LONDON STOCK EXCHANGE ANNOUNCEMENT

JPMORGAN ELECT PLC

HALF YEAR RESULTS FOR THE SIX MONTHS ENDED 28TH FEBRUARY 2011

Chairman's Statement

I am very pleased to report that the Managed Growth and Managed Income portfolios have delivered strong returns in both absolute and relative terms over the six months to 28th February 2011. With its remit of capital preservation, the Managed Cash portfolio also registered positive performance.

Global equity markets delivered very strong performance over the period against a background of highly volatile conditions, as you will see from the individual reports by the investment managers below. These reports give a detailed review of market and portfolio performance, together with the investment managers' views on market outlook for each share class, and I do encourage shareholders to read them.

Managed Growth

Performance

Over the six months to 28th February 2011 the Managed Growth portfolio delivered a total return on net assets of 20.8%. This represents a 3.2 percentage point outperformance of the composite benchmark (comprised equally of the FTSE All-Share and FTSE World (ex-UK) indices) which rose 17.6% over the period. The share price total return was 21.1%, reflecting a narrowing of the discount over the period.

Dividends

An interim dividend of 1.80 pence has been paid to date in the current financial year. Two more interim dividends in respect of the quarters to 28th February and 31st May 2011 will be paid in a single combined payment on 21st June 2011 to shareholders on the register on 27th May 2011. Currently dividends in respect of the Managed Growth share class are paid every six months, each payment combining two quarterly dividend distributions. Following the introduction of quarterly conversion rights, the Board has resolved to pay Managed Growth dividends quarterly from September 2011 onwards.

Share Capital

In the six months to 28th February 2011, 80,000 Managed Growth shares were issued and a total of 838,034 shares were repurchased for cancellation. As is the case for all three share classes, new shares were issued at a premium, and existing shares repurchased at a discount, to net asset value thereby benefiting continuing shareholders. Since the period end, the Company has repurchased a further 367,086 shares for cancellation.

Managed Income

Performance

The Managed Income portfolio produced a total return on net assets of 15.3% over the six months to 28th February 2011. This represents a 1.4 percentage point outperformance of the composite benchmark (comprised of 85% FTSE All-Share Index and 15% Barclays Capital Global Corporate Bond Index (hedged) in sterling terms) which returned 13.9%. The share price total return was 16.3%, again reflecting a narrowing of the discount over the period.

Dividends

Two quarterly dividends totalling 1.85 pence per share have been paid to date in the current financial year. A third quarterly dividend will be paid on 21st June 2011 to shareholders on the register on 27th May 2011. The amount of the dividend payment will be notified to shareholders in May 2011. Due to the frequency and timing of distributions from the underlying investments, the quarterly dividends are unlikely to be of equal amounts.

The Board continues to monitor closely the earnings generated by this portfolio. The outlook for UK dividend payments has improved recently, especially in light of the news from BP that its dividend distributions have been reinstated. Current estimates indicate that the portfolio will earn sufficient income to maintain last year's dividend of 3.30 pence per share, albeit with a minimal distribution from the revenue reserve. Current forecasts for 2012 suggest dividend payments will continue the upward trend, although given the current economic uncertainties this is by no means guaranteed. It is the intention of the Board to return to a pattern of annual increases when market conditions permit.

Dividends on the Managed Income shares are paid quarterly in March, June, September and December each year.

Share Capital

In the six months to 28th February 2011, a total of 579,615 Managed Income shares were repurchased for cancellation. Since the period end, the Company has repurchased a further 171,485 shares for cancellation.

Managed Cash

Performance

The Managed Cash portfolio produced a total return on net assets of +0.3% over the six months to 28th February 2011. The total return to shareholders was +0.4%. In accordance with its investment objective to preserve capital and deliver a yield based on short term interest rates, the assets of the Managed Cash portfolio remain invested in sterling liquidity funds with a credit rating of AAA (or equivalent).

Dividends

Shareholders will not have to be reminded that returns on cash continue at historically low levels, which means that the Directors have to balance the frequency of payments against the cost of distribution. Over the last year a sufficient reserve has been accumulated to enable the payment of a dividend of 0.15 pence per share. A return to quarterly dividends should not be expected whilst interest rates remain low, and a decision on timing and amount of any future dividend will be taken with both costs of distribution and amount available in mind.

When payable, dividends on the Managed Cash shares are paid quarterly in March, June, September and December each year.

Share Capital

In the six months to 28th February 2011, a total of 425,000 Managed Cash shares were repurchased for cancellation. Since the period end, the Company has repurchased a further 100,000 shares for cancellation.

