UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-21295

JPMorgan Trust I

(Exact name of registrant as specified in charter)

245 Park Avenue

New York, NY 10167

(Address of principal executive offices) (Zip code)

Frank J. Nasta

245 Park Avenue

New York, NY 10167

(Name and Address of Agent for Service)

Registrant’s telephone number, including area code: (800) 480-4111

Date of fiscal year end: October 31

Date of reporting period: November 1, 2009 through October 31, 2010

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. Section 3507.

ITEM 1. REPORTS TO STOCKHOLDERS.

The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).

Annual Report

J.P. Morgan Specialty Funds

October 31, 2010

JPMorgan Research Equity Long/Short Fund

JPMorgan Research Market Neutral Fund

(formerly JPMorgan Market Neutral Fund)

CONTENTS

CEO’s Letter	1
Market Overview	2
Fund Commentaries:
JPMorgan Research Equity Long/Short Fund	3
JPMorgan Research Market Neutral Fund	6
Schedules of Portfolio Investments	10
Financial Statements	24
Financial Highlights	30
Notes to Financial Statements	34
Report of Independent Registered Public Accounting Firm	41
Trustees	42
Officers	44
Schedule of Shareholder Expenses	45
Board Approval of Investment Advisory Agreement	47
Privacy Policy	50

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

NOVEMBER 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its poli-

cies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

New market neutral strategy seeks to minimize risks from stock investing

Today’s volatile market climate presents many challenges for investors, particularly those who may be seeking to increase return potential while minimizing downside risk. J.P. Morgan offers a range of strategies designed to address these challenges, including our newest launch, the JPMorgan Research Equity Long/Short Fund, managed by Terance Chen.

Like the JPMorgan Research Market Neutral Fund, the Research Equity Long/Short Fund gives managers the opportunity to use an expanded tool set to generate enhanced returns, including the ability to buy and hold stocks that they like, as well as to “short” stocks that they believe will fall in value. Rather than balancing long and short positions to neutralize risks, however, this fund combines offsetting long and short positions to minimize portfolio volatility and increase downside protection through significantly less market exposure. The fund may be suited for more conservative investors who are looking for enhanced diversification and equity exposure, but prefer lower exposure to market risks associated with stock investing.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and new year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset management

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 1

MARKET OVERVIEW

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered during the third quarter of 2010 and into October 2010 on strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries. Emerging markets stocks were bolstered by strong gross domestic product (GDP) growth in developing countries, as the Morgan Stanley Capital International (“MSCI”) Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period.

U.S. stocks outperformed international stocks, as the MSCI EAFE Index gained 8.36% versus the S&P 500 Index’s 16.52% return. The relative weakness of the MSCI EAFE Index was driven primarily by lagging European stocks. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity of European leaders, as well as the impact that austerity measures would have on growth in the region.

2 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

JPMorgan Research Equity Long/Short Fund

FUND COMMENTARY

FOR THE PERIOD MAY 28, 2010 (FUND INCEPTION DATE) THROUGH OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without sales charge)*		2.73%
BofA Merrill Lynch 3-Month U.S. Treasury Bill Index		0.06%
S&P 500 Index		9.48%
Net Assets as of 10/31/2010 (In Thousands)	$	59,715

INVESTMENT OBJECTIVE**

The JPMorgan Research Equity Long/Short Fund (the “Fund”) seeks to provide long term capital appreciation.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index for the period May 28, 2010 (Fund inception date) through October 31, 2010.

The Fund’s positioning in the industrial cyclical and basic materials sectors contributed to the Fund’s return as positive contributions from its long positions more than offset negative returns from its short positions in both of these sectors. Conversely, the Fund’s positioning in the semiconductors sector detracted from the Fund’s return as negative returns from its short positions more than offset positive contributions from its long positions in the sector. The Fund’s long positions in the finance sector also detracted from its absolute return.

Among individual stocks in the industrial cyclical sector, the Fund’s best performing long position was PACCAR, Inc., a truck and truck parts manufacturer that reported strong third-quarter 2010 profit and a positive outlook for 2011. The company’s management team cited increasing demand for trucks amid improving trends for freight volumes and truck replacements given the historically high age of the current truck fleet. In the basic materials sector, the Fund’s best performing long position was Freeport-McMoRan Copper & Gold Inc., a commodity mining company that benefited from increasing demand and rising price of copper.

Detracting from performance, the Fund’s worst performing short position in the semiconductors sector was Microchip

Technology Inc. as the stock rose after the company reported an increase in its fiscal second-quarter net income. In the finance sector, the Fund’s worst performing long position was regional bank Wilmington Trust Corp. The stock declined amid an investigation surrounding whether Wilmington Trust Corp.’s board of directors breached its fiduciary responsibilities to the company’s shareholders.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers used bottom-up fundamental research to construct a portfolio of long and short positions, rigorously researching companies to determine their underlying value and potential for future earnings growth. Based on this research, they ranked stocks in the U.S. large-cap universe into five quintiles. The Fund’s portfolio managers looked to the top two quintiles for potential long positions in stocks that they believed were undervalued and looked to the bottom two quintiles for potential short positions in stocks that they believed were overvalued. The Fund’s portfolio managers attempted to limit the Fund’s overall market risk, holding long and short positions across a broad array of sectors. The Fund’s average long exposure was 100.56% and its average short exposure was -81.21%, as the Fund maintained an average beta exposure of .19 (beta measures a portfolio’s sensitivity to fluctuations in the broad market).

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 3

JPMorgan Research Equity Long/Short Fund

FUND COMMENTARY

FOR THE PERIOD MAY 28, 2010 (FUND INCEPTION DATE) THROUGH OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN LONG POSITIONS OF THE PORTFOLIO*
	1.	Campbell Soup Co.	3.0	%
	2.	Freeport-McMoRan Copper & Gold, Inc.	2.1
	3.	Time Warner, Inc.	2.1
	4.	E.l. du Pont de Nemours & Co.	2.0
	5.	PACCAR, Inc.	2.0
	6.	Broadcom Corp., Class A	1.8
	7.	Analog Devices, Inc.	1.7
	8.	QUALCOMM, Inc.	1.6
	9.	Procter & Gamble Co. (The)	1.6
	10.	ConAgra Foods, Inc.	1.6

TOP TEN SHORT POSITIONS OF THE PORTFOLIO**
	1.	Linear Technology Corp.	3.2	%
	2.	Microchip Technology, Inc.	3.2
	3.	H.J. Heinz Co.	2.7
	4.	Altria Group, Inc.	2.2
	5.	Kraft Foods, Inc., Class A	2.0
	6.	Texas Instruments, Inc.	2.0
	7.	Clorox Co.	1.9
	8.	Caterpillar, Inc.	1.8
	9.	eBay, Inc.	1.8
	10.	Lockheed Martin Corp.	1.8

LONG POSITION PORTFOLIO COMPOSITION BY SECTOR*
Financials	19.6	%
Information Technology	16.0
Consumer Staples	13.8
Consumer Discretionary	12.8
Industrials	11.4
Materials	8.0
Utilities	5.2
Health Care	4.4
Telecommunication Services	3.4
Energy	3.3
Short-Term Investment	2.1

SHORT POSITION PORTFOLIO COMPOSITION BY SECTOR**
Financials	24.9	%
Information Technology	18.2
Consumer Staples	14.6
Industrials	14.3
Consumer Discretionary	7.5
Materials	6.1
Utilities	5.4
Energy	4.0
Health Care	2.7
Telecommunication Services	2.3

* Percentages indicated are based upon total long investments as of October 31, 2010. The Fund’s composition is subject to change.

** Percentages indicated are based upon total short investments as of October 31, 2010. The Fund’s composition is subject to change.

4 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		SINCE INCEPTION
CLASS A SHARES		5/28/10
Without Sales Charge				2.73	%
With Sales Charge*				(2.65	)
CLASS C SHARES		5/28/10
Without CDSC				2.53
With CDSC**				1.53
CLASS R5 SHARES		5/28/10		2.93
SELECT CLASS SHARES		5/28/10		2.87

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the period.

LIFE OF FUND PERFORMANCE (5/28/2010 – 10/31/2010)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on May 28, 2010.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Research Equity Long/Short Fund, the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index and the S&P 500 Index from May 28, 2010 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index and the S&P 500 Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of securities included in the benchmarks. The BofA Merrill Lynch 3-Month U.S. Treasury Bill Index is comprised of a single

issue purchased at the beginning of the month and held for a full month. Each month the index is rebalanced and the issue selected is the outstanding Treasury Bill that matures closest to, but not beyond 3 months from the rebalancing date. The S&P 500 Index is an unmanaged index generally representative of the performance of large companies in the U.S. stock market. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 5

JPMorgan Research Market Neutral Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)*		0.93%
BofA Merrill Lynch 3-Month U.S. Treasury Bill Index		0.12%
Net Assets as of 10/31/2010 (In Thousands)	$	1,440,105

INVESTMENT OBJECTIVE**

The JPMorgan Research Market Neutral Fund (the “Fund”) seeks to provide long-term capital appreciation from a broadly diversified portfolio of U.S. stocks while neutralizing the general risks associated with stock market investing.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) outperformed the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index for the twelve months ended October 31, 2010. The Fund’s positive stock selection in the industrial cyclical and basic materials sectors offset weakness from the Fund’s capital markets and retail holdings.

Individual contributors to the Fund’s return included a short position in United States Steel Corp. and a long position in SanDisk Corp. Shares of United States Steel fell after the company announced a lower-than-expected first-quarter 2010 earnings outlook. SanDisk Corp., which is the primary provider of flash memory devices for Apple Inc.’s iPad, benefited after Apple Inc. announced better-than-expected sales of the iPad.

The Fund’s long position in E.l. du Pont de Nemours & Co. (“DuPont”) also contributed to the Fund’s return. Shares of DuPont gained after the chemical manufacturing company raised its 2010 earnings outlook and reaffirmed its long-term earnings outlook.

Individual detractors from the Fund’s return included a short position in Estee Lauder Cos., Inc. (“Estee Lauder”) and a

long position in Intersil Corp. Shares of Estee Lauder gained after the retail company raised its second-quarter 2010 earnings outlook. Shares of Intersil Corp., a producer of high-performance analog integrated circuits, declined as a result of personal computer and consumer weakness.

The Fund’s long position in Google, Inc. also detracted from the Fund’s return. The stock fell after investors reacted unfavorably to the public dispute with Chinese authorities over censorship and alleged hacking, which ultimately led to Google’s decision to pull out of the Chinese market.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers aimed to construct a portfolio of long and short positions with a low correlation to traditional investments such as stocks and bonds. The Fund’s portfolio managers used fundamental research to estimate companies’ long-term earnings forecasts, ranking approximately 600 large- and mid-cap stocks into five quintiles. The Fund’s portfolio managers looked to the top two quintiles for potential long positions in stocks that they believed were undervalued and the bottom two quintiles for potential short positions in stocks that they believed were overvalued.

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

6 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

TOP TEN LONG POSITIONS OF THE PORTFOLIO*
	1.	Time Warner, Inc.	2.6	%
	2.	PACCAR, Inc.	2.1
	3.	E.l. du Pont de Nemours & Co.	2.0
	4.	ACE Ltd., (Switzerland)	1.9
	5.	Analog Devices, Inc.	1.9
	6.	Freeport-McMoRan Copper & Gold, Inc.	1.8
	7.	CSX Corp.	1.8
	8.	General Mills, Inc.	1.4
	9.	Walt Disney Co. (The)	1.4
	10.	Novellus Systems, Inc.	1.4

TOP TEN SHORT POSITIONS OF THE PORTFOLIO**
	1.	Eli Lilly & Co.	2.5	%
	2.	Microchip Technology, Inc.	2.2
	3.	Johnson & Johnson	2.2
	4.	Texas Instruments, Inc.	1.9
	5.	Praxair, Inc.	1.9
	6.	Linear Technology Corp.	1.8
	7.	Caterpillar, Inc.	1.8
	8.	eBay, Inc.	1.8
	9.	AT&T, Inc.	1.7
	10.	Hershey Co. (The)	1.7

LONG POSITION PORTFOLIO COMPOSITION BY SECTOR*
Financials	21.5	%
Information Technology	13.6
Consumer Discretionary	12.1
Industrials	11.9
Consumer Staples	8.0
Materials	6.6
Health Care	5.7
Utilities	3.9
Telecommunication Services	3.7
Energy	3.3
U.S. Treasury Obligation	0.1
Short-Term Investment	9.6

SHORT POSITION PORTFOLIO COMPOSITION BY SECTOR**
Financials	26.1	%
Information Technology	19.0
Industrials	12.4
Consumer Staples	9.5
Consumer Discretionary	8.4
Materials	6.7
Health Care	6.3
Energy	4.7
Utilities	4.2
Telecommunication Services	2.7

* Percentages indicated are based upon total long investments as of October 31, 2010. The Fund’s composition is subject to change.

