting. We are actively trying to find ways to improve this. I would urge you all to ensure your voice is heard by ensuring your holding is voted at the AGM.

Continuation of the Company

In accordance with the Company's Articles of Association, an ordinary resolution will be put to shareholders at the forthcoming AGM that the Company continues in existence as an investment trust for a further five-year period.

While all investment styles will deliver returns that vary over time, the Board believes that the Manager's approach remains appropriate for the Company and that JPMorgan Asset Management has the appropriate resources to continue to manage the Company successfully. Over the last five years, the Company's total return on net assets has increased +25.0%, significantly outperforming its benchmark, the MSCI China Index, which declined -9.7% during the same period. While short-term challenges remain, the Board believes that continued investment in China offers attractive long-term growth opportunities. The Investment Managers continue to find attractively priced, quality companies that offer long-term growth, consistent with the Company's investment strategy.

Accordingly, the Board believes that the continuation of the Company is in the best interests of all shareholders and strongly recommends that shareholders vote in favour of the resolution at the AGM on 6th February 2023 as the Directors intend to do so in respect of their own holdings. Given the importance of this resolution, shareholders are encouraged to vote, either in person at the AGM, or by completing a Form of Proxy/Voting Instruction Form.

Following the continuation vote at the AGM in January 2018, to confirm the Board's continuing commitment to its objective of long-term capital growth by investment in 'Greater China' companies, the Board agreed an obligation to put forward proposals for a tender offer for up to 15% of the Company's issued share capital at a price equal to the net asset value ('NAV') less costs, if, over the five years (from 1st October 2017) the Company's NAV underperforms its benchmark. As the Company's NAV outperformed its benchmark significantly during this period, this tender offer has not been triggered.

Annual General Meeting

We are delighted that this year we are able to invite shareholders to join us in person for the Company's twenty-eighth AGM to be held on Monday, 6th February 2023 at 11.30 a.m. at 60 Victoria Embankment, London EC4Y 0JP. The Board hopes to welcome as many shareholders as possible.

As with previous years, you will have the opportunity to hear from the Investment Managers. Their presentation will be followed by a question and answer session. There will also be refreshments afterwards, when shareholders will be able to meet members of the Board. Shareholders wishing to follow the AGM proceedings but choosing not to attend will be able to view them live and ask questions through conferencing software. Details on how to register together with access details can be found on the Company's website: www.jpmchinagrowthandincome.co.uk, or by contacting the Company Secretary at [e-mail].

In accordance with normal practice, all voting on the resolutions will be conducted on a poll. Due to technological reasons, shareholders viewing the meeting via conferencing software will not be able to vote on the poll and we therefore encourage all shareholders, and particularly those who cannot attend physically, to submit their proxy votes in advance of the meeting, so that they are registered and recorded at the AGM. Proxy votes can be lodged in advance of the AGM either by post or electronically: detailed instructions are included in the Notes to the Notice of Annual General Meeting in the Annual Report. In addition, shareholders are encouraged to send any questions ahead of the AGM to the Board via the Company Secretary at the email address above. We will endeavour to answer relevant questions at the meeting or via the website depending on arrangements in place at the time.

If there are any changes to the above AGM arrangements, the Company will update shareholders through its website and, as appropriate, through an announcement on the London Stock Exchange.

Outlook

After hitting lows in October 2022, Chinese stock markets have made up some lost ground, following President Xi's meeting with President Biden at the G20 session, indications of a gradual relaxation of China's 'zero-COVID' policy, and China's easing of its monetary and fiscal policies. Since the year-end, as at 8th December 2022, the Company's total return on net assets increased +9.6% over the period, outperforming the MSCI China Index, which rose +3.9%. In addition, the Company's return to Ordinary shareholders increased +13.4%, reflecting a narrowing in the discount at which the shares traded over since the year-end. As a Board, we believe markets are likely to remain volatile, as long as China's 'zero-COVID' policy is in place, and risks remain of increased COVID cases once this policy ends. Other challenges, ranging from the uncertainties in the Chinese property market and the financial health of the nation's regional governments to global supply chains and China's relations with Taiwan and the US, may also impact short-term performance.

Nevertheless, we share our Investment Managers' optimism about the long-term prospects for the Chinese economy, and the opportunities that this will provide the patient investor, and we believe our Company deserves a place within any fully diversified global portfolio. Over the years, our disciplined Investment Managers have demonstrated their skills in navigating turbulent markets by focusing on investing in attractively priced, quality companies that offer sustainable long-term growth. We remain confident that our investment strategy, combined with the skills and experience of our well resourced investment team, will enable our Company to deliver superior returns over the longer term.

Alexandra Mackesy

Chairman    13th December 2022

INVESTMENT MANAGERS' REPORT

Introduction

During the financial year ended 30 September 2022, the Company's net assets declined 36.7% (in sterling terms) compared to a benchmark decline of 22.0%. This performance is a disappointment to us, but we remind shareholders that it is not unusual for the Company to experience volatility in performance over short periods. In our view, it is more meaningful to assess performance over longer timeframes. On this basis, the Company has made positive absolute returns and outperformed the benchmark over three, five and ten years. Over the ten years to end September 2022, it generated an annualised return of 10.7%, in NAV terms, and 10.9% on a share price basis, compared to a market return of 6.3%.

Setting the scene

The past year has been an especially challenging one for global equity markets for several reasons. Inflation pressures kindled by the COVID-19 pandemic, including supply shortages of electronic components essential to the production of electric vehicles and a wide range of consumer goods, were fuelled by Russia's invasion of Ukraine, which drove up energy and other commodity prices. The determination of the US Federal Reserve and other central banks to quash inflation with a series of aggressive interest rate increases and hawkish forward guidance raised the spectre of recession and global equity markets fell sharply. The valuations of long-term growth - so-called long duration - stocks in the technology and related sectors were hit especially hard.