Conversion Opportunities

Shareholders are reminded that they are able to convert all or part of any class of holding into any other class at the end of February, May, August and November, each year. The next opportunity to convert is on 31st May 2011. Details of how to convert can be found in the half-year report and on the Company's website, www.jpmelect.co.uk.

Communication with shareholders

I always welcome comments from shareholders either in writing or via the Company's website. Please address your letters to me at the Company's registered office, or follow the 'Ask the Chairman' link on the Company's website.

Simon Miller

Chairman

19th April 2011

Investment Managers' Reports

Managed Growth

Market Review

The six months under review were positive for equity markets. The period began with concerns over whether the global economic recovery was stalling following a slowdown in leading economic indicators over the summer and whether/when the US Federal Reserve (the 'Fed') would introduce a second round of quantitative easing. The Fed announced the resumption of its asset purchase programme in November by stating it intended to buy $600 billion of Treasury securities by the end of the second quarter of 2011. There was further debate as to whether this round of quantitative easing would work as intended and how to judge its success. However, markets certainly took comfort from the extraordinary policy action and better economic data.

In local currency terms US equities were the clear winner over the period with Asian, emerging market and European equities lagging. The underperformance of Asian equities and emerging markets has come mainly since the start of the year. The issues that dominated the debate were the divergence between the growth outlook in core Europe versus peripheral Europe, ongoing solvency concerns for Greece, Ireland and Portugal in particular, civil unrest in the Middle East and the ongoing inflation pressures in emerging markets. Looking at currency movements the US dollar and Japanese yen weakened against sterling, reducing equity market returns to sterling investors; but the euro strengthened against sterling thereby mitigating the local market underperformance.

Equity market valuations look good to fairly valued on a price to earnings basis for the markets in which we invest when compared to historic multiples, with markets trading at small discounts to their long run forward price to earnings multiples. One note of caution was that earnings momentum, as measured by the ratio of upgrades to downgrades, was starting to slow in some markets.

Performance Review

The Managed Growth portfolio delivered a return on net assets of 20.8% over the period, ahead of its benchmark return of 17.6%. The return to shareholders was 21.1% as the discount narrowed slightly.

Total returns to 28th February 2011

The main driver of outperformance over the six months was the performances generated from the underlying funds. There were strong relative performances from JPMorgan UK Dynamic and JPMorgan Claverhouse, JPMorgan American, JPMorgan Europe (Growth) and JPMorgan Asian investment trusts. Of the third party managers the best relative performances came from Jupiter European Opportunities, Artemis Alpha, Hansa Trust and SVM UK Active. While in general this was a good period for relative performances some holdings were a little disappointing.

Discounts tightened across the broader market and the portfolio benefited from tightening in some positions such as Gartmore Irish, RCM Technology and the smaller companies trusts.

Regional asset allocation was, on balance, a detractor from returns over this period. While the underweight position in UK equities contributed to relative performance, Asian and emerging markets exposure, having been a benefit in the first half of the period, detracted from returns in 2011.Mid cap and small cap equities outperformed large cap equities in all the main regions and although the positioning was reduced following strong performances from our holdings, we remain overweight compared to the benchmark exposure.

Portfolio Activity

At the end of February 2011 the portfolio was 55% invested in J.P.Morgan managed investment trusts, 27% invested in third party investment trusts and 17% in J.P.Morgan open ended funds. The balance was in cash.

This was a busy period for the portfolio.We added to a number of investment trusts on wider discounts such as JPMorgan Smaller Companies, JPMorgan Japanese, Schroder UK Growth and JPMorgan Claverhouse at the beginning of the period and reduced some positions on tighter discounts that had performed strongly such as JPMorgan Brazil and Finsbury Growth & Income. As a result of disappointing performance Alliance Trust and Dolphin Capital Investors were sold. At the end of the period we took profits in some of those trusts where we had been opportunistically buying in the Autumn, for instance reducing JPMorgan Smaller Companies following a greater than 30% return. New holdings in the portfolio were taken in BlackRock Frontiers and Ecofin Power & Water. We also took profits in Artemis Alpha, Schroder UK Growth and RCM Technology in January and February as well as adding back to JPMorgan UK Dynamic. Corporate activity was high with Gartmore Irish announcing a wind-up, Gartmore Growth Opportunities offering a cash exit and also a rollover over into Artemis Alpha (the Managed Growth portfolio was a shareholder of both trusts) and a hedge fund manager buying a material stake in SVM UK Active and, at the time of writing, making a cash offer for the shares of SVM UK Active.

