Jupiter Asian Income Class I - Income (GBP)

Jason Pidcock started investing in Asian companies in 1996 and was one of the first UK managers to run an Asian income fund from 2005. Throughout his career he has performed better than the average fund in the IA Asia Pacific ex Japan sector. Our analysis shows he has invested in companies that have usually gone on to perform well, no matter what sector they are in or country they are based. Past performance is not a guide to the future though. His focus on quality companies that tend to generate cash at a steadier pace than others means we expect the fund to hold up relatively well when markets go through a tough patch. It might not perform quite as well when markets rise quickly.

As the fund currently doesn’t invest in mainland China, which is a large part of the broader Asian market, performance can look different to the wider sector. While the fund has lagged the benchmark recently as China’s market has grown, there have also been occasions where the Chinese market was weaker, which provided relative benefit to the fund. Of course, there are no guarantees to performance.

More and more Asian companies are starting to pay dividends, and Jason Pidcock aims to take advantage of this. He thinks dividend-paying companies are stronger investments, because it’s a sign these companies care about rewarding their shareholders by sharing profits with them.

Jason Pidcock looks for companies that pay an attractive income now but also have the potential to grow dividends over the long term. He likes companies run by robust management teams, which generate plenty of cash. Ultimately this is what supports dividends over the long run.

The fund is focused on larger businesses in developed Asian markets, such as Singapore and Australia, as well as some emerging markets such as Taiwan. Investing in emerging markets increases risk. Pidcock also invests in a fairly small number of companies, which increases risk.