JP Morgan Asset Management has moved to further stem flows into A-rated Amit Mehta’s small-cap emerging market fund after assets continued to swell despite soft-close measures being introduced last month.
According to documents seen by Citywire, the asset manager has now set a lower limit on trades for existing shareholders at $5 million, having previously had no lower limit.
JPM AM soft-closed the fund on April 11 with assets sitting at $1.58 billion. However, the latest fund data, which is to May 15, shows this has continued to rise to $1.74 billion as existing investors topped up their allocations.
This led the firm to introduce the daily dealing limitations on May 11 as a means of further safeguarding the investment process being used by Mehta and Forey.
Over three years to the end of March 2017, the JPM Emerging Markets Small Cap fund returned 24.41% in US dollar terms. This compares with a rise of 5.97% by its Citywire-assigned benchmark, the MSCI EM (Emerging Markets) Small Cap TR USD, over the same time frame.