Jupiter’s Gold & Silver team reflect on 10 years of investing in monetary metals, their team dynamic, how the market has changed, and their most memorable trips.
Strategy risks
Currency (FX) Risk - The Strategy can be exposed to different currencies and movements in foreign exchange rates can cause the value of investments to fall as well as rise.
Pricing risk - Price movements in financial assets mean the value of assets can fall as well as rise, with this risk typically amplified in more volatile market conditions.
Commodity prices risk - the Strategy’s investments are concentrated in natural resource companies, and may be subject to a greater degree of risk and volatility than a strategy following a more diversified approach. Silver tends to outperform gold in a rising gold price environment and it tends to underperform gold when sentiment moves against the sector.
Market Concentration Risk (Sector) - The strategy’s mining company investments may be exposed to jurisdictions where it is possible that regulation and other government action may negatively impact the value of the investments in the fund. For example, a local government may increase taxes or royalty payments, impose stricter environmental standards and even in some more extreme cases take a stake in or even control of mines.
Derivative risk - the Strategy may use derivatives to generate returns as well as to reduce costs and/or the overall risk of the Strategy. Using derivatives can involve a higher level of risk. A small movement in the price of an underlying investment may result in a disproportionately large movement in the price of the derivative investment.
Liquidity risk - Some investments may be hard to value or sell at a desired time and price. In extreme circumstances this may affect the Strategy’s ability to meet redemption requests upon demand.
Counterparty Default Risk - The risk of losses due to the default of a counterparty on a derivatives contract or a custodian that is safeguarding the fund's assets.
Smaller Companies risk - The Strategy invests in smaller companies, which can be less liquid than investments in larger companies and can have fewer resources than larger companies to cope with unexpected adverse events. In less favourable market conditions these companies may therefore underperform larger companies and the Strategy may under-perform funds that invest predominantly in larger companies.
For a more detailed explanation of risks, please refer to the "Risk Factors" section of the prospectus.
The value of active minds: independent thinking
A key feature of Jupiter’s investment approach is that we eschew the adoption of a house view, instead preferring to allow our specialist fund managers to formulate their own opinions on their asset class. As a result, it should be noted that any views expressed – including on matters relating to environmental, social and governance considerations – are those of the author(s), and may differ from views held by other Jupiter investment professionals.
Important information
Marketing communication. This communication is intended for investment professionals and is not for the use or benefit of other persons, including retail investors. The value of investments and income may go down as well as up and investors may not get back amounts originally invested. Exchange rate changes may cause the value of investments to fall as well as rise. The views expressed are those of the author(s) at the time of preparation, are not necessarily those of Jupiter as a whole and may be subject to change. Every effort is made to ensure the accuracy of any information provided but no assurances or warranties are given. Past performance does not predict future returns. Simulated past performance and past performance more generally does not predict future returns. Forecasts are an estimate of future performance based on evidence from the past on how the value of this investment varies, and/or current market conditions. Forecasts are not a reliable prediction of future returns. What you will get will vary depending on how the market performs and how long you keep the investment/product. Quoted yields are not a guide or guarantee of the expected level of distributions to be received. The yield may fluctuate significantly during times of extreme market and economic volatility. Third-party awards, rankings and recognitions should not be taken as a recommendation or as an indication of future performance. Holding examples are for illustrative purposes only and are not a recommendation to buy or sell. Historical examples are for illustrative purposes only, may not represent current fund holdings, and are not a recommendation to buy or sell.
The Company is an investment company with variable capital established as an umbrella fund with segregated liability between sub-funds which is authorised and regulated by the Central Bank of Ireland pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011, as amended. Registered in Ireland under registration number 271517. Registered office: 33 Sir John Rogerson’s Quay, Dublin 2, Ireland.
Please refer to the latest Prospectus and to the Key Investor Information Document (KIID) (for investors based in the UK) and Key Information Document (KID) (for investors based in the EU) before making any investment decision. Particularly to the sub-fund’s investment objective, characteristics including those related to ESG (if applicable), and additional risk factors.
These documents are available from www.jupiteram.com or from www.eifs.lu/jupiteram.