The Chinese markets were not immune to these developments, but investor sentiment was further damaged by several other adverse developments unique to China. Key amongst these was the sharp deterioration in China's growth outlook. China's GDP is now expected to rise by only 3% in 2022, less than half its growth rate over the past few years, due partially to the government's pursuit of its 'zero-COVID' policy. Unlike most countries, which have opted to live with the virus now vaccines are widely available, China has persevered with strict prevention measures, including lockdowns, to eliminate outbreaks. These actions severely curtailed economic activity in many regions, and it is uncertain when the government's approach will relent. These actions severely curtailed economic activity in many regions during the review period. More recently, however, the government has relaxed its COVID policies, which should lead to more normalisation in 2023.

The review period has also seen a significant correction in China's residential property market, sparked by government restrictions on borrowing by developers and home buyers. New home sales have fallen 30% in the past year. This sector accounts for about a quarter of China's economic output, so this sharp decline is also weighing on near-term growth prospects.

Uncertainties about growth and the near-term prospects of the property sector have been exacerbated by mounting geo-political tensions between China and the West, and by questions about the implications of the expected appointment of President Xi to an unprecedented third term in office. As a result, even though Chinese inflation pressures have been limited, and the authorities are now easing both monetary and fiscal policy, China's stock market sustained heavy losses over the review period.

Performance commentary

This sell-off hit portfolio performance. The Company had an average gearing of 15.6% throughout the financial year and this additional exposure to the declining market was the single largest source of performance detraction, after stock selection.

The Company's large exposure to growth sectors and stocks, particularly Health Care, Technology, and Communication companies, was a key drag on performance, as was the structural underweight position in low-growth sectors, in particular Energy and Financials, as these sectors outperformed over the period.

Performance attribution

Year ended 30th September 2022

	%	%
Contributions to total returns
Benchmark return		-22.0
Sector allocation	3.6
Stock selection	-10.9
Currency	-1.7
Gearing/net cash	-5.1
Investment Manager contribution		-14.1
Dividend/residual		0.5
Portfolio total return		-35.6
Management fee/Other expenses		-1.1
Net asset value total return		-36.7
Ordinary share price total return		-38.5

Source: Factset, JPMAM, Morningstar.

Performance attribution analyses how the Company achieved its recorded performance relative to its benchmark.

By sector, the Company's overweight exposure to Health Care detracted from performance. WuXi Biologics, a contract research company, was negatively affected by supply chain disruption resulting from increasing geopolitical headwinds. In addition, Broncus Holding Corp and Venus Medtech, producers of medical devices, were negatively affected by pricing pressure from the Chinese government's procurement programme. We have trimmed our positions in WuXi Biologics during the year, but it remains a top 10 holding given its continued competitiveness and the current valuation.

Technology is another sector that hurt performance. Key detractors over the period included Silergy Corp, a semiconductor manufacturer, Sunny Optical Technology, a producer of optical products and scientific instruments, and Kingdee International Software Group, which provides business software. However, we have largely maintained our positions in these names due to their positive long-term prospects, which are supported by increasing import substitution and market share gains.

Within Communication, the Company's position in Bilibili, a gaming and multimedia company, was a key performance detractor. It was hit by delays to approvals for new on-line games and by a slower than expected advertising business ramp-up, due to weak macro-economic conditions. We therefore reduced our exposure.

Although we remain underweight in Real Estate, an overweight position in Country Garden Services, a property management company, detracted from returns due to concerns about slower new property sales and the solvency of its parent company, Country Garden.

Financials also detracted from performance. We have avoided exposure to large state-owned banks such as China Construction Bank Corporation and Bank of China because their long-term growth prospects are not promising. However, these names tend to trade more defensively than the overall market, given their undemanding valuations and dividend support, and this helped their relative performance over the review period.

		Relative weight	Stock return	Impact
Top 10 Detractors	Company description	(%)	(%)	(%)
Country Garden Services	Residential property management company	1.8	-77.2	-1.3
Bilibili	Video sharing platform that is also involved in mobile gaming, e-commerce and live broadcasting	1.9	-70.2	-1.3
WuXi Biologics (Cayman)	Leading contract development and manufacturing organisation in the biologics space	2.5	-55.0	-0.9
Broncus Holding	Medical device company that focuses on the development of interventional pulmonology products	0.5	-85.1	-0.7
Kingdee International Software	Leading enterprise software provider specializing in finance, accounting and broader ERP solutions	2.1	-52.8	-0.6
China Construction Bank	One of the largest banks in China	-2.9	4.6	-0.6
Venus Medtech (Hangzhou)	Leading medical device maker involved in transcatheter structural heart valvular therapies in China	0.8	-72.7	-0.6
Silergy	Manufacturer of power management integrated circuits	1.4	-56.3	-0.5
Asymchem Laboratories	One of the largest China-based contract development and manufacturing companies providing fully integrated solutions in the chemical-pharmaceutical and biologic sectors	0.9	-58.8	-0.5
Bank of China	One of the largest banks in China	-1.3	20.5	-0.4

Positioning decisions that enhanced returns over the period included our significant overweight positions in Renewable Energy. Tongwei, a producer of polysilicon used in solar panels, and Suzhou Maxwell, a solar cell manufacturing equipment maker, were amongst key performance contributors thanks to strong demand and technology innovation in the sector.

Two Consumer businesses, Pinduoduo, an ecommerce platform, and Meituan, China's largest food delivery service provider, also contributed positively thanks to their improved profitability, despite the tough market environment.

The Company exited Alibaba on the view that the company is unlikely to return to its previous high growth territory, due to some tightening in the sector's regulatory environment. This underweight position contributed to performance over the year.

