Summary
Prospectus March 1, 2024
| JPMorgan International Equity Fund Class/Ticker: R2/JIEZX R5/JIERX R6/JNEMX
|
Before you invest, you may want
to review the Fund’s Prospectus, which contains more information about the Fund and its risks. You can find the Fund’s Prospectus and other
information about the Fund, including the Statement of Additional Information, online at www.jpmorganfunds.com. You can also get this information at no cost
by calling 1-800-480-4111 or by sending an e-mail request to Funds.Website.Support@jpmorganfunds.com or by asking any financial intermediary that offers shares of the Fund. The Fund’s Prospectus and Statement of Additional Information, both dated March 1, 2024, as may be supplemented from time to time are incorporated by reference into this Summary Prospectus.
What is the goal of the
Fund?
The Fund seeks total return from long-term capital growth and
income. Total return consists of capital growth and current income.
Fees and Expenses of the Fund
The following tables describe the fees and expenses that you may pay if you buy, hold and sell shares of the Fund. You may pay other fees, such as brokerage commissions
and other fees to financial intermediaries, which are not reflected in the table and examples
below.
| ANNUAL FUND OPERATING EXPENSES
(Expenses that you pay each year as a percentage of the
value of your investment) |
|||
| |
Class R2 |
Class R5 |
Class R6 |
| Management Fees |
0.50% |
0.50% |
0.50% |
| Distribution (Rule 12b-1) Fees |
0.50 |
NONE |
NONE |
| Other Expenses |
0.51 |
0.21 |
0.10 |
| Service Fees |
0.25 |
0.10 |
NONE |
| Remainder of Other Expenses |
0.26 |
0.11 |
0.10 |
| Total Annual Fund Operat- ing Expenses |
1.51 |
0.71 |
0.60 |
| Fee Waivers and/or Expense Reimbursements1
|
-0.26 |
-0.11 |
-0.10 |
| Total Annual Fund Operat- ing Expenses after Fee Waivers and/or Expense Reimbursements1
|
1.25 |
0.60 |
0.50 |
1
The Fund’s adviser and/or its affiliates have contractually agreed to waive fees and/or reimburse expenses
to the extent Total Annual Fund Operating Expenses (excluding acquired fund fees and expenses other than certain money market fund fees as described below, dividend and interest expenses related to short sales, interest,
taxes, expenses related to litigation and potential litigation, expenses related to trustee elections, and extraordinary expenses) exceed 1.25%, 0.60% and 0.50% of the average daily net assets of Class R2, Class R5 and Class R6
Shares, respectively. The Fund may invest in one or more money market funds advised by the adviser or its affiliates (affiliated money market funds). The Fund’s adviser, shareholder servicing agent and/or administrator have
contractually agreed to waive fees and/or reimburse expenses in an amount sufficient to offset the respective net fees each collects from the affiliated money market funds on the Fund’s investment in such money market funds.
These waivers are in effect through 2/28/25, at which time it will be determined whether such waivers will be renewed or revised. To the extent that the
Fund engages in securities lending, affiliated money market fund fees and expenses resulting from the Fund’s investment of cash received from securities lending borrowers are not included in
Total Annual Fund Operating
Expenses and therefore, the above waivers do not apply to such investments.
Example
This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in
other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods
indicated. The Example also assumes that your investment has a 5% return each year and that the Fund’s operating expenses are equal to the total annual fund operating expenses after fee waivers and expense
reimbursements shown in the fee table through 2/28/25 and total annual fund operating expenses
thereafter. Your actual costs may be higher or lower.
| WHETHER OR NOT YOU SELL YOUR SHARES, YOUR COST
WOULD BE: | ||||
| |
1 Year |
3 Years |
5 Years |
10 Years |
| CLASS R2 SHARES ($) |
127 |
452 |
799 |
1,779 |
| CLASS R5 SHARES ($) |
61 |
216 |
384 |
872 |
| CLASS R6 SHARES ($) |
51 |
182 |
325 |
740 |
Portfolio Turnover
The Fund pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its portfolio). A higher portfolio turnover rate may
indicate higher transaction costs and may result in higher taxes when Fund shares are held in a
taxable account. These costs, which are not reflected in annual fund operating expenses or in the
Example, affect the Fund’s performance. During the Fund’s most recent fiscal year, the
Fund’s portfolio turnover rate was 45% of the average value of its portfolio.