** Percentages indicated are based upon total short investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 7

JPMorgan Research Market Neutral Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		2/28/02
Without Sales Charge				0.42	%		4.70	%		2.75	%
With Sales Charge*				(4.84	)		3.57			2.20
CLASS B SHARES		2/28/02
Without CDSC				(0.04	)		4.18			2.34
With CDSC**				(5.04	)		3.84			2.34
CLASS C SHARES		11/2/09
Without CDSC				(0.04	)		4.18			2.30
With CDSC***				(1.04	)		4.18			2.30
INSTITUTIONAL CLASS SHARES		12/31/98		0.93			5.22			3.15
SELECT CLASS SHARES		11/2/09		0.67			5.17			3.12

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR FUND PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Returns for Class A and Class B Shares prior to their inception date are based on the performance of Institutional Class Shares. The actual returns for Class A and Class B Shares would have been lower than shown because Class A and Class B Shares have higher expenses than Institutional Class Shares.

Returns for Class C Shares prior to their inception date are based on the performance of Class B Shares and, prior to February 28, 2002, Institutional Class Shares. The actual returns for Class C Shares would have been lower than shown because Class C Shares have higher expenses than Institutional Class Shares.

Returns for Select Class Shares prior to their inception date are based on the performance of Institutional Class Shares. The actual returns for Select Class Shares would have been lower than shown because Select Class Shares have higher expenses than Institutional Class Shares.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan Research Market Neutral Fund, BofA Merrill Lynch 3-Month U.S. Treasury Bill Index and Lipper Equity Market-Neutral

Funds Average from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of the Lipper Equity Market-Neutral Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The BofA Merrill Lynch 3-Month U.S. Treasury Bill Index is comprised of a single issue purchased at the beginning of the month and held for a full month. Each month the index is rebalanced and the issue selected is the outstanding Treasury Bill that matures closest to, but not beyond 3 months from the rebal-ancing date. The Lipper Equity Market-Neutral Funds Average represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

8 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Because Class B Shares automatically convert to Class A Shares after 8 years, the 10 Year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 9

JPMorgan Research Equity Long/Short Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — 104.0% (j)
			Common Stocks — 101.9%
			Consumer Discretionary — 13.3%
			Auto Components — 1.0%
	17		Johnson Controls, Inc.		606
			Diversified Consumer Services — 0.1%
	1		Apollo Group, Inc., Class A (a)		56
			Hotels, Restaurants & Leisure — 2.0%
	5		Carnival Corp.		236
	4		Darden Restaurants, Inc.		186
	29		International Game Technology		455
	8		Royal Caribbean Cruises Ltd. (a)		308
					1,185
			Household Durables — 0.7%
	11		D.R. Horton, Inc.		117
	8		Lennar Corp., Class A		116
	—	(h)	NVR, Inc. (a)		213
					446
			Internet & Catalog Retail — 1.1%
	4		Amazon.com, Inc. (a) (m)		680
			Media — 5.7%
	42		CBS Corp., Class B		707
	10		Discovery Communications, Inc., Class A (a)		450
	26		Gannett Co., Inc.		310
	39		Time Warner, Inc.		1,276
	18		Walt Disney Co. (The)		663
					3,406
			Multiline Retail — 0.9%
	5		Family Dollar Stores, Inc.		242
	5		Kohl’s Corp. (a)		268
					510
			Specialty Retail — 0.9%
	1		AutoZone, Inc. (a)		264
	7		GameStop Corp., Class A (a)		146
	5		Staples, Inc.		109
					519
			Textiles, Apparel & Luxury Goods — 0.9%
	6		Coach, Inc.		319
	3		NIKE, Inc., Class B		237
					556
			Total Consumer Discretionary		7,964
			Consumer Staples — 14.4%
			Beverages — 1.6%
	4		Coca-Cola Co. (The)		245

SHARES		SECURITY DESCRIPTION	VALUE($)
		Beverages — Continued
	24	Coca-Cola Enterprises, Inc.		566
	2	PepsiCo, Inc.		157
				968
		Food & Staples Retailing — 0.5%
	13	Kroger Co. (The)		282
		Food Products — 8.3%
	8	Archer-Daniels-Midland Co.		275
	51	Campbell Soup Co.		1,837
	44	ConAgra Foods, Inc.		1,000
	21	General Mills, Inc.		779
	19	Kellogg Co.		967
	7	Sara Lee Corp.		97
				4,955
		Household Products — 3.7%
	11	Colgate-Palmolive Co.		828
	6	Kimberly-Clark Corp.		361
	16	Procter & Gamble Co. (The)		1,006
				2,195
		Tobacco — 0.3%
	3	Philip Morris International, Inc.		185
		Total Consumer Staples		8,585
		Energy — 3.4%
		Energy Equipment & Services — 1.0%
	8	Nabors Industries Ltd., (Bermuda) (a)		174
	5	Pride International, Inc. (a)		150
	8	Rowan Cos., Inc. (a)		259
				583
		Oil, Gas & Consumable Fuels — 2.4%
	5	Apache Corp.		487
	5	Devon Energy Corp.		339
	4	EOG Resources, Inc.		395
	3	Occidental Petroleum Corp.		245
				1,466
		Total Energy		2,049
		Financials — 20.4%
		Capital Markets — 1.2%
	2	Goldman Sachs Group, Inc. (The)		385
	6	Morgan Stanley		139
	5	State Street Corp.		206
				730
		Commercial Banks — 2.5%
	9	BB&T Corp.		217
	5	Comerica, Inc.		187

SEE NOTES TO FINANCIAL STATEMENTS.

10 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		Commercial Banks — Continued
	3	First Horizon National Corp. (a)		34
	21	Huntington Bancshares, Inc.		122
	40	Popular, Inc. (a)		109
	15	Regions Financial Corp.		96
	3	SVB Financial Group (a)		110
	7	U.S. Bancorp		171
	10	Wells Fargo & Co.		273
	10	Wilmington Trust Corp.		73
	5	Zions Bancorp		98
				1,490
		Consumer Finance — 0.4%
	6	American Express Co. (m)		250
		Diversified Financial Services — 0.5%
	16	Bank of America Corp.		186
	27	Citigroup, Inc. (a)		114
				300
		Insurance — 6.6%
	15	ACE Ltd., (Switzerland)		914
	10	Aflac, Inc. (m)		562
	11	Allstate Corp. (The) (m)		325
	3	Everest Re Group Ltd., (Bermuda)		254
	6	Lincoln National Corp.		148
	15	MetLife, Inc.		593
	7	Prudential Financial, Inc.		345
	10	RenaissanceRe Holdings Ltd., (Bermuda)		599
	10	XL Group plc, (Ireland)		206
				3,946
		Real Estate Investment Trusts (REITs) — 8.9%
	24	Associated Estates Realty Corp.		331
	37	Brandywine Realty Trust		442
	12	BRE Properties, Inc.		517
	5	Digital Realty Trust, Inc.		326
	40	Duke Realty Corp.		498
	15	DuPont Fabros Technology, Inc.		380
	4	Health Care REIT, Inc.		196
	27	Omega Healthcare Investors, Inc.		614
	14	Pebblebrook Hotel Trust (a)		284
	16	Pennsylvania Real Estate Investment Trust		230
	7	Plum Creek Timber Co., Inc.		251
	13	ProLogis		183
	6	Regency Centers Corp.		263
	5	Simon Property Group, Inc.		473
	63	Strategic Hotels & Resorts, Inc. (a)		289
				5,277

SHARES		SECURITY DESCRIPTION	VALUE($)
		Real Estate Management & Development — 0.3%
	12	Hudson Pacific Properties, Inc.		189
		Total Financials		12,182
		Health Care — 4.5%
		Biotechnology — 2.5%
	6	Alexion Pharmaceuticals, Inc. (a) (m)		378
	5	Biogen Idec, Inc. (a)		335
	13	Celgene Corp. (a)		778
				1,491
		Pharmaceuticals — 2.0%
	11	Abbott Laboratories (m)		552
	18	Merck & Co., Inc.		655
				1,207
		Total Health Care		2,698
		Industrials — 11.9%
		Aerospace & Defense — 3.4%
	16	Honeywell International, Inc.		747
	10	Northrop Grumman Corp.		613
	9	United Technologies Corp.		698
				2,058
		Electrical Equipment — 1.1%
	12	Cooper Industries plc		638
		Industrial Conglomerates — 1.4%
	10	Textron, Inc.		204
	16	Tyco International Ltd., (Switzerland)		605
				809
		Machinery — 3.2%
	4	Deere & Co.		284
	24	PACCAR, Inc.		1,246
	5	Parker Hannifin Corp.		351
				1,881
		Road & Rail — 2.3%
	9	CSX Corp.		556
	7	Norfolk Southern Corp.		404
	5	Union Pacific Corp.		437
				1,397
		Trading Companies & Distributors — 0.5%
	9	GATX Corp.		298
		Total Industrials		7,081
		Information Technology — 16.6%
		Communications Equipment — 3.7%
	28	Cisco Systems, Inc. (a)		635
	18	Juniper Networks, Inc. (a)		575

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 11

JPMorgan Research Equity Long/Short Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		Communications Equipment — Continued
	23	QUALCOMM, Inc.		1,024
				2,234
		Computers & Peripherals — 1.8%
	2	Apple, Inc. (a)		657
	12	SanDisk Corp. (a)		446
				1,103
		Electronic Equipment, Instruments & Components — 0.5%
	16	Corning, Inc.		285
		IT Services — 1.6%
	7	Cognizant Technology Solutions Corp., Class A (a)		478
	5	Computer Sciences Corp.		235
	12	Genpact Ltd., (Bermuda) (a)		195
	1	Global Payments, Inc.		58
				966
		Semiconductors & Semiconductor Equipment — 7.9%
	32	Analog Devices, Inc.		1,080
	27	Broadcom Corp., Class A		1,109
	7	Intersil Corp., Class A		93
	8	Lam Research Corp. (a)		381
	27	Marvell Technology Group Ltd., (Bermuda) (a)		517
	28	Novellus Systems, Inc. (a)		818
	26	Xilinx, Inc.		709
				4,707
		Software — 1.1%
	8	Adobe Systems, Inc. (a) (m)		214
	16	Microsoft Corp.		427
				641
		Total Information Technology		9,936
		Materials — 8.4%
		Chemicals — 5.6%
	7	Air Products & Chemicals, Inc. (m)		565
	30	Dow Chemical Co. (The)		926
	27	E.l. du Pont de Nemours & Co.		1,273
	8	Georgia Gulf Corp. (a)		163
	4	PPG Industries, Inc.		341
	3	Westlake Chemical Corp.		92
				3,360
		Metals & Mining — 2.8%
	14	Alcoa, Inc.		186
	14	Freeport-McMoRan Copper & Gold, Inc.		1,304
	4	Vale S.A., (Brazil), ADR		144
				1,634

SHARES		SECURITY DESCRIPTION	VALUE($)
		Metals & Mining — Continued
		Total Materials		4,994
		Telecommunication Services — 3.6%
		Diversified Telecommunication Services — 1.0%
	18	Verizon Communications, Inc.		591
		Wireless Telecommunication Services — 2.6%
	8	American Tower Corp., Class A (a)		415
	7	Crown Castle International Corp. (a)		289
	202	Sprint Nextel Corp. (a)		832
				1,536
		Total Telecommunication Services		2,127
		Utilities — 5.4%
		Electric Utilities — 3.6%
	16	American Electric Power Co., Inc.		604
	17	NextEra Energy, Inc.		956
	44	NV Energy, Inc.		599
				2,159
		Multi-Utilities — 1.8%
	9	PG&E Corp.		449
	18	Public Service Enterprise Group, Inc.		590
				1,039
		Total Utilities		3,198
		Total Common Stocks (Cost $58,329)		60,814
	Short-Term Investment — 2.1%
		Investment Company — 2.1%
	1,273	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (m) (Cost $1,273)		1,273
		Total Investments — 104.0% (Cost $59,602)		62,087
		Liabilities in Excess of Other Assets — (4.0)%		(2,372	)
		NET ASSETS — 100.0%	$	59,715
	Short Positions — 81.1%
		Common Stocks — 81.1%
		Consumer Discretionary — 6.1%
		Automobiles — 0.4%
	16	Ford Motor Co. (a)		223
		Hotels, Restaurants & Leisure — 0.7%
	6	Cheesecake Factory, Inc. (The) (a)		186
	6	Marriott International, Inc., Class A		233
				419