Outlook

Recently, markets have been volatile. In particular Asian equities have been impacted by the high oil price as net energy importing nations, the proximity to Japan after the devastating Tohoku earthquake and tsunami and the more general concerns of inflation pressures in China. In developed markets, we have seen some softness once more in leading indicators and earnings momentum (as measured by the proportion of upgrades to downgrades) in recent weeks but we have continued to see solid earnings numbers from corporates as well as continued merger and acquisition activity which we believe will continue to be supportive for equity markets. We commented earlier that when valuing equity markets on a Price to Earnings basis valuations are reasonable versus history. For the investment trust universe in aggregate we feel that average discounts to net asset values are tight compared to history. Much of this, however is driven by the income oriented strategies which do not really feature in this portfolio and so we are comfortable that we can still buy good investment trusts on reasonable discounts to NAV.

We remain positioned for positive equity markets over the medium term and have retained our exposure to emerging markets. We acknowledge that there may be continued volatility in equity markets in the short term as we see how Europe processes expected interest rate increases, how China copes with continued interest rate rises, how Japan recovers in the aftermath of the earthquake and what impact higher oil prices may have on the global economy. We expect to continue taking advantage of discount volatility in order to add to or reduce our existing positions and will retain our focus on allocating to those managers who we believe can outperform over the long term.

Katy Thorneycroft

Jonathan Lowe

Investment Managers

19th April 2011

Managed Income

Market Review

The UK stock market delivered strong returns in the review period, with the FTSE All-Share Index rising by +16.5% in the six months to 28th February 2011. The UK's high exposure to international demand supported returns as the global economic recovery picked up speed. However, it wasn't all plain sailing, as the resurgence of the eurozone sovereign debt crisis in late October, a continued rise in UK inflation data and concerns over civil unrest in the Middle East and North Africa contributed to bouts of volatility.

UK corporate bonds had a more volatile six months, with the Barclays Capital Global Corporate Bond Index, hedged into sterling, falling 0.4%. Although improving corporate and economic fundamentals and loose monetary policy combined to create a generally benign environment for investment grade credit, eurozone peripheral stress caused occasional market corrections driven by weakness among financial issuers.

The review period got off to a strong start for UK equities, as expectations for further quantitative easing by the US Federal Reserve triggered a global stock market rally in September and October. Robust corporate profits provided further support, while economic data suggested the recovery was gaining pace as UK third quarter GDP rose 3.2% at an annualised rate, well above expectations and the long-term trend rate.

In late October, the eurozone debt crisis reared its head again as the German government's suggestion that investors should share some of the burden of bailing out the highly indebted eurozone countries led to a renewed rise in peripheral bond yields. Under pressure from rising borrowing costs, Ireland requested an EUR 85 billion rescue package from the European Union and the International Monetary Fund at the end of November. In the absence of firm European action to deal with the crisis, investors worried about whether Portugal and even Spain may need a bailout.

Investor confidence was further hit by the re-emergence of Chinese inflation concerns in late November amid worries that a sharp rise in interest rates could curb Chinese economic growth. As 2010 came to an end the market was buoyed by generally strong UK economic data, particularly from the manufacturing sector, as a weak pound helped boost UK exports and led to rising expectations for corporate profits growth.

However, the UK economy contracted by 0.5% in the fourth quarter, versus consensus expectations for growth of 0.5%, as construction slumped and freezing winter weather hit retail spending. The meagre growth data supported the case for the Bank of England to keep interest rates on hold, despite inflation remaining persistently high. In January, UK consumer prices rose 4% year on year, well above the central bank's 2.0% target, sparking expectations for an imminent rise in interest rates. However, the Bank of England's February Inflation Report eased fears of tighter monetary policy, emphasising challenges to economic growth as well as the uncertain future path of inflation.

The review period saw a broad recovery in dividend payments from UK companies as profitability improved and credit conditions continued to ease. Although 2010 saw a 3.3% drop in dividend payments overall according to research from Capita Registrars*, the main reason for the drop was the cancellation in BP's payout last June following the Deepwater Horizon disaster. Excluding this impact from BP, UK dividends rose by 7.5%. Overall, corporate UK had a strong six months, with corporate earnings data being stronger than expected throughout the reporting seasons, boosted by cost cutting and more latterly by revenue growth. This strong earnings growth trend supported the valuation of the equity market throughout the period under review.

Performance Review

In the six months to the 28th February 2011 the Managed Income portfolio delivered a return on net assets of +15.3% against the total return of the composite benchmark of +13.9%. The portfolio has outperformed its benchmark over this period, both as a result of favourable stock selection within the UK equity market and due to the asset allocation decision to be overweight in equities and consequently underweight in corporate bonds over the first half of our financial year.