1
What are the Fund’s
main investment strategies?
Under normal conditions, the Fund will
invest at least 80% of the value of its Assets in equity investments. “Assets” means net assets, plus the amount of borrowings for investment purposes. The Fund will primarily invest in foreign
companies of various market capitalizations, including foreign subsidiaries of U.S.
companies.
The equity securities in which the Fund may invest include, but are not limited to, common stock, preferred
stock, convertible securities, trust or partnership interests, depositary receipts and warrants
and rights.
The Fund may invest in securities denominated in
U.S. dollars, other major reserve currencies, such as the euro, yen and pound sterling, and
currencies of other countries in which it can invest.
The Fund may invest in securities across all market capitalizations, although the Fund may invest a
significant portion of its assets in companies of any one particular market capitalization
category.
The Fund may utilize currency forwards to manage currency exposure of its foreign investments relative to its
benchmark. The Fund may also use exchange-traded futures for the efficient management of cash
flows.
Investment Process: In managing the Fund, the adviser
will seek to help manage risk in the Fund’s portfolio by investing in issuers in at least
three different countries other than the United States. However, the Fund may invest a substantial part of its assets in just one region or country.
The Fund intends to invest in companies (or governments) in the following countries or regions: the Far East
(including Japan, Hong Kong, Singapore and Malaysia), Western Europe (including the United
Kingdom, Germany, the Netherlands, France, Switzerland, Italy, Scandinavia and Spain), Australia, Canada and other countries or areas that the adviser may select from time to time. A substantial part of the Fund’s
assets may be invested in U.S. companies based in countries that are represented in the Morgan
Stanley Capital International (MSCI), Europe, Australasia and Far East (EAFE) Index1. However, the Fund may also invest in companies or governments in emerging markets.
The adviser may adjust the Fund’s exposure to each currency based on its view of the markets and
issuers. The adviser will decide how much to invest in the securities of a particular country or
currency by evaluating the yield and potential growth of an investment, as well as the relationship between the currency and the U.S. dollar. The adviser may increase or decrease the emphasis on a type of security,
sector, country or currency, based on its analysis of a variety of economic factors, including
fundamental economic strength, earnings growth, quality of management, sector growth, credit quality and interest rate trends. The Fund may purchase securities where the issuer is located in one country but the security is
denominated in the currency of another. As part of its investment process, the adviser seeks to
assess the impact of environmental, social and governance (ESG) factors on many issuers in the universe in which the Fund may invest. The adviser’s assessment is based on an analysis of key opportunities and
risks across industries to seek to identify financially material issues with respect to the
Fund’s investments in securities and
ascertain key issues that merit engagement with issuers. These assessments may not be conclusive
and securities of issuers that may be negatively impacted by such factors may be purchased and retained by the Fund while the Fund may divest or not invest in securities of issuers that may be positively impacted by such
factors.
The Fund’s Main Investment
Risks
The Fund is subject to management risk and may not achieve
its objective if the adviser’s expectations regarding particular instruments or markets are
not met.
The Fund is subject to the main risks noted below, any of which may
adversely affect the Fund’s performance and ability to meet its investment objective.
Equity Market Risk. The price of equity securities may rise or fall because of changes in the broad market or changes in a
company’s financial condition, sometimes rapidly or unpredictably. These price movements
may result from factors affecting individual companies, sectors or industries selected for the
Fund’s portfolio or the securities market as a whole, such as changes in economic or
political conditions. When the value of the Fund’s portfolio securities goes down, your investment in the Fund decreases in value.
General Market Risk. Economies and financial markets throughout the world are becoming increasingly interconnected, which increases the likelihood that events or
conditions in one country or region will adversely impact markets or issuers in other countries
or regions. Securities in the Fund’s portfolio may underperform in comparison to securities in general financial markets, a particular financial market or other asset classes due to a number of factors, including inflation
(or expectations for inflation), deflation (or expectations for deflation), interest rates,
global demand for particular products or resources, market instability, financial system instability, debt crises and downgrades, embargoes, tariffs, sanctions and other trade barriers, regulatory events, other governmental
trade or market control programs and related geopolitical events. In addition, the value of the
Fund’s investments may be negatively affected by the occurrence of global events such as war, terrorism, environmental disasters, natural disasters or events, country instability, and infectious disease epidemics or
pandemics.