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Household Durables — 0.5%
	3	MDC Holdings, Inc.		86
	19	Pulte Group, Inc. (a)		152
	5	Ryland Group, Inc.		80
				318
		Media — 4.0%
	11	Comcast Corp., Class A		222
	28	New York Times Co. (The), Class A (a)		216
	34	News Corp., Class B		543
	8	Omnicom Group, Inc.		341
	11	Scripps Networks Interactive, Inc., Class A		534
	3	Time Warner Cable, Inc.		175
	1	Washington Post Co. (The), Class B		362
				2,393
		Multiline Retail — 0.3%
	5	Dollar General Corp. (a)		149
		Specialty Retail — 0.2%
	3	Best Buy Co., Inc.		124
		Total Consumer Discretionary		3,626
		Consumer Staples — 11.8%
		Food & Staples Retailing — 0.8%
	4	Costco Wholesale Corp.		226
	6	Safeway, Inc.		136
	3	Whole Foods Market, Inc. (a)		139
				501
		Food Products — 5.3%
	27	H.J. Heinz Co.		1,316
	17	Hershey Co. (The)		853
	30	Kraft Foods, Inc., Class A		981
				3,150
		Household Products — 1.5%
	14	Clorox Co.		932
		Personal Products — 1.6%
	11	Avon Products, Inc.		332
	9	Estee Lauder Cos., Inc. (The), Class A		606
				938
		Tobacco — 2.6%
	42	Altria Group, Inc.		1,059
	8	Philip Morris International, Inc.		471
				1,530
		Total Consumer Staples		7,051

SHARES		SECURITY DESCRIPTION	VALUE($)
		Energy — 3.3%
		Energy Equipment & Services — 2.1%
	2	Diamond Offshore Drilling, Inc.		130
	5	Noble Corp., (Switzerland)		168
	20	Tenaris S.A., (Luxembourg), ADR		841
	1	Transocean Ltd., (Switzerland) (a)		93
				1,232
		Oil, Gas & Consumable Fuels — 1.2%
	14	Denbury Resources, Inc. (a)		242
	8	Encana Corp., (Canada)		224
	3	Sunoco, Inc.		99
	13	Tesoro Corp.		163
				728
		Total Energy		1,960
		Financials — 20.2%
		Capital Markets — 1.7%
	5	Ameriprise Financial, Inc.		253
	7	Federated Investors, Inc., Class B		181
	5	Northern Trust Corp.		240
	6	T. Rowe Price Group, Inc.		329
				1,003
		Commercial Banks — 2.7%
	3	Bank of Hawaii Corp.		121
	5	Commerce Bancshares, Inc.		171
	5	Cullen/Frost Bankers, Inc.		243
	22	KeyCorp		183
	5	Prosperity Bancshares, Inc.		153
	5	SunTrust Banks, Inc.		126
	5	UMB Financial Corp.		179
	17	Valley National Bancorp		232
	4	Westamerica Bancorp		198
				1,606
		Insurance — 5.5%
	7	American International Group, Inc. (a)		278
	7	Chubb Corp.		378
	23	Marsh & McLennan Cos., Inc.		583
	9	Principal Financial Group, Inc.		236
	25	Progressive Corp. (The)		529
	13	Travelers Cos., Inc. (The)		700
	22	W.R. Berkley Corp.		599
				3,303
		Real Estate Investment Trusts (REITs) — 9.9%
	4	AvalonBay Communities, Inc.		379
	10	CBL & Associates Properties, Inc.		154
	13	Developers Diversified Realty Corp.		169

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 13

JPMorgan Research Equity Long/Short Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Real Estate Investment Trusts (REITs) — Continued
	14	Extra Space Storage, Inc.		231
	2	Federal Realty Investment Trust		198
	19	HCP, Inc.		691
	13	Highwoods Properties, Inc.		420
	8	Home Properties, Inc.		448
	8	National Retail Properties, Inc.		228
	12	Post Properties, Inc.		378
	3	Public Storage		336
	15	Realty Income Corp.		501
	3	SL Green Realty Corp.		172
	6	Taubman Centers, Inc.		261
	19	UDR, Inc.		438
	11	Ventas, Inc.		598
	10	Washington Real Estate Investment Trust		307
				5,909
		Thrifts & Mortgage Finance — 0.4%
	12	New York Community Bancorp, Inc.		210
		Total Financials		12,031
		Health Care — 2.2%
		Biotechnology — 0.3%
	9	Isis Pharmaceuticals, Inc. (a)		79
	3	Vertex Pharmaceuticals, Inc. (a)		119
				198
		Pharmaceuticals — 1.9%
	15	Eli Lilly & Co.		522
	9	Johnson & Johnson		593
				1,115
		Total Health Care		1,313
		Industrials — 11.6%
		Aerospace & Defense — 3.8%
	8	Boeing Co. (The)		563
	5	General Dynamics Corp.		367
	12	Lockheed Martin Corp.		857
	10	Raytheon Co.		464
				2,251
		Air Freight & Logistics — 1.1%
	3	FedEx Corp.		226
	6	United Parcel Service, Inc., Class B		424
				650
		Electrical Equipment — 0.6%
	6	Rockwell Automation, Inc.		367

SHARES		SECURITY DESCRIPTION	VALUE($)
		Machinery — 4.8%
	11	Caterpillar, Inc.		880
	12	Dover Corp.		662
	7	Eaton Corp.		621
	18	Ingersoll-Rand plc, (Ireland)		727
				2,890
		Road & Rail — 1.0%
	14	Heartland Express, Inc.		205
	10	Knight Transportation, Inc.		176
	10	Werner Enterprises, Inc.		205
				586
		Trading Companies & Distributors — 0.3%
	2	W.W. Grainger, Inc.		195
		Total Industrials		6,939
		Information Technology — 14.8%
		Communications Equipment — 0.3%
	18	Motorola, Inc. (a)		144
		Electronic Equipment, Instruments &
		Components — 0.4%
	7	Agilent Technologies, Inc. (a)		258
		Internet Software & Services — 2.3%
	6	AOL, Inc. (a)		168
	30	eBay, Inc. (a)		879
	1	Google, Inc., Class A (a)		350
				1,397
		IT Services — 0.8%
	2	Automatic Data Processing, Inc.		105
	8	Paychex, Inc.		218
	10	SAIC, Inc. (a)		151
				474
		Semiconductors & Semiconductor Equipment — 10.4%
	9	ASML Holding N.V., (Netherlands)		314
	52	Atmel Corp. (a)		465
	33	Cypress Semiconductor Corp. (a)		470
	12	Intel Corp.		248
	48	Linear Technology Corp.		1,554
	48	Microchip Technology, Inc.		1,554
	31	NVIDIA Corp. (a)		374
	21	Teradyne, Inc. (a)		231
	33	Texas Instruments, Inc.		966
				6,176
		Software — 0.6%
	16	Electronic Arts, Inc. (a)		254

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Software — Continued
	32	THQ, Inc. (a)		127
				381
		Total Information Technology		8,830
		Materials — 4.9%
		Chemicals — 3.5%
	9	Ecolab, Inc.		464
	10	OM Group, Inc. (a)		328
	8	Praxair, Inc.		738
	3	Sherwin-Williams Co. (The)		213
	12	Valspar Corp.		371
				2,114
		Metals & Mining — 1.4%
	27	AK Steel Holding Corp.		346
	4	Nucor Corp.		155
	8	United States Steel Corp.		336
				837
		Total Materials		2,951
		Telecommunication Services — 1.8%
		Diversified Telecommunication Services — 1.1%
	22	AT&T, Inc.		640
		Wireless Telecommunication Services — 0.7%
	12	SBA Communications Corp., Class A (a)		456
		Total Telecommunication Services		1,096

SHARES		SECURITY DESCRIPTION	VALUE($)
		Utilities — 4.4%
		Electric Utilities — 1.8%
	10	Allegheny Energy, Inc.		239
	15	Exelon Corp.		594
	7	FirstEnergy Corp.		238
				1,071
		Independent Power Producers & Energy Traders — 0.6%
	18	NRG Energy, Inc. (a)		364
		Multi-Utilities — 2.0%
	12	Consolidated Edison, Inc.		595
	14	Dominion Resources, Inc.		590
				1,185
		Total Utilities		2,620
		Total Short Positions (Proceeds $46,919)	$	48,417

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 15

JPMorgan Research Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — 100.0% (j)
		Common Stocks — 90.2%
		Consumer Discretionary — 12.1%
		Auto Components — 1.0%
	396	Johnson Controls, Inc.		13,895
		Diversified Consumer Services — 0.1%
	33	Apollo Group, Inc., Class A (a)		1,244
		Hotels, Restaurants & Leisure — 1.1%
	106	Carnival Corp.		4,572
	71	Darden Restaurants, Inc.		3,259
	292	International Game Technology		4,559
	100	Royal Caribbean Cruises Ltd. (a)		3,962
				16,352
		Household Durables — 0.7%
	255	D.R. Horton, Inc.		2,657
	243	Lennar Corp., Class A		3,532
	6	NVR, Inc. (a)		3,701
				9,890
		Internet & Catalog Retail — 1.3%
	111	Amazon.com, Inc. (a)		18,256
		Media — 5.5%
	346	CBS Corp., Class B		5,864
	134	Discovery Communications, Inc., Class A (a)		5,996
	801	Gannett Co., Inc.		9,492
	1,168	Time Warner, Inc.		37,985
	564	Walt Disney Co. (The)		20,377
				79,714
		Multiline Retail — 0.8%
	125	Family Dollar Stores, Inc.		5,785
	105	Kohl’s Corp. (a)		5,353
				11,138
		Specialty Retail — 0.9%
	21	AutoZone, Inc. (a)		5,061
	168	GameStop Corp., Class A (a)		3,310
	234	Staples, Inc.		4,782
				13,153
		Textiles, Apparel & Luxury Goods — 0.7%
	91	Coach, Inc.		4,560
	67	NIKE, Inc., Class B		5,432
				9,992
		Total Consumer Discretionary		173,634
		Consumer Staples — 8.0%
		Beverages — 0.6%
	56	Coca-Cola Co. (The)		3,422

SHARES		SECURITY DESCRIPTION	VALUE($)
		Beverages — Continued
	170	Coca-Cola Enterprises, Inc.		4,079
	19	PepsiCo, Inc.		1,267
				8,768
		Food & Staples Retailing — 0.5%
	85	CVS Caremark Corp.		2,564
	205	Kroger Co. (The)		4,515
				7,079
		Food Products — 4.5%
	142	Archer-Daniels-Midland Co.		4,728
	477	Campbell Soup Co.		17,291
	684	ConAgra Foods, Inc.		15,372
	551	General Mills, Inc.		20,700
	144	Kellogg Co.		7,237
				65,328
		Household Products — 2.1%
	143	Colgate-Palmolive Co.		11,043
	109	Kimberly-Clark Corp.		6,898
	200	Procter & Gamble Co. (The)		12,733
				30,674
		Tobacco — 0.3%
	61	Philip Morris International, Inc.		3,551
		Total Consumer Staples		115,400
		Energy — 3.3%
		Energy Equipment & Services — 0.2%
	106	Rowan Cos., Inc. (a)		3,494
		Oil, Gas & Consumable Fuels — 3.1%
	132	Apache Corp.		13,310
	44	Chevron Corp.		3,660
	103	Devon Energy Corp.		6,697
	150	EOG Resources, Inc.		14,372
	17	Noble Energy, Inc.		1,385
	62	Occidental Petroleum Corp.		4,877
				44,301
		Total Energy		47,795
		Financials — 21.5%
		Capital Markets — 1.5%
	42	Goldman Sachs Group, Inc. (The)		6,704
	136	Invesco Ltd.		3,135
	176	Morgan Stanley		4,377
	193	State Street Corp.		8,076
				22,292