Top 10 Positive Contributors	Company description	Relative weight (%)	Stock return (%)	Impact (%)
Alibaba	Leading e-commerce company that offers a comprehensive digital infrastructure to empower digitalization	-7.3	-28.9	0.7
Tongwei	Largest producer of polysilicon and cells used in solar panels	2.4	2.3	0.6
Suzhou Maxwell Technologies	Solar equipment manufacturer with a focus on heterojunction solar cell technology	0.7	52.4	0.4
Leader Harmonious Drive Systems	Industrial robot equipment manufacturer	0.5	83.9	0.4
Xiaomi	Leading Chinese smartphone maker offering various hardware and software products	-1.2	-49.7	0.4
NetEase	Leading provider of self-developed mobile and PC games along with multimedia services	1.5	10.4	0.4
Montage Technology	Niche analog IC design company supplying high-speed server DRAM modules	1.4	-3.5	0.3
ENN Energy	One of the largest private energy groups in China involved in distribution of natural gas	1.5	0.1	0.3
Zhejiang Supcon Technology	One of the largest process automation control system providers in China	1.0	1.9	0.3
Shenzhen Inovance Technology	Engages in production of electric control industrial automations	1.5	-0.3	0.2

Transactions and sector allocation

Despite the challenging macro environment and geopolitical uncertainties, we continue to focus on identifying bottom-up stock opportunities that can provide the Company's shareholders long-term growth and return.

The most noteworthy increase in exposure over the past year has been to Industrial names. The portfolio's overweight exposure to this sector has almost doubled to around 13% as we expect it to benefit from China's push to upgrade its manufacturing performance and realise its ambitions to achieve carbon neutrality and self-sufficiency. We initiated new positions in several industrial companies, including Suzhou Maxwell, as mentioned previously, ZhuZhou CRRC Times, a manufacturer of railway equipment, Beijing Haufeng Test & Control, a semiconductor testing equipment producer, and DBAPP Security, a supplier of cybersecurity software and solutions.

The market volatility over the past year has not been entirely bad news, as it has created opportunities for us to purchase other companies across various sectors where we see structural growth opportunities at particularly attractive levels. Examples include e-commerce operator JD.com, which is now a top 10 holding, ZTO Express, a freight and logistics company, and Trip.com, an accommodation and travel services provider. We also took advantage of low valuations to top up existing holdings in a number of companies we favour, including software supplier Beijing Kingsoft Office, Kanzhun Ltd, a staffing and employment services company, Zhejiang Supcon Technology, which provides automation and IT products, and Advanced Micro-Fabrication, a producer of semiconductor equipment and materials.

In terms of sales, in addition to reducing the sizes of several holdings mentioned above, we sold our entire positions in companies that are likely to be adversely impacted by China's growth slowdown. In addition to the entire sale of our stake in Alibaba, other disposals included restaurant owner Jiumaojiu, auto manufacturer Nio and toy maker Pop Mart International, all of which are likely to feel the effects of weaker consumer spending. However, the portfolio's overall underweight to the consumer discretionary sector remained broadly unchanged over the year. The challenging outlook for the real estate sector also prompted exits from Xinyi Glass and Skshu Paint Co.

In addition, we sold the Company's holdings in IT infrastructure company Sangfor Technologies, and electronic components manufacturer BOE Technology Group. The Company also exited several health care names, including Everest Medicines, a biotech company, and Suzhou Basecare Medical, a medical devices company. The portfolio's overweight positions in Information Technology and Health Care remain, although they are less significant than previously. We have maintained the portfolio's substantial underweight to financials and its smaller underweight to Communications Services.

The portfolio continues to have no exposure to traditional Energy producers, reflecting both our concerns about ESG factors and these companies' poor long-term growth prospects. However, we increased our exposure to utilities modestly, in part via a new position in hydropower company China Yangtze Power, because of its stable operations and the expected asset injection that is earnings accretive.

These portfolio adjustments have resulted in some changes to the Company's top 10 holdings over the past year. Tencent remains our largest holding, comprising 8.4% of our portfolio at 30th September 2022. This positioning is underpinned by our belief that the company's core competitiveness in social media and gaming remains unchanged despite regulatory and macroeconomic challenges. On-line retailers Meituan and Pinduoduo, along with WuXi Biologics and China Merchants Bank, also continue to feature amongst our largest holdings, but there are several new names. In addition to JD.com and Suzhou Maxwell, mentioned above, the Company's top 10 holdings now include NetEase, a gaming and multimedia company, and Beijing Kingsoft Office Software, a leading software and internet services company.