Foreign Securities and Emerging
Markets Risk. Investments in foreign issuers and foreign securities (including depositary receipts) are subject to additional risks, including political and economic risks, unstable governments, civil
conflicts and war, greater volatility, decreased market liquidity, expropriation and
nationalization risks, sanctions or other measures by the United States or other governments,
currency fluctuations, higher transaction costs, delayed settlement, possible foreign controls on
investment, and less stringent investor protection and disclosure standards of foreign markets. In certain markets
1MSCI EAFE Index is a registered service mark of MSCI, Inc., which does not sponsor and is in no way affiliated with the Fund.
2
where securities and other instruments are
not traded “delivery versus payment,” the Fund may not receive timely payment for
securities or other instruments it has delivered or receive delivery of securities paid for and
may be subject to increased risk that the counterparty will fail to make payments or delivery
when due or default completely. Foreign market trading hours, clearance and settlement
procedures, and holiday schedules may limit the Fund’s ability to buy and sell securities.
Events and evolving conditions in certain economies or markets may alter the risks associated with investments tied to countries or regions that historically were perceived
as comparatively stable becoming riskier and more volatile. These risks are magnified in
“emerging markets.” Emerging market countries typically have less established market economies than developed countries and may face greater social, economic, regulatory and political uncertainties. In
addition, emerging markets typically present greater illiquidity and price volatility concerns
due to smaller or limited local capital markets and greater difficulty in determining market valuations of securities due to limited public information on issuers. Certain emerging market countries may be subject to less
stringent requirements regarding accounting, auditing, financial reporting and record keeping and
therefore, material information related to an investment may not be available or reliable. Additionally, the Fund may have substantial difficulties exercising its legal rights or enforcing a counterparty’s legal
obligations in certain jurisdictions outside of the United States, in particular in emerging
markets countries, which can increase the risks of loss.
Geographic Focus Risk. The Fund may focus its investments in one or more regions or small groups of countries. As a result, the Fund’s performance may be subject to
greater volatility than a more geographically diversified fund.
European Market Risk. The Fund’s performance will
be affected by political, social and economic conditions in Europe, such as growth of the
economic output (the gross national product), the rate of inflation, the rate at which capital is reinvested into European economies, the success of governmental actions to reduce budget deficits, the resource
self-sufficiency of European countries and interest and monetary exchange rates between European
countries. European financial markets may experience volatility due to concerns about high government debt levels, credit rating downgrades, rising unemployment, the future of the euro as a common currency, possible
restructuring of government debt and other government measures responding to those concerns, and
fiscal and monetary controls imposed on member countries of the European Union. The risk of investing in Europe may be heightened due to steps taken by the United Kingdom to exit the European Union. On January
31, 2020, the United Kingdom officially withdrew from the European Union. As of May 1, 2021, the
EU-UK Trade and Cooperation Agreement (TCA) governs certain aspects of the European Union’s and the United Kingdom’s relationship, many of which are still to be determined, including those related to
financial services. Notwithstanding the TCA, significant uncertainty remains in the market
regarding the ramifications of the United Kingdom’s withdrawal from the European Union. The impact on the United Kingdom and European economies and the broader global economy could be significant, resulting in increased
volatility and illiquidity, currency fluctuations, impacts on arrangements for trading and on
other existing cross-border cooperation arrangements (whether economic, tax, fiscal, legal, regulatory or otherwise), and in potentially lower growth for companies in
the United Kingdom, Europe and globally, which could have an adverse effect on the value of the Fund’s investments. In addition, if one or more other countries were
to exit the European Union or abandon the use of the euro as a currency, the value of investments
tied to those countries or the euro could decline significantly and unpredictably.
Japan Risk. The Japanese economy may be subject to
economic, political and social instability, which could have a negative impact on Japanese
securities. In the past, Japan’s economic growth rate has remained relatively low, and it may remain low in the future. Furthermore, the Japanese economic growth rate could be impacted by Bank of Japan’s
monetary policies, rising interest rates, tax increases, budget deficits, consumer confidence and
volatility in the Japanese yen. At times, the Japanese economy has been adversely impacted by government intervention and protectionism, changes in its labor market, and an unstable financial services sector.