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		Commercial Banks — 2.6%
	265	BB&T Corp.		6,194
	93	Comerica, Inc.		3,335
	110	First Horizon National Corp. (a)		1,114
	751	Huntington Bancshares, Inc.		4,256
	1,081	Popular, Inc. (a)		2,950
	625	Regions Financial Corp.		3,937
	43	SVB Financial Group (a)		1,877
	44	TCF Financial Corp.		583
	93	U.S. Bancorp		2,253
	302	Wells Fargo & Co.		7,866
	248	Wilmington Trust Corp.		1,766
	103	Zions Bancorp		2,120
				38,251
		Consumer Finance — 0.3%
	92	American Express Co.		3,823
		Diversified Financial Services — 0.7%
	496	Bank of America Corp.		5,675
	979	Citigroup, Inc. (a)		4,081
				9,756
		Insurance — 6.6%
	457	ACE Ltd., (Switzerland)		27,146
	264	Aflac, Inc.		14,772
	229	Allstate Corp. (The)		6,967
	57	Everest Re Group Ltd., (Bermuda)		4,787
	138	Lincoln National Corp.		3,386
	296	MetLife, Inc.		11,954
	161	Prudential Financial, Inc.		8,465
	217	RenaissanceRe Holdings Ltd., (Bermuda)		13,093
	189	XL Group plc, (Ireland)		3,991
				94,561
		Real Estate Investment Trusts (REITs) — 9.8%
	91	Apartment Investment & Management Co., Class A		2,112
	500	Associated Estates Realty Corp.		6,951
	915	Brandywine Realty Trust		10,957
	278	BRE Properties, Inc.		11,947
	262	Digital Realty Trust, Inc.		15,637
	684	Duke Realty Corp.		8,534
	400	DuPont Fabros Technology, Inc.		10,030
	90	Health Care REIT, Inc.		4,599
	771	Omega Healthcare Investors, Inc.		17,738
	338	Pebblebrook Hotel Trust (a)		6,627
	522	Pennsylvania Real Estate Investment Trust		7,453
	222	Plum Creek Timber Co., Inc.		8,178

SHARES		SECURITY DESCRIPTION	VALUE($)
		Real Estate Investment Trusts (REITs) — Continued
	258	ProLogis		3,515
	265	Regency Centers Corp.		11,157
	88	Simon Property Group, Inc.		8,431
	1,678	Strategic Hotels & Resorts, Inc. (a)		7,633
				141,499
		Total Financials		310,182
		Health Care — 5.7%
		Biotechnology — 2.6%
	123	Alexion Pharmaceuticals, Inc. (a)		8,387
	145	Biogen Idec, Inc. (a)		9,087
	320	Celgene Corp. (a)		19,877
				37,351
		Health Care Equipment & Supplies — 0.2%
	82	Covidien plc, (Ireland)		3,267
		Health Care Providers & Services — 0.5%
	113	Aetna, Inc.		3,377
	49	Cardinal Health, Inc.		1,710
	29	WellPoint, Inc. (a)		1,571
				6,658
		Pharmaceuticals — 2.4%
	349	Abbott Laboratories		17,888
	476	Merck & Co., Inc.		17,271
				35,159
		Total Health Care		82,435
		Industrials — 11.9%
		Aerospace & Defense — 3.3%
	277	Honeywell International, Inc.		13,045
	235	Northrop Grumman Corp.		14,883
	267	United Technologies Corp.		19,937
				47,865
		Electrical Equipment — 0.4%
	102	Cooper Industries plc		5,336
		Industrial Conglomerates — 0.9%
	116	Textron, Inc.		2,422
	291	Tyco International Ltd., (Switzerland)		11,147
				13,569
		Machinery — 3.1%
	66	Deere & Co.		5,076
	601	PACCAR, Inc.		30,800
	122	Parker Hannifin Corp.		9,316
				45,192

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 17

JPMorgan Research Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		Road & Rail — 3.6%
	410	CSX Corp.		25,222
	208	Norfolk Southern Corp.		12,790
	149	Union Pacific Corp.		13,099
				51,111
		Trading Companies & Distributors — 0.6%
	255	GATX Corp.		8,080
		Total Industrials		171,153
		Information Technology — 13.6%
		Communications Equipment — 2.5%
	374	Cisco Systems, Inc. (a)		8,545
	368	Juniper Networks, Inc. (a)		11,905
	344	QUALCOMM, Inc.		15,514
				35,964
		Computers & Peripherals — 1.7%
	39	Apple, Inc. (a)		11,824
	65	Hewlett-Packard Co.		2,747
	257	SanDisk Corp. (a)		9,645
				24,216
		Electronic Equipment, Instruments & Components — 0.4%
	338	Corning, Inc.		6,175
		IT Services — 1.1%
	162	Cognizant Technology Solutions Corp., Class A (a)		10,535
	32	Computer Sciences Corp.		1,589
	200	Genpact Ltd., (Bermuda) (a)		3,172
				15,296
		Semiconductors & Semiconductor Equipment — 7.3%
	806	Analog Devices, Inc.		27,141
	439	Broadcom Corp., Class A		17,868
	617	Intersil Corp., Class A		8,078
	157	Lam Research Corp. (a)		7,198
	618	Marvell Technology Group Ltd., (Bermuda) (a)		11,930
	686	Novellus Systems, Inc. (a)		20,047
	472	Xilinx, Inc.		12,661
				104,923
		Software — 0.6%
	149	Adobe Systems, Inc. (a)		4,197
	177	Microsoft Corp.		4,709
				8,906
		Total Information Technology		195,480

SHARES		SECURITY DESCRIPTION	VALUE($)
		Materials — 6.5%
		Chemicals — 4.4%
	162	Air Products & Chemicals, Inc.		13,799
	421	Dow Chemical Co. (The)		12,976
	606	E.l. du Pont de Nemours & Co.		28,651
	140	Georgia Gulf Corp. (a)		2,838
	55	PPG Industries, Inc.		4,180
	43	Westlake Chemical Corp.		1,387
				63,831
		Metals & Mining — 2.1%
	324	Alcoa, Inc.		4,257
	278	Freeport-McMoRan Copper & Gold, Inc.		26,273
				30,530
		Total Materials		94,361
		Telecommunication Services — 3.7%
		Diversified Telecommunication Services — 1.0%
	436	Verizon Communications, Inc.		14,162
		Wireless Telecommunication Services — 2.7%
	323	American Tower Corp., Class A (a)		16,686
	133	Crown Castle International Corp. (a)		5,722
	4,113	Sprint Nextel Corp. (a)		16,946
				39,354
		Total Telecommunication Services		53,516
		Utilities — 3.9%
		Electric Utilities — 2.4%
	298	American Electric Power Co., Inc.		11,172
	223	NextEra Energy, Inc.		12,285
	816	NV Energy, Inc.		11,145
				34,602
		Multi-Utilities — 1.2%
	116	PG&E Corp.		5,566
	373	Public Service Enterprise Group, Inc.		12,076
				17,642
		Water Utilities — 0.3%
	143	American Water Works Co., Inc.		3,410
		Total Utilities		55,654
		Total Common Stocks (Cost $1,143,696)		1,299,610

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		U.S. Treasury Obligation — 0.2%
	2,115	U.S. Treasury Note, 1.125%, 06/30/11 (k) (Cost $2,126)		2,128
SHARES
	Short-Term Investment — 9.6%
		Investment Company — 9.6%
	138,416	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (m) (Cost $138,416)		138,416
		Total Investments — 100.0% (Cost $1,284,238)		1,440,154
		Liabilities in Excess of Other Assets — 0.0% (g)		(49	)
		NET ASSETS — 100.0%	$	1,440,105
	Short Positions — 90.2%
		Common Stocks — 90.2%
		Consumer Discretionary — 7.6%
		Automobiles — 0.5%
	531	Ford Motor Co. (a)		7,503
		Diversified Consumer Services — 0.1%
	21	ITT Educational Services, Inc. (a)		1,329
		Hotels, Restaurants & Leisure — 1.6%
	148	Cheesecake Factory, Inc. (The) (a)		4,307
	146	Choice Hotels International, Inc.		5,560
	245	Marriott International, Inc., Class A		9,061
	131	Starbucks Corp.		3,718
				22,646
		Household Durables — 0.4%
	48	MDC Holdings, Inc.		1,226
	363	Pulte Group, Inc. (a)		2,849
	79	Ryland Group, Inc.		1,182
				5,257
		Leisure Equipment & Products — 0.0% (g)
	23	Mattel, Inc.		545
		Media — 4.5%
	230	Comcast Corp., Class A		4,723
	642	New York Times Co. (The), Class A (a)		4,925
	612	News Corp., Class B		9,838
	217	Omnicom Group, Inc.		9,520
	184	Scripps Networks Interactive, Inc., Class A		9,379
	110	Time Warner Cable, Inc.		6,338
	310	Viacom, Inc., Class B		11,967

SHARES		SECURITY DESCRIPTION	VALUE($)
		Media — Continued
	18	Washington Post Co. (The), Class B		7,295
				63,985
		Multiline Retail — 0.4%
	220	Dollar General Corp. (a)		6,193
		Specialty Retail — 0.1%
	91	Gap, Inc. (The)		1,730
		Total Consumer Discretionary		109,188
		Consumer Staples — 8.6%
		Food & Staples Retailing — 1.2%
	79	Costco Wholesale Corp.		4,946
	278	Safeway, Inc.		6,364
	133	Whole Foods Market, Inc. (a)		5,267
				16,577
		Food Products — 3.7%
	400	H.J. Heinz Co.		19,639
	446	Hershey Co. (The)		22,085
	339	Kraft Foods, Inc., Class A		10,933
				52,657
		Household Products — 1.3%
	281	Clorox Co.		18,720
		Personal Products — 1.2%
	71	Avon Products, Inc.		2,150
	222	Estee Lauder Cos., Inc. (The), Class A		15,802
				17,952
		Tobacco — 1.2%
	594	Altria Group, Inc.		15,102
	37	Philip Morris International, Inc.		2,165
				17,267
		Total Consumer Staples		123,173
		Energy — 4.2%
		Energy Equipment & Services — 2.2%
	86	Diamond Offshore Drilling, Inc.		5,663
	445	Tenaris S.A., (Luxembourg), ADR		18,424
	65	Transocean Ltd., (Switzerland) (a)		4,131
	241	Weatherford International Ltd., (Switzerland) (a)		4,045
				32,263
		Oil, Gas & Consumable Fuels — 2.0%
	348	Denbury Resources, Inc. (a)		5,923
	302	Encana Corp., (Canada)		8,522
	134	EQT Corp.		5,002

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 19

JPMorgan Research Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Oil, Gas & Consumable Fuels — Continued
	57	Sunoco, Inc.		2,147
	524	Tesoro Corp.		6,795
				28,389
		Total Energy		60,652
		Financials — 23.5%
		Capital Markets — 3.2%
	195	Ameriprise Financial, Inc.		10,090
	16	BlackRock, Inc.		2,804
	195	Charles Schwab Corp. (The)		3,009
	324	Federated Investors, Inc., Class B		8,077
	231	Northern Trust Corp.		11,455
	205	T. Rowe Price Group, Inc.		11,330
				46,765
		Commercial Banks — 3.3%
	162	Bank of Hawaii Corp.		6,988
	112	Commerce Bancshares, Inc.		4,108
	127	Cullen/Frost Bankers, Inc.		6,660
	533	KeyCorp		4,364
	107	SunTrust Banks, Inc.		2,687
	213	UMB Financial Corp.		7,911
	618	Valley National Bancorp		8,242
	123	Westamerica Bancorp		6,142
				47,102
		Insurance — 6.1%
	162	American International Group, Inc. (a)		6,821
	216	Chubb Corp.		12,555
	527	Marsh & McLennan Cos., Inc.		13,167
	77	Principal Financial Group, Inc.		2,056
	777	Progressive Corp. (The)		16,433
	286	Travelers Cos., Inc. (The)		15,760
	772	W.R. Berkley Corp.		21,251
				88,043
		Real Estate Investment Trusts (REITs) — 10.6%
	114	AvalonBay Communities, Inc.		12,109
	228	CBL & Associates Properties, Inc.		3,569
	519	Developers Diversified Realty Corp.		6,699
	498	Equity One, Inc.		9,305
	412	Extra Space Storage, Inc.		6,666
	32	Federal Realty Investment Trust		2,656
	507	HCP, Inc.		18,272
	332	Highwoods Properties, Inc.		10,989
	246	Home Properties, Inc.		13,400

