4th August 2011

John Chatfeild-Roberts, CIO of Jupiter Asset Management, comments on recent falls in markets:

"The recent sell off in equity markets has been mainly driven by investor concerns that the global economy is now slowing. Economic leading indicators remain under pressure at a time when many emerging market central banks are raising interest rates in a concerted effort to contain inflation, albeit at the expense of a slowdown in domestic consumption growth. 

"This is, in my view, the correct action to take to ensure that their long term structural growth prospects remain intact and are not de-railed. The European sovereign debt crisis is also a major concern that investors are rightly worrying about and one which is unlikely to resolve itself soon.

"It is at difficult times like these that we have to remind ourselves that companies are generally in excellent health. By way of example, two-thirds of the US companies in the S&P 500 Index have now reported Q2 earnings and 73% of those have exceeded analyst expectations.  That said, they are understandably making cautious outlook statements to the market.

"Our view is that as always in investment, patience is required, and that volatility in share prices creates opportunities. At Jupiter, our approach to making money for our investors is to try to identify those companies that are likely to do well over the medium to long term and emerge from difficult periods such as these in stronger positions than they entered it."

Note:
Jupiter Unit Trust Managers Limited (JUTM) and Jupiter Asset Management Limited (JAM) are both authorised and regulated by the Financial Services Authority 25 North Colonnade, Canary Wharf, London E14 5HS. JAM and JUTM's registered address is 1 Grosvenor Place, London SW1X 7JJ. The group is collectively known as "Jupiter". The above commentary represents the views of the Fund Manager at the time of preparation and may be subject to change. They are not necessarily those of Jupiter as a group and readers should be aware that they should not be interpreted as investment advice. Every effort is made to ensure the accuracy of any information provided but no assurances or warranties are given.