Ten largest investments

As at 30th September

		2022		2021
		Valuation		Valuation
Company	Description of Activities	£'000	%1	£'000	%1
Tencent	Tencent is a Chinese technology company focusing on internet services. It is the world's largest video game vendor. It owns WeChat, among the largest Chinese and therefore global, social media apps as well as a number of music, media and payment service providers. Its venture capital arm has holdings in over 600 companies with a focus on technology start-ups across Asia.	28,091	8.4	46,411	8.9
Meituan	Meituan is an e-commerce company that offers services like food, dining and delivery among others on its platform throughout China.	20,417	6.1	20,561	4.0
Pinduoduo	Founded in 2015, it started as an online fresh produce vendor before expanding into a leading social commerce platform serving close to 900 million users. Pinduoduo pioneered 'Team Purchase' and 'C2M' (consumer to manufacturer) processes to aggregate user demand and share the information with manufacturers to tailor make products according to users' preferences.	13,325	4.0	17,451	3.4
JD.com	JD.com is China's leading one-stop e-commerce platform, providing 588.3 million active customers with direct access to a wide selection of products to tap into China's fast-growing e-commerce market through its mobile applications and websites.	11,940	3.6	-	-
NetEase	NetEase is a leading China-based technology company involved in developing and operating online games. Its online gaming services cover both mobile and personal computer games.	8,921	2.7	10,848	2.1
WuXi Biologics (Cayman)	Founded in 2010, WuXi Biologics has become a leading global Contract Research, Development and Manufacturing Organization (CRDMO) offering end-to-end solutions that enable partners to discover, develop and manufacture biologics from concept to commercialisation.	8,281	2.5	25,758	4.9
China Merchants Bank	CMB is China's first joint-stock commercial bank wholly owned by corporate legal entities and the first pilot bank as China promoted reform in the banking industry with endeavors outside the government. Since its inception, CMB has been leading the trends of China's banking industry through a series of pioneering efforts.	7,766	2.4	11,760	2.3
Shanghai Baosight Software	Shanghai Baosight Software provides information technology services. Founded 40 years ago, Baosight is now China's leading provider of industrial solutions. So far, Baosight has long been committed to the combination of information and industrialisation, with the purpose of assisting iron & steel enterprises in achieving intelligent manufacturing. The Company develops automation and information computer software for metallurgy, transportation, electric power generation, banking, and other industries.	7,485	2.3	12,262	2.30
Suzhou Maxwell	Suzhou Maxwell Technologies is principally engaged in the design, development, production and sales of intelligent manufacturing equipment. One of the Company's main products are solar cell screen printing equipment. The Company distributes its products domestically and overseas.	6,976	2.1	-	-
Beijing Kingsoft Office Software	Kingsoft is a leading software and Internet services company based in China and listed in Hong Kong. Its two subsidiaries Seasun and Kingsoft Office develop and distribute office and anti virus software. With more than 5,000 employees worldwide and R&D centres in Beijing, Zhuhai, Wuhan, Chengdu, Dalian and Hong Kong, the Company enjoys a large market share in China.	6,241	1.8	-	-
Ten Largest Investments		119,443	35.9

1  Based on total investments of £333.2m (30th September 2021: £521.6m). Top ten investments at September 2021 comprised £292.8m with 36.7% of total investments.

Gearing

In terms of gearing, attractive valuations and the opportunities they represented in some sectors led us to increase portfolio gearing to 17.2% at the end of the period, up from 10.2% a year ago. The valuation of Chinese equities became more attractive over the period, on both traditional valuation metrics such as price-to-book (P/B) and Price Earnings (P/E), as well as our internal valuation signal with an average five year expected return surpassing 20%. We have taken the opportunities of distressed valuation in some areas, such as Chinese internet, and used gearing to increase positions in names including Meituan, Pinduoduo, and JD.com. We have also used the gearing to increase positioning and add new names in structural growth areas such as high-end manufacturing, renewable energy, and national security.

ESG Engagement over the year

Our investment philosophy centres on identifying quality companies with sustainable growth potential. We have a strong conviction that Environmental, Social and Governance (ESG) considerations (particularly Governance) should be the foundation of any long-term investment process. In our view, corporate policies at odds with such considerations are not sustainable over time. We therefore believe that integrating ESG factors into the investment process is critical to its success. To this end, we work closely with JPMAM's dedicated Sustainable Investment (SI) team, which pro-actively engages with existing portfolio names on ESG matters.

Examples of how we have worked with the SI team over the past year to address ESG issues in our portfolio companies and information regarding how ESG matters are integrated into our investment process are detailed in the ESG Report in the Annual Report. This report includes case studies relating to our ESG engagement with NetEase, China Merchants Bank and Meituan and our engagement with NetEase, WuXi Biologics and ENN Energy about proxy voting.

Outlook

We expect a lot of the macro headwinds discussed above, in particular the property sector slowdown and the government's 'zero-COVID' policy, to linger in the short term. However, the Chinese authorities are likely to continue loosening monetary and fiscal policy in an effort to ease pressures on the property sector and to counter the disruptions caused by their stringent COVID policies. These measures will take time to feed through to the real economy, as consumer and business confidence, and activity, will not recover until the COVID restrictions are terminated and some level of normality returns to daily life across the country.

Despite the negative developments over the past year, we remain optimistic about the long-term prospects for the Chinese economy, which will continue to be bolstered by the strong entrepreneurial ethos of China's private businesses and by growing demand from the country's burgeoning middle class. Furthermore, the government remains determined to ensure the continued upgrade of Made in China, a government initiative intended to make the manufacturing industry more advanced. It will also continue its pursuit of carbon neutrality and greater self-sufficiency, as mentioned above. These efforts should underpin sustainable growth and productivity improvements over the medium term. As such, in our view, Chinese equities demand a meaningful allocation within any fully diversified global portfolio.

Current depressed valuations suggest to us that the deterioration in China's economic outlook and other potential risks and uncertainties discussed above are now fully discounted by the market. So now may be a particularly good time to invest in this market in order to benefit from the country's still positive long-term growth prospects. This view is supported by valuation metrics. Our proprietary, five-year expected return model, as well as familiar measures such as price-to-book (P/B) and Price Earnings (P/E) ratios, have all reached historical lows, suggesting that a sustained recovery in Chinese equity prices is likely soon.

We believe that the Company's long track record of outright gains and outperformance of the market attests both to the advantages of being on the ground here in China and to the effectiveness of our bottom-up investment process. We are confident that our approach will ensure we are in the vanguard of any recovery in the Chinese equity market, seeking out the investment opportunities best placed to benefit from China's secular trends and continuing to deliver capital gains and reliable and rising income to patient investors willing to ride out near-term volatility.

Thank you for your ongoing support.

Rebecca Jiang

Howard Wang

Shumin Huang

Investment Managers    13th December 2022

PRINCIPAL AND EMERGING RISKS

Principal and Emerging Risks

The Directors confirm that they have carried out a robust assessment of the principal and emerging risks facing the Company, including those that would threaten its business model, future performance, solvency or liquidity.