SHARES		SECURITY DESCRIPTION	VALUE($)
		Real Estate Investment Trusts (REITs) — Continued
	170	National Retail Properties, Inc.		4,615
	219	Post Properties, Inc.		6,669
	54	PS Business Parks, Inc.		3,200
	187	Realty Income Corp.		6,417
	50	SL Green Realty Corp.		3,293
	252	Taubman Centers, Inc.		11,684
	367	UDR, Inc.		8,243
	353	Ventas, Inc.		18,896
	182	Washington Real Estate Investment Trust		5,820
				152,502
		Thrifts & Mortgage Finance — 0.3%
	249	New York Community Bancorp, Inc.		4,214
		Total Financials		338,626
		Health Care — 5.7%
		Biotechnology — 0.7%
	140	Amgen, Inc. (a)		8,018
	188	Isis Pharmaceuticals, Inc. (a)		1,717
				9,735
		Health Care Equipment & Supplies — 0.1%
	29	Varian Medical Systems, Inc. (a)		1,811
		Health Care Providers & Services — 0.6%
	64	Laboratory Corp. of America Holdings (a)		5,180
	101	UnitedHealth Group, Inc.		3,625
				8,805
		Pharmaceuticals — 4.3%
	907	Eli Lilly & Co.		31,920
	439	Johnson & Johnson		27,980
	34	Watson Pharmaceuticals, Inc. (a)		1,563
				61,463
		Total Health Care		81,814
		Industrials — 11.2%
		Aerospace & Defense — 3.7%
	219	Boeing Co. (The)		15,463
	77	General Dynamics Corp.		5,232
	127	ITT Corp.		5,969
	274	Lockheed Martin Corp.		19,555
	164	Raytheon Co.		7,536
				53,755
		Air Freight & Logistics — 0.9%
	68	FedEx Corp.		5,947

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Air Freight & Logistics — Continued
	105	United Parcel Service, Inc., Class B		7,098
				13,045
		Electrical Equipment — 1.0%
	227	Rockwell Automation, Inc.		14,146
		Machinery — 4.2%
	298	Caterpillar, Inc.		23,438
	197	Dover Corp.		10,450
	124	Eaton Corp.		11,033
	392	Ingersoll-Rand plc, (Ireland)		15,398
				60,319
		Road & Rail — 1.4%
	611	Heartland Express, Inc.		9,117
	313	Knight Transportation, Inc.		5,600
	251	Werner Enterprises, Inc.		5,354
				20,071
		Total Industrials		161,336
		Information Technology — 17.1%
		Communications Equipment — 1.0%
	306	Ciena Corp. (a)		4,243
	273	Motorola, Inc. (a)		2,222
	453	Nokia OYJ, (Finland), ADR		4,841
	471	Tellabs, Inc.		3,214
				14,520
		Computers & Peripherals — 0.7%
	459	Dell, Inc. (a)		6,603
	159	QLogic Corp. (a)		2,798
				9,401
		Electronic Equipment, Instruments & Components — 0.7%
	275	Agilent Technologies, Inc. (a)		9,563
		Internet Software & Services — 2.6%
	137	AOL, Inc. (a)		3,642
	768	eBay, Inc. (a)		22,885
	12	Google, Inc., Class A (a)		7,601
	220	Yahoo!, Inc. (a)		3,626
				37,754
		IT Services — 1.9%
	251	Automatic Data Processing, Inc.		11,154
	324	Paychex, Inc.		8,961
	420	SAIC, Inc. (a)		6,526

SHARES		SECURITY DESCRIPTION	VALUE($)
		IT Services — Continued
	5	Visa, Inc., Class A		414
				27,055
		Semiconductors & Semiconductor Equipment — 9.4%
	436	ASML Holding N.V., (Netherlands)		14,458
	1,181	Atmel Corp. (a)		10,459
	910	Cypress Semiconductor Corp. (a)		12,832
	9	First Solar, Inc. (a)		1,253
	334	Intel Corp.		6,702
	729	Linear Technology Corp.		23,493
	878	Microchip Technology, Inc.		28,260
	661	NVIDIA Corp. (a)		7,951
	489	Teradyne, Inc. (a)		5,501
	848	Texas Instruments, Inc.		25,061
				135,970
		Software — 0.8%
	557	Electronic Arts, Inc. (a)		8,835
	784	THQ, Inc. (a)		3,136
				11,971
		Total Information Technology		246,234
		Materials — 6.1%
		Chemicals — 4.4%
	92	Ecolab, Inc.		4,523
	175	Olin Corp.		3,492
	339	OM Group, Inc. (a)		11,281
	272	Praxair, Inc.		24,799
	112	Sherwin-Williams Co. (The)		8,173
	334	Valspar Corp.		10,724
				62,992
		Metals & Mining — 1.6%
	663	AK Steel Holding Corp.		8,345
	128	Nucor Corp.		4,905
	247	United States Steel Corp.		10,578
				23,828
		Paper & Forest Products — 0.1%
	35	International Paper Co.		892
		Total Materials		87,712
		Telecommunication Services — 2.4%
		Diversified Telecommunication Services — 1.5%
	789	AT&T, Inc.		22,495

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 21

JPMorgan Research Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Wireless Telecommunication Services — 0.9%
	316	SBA Communications Corp., Class A (a)		12,418
		Total Telecommunication Services		34,913
		Utilities — 3.8%
		Electric Utilities — 1.6%
	228	Allegheny Energy, Inc.		5,299
	290	Exelon Corp.		11,817
	145	FirstEnergy Corp.		5,267
				22,383
		Independent Power Producers & Energy Traders — 0.3%
	255	NRG Energy, Inc. (a)		5,069

SHARES		SECURITY DESCRIPTION	VALUE($)
		Multi-Utilities — 1.7%
	238	Consolidated Edison, Inc.		11,829
	279	Dominion Resources, Inc.		12,138
				23,967
		Water Utilities — 0.2%
	170	Aqua America, Inc.		3,649
		Total Utilities		55,068
		Total Short Positions (Proceeds $1,230,566)	$	1,298,716

Percentages indicated are based on net assets.

Futures Contracts
NUMBER OF CONTRACTS			DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10			UNREALIZED APPRECIATION (DEPRECIATION)
			Short Futures Outstanding
	(51	)	E-mini S&P 500		12/17/10	$	(3,008	)	$	3

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS:

ADR	—  American Depositary Receipt
(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(j)	—  All or a portion of these securities are segregated for short sales.

(k)	—  All or a portion of this security is deposited with the broker as collateral for futures or with brokers as initial margin for futures contracts.
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 23

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Research Equity Long/Short  Fund			Research Market Neutral Fund
ASSETS:
Investments in non-affiliates, at value	$	60,814		$	1,301,738
Investments in affiliates, at value		1,273			138,416
Total investment securities, at value		62,087			1,440,154
Cash		21			83
Deposits at broker for securities sold short		45,204			1,287,051
Receivables:
Investment securities sold		7,004			110,487
Fund shares sold		242			5,330
Interest and dividends		61			1,810
Prepaid expenses and other assets		39			—
Total Assets		114,658			2,844,915
LIABILITIES:
Payables:
Securities sold short, at value		48,417			1,298,716
Dividends for securities sold short		40			1,304
Investment securities purchased		6,286			101,099
Interest expense for securities sold short		—			101
Fund shares redeemed		91			2,132
Variation margin on futures contracts		—			11
Accrued liabilities:
Investment advisory fees		2			904
Administration fees		—			102
Shareholder servicing fees		7			208
Distribution fees		8			91
Custodian and accounting fees		32			16
Trustees’ and Chief Compliance Officer’s fees		—	(a)		2
Other		60			124
Total Liabilities		54,943			1,404,810
Net Assets	$	59,715		$	1,440,105

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

	Research Equity Long/Short  Fund			Research Market Neutral Fund
NET ASSETS:
Paid in capital	$	58,792		$	1,417,032
Accumulated net investment loss		—	(a)		(5	)
Accumulated net realized gains (losses)		(64	)		(64,691	)
Net unrealized appreciation (depreciation)		987			87,769
Total Net Assets	$	59,715		$	1,440,105
NET ASSETS:
Class A	$	54,311		$	337,177
Class B		—			2,479
Class C		156			25,121
Class R5		51			—
Institutional Class		—			465,026
Select Class		5,197			610,302
Total	$	59,715		$	1,440,105
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		3,524			22,039
Class B		—			166
Class C		10			1,687
Class R5		3			—
Institutional Class		—			29,658
Select Class		337			39,031
Net Asset Value:
Class A — Redemption price per share	$	15 .41		$	15 .30
Class B — Offering price per share (b)		—			14 .89
Class C — Offering price per share (b)		15 .38			14 .89
Class R5 — Offering and redemption price per share		15 .44			—
Institutional Class — Offering and redemption price per share		—			15 .68
Select Class — Offering and redemption price per share		15 .43			15 .64
Class A maximum sales charge		5.25	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	16 .26		$	16 .15
Cost of investments in non-affiliates	$	58,329		$	1,145,822
Cost of investments in affiliates		1,273			138,416
Proceeds from securities sold short		46,919			1,230,566

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class B and Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 25

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Research Equity Long/Short Fund  (a)			Research Market Neutral Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	3		$	235
Dividend income from non-affiliates		158			15,696
Dividend income from affiliates		—	(b)		120
Total investment income		161			16,051
EXPENSES:
Investment advisory fees		112			11,899
Administration fees		8			881
Distribution fees:
Class A		17			738
Class B		—			22
Class C		—	(b)		88
Shareholder servicing fees:
Class A		17			738
Class B		—			8
Class C		—	(b)		29
Class R5		—	(b)		—
Institutional Class		—			344
Select Class		5			745
Custodian and accounting fees		37			68
Interest expense to affiliates		—			—	(b)
Professional fees		59			62
Trustees’ and Chief Compliance Officer’s fees		—	(b)		11
Printing and mailing costs		37			116
Registration and filing fees		31			280
Transfer agent fees		4			462
Other		9			14
Dividend expense on securities sold short		163			20,016
Interest expense to non-affiliates on securities sold short		13			894
Total expenses		512			37,415
Less amounts waived		(105	)		(4,785	)
Less earnings credits		—	(b)		(1	)
Less expense reimbursements		(80	)		—
Net expenses		327			32,629
Net investment income (loss)		(166	)		(16,578	)
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		127			30,089
Futures		—			(843	)
Securities sold short		(28	)		(75,156	)
Net realized gain (loss)		99			(45,910	)
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		2,485			130,094
Futures		—			19
Securities sold short		(1,498	)		(62,894	)
Change in net unrealized appreciation (depreciation)		987			67,219
Net realized/unrealized gains (losses)		1,086			21,309
Change in net assets resulting from operations	$	920		$	4,731

(a) Commencement of operations was May 28, 2010.

(b) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

26 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Research Equity Long/Short Fund			Research Market Neutral Fund
	Period Ended 10/31/2010 (a)			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	(166	)	$	(16,578	)	$	(1,874	)
Net realized gain (loss)		99			(45,910	)		(4,756	)
Change in net unrealized appreciation (depreciation)		987			67,219			16,498
Change in net assets resulting from operations		920			4,731			9,868
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net realized gains		—			(2,100	)		—
Class B
From net realized gains		—			(35	)		—
Class C (b)
From net realized gains		—			(4	)		—
Institutional Class
From net realized gains		—			(1,627	)		—
Select Class (b)
From net realized gains		—			(275	)		—
Total distributions to shareholders		—			(4,041	)		—
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		58,795			1,135,421			257,981
NET ASSETS:
Change in net assets		59,715			1,136,111			267,849
Beginning of period		—			303,994			36,145
End of period	$	59,715		$	1,440,105		$	303,994
Accumulated net investment loss	$	—	(c)	$	(5	)	$	(1	)

(a) Commencement of operations was May 28, 2010.

(b) Commencement of offering of class of shares effective November 2, 2009 for Research Market Neutral Fund.

