Key Investor Information DocumentGlossary

ACD JPMorgan Funds Limited, the Authorised Corporate Director.

AIM market The AIM market is a sub market of the London Stock Exchange and is primarily designed forsmaller or early stage companies.

American Depository Receipt (ADR) A type of investment that trades on US stock exchanges but represents a specified numberof the underlying shares of a non-US company.

Asset Backed Security An interest in a pool of assets, such as credit card debt or car loans, which is structured asa Debt Security. Asset Backed Securities derive cash flow and credit characteristics from apool of underlying assets.

Below Investment Grade A Bond or other Debt Security that is rated below BBB-/Baa3 by Standard & Poor’s or Moody’srespectively, or otherwise similarly rated by another independent credit rating agency,indicating a reduced creditworthiness and increased risk of default by the issuer comparedto Investment Grade Bonds or other Debt Securities. It will usually offer a higher yield tocompensate for the increased risk of default by the issuer. Also referred to as ‘High Yield’.

Benchmark A point of reference against which the performance, risk characteristics or composition of aFund may be measured, unless otherwise stated. The resemblance of the portfolio of a Fundto that of its Benchmark may vary from Fund to Fund, depending on factors such as the riskprofile, investment objective and investment restrictions of the Fund, and the concentrationof constituents in the Benchmark.

Where an equity index used as a Benchmark is stated as ‘Net’, this means that it has beencalculated net of withholding tax on dividends paid by the companies comprised in the index.Unless a rate of withholding tax is specified alongside the Benchmark name, or theBenchmark relates solely to the UK Equity market (e.g. FTSE All-Share Index or FTSE 100Index), the rates of withholding tax used will be as per the standard published approach ofthe index vendor and may be at a higher rate than that suffered by the relevant Fund in respectof income received on its underlying holdings.

Benchmark Regulation

Bond

Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016on indices used as benchmarks in financial instruments and financial contracts or tomeasure the performance of investment funds (and amending Directives 2008/48/ECand 2014/17/EU and Regulation (EU) No 596/2014).

A type of investment whereby one party (the buyer) lends money to another party (the issuer)in exchange for the right to receive an interest rate payment (Coupon) and, at maturity, theprincipal amount or face value. Bonds can be classified by the type of interest rate paid (fixedor floating (variable) rate or Index-Linked) and by the type of issuer (corporate andgovernment). Bonds may also be referred to as ‘Debt Securities’, ‘fixed interest securities’,government securities, Index-Linked or ‘interest-bearing securities’.

Class or Classes In relation to Shares, means (according to the context) all of the Shares related to a singleFund or a particular Class of Share related to a single Fund.

Commodity Index Instrument A type of Financial Derivative Instrument (commonly a total return swap) which providesexposure to indices of commodity prices.

Company/Companies JPMorgan Fund ICVC, JPMorgan Fund II ICVC or JPMorgan Fund III ICVC, as relevant to thecontext or Fund concerned.

noitinifeDsmreT

China-Hong Kong Stock ConnectProgrammes

These are securities trading and clearing-linked programmes aimed at achieving mutualstock market access between mainland China and Hong Kong.

2

Coupon A Coupon payment on a Bond or other Debt Security is a periodic payment of interest to theholder during the time between when the Bond or Debt Security is issued and when itmatures.

Credit Linked Note A Credit Linked Note is a Structured Product that provides credit exposure to a referencecredit instrument (such as a Bond).

Dealing Day Monday to Friday (except for, unless the ACD otherwise decides, the last working day beforeChristmas Day or New Year’s Day and a bank holiday in England and Wales) and other daysat the ACD’s discretion.

Debt Security Debt Securities include a range of investments; the most common of these are Bondswhereby one party (the buyer) lends money to another party (the issuer) in exchange for theright to receive an interest rate payment (Coupon) and, at maturity, the principal amount orface value. Debt Securities can be classified by the type of interest rate paid (fixed or floating(variable) rate or Index-Linked) and by the type of issuer (corporate and government). DebtSecurities include for example Bonds, debentures and capital notes.

Depositary National Westminster Bank Plc, the depositary of the Companies.

Derivative See Financial Derivative Instruments

Efficient Portfolio Management An investment technique aimed at either reducing risk, reducing cost or generating additionalcapital or income with a level of risk consistent with the risk profile of the relevant Fund.

Emerging Markets Emerging Markets are typically those of less developed countries with relatively low per capitaincome, often with above-average economic growth potential but involving greater volatilityand higher risks than established markets.

Equity/Equity Security A type of investment that represents an interest in a company. Equity exposure may beachieved through investment in shares, depository receipts, warrants and other participationrights. Subject to the foregoing, Equity exposure may also be achieved, to a limited extent,through investment in Convertible Securities, index and Participation Notes and Equity-LinkedSecurities.

Equity-Linked Securities Equity-Linked Securities are securities which achieve exposure to Equities (see above) andmay include Convertible Securities, American Depositary Receipts (ADRs), Global DepositaryReceipts (GDRs) equity linked notes and Participation Notes.

Exchange Traded Commodities An Exchange Traded Commodity (ETC) is a security which tracks the performance of anunderlying commodity or basket of commodities and is traded on a stock market.

Exchange Traded Funds An Exchange Traded Fund is a type of investment that represents a pool of securities whichtypically track the performance of an index or basket of assets. An Exchange Traded Fundis traded on a stock exchange.

Financial Derivative Instruments Types of investment which derive their value from the value and characteristics of one ormore underlying assets such as a security, an index or an interest rate. They are leveraged,therefore a small movement in the value of the underlying asset can cause a large movementin the value of the Financial Derivative Instrument. Also known as ‘derivatives’. See Leverage.