International trade, government support of the financial services sector and other troubled
sectors, government policy, natural disasters, an aging demographic and declining population and/or geopolitical developments associated with actual or potential conflicts with one or more countries in Asia could
significantly affect the Japanese economy. Strained foreign relations with neighboring countries
(China, South Korea, North Korea and Russia) may not only negatively impact the Japanese economy, but also the geographic region as well as globally. A significant portion of Japan’s trade is conducted with
developing nations and can be affected by conditions in these nations or by currency
fluctuations. Japan is an island state with few natural resources and limited land area and is
reliant on imports for its commodity needs. Any fluctuations or shortages in the commodity markets
could have a negative impact on the Japanese economy. In addition, Japan's economy has in the
past and could in the future be significantly impacted by natural disasters.
Smaller Company Risk. Investments in securities of
smaller companies (mid cap and small cap companies) may be riskier, less liquid, more volatile
and more vulnerable to economic, market and industry changes than securities of larger, more
established companies. The securities of smaller companies may trade less frequently and in
smaller volumes than securities of larger companies. As a result, changes in the price of
securities issued by such companies may be more sudden or erratic than the prices of securities
of large capitalization companies, especially over the short term. These risks are higher for small
cap companies.
Derivatives Risk. Derivatives, including swaps, currency forwards and futures, may be riskier than other types of investments because they may be more sensitive to changes in
economic or market conditions than other types of investments and could result in losses that
significantly exceed the Fund’s original investment. Many derivatives create leverage thereby causing the Fund to be more volatile than it would be if it had not used derivatives. Certain derivatives also expose
the Fund to counterparty risk (the risk that the derivative counterparty will not fulfill its
contractual obligations), including the credit risk of the derivative counterparty. Certain derivatives are synthetic instruments that attempt to replicate performance of certain reference assets. With regard to such
derivatives, the Fund does not have a claim on the reference assets and is subject to enhanced
counterparty risk. Derivatives may not perform as expected, so the Fund may not realize the intended benefits. When used for hedging, the change in a value of a derivative
3
may not correlate as expected with he
security or other risk bring hedged. In addition, given their complexity, derivatives expose the
Fund to risks of mispricing or improper valuation. Derivatives also can expose the Fund to derivative liquidity risk, which includes the risks involving the liquidity demands that derivatives can create to make payments of
margin, collateral, or settlement payments to counterparties, legal risk, which includes the risk
of loss resulting from insufficient or unenforceable contractual documentation, insufficient capacity or authority of a Fund’s counterparty and operational risk, which includes documentation or settlement issues,
system failures, inadequate controls and human error.
Currency Risk. Changes in foreign currency exchange rates will affect the value of the Fund’s securities and the price of the Fund’s shares. Generally, when the
value of the U.S. dollar rises in value relative to a foreign currency, an investment impacted by
that currency loses value because that currency is worth less in U.S. dollars. Currency exchange rates may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates.
Devaluation of a currency by a country’s government or banking authority also will have a
significant impact on the value of any investments denominated in that currency. Currency markets
generally are not as regulated as securities markets, may be riskier than other types of
investments and may increase the volatility of the Fund. Although the Fund may attempt to hedge its currency exposure into the U.S. dollar, it may not be successful in reducing the effects of currency fluctuations. The Fund may
also hedge from one foreign currency to another. In addition, the Fund’s use of currency
hedging may not be successful, including due to delays in placing trades and other operational limitations, and the use of such strategies may lower the Fund’s potential returns.
Industry and Sector Focus Risk. At times, the Fund may increase the relative emphasis of its investments in a particular industry or sector. The prices of securities of
issuers in a particular industry or sector may be more susceptible to fluctuations due to changes
in economic or business conditions, government regulations, availability of basic resources or supplies, contagion risk within a particular industry or sector or to other industries or sectors, or other events that affect
that industry or sector more than securities of issuers in other industries and sectors. To the
extent that the Fund increases the relative emphasis of its investments in a particular industry or sector, the value of the Fund’s shares may fluctuate in response to events affecting that industry or sector.
Transactions Risk. The Fund could experience a loss and its liquidity may be negatively impacted when selling securities to
meet redemption requests. The risk of loss increases if the redemption requests are unusually
large or frequent or occur in times of overall market turmoil or declining prices. Similarly,
large purchases of Fund shares may adversely affect the Fund’s performance to the extent
that the Fund is delayed in investing new cash and is required to maintain a larger cash position than it ordinarily would.