(c) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 27

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Research Equity Long/Short Fund			Research Market Neutral Fund
	Period Ended 10/31/2010 (a)			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	55,716		$	399,623		$	196,365
Dividends and distributions reinvested		—			1,743			—
Cost of shares redeemed		(2,178	)		(241,777	)		(37,716	)
Change in net assets from Class A capital transactions	$	53,538		$	159,589		$	158,649
Class B
Proceeds from shares issued	$	—		$	144		$	2,868
Dividends and distributions reinvested		—			21			—
Cost of shares redeemed		—			(1,158	)		(363	)
Change in net assets from Class B capital transactions	$	—		$	(993	)	$	2,505
Class C (b)
Proceeds from shares issued	$	152		$	26,117		$	—
Dividends and distributions reinvested		—			4			—
Cost of shares redeemed		—			(1,080	)		—
Change in net assets from Class C capital transactions	$	152		$	25,041		$	—
Class R5
Proceeds from shares issued	$	50		$	—		$	—
Change in net assets from Class R5 capital transactions	$	50		$	—		$	—
Institutional Class
Proceeds from shares issued	$	—		$	570,907		$	143,676
Dividends and distributions reinvested		—			1,426			—
Cost of shares redeemed		—			(229,133	)		(46,849	)
Change in net assets from Institutional Class capital transactions	$	—		$	343,200		$	96,827
Select Class (b)
Proceeds from shares issued	$	5,055		$	676,296		$	—
Dividends and distributions reinvested		—			274			—
Cost of shares redeemed		—			(67,986	)		—
Change in net assets from Select Class capital transactions	$	5,055		$	608,584		$	—
Total change in net assets from capital transactions	$	58,795		$	1,135,421		$	257,981

SEE NOTES TO FINANCIAL STATEMENTS.

28 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

	Research Equity Long/Short Fund			Research Market Neutral Fund
	Period Ended 10/31/2010 (a)			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		3,667			26,216			12,983
Reinvested		—			114			—
Redeemed		(143	)		(15,932	)		(2,500	)
Change in Class A Shares		3,524			10,398			10,483
Class B
Issued		—			9			197
Reinvested		—			2			—
Redeemed		—			(78	)		(25	)
Change in Class B Shares		—			(67	)		172
Class C (b)
Issued		10			1,760			—
Reinvested		—			—	(c)		—
Redeemed		—			(73	)		—
Change in Class C Shares		10			1,687			—
Class R5
Issued		3			—			—
Change in Class R5 Shares		3			—			—
Institutional Class
Issued		—			36,574			9,407
Reinvested		—			91			—
Redeemed		—			(14,744	)		(3,025	)
Change in Institutional Class Shares		—			21,921			6,382
Select Class (b)
Issued		337			43,399			—
Reinvested		—			18			—
Redeemed		—			(4,386	)		—
Change in Select Class Shares		337			39,031			—

(a) Commencement of operations was May 28, 2010.

(b) Commencement of offering of class of shares effective November 2, 2009 for Research Market Neutral Fund.

(c) Amount rounds to less than 1,000 (shares or dollars).

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 29

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments		Total from investment operations		Net asset value, end of period
Research Equity Long/Short Fund
Class A
May 28, 2010(e) through October 31, 2010	$	15.00	$	(0.13	)(f)	$	0.54	$	0.41	$	15.41
Class C
May 28, 2010(e) through October 31, 2010		15.00		(0.13	)(f)		0.51		0.38		15.38
Class R5
May 28, 2010(e) through October 31, 2010		15.00		(0.08	)(f)		0.52		0.44		15.44
Select Class
May 28, 2010(e) through October 31, 2010		15.00		(0.09	)(f)		0.52		0.43		15.43

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Commencement of operations.

(f) Calculated based upon average shares outstanding.

(g) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

SEE NOTES TO FINANCIAL STATEMENTS.

30 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Ratios/Supplemental data
					Ratios to average net assets (a)
Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (including dividend and interest expense for securities sold short) (d)			Net expenses (excluding dividend and interest expense for securities sold short) (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits (including dividend and interest expense for securities sold short)			Expenses without waivers, reimbursements and earnings credits (excluding dividend and interest expense for securities sold short)			Portfolio turnover rate (excluding short sales) (b)			Portfolio turnover rate (including short sales) (b)
	2.73	%	$	54,311		3.73	%		1.75	%		(1.96	)%		5.22	%(g)		3.24	%(g)		63	%		313	%
	2.53			156		4.03			2.22			(2.08	)		7.21	(g)		5.40	(g)		63			313
	2.93			51		3.16			1.28			(1.31	)		7.10	(g)		5.22	(g)		63			313
	2.87			5,197		3.36			1.48			(1.51	)		7.27	(g)		5.39	(g)		63			313

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 31

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on Investments			Total from investments operations			Net investment income			Net realized gain			Return of capital			Total distributions			Net asset value, end of period
Research Market Neutral Fund
Class A
Year Ended October 31, 2010	$	15.39	$	(0.31	)(f)	$	0.37		$	0.06		$	—		$	(0.15	)	$	—		$	(0.15	)	$	15.30
Year Ended October 31, 2009		13.94		(0.25	)(f)(g)		1.70	(g)		1.45			—			—			—			—			15.39
Year Ended October 31, 2008		14.49		0.10	(f)		(0.49	)		(0.39	)		(0.13	)		—			(0.03	)		(0.16	)		13.94
Year Ended October 31, 2007		14.01		0.40	(f)		0.70			1.10			(0.62	)		—			—			(0.62	)		14.49
Year Ended October 31, 2006		13.63		0.36	(f)		0.70			1.06			(0.68	)		—			—			(0.68	)		14.01
Class B
Year Ended October 31, 2010		15.05		(0.38	)(f)		0.37			(0.01	)		—			(0.15	)		—			(0.15	)		14.89
Year Ended October 31, 2009		13.71		(0.32	)(f)(g)		1.66	(g)		1.34			—			—			—			—			15.05
Year Ended October 31, 2008		14.27		0.02	(f)		(0.47	)		(0.45	)		(0.09	)		—			(0.02	)		(0.11	)		13.71
Year Ended October 31, 2007		13.81		0.34	(f)		0.67			1.01			(0.55	)		—			—			(0.55	)		14.27
Year Ended October 31, 2006		13.45		0.28	(f)		0.70			0.98			(0.62	)		—			—			(0.62	)		13.81
Class C
November 2, 2009(j) through October 31, 2010		15.07		(0.36	)(f)		0.33			(0.03	)		—			(0.15	)		—			(0.15	)		14.89
Institutional Class
Year Ended October 31, 2010		15.69		(0.23	)(f)		0.37			0.14			—			(0.15	)		—			(0.15	)		15.68
Year Ended October 31, 2009		14.14		(0.19	)(f)(g)		1.74	(g)		1.55			—			—			—			—			15.69
Year Ended October 31, 2008		14.67		0.18	(f)		(0.50	)		(0.32	)		(0.17	)		—			(0.04	)		(0.21	)		14.14
Year Ended October 31, 2007		14.18		0.49	(f)		0.68			1.17			(0.68	)		—			—			(0.68	)		14.67
Year Ended October 31, 2006		13.78		0.41	(f)		0.74			1.15			(0.75	)		—			—			(0.75	)		14.18
Select Class
November 2, 2009(j) through October 31, 2010		15.70		(0.27	)(f)		0.36			0.09			—			(0.15	)		—			(0.15	)		15.64

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Commencing with the period ended October 31, 2009, the Fund will present portfolio turnover in two ways, one including short sales and the other excluding short sales. For periods prior to October 31, 2009, the Fund’s portfolio turnover calculation included short sales.

(f) Calculated based upon average shares outstanding.

(g) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net realized and unrealized gains (losses) on investments per share would have been $1.73 and total return would have been 10.89% for Institutional Class Shares. The impact on net investment income (loss) per share and the net investment income (loss) ratio was less than $0.01 and 0.01%, respectively, for Institutional Class Shares. The impact on net investment income (loss) per share, net realized and unrealized gains (losses) on investments per share, total return and the net investment income (loss) ratio was less than $0.01, $0.01, 0.01% and 0.01%, respectively for Class A and Class B Shares.

(h) Includes interest expense (except interest expense on securities sold short) of 0.03%

(i) Includes interest expense (except interest expense on securities sold short) of 0.01%.

(j) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

32 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

			Ratios/Supplemental data
					Ratios to average net assets (a)
Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (including dividend and interest expense for securities sold short) (d)			Net expenses (excluding dividend and interest expense for securities sold short) (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits (including dividend and interest expense for securities sold short)			Expenses without waivers, reimbursements and earnings credits (excluding dividend and interest expense for securities sold short)			Portfolio turnover rate (excluding short sales) (b)(e)			Portfolio turnover rate (including short sales) (b)(e)
	0.42	%	$	337,177		3.75	%		1.48	%		(2.02	)%		4.22	%		1.95	%		182	%		473	%
	10.40	(g)		179,117		3.75	(h)		1.52	(h)		(1.66	)(g)		4.33			2.10			218			558
	(2.72	)		16,147		3.57	(i)		1.51	(i)		0.73			4.43			2.37			—			517
	8.02			12,603		3.67	(i)		1.51	(i)		2.81			4.68			2.52			—			387
	8.02			3,630		3.70			1.50			2.62			4.85			2.65			—			476
	(0.04	)		2,479		4.35			1.98			(2.57	)		4.82			2.45			182			473
	9.77	(g)		3,512		4.25	(h)		2.02	(h)		(2.21	)(g)		4.87			2.64			218			558
	(3.18	)		840		4.07	(i)		2.01	(i)		0.15			4.93			2.87			—			517
	7.46			572		4.17	(i)		2.01	(i)		2.41			5.23			3.07			—			387
	7.49			368		4.20			2.00			2.04			5.35			3.15			—			476
	(0.17	)		25,121		4.11			1.99			(2.46	)		4.57			2.45			182			473
	0.93			465,026		3.20			0.98			(1.49	)		3.77			1.55			182			473
	10.96	(g)		121,365		3.25	(h)		1.02	(h)		(1.21	)(g)		3.95			1.72			218			558
	(2.20	)		19,158		3.07	(i)		1.01	(i)		1.25			4.00			1.94			—			517
	8.44			29,113		3.17	(i)		1.01	(i)		3.36			4.32			2.16			—			387
	8.60			14,737		3.20			1.00			2.97			4.17			1.97			—			476
	0.60			610,302		3.34			1.23			(1.73	)		3.81			1.70			182			473

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 33

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following are 2 separate funds of the Trust (collectively, the “Funds”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Research Equity Long/Short Fund	Class A, Class C, Class R5 and Select Class	Non-Diversified
Research Market Neutral Fund	Class A, Class B, Class C, Institutional Class and Select Class	Diversified

Effective February 28, 2010, the Market Neutral Fund was renamed the Research Market Neutral Fund with the approval of the Board of Trustees.

The Research Equity Long/Short Fund commenced operations on May 28, 2010. Prior to June 10, 2010, Class A, Class C, Class R5 and Select Class Shares were not publicly offered for investment.

Class C and Select Class Shares of the Research Market Neutral Fund commenced operations on November 2, 2009.

Effective November 1, 2009, Class B Shares of the Research Market Neutral Fund may not be purchased or acquired by new or existing shareholders, except through exchanges from Class B Shares of another J.P. Morgan Fund and dividend reinvestments. Shareholders who have invested in Class B Shares prior to November 1, 2009 may continue to hold their Class B Shares until they convert automatically to Class A Shares.

Class A Shares generally provide for a front-end sales charge while Class B and Class C Shares provide for a contingent deferred sales charge (“CDSC”). Class B Shares automatically convert to Class A Shares after eight years. No sales charges are assessed with respect to the Class R5, Institutional Class and Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Funds’ prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset values.

34 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following table represents each valuation input by sector as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

Research Equity Long/Short Fund

	Level 1 Quoted prices			Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Total Investments in Securities #	$	62,087		$	—	$	—	$	62,087
Total Liabilities in Securities Sold Short #	$	(48,417	)	$	—	$	—	$	(48,417	)

Research Market Neutral Fund

	Level 1 Quoted prices			Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Total Investments in Securities ##	$	1,438,026		$	2,128	$	—	$	1,440,154
Total Liabilities in Securities Sold Short #	$	(1,298,716	)	$	—	$	—	$	(1,298,716	)
Appreciation in Other Financial Instruments
Futures Contracts	$	3		$	—	$	—	$	3

# All portfolio holdings designated as Level 1 are disclosed individually in the SOIs. Please refer to the SOIs for industry specifics of the portfolio holdings.