Total returns to 28th February 2011

The continued underweight position in the food and drug retailing sector, particularly not owning Tesco, contributed positively to performance as the market rewarded more cyclically exposed stocks at the expense of those with more defensive characteristics. Our holdings in some of the mining stocks delivered exceptionally strong returns, with Xstrata, an international diversified mining group, rising by 37%, whilst BHP Billiton rose by 33%. However, not owning Anglo American, another international mining company, detracted from performance over the period. The more cyclically oriented stocks continued to perform very strongly. For instance, Weir Group, which manufactures pumps used in the mining industry rose 42%. The

portfolio also benefited from holdings in IMI, up 30%, and Elementis, up 38%. By contrast, being underweight the low yielding oil and gas major, BG, was detrimental to performance as it outperformed the rising market significantly, as did BP; however our overweight position in the high yielding Royal Dutch Shell was a positive contributor to performance. Not owning Arm Holdings, a leading semiconductor intellectual property company, also hurt performance as it enjoyed a 68% rise in the period. Overall the portfolio's performance was solid over the first six months of our financial year, with the underlying equity portfolio outperforming the rising market.

*Capita Registrars Dividend Monitor.

Portfolio Review

Over the course of the six months we increased our allocation to equities, reflecting our confidence that strengthening economic data and good corporate newsflow would lead to the outperformance of equities over bonds. We raised some funds from our holding in the global corporate bond fund, and reinvested the proceeds into attractive UK equities, a combination of cyclical stocks and those with attractive dividend yields. At the end of February 2011, our asset allocation to corporate bonds was just over 8%, with a resulting overweight position in equities, relative to our composite benchmark (85% equities and 15% corporate bonds).

During the six months we bought a number of stocks that were delivering strong earnings recoveries, such as the speciality chemicals group Victrex, which was benefiting from increased demand for its products. Additionally, we added to some of our non life insurers and life assurance stocks, such as Lancashire Holdings and Legal & General as their valuations remained compelling in light of their strengthening earnings outlooks. Other notable purchases included the food producer Tate & Lyle, as the company repositioned its business portfolio, and Melrose, an international engineering group that is consistently beating profit forecasts. By contrast, we sold our positions in most of the general retail stocks (Halfords and Next) during the early part of the year, as the outlook for consumer spending began to deteriorate, alongside the early signs of rising input costs which would adversely impact the margins of these companies and hence their profitability. Our decisions to buy and sell stocks are predicated as ever on our search for stocks that are cheap, experiencing positive newsflow and benefiting from strong earnings growth, whilst also offering attractive dividends.

Outlook

Uncertain monetary policy direction in the UK, worries over European sovereign debt, escalating civil unrest in the Middle East and North Africa and potential repercussions from the earthquake in Japan on the global economy all present considerable challenges for the UK stock market.

We remain relatively sanguine on the outlook for UK interest rates and are sceptical that monetary policy will be tightened as fast as some investors expect. The Bank of England will not wish to add substantially to the pressure on consumers represented by the recent VAT rise (to 20%) and higher fuel costs by increasing their mortgage and other loan costs. Furthermore, inflation of 4% looks alarming, but can be largely attributed to high commodity prices and tax rises.

The economic recovery remains fragile, as illustrated by disappointing fourth-quarter GDP data. The impacts of the Japan earthquake and of higher oil prices on the economic outlook remain uncertain, but the UK economy is currently forecast to grow by +1.7% in 2011. This economic recovery provides a benign backdrop for equities. The UK equity market valuation remains below its long term average. Large-cap stocks in particular offer attractive income and growth opportunities, whilst also being supported by high exposure to foreign demand rather than being

reliant on the domestic economy.

Having delivered earnings growth in excess of 40% in 2010, the current consensus expectation is for UK earnings to grow by an incremental 15% in 2011. The outlook for UK dividend payments is also positive. With BP announcing the reinstatement of its dividend in early February, dividend payouts are expected to grow solidly again this year as companies return more of their surplus cash to shareholders.

Sarah Emly

John Baker

Investment Managers

19th April 2011

Managed Cash

Performance Review

The net asset value of the Managed Cash portfolio returned 0.3% over the six months to the 28th February 2011. The total return to shareholders was 0.4%.

The revenue generated from this portfolio has once again been low. We commented back in August that we did not expect to see any changes to the policy rate over the next few months and this has proven correct, and as a result, our underlying funds have struggled to find yield within the constraints of their AAA-rated mandates. We are currently invested in six AAA-rated stable value money market funds, managed by Fidelity, BlackRock, Insight, J.P.Morgan, Standard Life and Scottish Widows. The weighted average maturity is just under 38 days and as always our managers are focused on capital preservation first and foremost.