With the assistance of the Manager, the Audit Committee maintains a risk matrix which identifies the principal risks to which the Company is exposed and methods of mitigating against them as far as practicable. The risks identified and the broad categories in which they fall, and the ways in which they are managed or mitigated are summarised below.

The AIC Code of Corporate Governance requires the Audit Committee to put in place procedures to identify emerging risks. At each meeting, the Board considers emerging risks which it defines as potential trends, sudden events or changing risks which are characterised by a high degree of uncertainty in terms of occurrence probability and possible effects on the Company. As the impact of emerging risks is understood, these risks may be entered on the Company's risk matrix and mitigating actions considered as necessary.

Principal risk	Description	Mitigating activities
Investment management and performance
Geopolitical	Geopolitical risk can cause volatility in the markets in which the Company is invested; restrictions on the ability to invest and the free movement of capital and also potentially impact the ability of the Manager and other service providers to carry on business as usual. Specifically in China, we have seen instances of the government interfering in certain sectors of the financial markets as well as concerns arising from the growing US-China trade tensions, potential conflict involving Taiwan and wider questions about human rights in China. These concerns have led to international investors reducing their investments in China, and could risk damaging overseas sentiment towards Chinese equities further.	The Board meets advisers and gathers insights from both JP Morgan and independent sources on a regular and ongoing basis and takes advice from the Manager and its professional advisers.
Investment Underperformance	An inappropriate investment decision may lead to sustained underperformance against the Company's benchmark index and peer companies, resulting in the Company's shares trading on a wider discount.	The Board manages this risk by diversification of investments through its investment restrictions and guidelines which are monitored and reported on by the Manager. The Manager provides the Directors with timely and accurate management information, including performance data and attribution analyses, revenue estimates and transaction reports. The Board monitors the implementation and results of the investment process with the investment managers, who attend all Board meetings, and reviews data which show statistical measures of the Company's risk profile.
Strategy and Business Management	An ill-advised corporate initiative, for example an inappropriate takeover of another company or an ill-timed issue of new capital; misuse of the investment trust structure, for example inappropriate gearing; or if the Company's business strategy is no longer appropriate, may lead to a lack of investor demand.	The Board discusses this on a regular and ongoing basis with the Manager and corporate advisers based on information provided both at and between Board meetings (see above risk regarding Investment Underperformance). The Company states its strategy clearly in its Half-Year and Annual Reports and its website. The investment managers employ the Company's gearing within a strategic range set by the Board.
Loss of Investment Team or Investment Manager	A sudden departure of one or more members of the investment management team could result in a deterioration in investment performance.	The Board seeks assurance that the Manager takes steps to reduce the likelihood of such an event by ensuring appropriate succession planning and the adoption of a team-based approach, as well as special efforts to retain key personnel. The Board engages privately with the investment managers on a regular basis.
Share Price Discount	A disproportionate widening of the discount relative to the Company's peers could result in a loss of value for shareholders.	In order to manage the Company's discount, which can be volatile, the Company operates a share repurchase programme. The Board regularly discusses discount policy and has set parameters for the Manager and the Company's broker to follow. The Board receives regular reports and is actively involved in the discount management process.
Corporate Governance	Changes in financial, regulatory or tax legislation may adversely affect the Company.	The Manager and the Auditor make recommendations to the Board on accounting, dividend and tax policies and the Board seeks external advice where appropriate. The Board receives regular reports from its broker, depositary, registrar and Manager as well as its legal advisers and the Association of Investment Companies on changes to governance and regulations which could impact the Company and its industry. The Company monitors events and relies on the Manager and its other key third party providers to manage this risk by preparing for any changes. It also receives updates from its advisors on corporate governance issues and reviews its related policies regularly.
Shareholder Relations	Details of the Company's compliance with Corporate Governance best practice, including information on relations with shareholders, are set out in the Corporate Governance Statement in the Annual Report.	The Board receives regular reports from the Manager and the Company's broker about shareholder communications, their views and their activity. In addition, the Board engages directly with major shareholders and encourages all shareholders to engage with the Board and Investment Managers at the AGM and through the increased use of webcasts and periodic meetings.
Financial	The financial risks faced by the Company include market price risk, interest rate risk, currency risk, liquidity risk and credit risk.	Counterparties are subject to daily credit analysis by the Manager. In addition the Board receives reports on the Manager's monitoring and mitigation of credit risks on share transactions carried out by the Company. Further details are disclosed in notes 21 and 22 in the Annual Report.
Operational risks
Cyber crime	Disruption to, or failure of, the Manager's accounting, dealing or payments systems or the depositary's or custodian's records may prevent accurate reporting and monitoring of the Company's financial position. In addition to threatening the Company's operations, such an attack is likely to raise reputational issues which may damage the Company's share price and reduce demand for its shares.	Details of how the Board monitors the services provided by the Manager, its associates and depositary and the key elements designed to provide effective internal control are included within the Risk Management and Internal Control section of the Directors' Report in the Annual Report. The threat of cyber attack, in all its guises, is regarded as at least as important as more traditional physical threats to business continuity and security. The Company benefits directly or indirectly from all elements of JPMorgan's Cyber Security programme. The information technology controls around the physical security of JPMorgan's data centres, security of its networks and security of its trading applications are tested independently.
Fraud/other operating failures or weaknesses	The risk of fraud or other control failures or weaknesses within the Manager or other service providers could result in losses to the Company.	The Audit Committee receives independently audited reports on the Manager's and other service providers' internal controls, as well as a report from the Manager's Compliance function. The Company's management agreement obliges the Manager to report on the detection of fraud relating to the Company's investments and the Company is afforded protection through its various contracts with suppliers, of which one of the key protections is the Depositary's indemnification for loss or misappropriation of the Company's assets held in custody.
Regulatory risk
Legal and Regulatory	In order to qualify as an investment trust, the Company must comply with Section 1158 of the Corporation Tax Act 2010 ('Section 1158'). Details of the Company's approval are given under 'Structure of the Company' in the Annual Report. Were the Company to breach Section 1158, it may lose investment trust status and, as a consequence, gains within the Company's portfolio would be subject to Capital Gains Tax.	The Section 1158 qualification criteria are continually monitored by the Manager and the results reported to the Board each month. The Company must also comply with the provisions of the Companies Act 2006 and, since its shares are listed on the London Stock Exchange, the UKLA Listing Rules, Disclosure Guidance and Transparency Rules ('DTRs') and, as an Investment Trust, the Alternative Investment Fund Managers Directive ('AIFMD'). A breach of the Companies Act 2006 could result in the Company and/or the Directors being fined or the subject of criminal proceedings. Breach of the UKLA Listing Rules or DTRs could result in the Company's shares being suspended from listing which in turn would breach Section 1158. The Board relies on the services of its Company Secretary, JPMorgan Funds Limited and its professional advisers to ensure compliance with the Companies Act 2006, the UKLA Listing Rules, DTRs and AIFMD.
Economic and geopolitical
Global pandemics	COVID-19 has highlighted the speed and extent of economic damage that can arise from a pandemic. While current vaccination programme results are hopeful, the risk remains that new variants may not respond to existing vaccines, may be more lethal and may spread as global travel opens up again. In China, the government's 'zero-COVID' policy and the subsequent disruptions caused by their stringent COVID policies continue to negatively impact the economy. With the additional risk of increased COVID cases once this policy ends, it is likely that the market will remain volatile for a while. Should the virus become more virulent than is currently the case, it may present risks to the operations of the Company and its Manager.	The Board receives reports on the business continuity plans of the Manager and other key service providers. The effectiveness of these measures have been assessed throughout the course of the COVID-19 pandemic and the Board will continue to monitor developments as they occur and seek to learn lessons which may be of use in the event of future pandemics. The Board is actively engaged in monitoring the situation with regular updates from the investment managers.
Climate change	Climate change is one of the most critical issues confronting asset managers and their investors. Climate change may have a disruptive effect on individual investee companies and the operations of the Manager and other major service providers.	The Manager's investment process integrates consideration of environmental, social and governance factors into decision son which stocks to buy, hold or sell (see the ESG report in the Annual Report). This includes the approach investee companies take to recognising and mitigating climate change risks. The Manager aims to influence the management of climate related risks through engagement and voting and is a participant of Climate Action 100+ and a signatory of the United Nations Principles for Responsible Investment. As extreme weather events become more common, in particular with the typhoons, flooding and droughts experienced in China, the resiliency, business continuity planning and the location strategies of our services providers will come under greater scrutiny.
Emerging risk	Description	Mitigating activities
Social unrest within China	There is a risk that recent sporadic demonstrations in China against the government's 'zero-COVID' policies could escalate into more disruptive social unrest at a local or national level. Such disorder could disrupt the companies in which our Company invests, and negatively impact both our manager's operations within China and international sentiment towards Chinese equities.	The Board and the Managers understand the inherent risks associated with investing in emerging markets such as China. While focusing on the long term, the Manager is mindful of these risks when considering investment strategy and portfolio construction, and keeps the Board regularly informed about any issues that might impact China and the portfolio.