You could lose money investing in the Fund.
The Fund’s Past
Performance
This section provides some indication of the risks of
investing in the Fund. The bar chart shows how the performance of the Fund’s Class R5 Shares has varied from year to year for the past ten calendar years. The table shows the
average annual total returns over the past one year, five years and ten years. The table compares the Fund’s performance to the performance of the MSCI Europe, Australasia and Far East
(EAFE) Index (net total return). The MSCI EAFE Index does not include the fees and expenses of
the mutual funds in the index. Past performance (before and after taxes) is not necessarily an
indication of how the Fund will perform in the future. Updated performance
information is available by visiting
www.jpmorganfunds.com or by calling 1-800-480-4111.
Source: MSCI. The MSCI information may only be used for your internal use,
may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information
is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and
analysis should not be taken as an indication or guarantee of any future performance analysis, forecast, or prediction. The MSCI information is provided on an “as is” basis and the
user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person
involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of
originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the
foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages.
(www.msci.com)
| YEAR-BY-YEAR RETURNS — CLASS R5 SHARES |
| Best Quarter |
2nd quarter, 2020 |
17.37% |
| Worst Quarter |
1st quarter, 2020 |
-22.10% |
4
| AVERAGE ANNUAL TOTAL RETURNS
(For periods ended December 31, 2023) |
|||
| |
Past
1 Year |
Past
5 Years |
Past
10 Years |
| CLASS R5 SHARES |
|
|
|
| Return Before Taxes |
18.02 % |
8.90 % |
4.32 % |
| Return After Taxes on Distributions |
17.39 |
8.18 |
3.71 |
| Return After Taxes on Distributions and Sale of Fund Shares |
11.12 |
7.10 |
3.41 |
| CLASS R2 SHARES |
|
|
|
| Return Before Taxes |
17.26 |
8.19 |
3.63 |
| CLASS R6 SHARES |
|
|
|
| Return Before Taxes |
18.14 |
9.03 |
4.41 |
| MSCI EAFE INDEX (Net Total Return) (Reflects No Deduction for Fees, Expenses, or Taxes, Except Foreign With- holding Taxes) |
18.24 |
8.16 |
4.28 |
After-tax returns are shown only for the Class R5 Shares and after-tax returns for the other classes will vary. After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect
the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown. The after-tax returns shown are not relevant
to investors who hold their shares through tax-deferred arrangements such as 401(k) plans or
individual retirement accounts.
Management
J.P. Morgan Investment Management Inc. (the adviser)
| Portfolio Manager |
Managed the Fund Since |
Primary Title with
Investment Adviser |
| Thomas Murray |
2004 |
Managing Director |
| Shane Duffy |
2013 |
Managing Director |
| James Sutton |
2020 |
Executive Director |
| Zenah Shuhaiber |
2022 |
Executive Director |
Purchase and Sale of Fund Shares
| For Class R6 Shares |
|
| To establish an account |
$5,000,000 for Discretionary Accounts |
| |
$5,000,000 for Institutional Investors |
| |
$15,000,000 for Other Investors |
| To add to an account |
No minimum levels |
In general, you may purchase or redeem shares on any business day:
•
Through your Financial Intermediary or the eligible retirement plan or college savings plan through which you invest in the Fund
•
By
writing to J.P. Morgan Funds Services, P.O. Box 219143, Kansas City, MO 64121-9143
•
After you open an account, by calling J.P. Morgan Funds Services at 1-800-480-4111
Tax Information
The Fund intends to make distributions that may be taxed as ordinary income or capital gains, except when your
investment is in a 401(k) plan or other tax-advantaged investment plan, in which case you may be
subject to federal income tax upon withdrawal from the tax-advantaged investment plan.
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase shares of the Fund through a broker-dealer or other financial intermediary (such as a bank),
the Fund and its related companies may pay the financial intermediary for the sale of Fund shares
and related services. These payments may create a conflict of interest by influencing the broker-dealer or financial intermediary and your salesperson to recommend the Fund over another investment. Ask your
salesperson or visit your financial intermediary’s website for more information.
5
SPRO-IE-R2R5R6-324