Outlook

Despite weak activity levels in the UK, inflation numbers consistently remain above the Bank of England's Monetary Policy Committee's (MPC's) target, with retail price inflation elevated at 5.1% year on year in January and consumer price inflation at 4.0% (double the MPC's target). This has led the market to expect at least one or maybe two rate hikes over the next six months. If this does indeed occur we would expect that returns from the Managed Cash portfolio will begin to rise.

Katy Thorneycroft

Jonathan Lowe

Investment Managers

19th April 2011

Interim Management Report

The Company is now required to make the following disclosures in its half year report.

Principal Risks and Uncertainties

The principal risks and uncertainties faced by the Company fall into the following broad categories: investment and strategy; financial; accounting, legal and regulatory; corporate governance and shareholder relations and operational. Information on each of these areas is given in the Business Review within the Annual Report and Accounts for the year ended 31st August 2010.

Related Parties Transactions

During the first six months of the current financial year, no transactions with related parties have taken place which have materially affected the financial position or the performance of the Company during the period.

Going Concern

The Directors believe, having considered the Company's investment objectives, risk management policies, capital management policies and procedures, nature of the portfolio and expenditure projections, that the Company has adequate resources, an appropriate financial structure and suitable management arrangements in place to continue in operational existence for the foreseeable future. For these reasons, they consider there is reasonable evidence to continue to adopt the going concern basis in preparing the accounts.

Directors' Responsibilities

The Board of Directors confirms that, to the best of its knowledge:

(i)                    the condensed set of financial statements contained within the half year financial report has been prepared in accordance with the Accounting Standards Board's Statement 'Half Yearly Financial Reports'; and

(ii)                   the half year management report includes a fair review of the information required by 4.2.7R and 4.2.8R of the UK Listing Authority Disclosure and Transparency Rules.

For and on behalf of the Board

Simon Miller   

Chairman

19th April 2011                                                                                                                      

For further information, please contact:

Alison Vincent

For and on behalf of

JPMorgan Asset Management (UK) Limited, Secretary

020 7742 6000

Please note that up to date information on the Company, including daily NAV and share prices, factsheets and portfolio information can be found at www.jpmelect.co.uk

Unaudited figures for the six months ended 28th February 2011

Income Statement

All revenue and capital items in the above statement derive from continuing operations. No operations were acquired or discontinued in the period.

The 'Total' column of this statement is the profit and loss account of the Company and the 'Revenue' and 'Capital' columns represent supplementary information prepared under guidance issued by the Association of Investment Companies. The Total column represents all the information that is required to be disclosed in a Statement of Total Recognised Gains and Losses ('STRGL'). For this reason a STRGL has not been presented.

Reconciliation of Movements in Shareholders' Funds

Balance Sheet

at 28th February 2011

Company registration number: 3845060

Cash Flow Statement

for the six months ended 28th February 2011

Notes to the Accounts

for the six months ended 28th February 2011

1.              Financial statements

                The information contained within the financial statements in this half year report has not been audited or reviewed by the Company's auditors.

                The figures and financial information for the year ended 31st August 2010 are extracted from the latest published accounts of the Company and do not constitute statutory accounts for that year. Those accounts have been delivered to the Registrar of Companies and included the report of the auditors which was unqualified and did not contain a statement under either section 498(2) or 498(3) of the Companies Act 2006.

2.             Accounting policies

                The accounts have been prepared in accordance with United Kingdom Generally Accepted Accounting Practice ('UK GAAP') and with the Statement of Recommended Practice 'Financial Statements of Investment Trust Companies and Venture Capital Trusts' issued in January 2010.

                All of the Company's operations are of a continuing nature.

The accounting policies applied to these interim accounts are consistent with those applied in the accounts for the year ended 31st August 2010.

3.             Dividends

1The actual dividend payment differs to the amount shown in the previous year end accounts due to issues or repurchases of shares in the period between the previous year end and the share register record date.

2In accordance with the accounting policy of the Company, these dividends will be reflected in the accounts of the following period.

4.             Return/(loss) per share

5.             Net asset value per share

                The net asset values per share are calculated as follows:

6.             Reconciliation of total return on ordinary activities before taxation to net cash inflow from operating activities

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

JPMORGAN ASSET MANAGEMENT (UK) LIMITED

ENDS

A copy of the half year has been submitted to the National Storage Mechanism and will shortly be available for inspection at www.hemscott.com/nsm.do

The half year will also shortly be available on the Company's website at www.jpmelect.co.uk 

where up to date information on the Company, including daily NAV and share prices, factsheets and portfolio information can also be found.