TRANSACTIONS WITH THE MANAGER AND RELATED PARTIES

Details of the management contract are set out in the Directors' Report in the Annual Report. The management fee payable to the Manager for the year was £3,399,000 (2021: £4,572,000).

Safe custody fees amounting to £72,000 (2021: £81,000) were payable to JPMorgan Chase Bank N.A. during the year of which £17,000 (2021: £41,000) was outstanding at the year end.

The Manager may carry out some of its dealing transactions through group subsidiaries. These transactions are carried out at arm's length. The commission payable to JPMorgan Securities Limited for the year was £26,000 (2021: £28,000).

Handling charges on dealing transactions amounting to £52,000 (2021: £42,000) were payable to JPMorgan Chase Bank N.A. during the year of which £6,000 (2021: £20,000) was outstanding at the year end.

The Company also held cash in the JPMorgan US Dollar Liquidity Fund, which is managed by JPMorgan. At the year end this was valued at £8,085,000 (2021: £nil). Interest amounting to £59,000 (2021: £8,000) was received during the year.

Fees amounting to £434,000 (2021: £638,000) were receivable from stock lending transactions during the year. JPMorgan Investor Services Limited's commissions in respect of such transactions amounted to £48,000 (2021: £71,000).

At the year end, total cash of £2,865,000 (2021: £36,000) was held with JPMorgan Chase Bank, N.A. in a non-interest bearing current account.

Full details of Directors' remuneration and shareholdings can be found in the Director's Remuneration Report in the Annual Report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The Directors are responsible for preparing the Annual Report and Financial Statements in accordance with applicable law and regulations.

Company law requires the Directors to prepare Financial Statements for each financial year. Under that law the Directors have elected to prepare the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards, comprising Financial Reporting Standard 102 'the Financial Reporting Standard applicable in the UK and Republic of Ireland' (FRS 102). Under company law the Directors must not approve the Financial Statements unless they are satisfied that, taken as a whole, the Annual Report and Financial Statements are fair, balanced and understandable, provide the information necessary for shareholders to assess the Company's performance, business model and strategy and that they give a true and fair view of the state of affairs of the Company and of the total return or loss of the Company for that period. In preparing these Financial Statements, the Directors are required to:

• select suitable accounting policies and then apply them consistently;

• state whether applicable UK Accounting Standards comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the Financial Statements;

• make judgments and accounting estimates that are reasonable and prudent; and

• prepare the Financial Statements on a going concern basis unless it is inappropriate to presume that the Company will continue in business

and the Directors confirm that they have done so.

