Last checked at 
LONDON (Alliance News) - JPMorgan American Investment Trust PLC on Wednesday said it expects the US equity market to continue to be a "reasonable place" to invest, despite uncertainty from the upcoming US elections, China's economic slowdown and geopolitical tensions.
"Obviously there is much comment about the forthcoming US elections this year. There is also concern about rates of growth outside the US (particularly in China) as well as worries about geopolitical tensions. Interest rates [in the US] have finally begun to rise, although how far and how fast is very unclear," Chairman Sarah Bates said in a statement.
"Valuations are not cheap. At the same time, the US corporate sector, relative to many other places to invest, looks relatively attractive. Although there are problems in the energy and resource sectors, elsewhere profits kept growing in 2015. Profit expectations for 2016 are currently modest but corporate dividend growth is expected to continue. We expect the US equity market to continue to be a reasonable place to invest given the extraordinary breadth of opportunity it provides," Bates said.
The chairman's comments came as the trust said its net asset value total return in sterling terms rose by 4.7% in 2015, which was below its benchmark, the S&P 500 Index, which returned 6.9%.
Shares in the trust were up 0.7% at 291.10 pence on Wednesday afternoon.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
Copyright 2016 Alliance News Limited. All Rights Reserved.