FCA The Financial Conduct Authority, of 25 The North Colonnade, Canary Wharf, London, E145HS or any successor or replacement regulator.

Fund A sub-fund of the relevant Company (being part of the Scheme Property of that Companywhich is pooled separately) and to which specific assets and liabilities of that Company maybe allocated and which is invested in accordance with the investment objective applicable tosuch sub-fund.

noitinifeDsmreT

Convertible Bond/Security A type of investment that can be exchanged for a set number of shares, usually of the issuingcompany, at a predetermined price or date.

Conversion In relation to Shares, means the conversion of Shares in one Class in a Fund to Shares ofanother Class in the same Fund.

3

Hedged Shares A Class or Classes of Shares which allow the use of currency hedging transactions to reducethe effect of exchange rate fluctuations.

High Yield Bond See Below Investment Grade

ICVC Investment company with variable capital.

Index-Linked Debt Security A type of Debt Security where regular Coupon payments and the principal amount payableat maturity are adjusted in line with movements in a particular index e.g. the Retail PricesIndex (RPI).

Investment Adviser JPMorgan Asset Management (UK) Limited, the investment adviser to the Companies andthe ACD.

Investment Grade Bonds or other Debt Securities that are deemed by a credit rating agency as more capableof meeting payment obligations than Below Investment Grade Bonds. They are rated at leastBBB-/Baa3 or higher by Standard & Poor’s or Moody’s respectively, or otherwise similarlyrated by another independent credit rating agency, on the basis of creditworthiness or riskof default by the issuer.

Leverage A method of achieving an increased exposure to an underlying asset through the use ofFinancial Derivative Instruments.

Long Position To take Long Positions or have long exposure means holding or buying an asset, either directlyor through the use of Financial Derivative Instruments, with the expectation that the asset willrise in value.

Mortgage Backed Security A specific type of Asset Backed Security where the underlying assets are mortgages.

Net Asset Value or NAV The value of the Scheme Property of a Company (or of any Fund, as the context requires)less the liabilities of that Company (or of the Fund concerned) as calculated in accordancewith the Instrument of Incorporation.

Non-Investment Grade See Below Investment Grade

OTC Derivative A Financial Derivative Instrument traded traded solely over the counter.

Participation Note A type of instrument which derives its value from an underlying financial instrument such asan Equity. Participation Notes involve an OTC Derivative transaction with a third party. Alsoknown as “outperformance notes”.

Performance Fee A Performance Fee is a pre-determined percentage that a Fund may charge per year, overand above the annual fee of the ACD. This fee will normally only be imposed once the Fundexceeds a pre-defined Performance Fee Benchmark, and if it falls below that PerformanceFee Benchmark it will not be charged.

Performance Fee Benchmark A point of reference against which the performance of a Fund is measured for the purposeof calculation of a Performance Fee.

Privacy Policy The Privacy Policy issued by J.P. Morgan Asset Management International Limited onbehalf of itself, its subsidiaries and its affiliates which is available atwww.jpmorgan.com/emea-privacy-policy.

Price The Price per share is the Net Asset Value per Share, including applications of dilutionadjustment where applicable.

Real Estate Investment Trust (“REIT”) A type of investment that is dedicated to owning, and in most cases, managing real estate.This may include, but is not limited to, real estate in residential (apartments), commercial(shopping centres, offices) and industrial (factories, warehouses) sectors. Certain REITs mayalso engage in real estate financing transactions and other real estate development activities.

noitinifeDsmreT

Global Depositary Receipt (GDR) A type of investment issued by a bank representing ownership of a specified number ofunderlying shares of a foreign company. GDRs are commonly used to invest in companiesfrom developing or Emerging Markets.

4 GB 03/18

Scheme Property The property of a Company, or of a Fund where appropriate, to be given for safe-keeping tothe Depositary.

Share or Shares A Share or Shares in a Company (including larger denomination Shares and smallerdenomination Shares). A reference to a Share or Shares shall include a reference to either aregistered Share or a bearer Share, as appropriate.

Shareholder(s) Holder(s) of registered Shares or bearer Shares in a Company.

Shares of a Fund Shares relating to a particular Fund.

Short Position The use of Financial Derivative Instruments to generate a positive return if the price of theunderlying asset falls.

Short Selling The taking of a Short Position (see above).

Structured Product A type of investment based on a basket of underlying securities such as Equities or Bondsor other Debt Securities or Financial Derivative Instruments where the return is linked to theperformance of the underlying securities or index.

Switch The exchange of Shares of one Class in a Fund for Shares of a Class in another Fund.

UCITS Schemes Schemes which qualify as undertakings for collective investments in transferable securitiesas set out in the European Council Directive 85/611/EEC (as amended).

Unrated Security A Bond or other Debt Security which has not been rated by any recognised credit ratingagency.

noitinifeDsmreT

JPMorgan Asset Management Marketing Limited is authorised and regulated by the Financial Conduct Authority. Registered in England No: 288553.Registered Office: 25 Bank St, Canary Wharf, London E14 5JP.

Retail Prices Index An inflation indicator that measures the change in the general level of prices charged on afixed basket of goods and services bought for the purpose of retail consumption in the UK.The inflation rate used in the UK by the Bank of England in making interest rate decisions isthe Consumer Prices Index (CPI). This is calculated slightly differently to the RPI. A keydifference between the RPI and the CPI is that the RPI includes mortgage interest paymentsand other housing costs whilst the CPI does not. This generally results in the RPI being moresusceptible to changes in mortgage rates than the CPI.