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the Financial Statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Financial Statements are published on the www.jpmchinagrowthandincome.co.uk website, which is maintained by the Company's Manager. The maintenance and integrity of the website maintained by the Manager is, so far as it relates to the Company, the responsibility of the Manager. The work carried out by the Auditor does not involve consideration of the maintenance and integrity of this website and, accordingly, the Auditor accepts no responsibility for any changes that have occurred to the accounts since they were initially presented on the website. The accounts are prepared in accordance with UK legislation, which may differ from legislation in other jurisdictions.

Under applicable law and regulations the Directors are also responsible for preparing a Strategic Report, a Directors' Report and a Directors' Remuneration Report that comply with that law and those regulations.

Each of the Directors, whose names and functions are listed in the Annual Report confirm that, to the best of their knowledge:

• the Company's Financial Statements, which have been prepared in accordance with applicable law and United Kingdom Accounting Standards, comprising FRS102, give a true and fair view of the assets, liabilities, financial position and profit of the Company; and

• the Strategic Report includes a fair review of the development and performance of the business and the position of the Company, together with a description of the principal risks and uncertainties that it faces.

The Directors consider that the Annual Report and Financial Statements, taken as a whole, are fair, balanced and understandable and provide the information necessary for shareholders to assess the Company's performance, business model and strategy.

For and on behalf of the Board

Alexandra Mackesy

Chairman

13th December 2022

FINANCIAL STATEMENTS

STATEMENT OF COMPREHENSIVE INCOME

For the year ended 30th September 2022

	2022			2021
	Revenue	Capital	Total	Revenue	Capital	Total
	£'000	£'000	£'000	£'000	£'000	£'000
Net (losses)/gains on investments held at
fair value through profit or loss	-	(158,974)	(158,974)	-	3,485	3,485
Net foreign currency (losses)/gains1	-	(10,027)	(10,027)	-	1,364	1,364
Income from investments	3,693	-	3,693	2,966	-	2,966
Other income	493	-	493	646	-	646
Gross return/(loss)	4,186	(169,001)	(164,815)	3,612	4,849	8,461
Management fee	(850)	(2,549)	(3,399)	(1,143)	(3,429)	(4,572)
Other administrative expenses	(605)	-	(605)	(540)	-	(540)
Net return/(loss) before finance costs and taxation	2,731	(171,550)	(168,819)	1,929	1,420	3,349
Finance costs	(281)	(845)	(1,126)	(195)	(580)	(775)
Net return/(loss) before taxation	2,450	(172,395)	(169,945)	1,734	840	2,574
Taxation charges	(199)	-	(199)	(171)	-	(171)
Net return after taxation	2,251	(172,395)	(170,144)	1,563	840	2,403
Return per share (note 2)	2.71p	(207.20)p	(204.49)p	1.97p	1.06p	3.03p

¹   £11,660,000 due to an exchange loss on the loan which is denominated in US dollars. £1,633,000 due to net exchange gain on cash and cash equivalents (2021: £2,057,000 due to an exchange gain on the loan which is denominated in US dollars. £693,000 due to net exchange losses on cash and cash equivalents).

STATEMENT OF CHANGES IN EQUITY

For the year ended 30th September 2022

	Called up share	Share	Exercised warrant	Capital redemption	Other	Capital	Revenue
	capital	premium	reserve	reserve	reserve1	reserves2	reserve2	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000	£'000
At 30th September 2020	19,481	13,321	3	581	37,392	340,185	-	410,963
Issue of Ordinary shares	1,322	39,111	-	-	-	-	-	40,433
Issue of shares from Treasury	-	28,613	-	-	-	9,007	-	37,620
Project costs - in relation to issue
of new shares	-	(94)	-	-	-	-	-	(94)
Net return	-	-	-	-	-	840	1,563	2,403
Dividend paid in the year (note 3)	-	-	-	-	-	(16,360)	(1,563)	(17,923)
At 30th September 2021	20,803	80,951	3	581	37,392	333,672	-	473,402
Net (loss)/return	-	-	-	-	-	(172,395)	2,251	(170,144)
Dividend paid in the year (note 3)	-	-	-	-	-	(16,721)	(2,251)	(18,972)
At 30th September 2022	20,803	80,951	3	581	37,392	144,556	-	284,286

¹   Created during the year ended 30th September 1999, following a cancellation of the share premium account.

²   These reserves form the distributable reserves of the Company and may be used to fund distributions to investors.

STATEMENT OF FINANCIAL POSITION

At 30th September 2022

	2022	2021
	£'000	£'000
Fixed assets
Investments held at fair value through profit or loss	333,206	521,634
Current assets
Debtors	1,997	4,264
Cash and cash equivalents	10,950	36
	12,947	4,300
Current liabilities
Creditors: amounts falling due within one year	(61,867)	(4,206)
Net current (liabilities)/assets	(48,920)	94
Total assets less current liabilities	284,286	521,728
Creditors: amounts falling due after one year	-	(48,326)
Net assets	284,286	473,402
Capital and reserves
Called up share capital	20,803	20,803
Share premium	80,951	80,951
Exercised warrant reserve	3	3
Capital redemption reserve	581	581
Other reserve	37,392	37,392
Capital reserves	144,556	333,672
Total shareholders' funds	284,286	473,402
Net asset value per share	341.7p	569.0p

STATEMENT OF CASH FLOWS

For the year ended 30th September 2022

	2022	2021
	£'000	£'000
Net cash outflow from operations before dividends and interest	(3,268)	(5,140)
Dividends received	3,412	2,966
Interest received	59	8
Interest paid	(920)	(801)
Net cash outflow from operating activities	(717)	(2,967)
Purchases of investments	(233,601)	(385,098)
Proceeds from sale of investments	265,482	320,797
Settlement of foreign currency contracts	(129)	51
Net cash inflow/(outflow) from investing activities	31,752	(64,250)
Dividends paid	(18,972)	(17,923)
Issue of Ordinary shares	-	40,433
Reissue of shares from Treasury	-	37,620
Project costs - in relation to issue of new shares	-	(94)
Repayment of bank loans	(12,470)	-
Drawdown of bank loans	9,995	6,800
Utilisation of bank overdraft	(124)	124
Net cash (outflow)/inflow from financing activities	(21,571)	66,960
Increase/(decrease) in cash and cash equivalents	9,464	(257)
Cash and cash equivalents at start of year	36	343
Unrealised gains/(losses) on foreign currency cash and cash equivalents	1,450	(50)
Cash and cash equivalents at end of year	10,950	36
Cash and cash equivalents consist of:
Cash at bank	2,865	36
Cash held in JPMorgan US Dollar Liquidity Fund	8,085	-
	10,950	36

NOTES TO THE FINANCIAL STATEMENTS

1.  Accounting policies

Basis of accounting

The Financial Statements are prepared under the historical cost convention, modified to include fixed asset investments at fair value, and in accordance with the Companies Act 2006, United Kingdom Generally Accepted Accounting Practice ('UK GAAP'), including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and with the Statement of Recommended Practice 'Financial Statements of Investment Trust Companies and Venture Capital Trusts' (the 'SORP') issued by the Association of Investment Companies in April 2021.

All of the Company's operations are of a continuing nature.

The Financial Statements have been prepared on a going concern basis. In forming this opinion, the Directors have considered any potential impact of COVID-19 pandemic on the going concern and viability of the Company. They have considered the potential impact of COVID-19 and the mitigation measures which key service providers, including the Manager, have in place to maintain operational resilience particularly in light of COVID-19. The Directors have reviewed income and expense projections and the liquidity of the investment portfolio in making their assessment. The Directors have also considered the forthcoming continuation vote at the 2023 AGM and, having made enquiries through the Company's advisers, have a reasonable belief that the continuation vote will be supported by the majority of shareholders.

The policies applied in these Financial Statements are consistent with those applied in the preceding year.

2.  Return/(loss) per share

	2022	2021
	£'000	£'000
Revenue return	2,251	1,563
Capital return	(172,395)	840
Total (loss)/return	(170,144)	2,403
Weighted average number of shares in issue during the year	83,202,465	79,481,601
Revenue return per share	2.71p	1.97p
Capital (loss)/return per share	(207.20)p	1.06p
Total (loss)/return per share	(204.49)p	3.03p

3.  Dividends

(a)    Dividends paid and declared

	2022	2021
	£'000	£'000
Dividends paid
2022 first quarterly interim dividend of 5.7p (2021: 5.7p)	4,743	4,144
2022 second quarterly interim dividend of 5.7p (2021: 5.7p)	4,743	4,366
2022 third quarterly interim dividend of 5.7p (2021: 5.7p)	4,743	4,671
2022 fourth quarterly interim dividend of 5.7p (2021: 5.7p)	4,743	4,742
Total dividends paid in the period	18,972	17,923

In respect of the year ending 30th September 2023, the first quarterly interim dividend of 3.42p per share amounting to £2,846,000 (2022: 5.7p per share amounting to £4,743,000) has been declared and paid. In accordance with the accounting policy of the Company, this dividend will be reflected in the Financial Statements for the year ending 30th September 2023.

(b)  Dividend for the purposes of Section 1158 of the Corporation Tax Act 2010 ('Section 1158')

The requirements of Section 1158 are considered on the basis of the dividend paid and declared in respect of the financial year. For the year ended 30 September 2022, the dividends declared were paid during the year, as  shown above.

The aggregate of the distributable reserves is £144,556,000 (2021: £333,672,000). Please note that at the Annual General Meeting ('AGM') in February 2020, shareholders approved an amendment to the Company's Articles of Association to allow the Company to distribute capital as income to enable the implementation of the Company's revised dividend policy. (Please see the Annual Report for further details).

The aggregate of the distributable reserves after the payment of the first quarterly dividend for 2023 will amount to £141,710,000 (2021: £328,929,000).

4.  Net asset value per share

	2022	2021
Net assets (£'000)	284,286	473,402
Number of shares in issue	83,202,465	83,202,465
Net asset value per share	341.7p	569.0p

5.  Status of results announcement

  2021 Financial Information

The figures and financial information for 2021 are extracted from the Annual Report and Financial Statements for the year ended 30th September 2021 and do not constitute the statutory accounts for that year.  The Annual Report and Financial Statements has been delivered to the Registrar of Companies and included the Report of the Independent Auditors which was unqualified and did not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006.

  2022 Financial Information

The figures and financial information for 2022 are extracted from the Annual Report and Financial Statements for the year ended 30th September 2022 and do not constitute the statutory accounts for that year.  The Annual Report and Financial Statements includes the Report of the Independent Auditors which is unqualified and does not contain a statement under either section 498(2) or section 498(3) of the Companies Act 2006. The Annual Report and Financial Statements will be delivered to the Registrar of Companies in due course.

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

13th December 2022

For further information:

Lucy Dina,

JPMorgan Funds Limited

020 7742 4000

ENDS

A copy of the 2022 Annual Report and Financial Statements will shortly be submitted to the FCA's National Storage Mechanism and will be available for inspection at https://data.fca.org.uk/#/nsm/nationalstoragemechanism

The 2022 Annual Report and Financial Statements will also shortly be available on the Company's website at www.jpmchinagrowthandincome.co.uk where up-to-date information on the Company, including daily NAV and share prices, factsheets and portfolio information can also be found.

JPMORGAN FUNDS LIMITED

 

END

 

 

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