## All portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOIs. Level 2 consists of a U.S. Treasury Note that is held for futures contracts collateral. Please refer to the SOIs for industry specifics of the portfolio holdings.

There were no significant transfers between Levels 1 and 2 during the period ended October 31, 2010.

B. Futures Contracts — The Research Market Neutral Fund uses index futures contracts to actively manage the long and short equity exposures in the portfolio. The use of futures contracts exposes the Fund to equity price risk.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Research Market Neutral Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 35

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The table below discloses the volume of the Fund’s derivatives activities as of October 31, 2010 (amounts in thousands):

Futures Contracts:

	Research Market Neutral Fund
Average Notional Balance Long	$	509
Average Notional Balance Short		1,859
Ending Notional Balance Long		—
Ending Notional Balance Short	$	3,008

C. Short Sales — The Funds engage in short sales as part of their normal investment activities. In a short sale, a Fund sells securities it does not own, in anticipation of a decline in the market value of those securities. In order to deliver securities to the purchaser, the Fund borrows securities from a broker. To close out a short position, the Fund must purchase the same securities at the current market price and deliver them to the broker.

The Funds are required to pledge cash or securities to the broker as collateral for the securities sold short. Collateral requirements are calculated daily based on the current market value of the short positions. Cash collateral deposited with the broker is recorded as an asset on the Statements of Assets and Liabilities. Securities segregated as collateral are denoted in the SOIs. The Funds may receive or pay the net of the following amounts: (i) a portion of the income from the investment of cash collateral; (ii) the broker’s fee on the borrowed securities (calculated daily based upon the market value of each borrowed security and a variable rate that is dependent on availability of the security); and (iii) a financing charge for the difference in the market value of the short position and cash collateral deposited with the broker. The net income or fee is included as interest income or interest expense on securities sold short, respectively, in the Statements of Operations.

The Funds are obligated to pay the broker dividends declared on short positions when a position is open on record date. Dividends on short positions are recorded on the Statements of Operations as dividend expense on ex-dividend date.

Liabilities for securities sold short are reported at market value on the Statements of Assets and Liabilities and the change in market value is recorded as unrealized gain or loss on the Statements of Operations. Short sale transactions may result in unlimited losses as the short position loses value and the securities’ price increases. There is no upward limit on the price a borrowed security could attain. The Funds are also subject to risk of loss if the broker were to fail to perform its obligations under the contractual terms.

The Funds will record a realized loss if the price of the security increases between the date of the short sale and the date on which the Funds replace the borrowed security. The Funds will record a realized gain if the price of the security declines between those dates.

As of October 31, 2010, the Funds had outstanding short sales as listed on their SOIs.

D. Offering and Organization Costs — Offering costs (Registration and filing fees) paid in connection with the offering of shares of the Research Equity Long/Short Fund are amortized on a straight line basis over 12 months from the date the Fund commenced operations. Costs paid in connection with the organization of the Fund were recorded as an expense at the time it commenced operations and are included as part of Professional fees on the Statements of Operations.

E. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income and expense on securities sold short less foreign taxes withheld, if any, are recorded on the ex-dividend date or when a Fund first learns of the dividend.

The Funds record distributions received in excess of income from underlying investments as a reduction of cost of investments and/or realized gain. Such amounts are based on estimates if actual amounts are not available and actual amounts of income, realized gain and return of capital may differ from the estimated amounts. The Funds adjust the estimated amounts of components of distributions (and consequently their net investment income) as necessary once the issuers provide information about the actual composition of the distributions.

F. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to its Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

G. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years, or since inception if shorter, remain subject to examination by the Internal Revenue Service.

36 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

H. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid annually on the Research Equity Long/Short Fund, and are declared and paid quarterly on the Research Market Neutral Fund. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital			Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
Research Equity Long/Short Fund	$	(3	)	$	166	$	(163	)
Research Market Neutral Fund		(15,818	)		16,574		(756	)

The reclassifications for the Funds relate primarily to net operating loss.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Funds. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). JPMIM supervises the investments of each respective Fund and for such services is paid a fee. The fee is accrued daily and paid monthly at an annual fee rate of 1.25% of each Fund’s average daily net assets.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the period ended October 31, 2010, the annualized effective rate was 0.09% of each Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of each Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A, Class B and Class C Shares of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Funds shall pay distribution fees, including payments to the Distributor, at annual rates of the average daily net assets as shown in the table below:

	Class A			Class B			Class C
Research Equity Long/Short Fund		0.25	%		n/a			0.75	%
Research Market Neutral Fund		0.25			0.75	%		0.75

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class B and Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the period ended October 31, 2010, the Distributor retained the following amounts (in thousands):

	Front-End Sales Charge			CDSC
Research Equity Long/Short Fund	$	—	(a)	$	—
Research Market Neutral Fund		61			34

(a) Amount rounds to less than $1,000.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 37

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

D. Shareholder Servicing Fees — The Trust, on behalf of the Funds, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R5			Institutional Class			Select Class
Research Equity Long/Short Fund		0.25	%		n/a			0.25	%		0.05	%		n/a			0.25	%
Research Market Neutral Fund		0.25			0.25	%		0.25			n/a			0.10	%		0.25

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. The custodian fees may be reduced by credits earned by the Funds, based on uninvested cash balances held by the custodian. Such earnings credits are presented separately in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Funds to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend and interest expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Funds’ respective average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R5			Institutional Class		Select Class
Research Equity Long/Short Fund		1.75	%		n/a			2.25	%		1.30	%		n/a		1.50	%
Research Market Neutral Fund		1.50			2.00	%		2.00			n/a			1.00		1.25

The contractual expense limitation agreements were in effect for the period ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011 for Research Market Neutral Fund and May 31, 2011 for Research Equity Long/Short Fund. In addition, the Funds’ service providers have voluntarily waived fees during the period ended October 31, 2010. However, the Funds’ service providers are under no obligation to do so and may discontinue such voluntary waivers at any time.

For the period ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and reimbursed expenses in future years.

	Contractual Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
Research Equity Long/Short Fund	$	92	$	8	$	5	$	105	$	80
Research Market Neutral Fund		4,185		88		344		4,617		—

Additionally, the Funds may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Funds’ investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amount of waivers resulting from investments in the money market funds for the period ended October 31, 2010 was as follows (amounts in thousands):

Research Equity Long/Short Fund	$	—	(a)
Research Market Neutral Fund		168

(a) Amount rounds to less than $1,000.

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

38 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the period ended October 31, 2010, the Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the period ended October 31, 2010, the Funds did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the period ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)		Purchases of U.S. Government		Sales of U.S. Government		Securities Sold Short		Covers on Securities Sold Short
Research Equity Long/Short Fund	$	72,452	$	14,239	$	—	$	—	$	56,433	$	9,543
Research Market Neutral Fund		3,921,482		3,940,979		615		115		2,433,238		1,393,820

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
Research Equity Long/Short Fund	$	59,729	$	2,702	$	344	$	2,358
Research Market Neutral Fund		1,305,757		150,781		16,384		134,397

For the Funds, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to constructive sale recognized gains (Research Equity Long/Short Fund) and wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Ordinary Income		Total Distributions Paid
Research Market Neutral Fund	$	4,041	$	4,041

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Long-Term Capital-Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
Research Equity Long/Short Fund	$	122	$	7		$	794
Research Market Neutral Fund		—		(8,228	)		31,308

For the Funds, the cumulative timing differences primarily consist of constructive sale recognized gains (Research Equity Long/Short Fund) and wash sale loss deferrals.

As of October 31, 2010, the Funds had the following net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2018		Total
Research Market Neutral Fund	$	8,228	$	8,228

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrow-

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 39

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

ing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Funds’ borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Funds because it is an investment company in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Funds’ borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the period then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

One or more affiliates of the Advisor have investment discretion with respect to their clients’ holdings in the Research Market Neutral Fund, which collectively represent a significant portion of the Fund’s assets. Research Equity Long/Short Fund has several shareholders, which are accounts maintained by financial intermediaries on behalf of their clients, that own significant portions of the Fund’s outstanding shares. Significant shareholder transactions, if any, may impact the Fund’s performance.

As of October 31, 2010, the Research Equity Long/Short Fund pledged substantially all of its assets for securities sold short to BNP Paribas and the Research Market Neutral Fund pledged substantially all of its assets for securities sold short to Goldman Sachs & Co. For the Research Equity Long/Short Fund and the Research Market Neutral Fund, deposits at broker for securities sold short, as noted on the Statements of Assets and Liabilities, are held at BNP Paribas or Goldman Sachs & Co., respectively.

40 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and Shareholders of JPMorgan Research Market Neutral Fund and JPMorgan Research Equity Long/Short Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan Research Market Neutral Fund (formerly JPMorgan Market Neutral Fund) and JPMorgan Research Equity Long/Short Fund (each a separate Fund of JPMorgan Trust I) (hereafter collectively referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the period then ended and the changes in each of their net assets and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 20, 2010

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 41

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)	Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll-Rand Company (manufacturer of industrial equipment) (1972-2000).	141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985-present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).	141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).	141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).	141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).	141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).	141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).	141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).	141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).	141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

42 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000-present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

   * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 43

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase S Co. since 2000.
Paul L. Gulinello (1950). AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan chase since 2005; Associate, willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003-2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003; Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

44 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010		Annualized Expense Ratio
Research Equity Long/Short Fund
Class A
Actual*	$	1,000.00	$	1,027.30	$	15.85		3.73	%
Hypothetical**		1,000.00		1,006.40		18.86		3.73
Class C
Actual*		1,000.00		1,025.30		17.11		4.03
Hypothetical**		1,000.00		1,004.89		20.37		4.03
Class R5
Actual*		1,000.00		1,029.30		13.44		3.16
Hypothetical**		1,000-00		1,009.28		16.00		3.16
Select Class
Actual*		1,000.00		1,028.70		14.29		3.36
Hypothetical**		1,000.00		1,008.27		17.01		3.36
Research Market Neutral Fund
Class A
Actual**		1,000.00		1,009.20		18.69		3.69
Hypothetical**		1,000.00		1,006.60		18.66		3.69
Class B
Actual**		1,000.00		1,006.80		21.30		4.21
Hypothetical**		1,000.00		1,003.98		21.27		4.21
Class C
Actual**		1,000.00		1,006.80		20.84		4.12
Hypothetical**		1,000.00		1,004.44		20.82		4.12

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 45

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited) (continued)

Hypothetical $1,000 Investment

	Beginning Account Value, May 1, 2010		Ending Account value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010		Annualized Expense Ratio
Research Market Neutral Fund (continued)
Institutional class
Actual**	$	1,000.00	$	1,012.30	$	16.08		3.17	%
Hypothetical**		1,000.00		1,009.23		16.05		3.17
Select Class
Actual**		1,000.00		1,011.00		17.18		3.39
Hypothetical**		1,000.00		1,008.12		17.16		3.39

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 153/365 (to reflect the actual period). Commencement of operations was May 28, 2010.

** Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

46 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of the investment advisory agreement for the Fund whose annual report is contained herein (the “Advisory Agreement”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreement or any of their affiliates, approved the continuation of the Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the J.P. Morgan Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Fund’s performance compared to the performance of the Fund’s peers and benchmarks and analyses by the Advisor of the Fund’s performance. In addition, the Trustees have engaged an independent consultant to report on the performance of the Fund at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the JPMorgan Research Market Neutral Fund (the “Fund”) expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain J.P. Morgan Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of J.P. Morgan Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreement with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees discussing the legal standards for their con-

sideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve the Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from the Fund under the Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of the Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to the Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to the Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of the Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of the Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of the Fund. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Fund gained from their experience as Trustees of the J.P. Morgan Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Fund, their overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to concerns raised by them,

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 47

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to the Fund. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Fund, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of the Advisory Agreement was not unreasonable in light of the services and benefits provided to the Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Fund. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for the Fund.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Fund for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Fund’s distributor and that these fees are in turn generally paid to financial intermediaries that sell the Fund, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for the Fund does not contain breakpoints. The

Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Fund’s Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreement.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of the Fund. The Trustees also considered the complexity of investment management for the Fund relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to the Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for J.P. Morgan Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those J.P. Morgan Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in the Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed the Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board

48 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

meetings by the Advisor and the independent consultant and also considered the special analysis by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to the Fund’s performance for certain representative classes are summarized below:

The Trustees noted the Fund’s performance was in the second, first and first quintiles for both Class A and Select Class shares for the one-, three- and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by the Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as the Fund. The Trustees recognized that Lipper reported the Fund’s

management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for the Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for the Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of the Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Fund’s net advisory fee for both Class A and Select Class shares was in the second and third quintiles, respectively, and that the actual total expenses for Class A and Select Class Shares were in the second and first quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 49

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and proce dural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

50 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010 All rights reserved. October 2010. AN-SPEC-1010

Annual Report

Highbridge Funds

October 31, 2010

Highbridge Statistical Market Neutral Fund

CONTENTS

CEO’s Letter	1
Fund Commentary	2
Schedule of Portfolio Investments	5
Financial Statements	24
Financial Highlights	30
Notes to Financial Statements	32
Report of Independent Registered Public Accounting Firm	37
Trustees	38
Officers	40
Schedule of Shareholder Expenses	41
Board Approval of Investment Advisory Agreement	42
Privacy Policy	45

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Fund’s prospectus for a discussion of the Fund’s investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about the Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

November 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted

due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 1

Highbridge Statistical Market Neutral Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		-3.94%
BofA Merrill Lynch 3-Month U.S. Treasury Bill Index		0.12%
Net Assets as of 10/31/2010 (In Thousands)	$	2,248,144

INVESTMENT OBJECTIVE**

The Highbridge Statistical Market Neutral Fund (the “Fund”) seeks to provide long-term absolute (positive) returns in all market environments from a broadly diversified portfolio of stocks, while neutralizing the general risks associated with stock market investing.

HOW DID THE MARKET PERFORM?

U.S. stocks continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered in the third quarter of 2010 and into October 2010 amid strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve. In the end, the S&P 500 Index finished the twelve months ended October 31, 2010 with a 16.52% return.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) underperformed the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index for the twelve months ended October 31, 2010, as three of the four stock selection forecasts used by Highbridge Capital Management, LLC (“Highbridge”) detracted from relative performance during the reporting period.

The Fund’s fundamental forecasts took a long-term perspective and sought stocks that generate strong cash flows and efficiently use their capital base. Overall, this forecast theme hurt the Fund’s performance as investors disregarded stocks’ fundamentals and continued to trade based on macroeconomic data.

The Fund’s relative value forecasts sought to identify stocks that appeared to be mispriced relative to their peers. These forecasts detracted from the Fund’s performance, particularly in April, as investors became concerned about sovereign risk and U.S. regulatory financial reform. These concerns produced atypical trends in the market and hindered the relative value forecasts’ ability to distinguish between attractive and unattractive stocks.

The Fund’s technical forecasts also did not add value during the reporting period. The technical forecasts are based on the idea that stock prices react to and correct short-term imbalances in supply and demand. The technical forecasts attempted to identify opportunities to exploit these short-term imbalances and by providing liquidity to markets (buying or selling stocks) to make a profit.

The Fund’s event forecasts contributed to the Fund’s performance during the reporting period. This theme attempts to identify and incorporate news or other information that may impact stock prices. The model’s analyst-driven forecasts performed well, especially once investors began to focus on company’s earnings, rewarding those companies that reported improved operating results.

Although the Fund’s strategy is to be and to remain market neutral, it is important to note that the strategy is not market isolated, and therefore may be subject to short-term disruptions in market conditions, like those witnessed during this most recent reporting period.

HOW WAS THE FUND POSITIONED?

As during previous periods, Highbridge managed the Fund using its proprietary quantitative investment approach. The Fund focused on stock selection and relied on its four different stock selection themes, which the Fund’s portfolio managers believe should drive stock performance over time. The forecasting component of the process sought to identify equity securities expected to potentially outperform or underperform other equity securities with similar industry and risk characteristics. Highbridge selected the Fund’s holdings by balancing expected returns predicted by its forecasting model against expectations of common market risks and stock-specific risks in the Fund’s portfolio. Highbridge achieved this balance through the use of their proprietary optimization software. The Fund was rebalanced throughout each trading day using a proprietary electronic trading system. The model did not seek to “time” the market or predict which style would outperform. The Fund was diversified among mid- and large-cap U.S. stocks and attempted to generate returns based on the relative price movements of the positions in the Fund, and not the direction of the broad market.

2 HIGHBRIDGE FUNDS OCTOBER 31, 2010

TOP TEN LONG POSITIONS OF THE PORTFOLIO***
	1.	Google, Inc., Class A	1.0	%
	2.	Philip Morris International, Inc.	1.0
	3.	Wal-Mart Stores, Inc.	1.0
	4.	Alcoa, Inc.	0.9
	5.	American Express Co.	0.8
	6.	Chesapeake Energy Corp.	0.8
	7.	Oracle Corp.	0.8
	8.	General Electric Co.	0.8
	9.	Humana, Inc.	0.8
	10.	Prudential Financial, Inc.	0.8

TOP TEN SHORT POSITIONS OF THE PORTFOLIO****
	1.	J.C. Penney Co., Inc.	1.4	%
	2.	Kraft Foods, Inc., Class A	1.1
	3.	Tiffany & Co.	1.0
	4.	Green Mountain Coffee Roasters, Inc.	1.0
	5.	Fluor Corp.	0.9
	6.	NVIDIA Corp.	0.9
	7.	EOG Resources, Inc.	0.9
	8.	Intuit, Inc.	0.9
	9.	Johnson & Johnson	0.8
	10.	BorgWarner, Inc.	0.8

LONG POSITIONS PORTFOLIO COMPOSITION BY SECTOR***
Information Technology	17.8	%
Consumer Discretionary	15.8
Industrials	11.7
Health Care	11.0
Financials	9.1
Energy	9.1
Consumer Staples	6.8
Materials	6.6
Utilities	5.9
Telecommunication Services	1.6
Short-Term Investment	4.6

SHORT POSITIONS PORTFOLIO COMPOSITION BY SECTOR****
Consumer Discretionary	17.5	%
Information Technology	17.4
Industrials	11.7
Health Care	10.8
Energy	10.5
Financials	10.1
Consumer Staples	7.7
Materials	6.4
Utilities	6.1
Telecommunication Services	1.8

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles gener- ally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total long investments as of October 31, 2010. The Fund’s composition is subject to change.

**** Percentages indicated are based upon total short investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 3

Highbridge Statistical Market Neutral Fund

FUND COMMENTARY

AS OF OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		11/30/05
Without Sales Charge				(4.22	)%		0.78	%		1.59	%
With Sales Charge*				(9.25	)		(1.02	)		0.49
CLASS C SHARES		11/30/05
Without CDSC				(4.70	)		0.26			1.09
With CDSC**				(5.70	)		0.26			1.09
SELECT CLASS SHARES		11/30/05		(3.94	)		1.03			1.86

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (11/30/2005 TO 10/31/2010)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on November 30, 2005.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the Highbridge Statistical Market Neutral Fund, BofA Merrill Lynch 3-Month U.S. Treasury Bill Index and Lipper Equity Market-Neutral Funds Average from November 30, 2005 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of the Lipper Equity Market-Neutral Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by

the Fund. The BofA Merrill Lynch 3-Month U.S. Treasury Bill Index is comprised of a single issue purchased at the beginning of the month and held for a full month. Each month the index is rebalanced and the issue selected is the outstanding Treasury Bill that matures closest to, but not beyond 3 months from the rebalancing date. The Lipper Equity Market-Neutral Funds Average represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

4 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — 97.0% (j)
			Common Stocks — 92.5%
			Consumer Discretionary — 15.3%
			Auto Components — 0.9%
	43		Autoliv, Inc., (Sweden)		3,056
	78		Cooper Tire & Rubber Co.		1,535
	581		Dana Holding Corp. (a)		8,226
	13		Federal-Mogul Corp. (a)		260
	142		TRW Automotive Holdings Corp. (a)		6,474
					19,551
			Automobiles — 0.6%
	763		Ford Motor Co. (a)		10,785
	105		Thor Industries, Inc.		3,320
					14,105
			Distributors — 0.0% (g)
	5		Genuine Parts Co.		219
			Diversified Consumer Services — 1.0%
	18		Capella Education Co. (a)		1,008
	7		Coinstar, Inc. (a)		386
	1		DeVry, Inc.		48
	53		Hillenbrand, Inc.		1,141
	4		Matthews International Corp., Class A		139
	352		Sotheby’s		15,417
	26		Strayer Education, Inc.		3,615
					21,754
			Hotels, Restaurants & Leisure — 3.8%
	202		Bally Technologies, Inc. (a)		7,275
	393		Brinker International, Inc.		7,290
	98		Cheesecake Factory, Inc. (The) (a)		2,861
	—	(h)	Chipotle Mexican Grill, Inc. (a)		14
	95		Cracker Barrel Old Country Store, Inc.		5,135
	228		Darden Restaurants, Inc.		10,407
	441		International Game Technology		6,870
	—	(h)	Interval Leisure Group, Inc. (a)		1
	—	(h)	Life Time Fitness, Inc. (a)		15
	74		Marriott International, Inc., Class A		2,727
	55		Panera Bread Co., Class A (a)		4,937
	17		Penn National Gaming, Inc. (a)		569
	1		PF Chang’s China Bistro, Inc.		69
	—	(h)	Royal Caribbean Cruises Ltd. (a)		—	(h)
	31		Scientific Games Corp., Class A (a)		241
	440		Starbucks Corp.		12,533
	292		Wendy’s/Arby’s Group, Inc., Class A		1,343
	10		WMS Industries, Inc. (a)		432
	428		Wyndham Worldwide Corp.		12,292
	93		Wynn Resorts Ltd.		9,925
					84,936

SHARES			SECURITY DESCRIPTION	VALUE($)
			Household Durables — 1.0%
	948		D.R. Horton, Inc.		9,895
	180		Harman International Industries, Inc. (a)		6,039
	—	(h)	iRobot Corp. (a)		2
	60		Lennar Corp., Class A		872
	15		Mohawk Industries, Inc. (a)		840
	113		Newell Rubbermaid, Inc.		1,988
	19		Pulte Group, Inc. (a)		149
	61		Toll Brothers, Inc. (a)		1,103
	35		Whirlpool Corp.		2,619
					23,507
			Internet & Catalog Retail — 0.4%
	76		Expedia, Inc.		2,204
	—	(h)	NutriSystem, Inc.		4
	20		priceline.com, Inc. (a)		7,531
					9,739
			Leisure Equipment & Products — 0.2%
	54		Brunswick Corp.		855
	23		Polaris Industries, Inc.		1,616
	54		Pool Corp.		1,082
					3,553
			Media — 2.5%
	86		Cablevision Systems Corp., Class A		2,305
	151		CBS Corp., Class B		2,558
	252		Cinemark Holdings, Inc.		4,425
	11		Discovery Communications, Inc., Class C (a)		417
	310		DISH Network Corp., Class A		6,161
	1,372		Interpublic Group of Cos., Inc. (The) (a)		14,199
	100		Liberty Media Corp. — Starz, Class A (a)		6,551
	—	(h)	Live Nation Entertainment, Inc. (a)		1
	65		Madison Square Garden, Inc., Class A (a)		1,347
	2		Morningstar, Inc. (a)		79
	69		Time Warner Cable, Inc.		3,967
	22		Viacom, Inc., Class B		846
	294		Walt Disney Co. (The)		10,613
	5		Washington Post Co. (The), Class B		2,120
					55,589
			Multiline Retail — 1.2%
	49		Big Lots, Inc. (a)		1,541
	361		Dillard’s, Inc., Class A		9,218
	28		Dollar Tree, Inc. (a)		1,431
	23		Family Dollar Stores, Inc.		1,048
	101		Kohl’s Corp. (a)		5,159
	4		Macy’s, Inc.		106
	76		Nordstrom, Inc.		2,917

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 5

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — (Continued)
			Multiline Retail — Continued
	128		Target Corp.		6,668
					28,088
			Specialty Retail — 2.3%
	28		Advance Auto Parts, Inc.		1,826
	145		Aeropostale, Inc. (a)		3,534
	150		AnnTaylor Stores Corp. (a)		3,498
	2		AutoZone, Inc. (a)		397
	—	(h)	Bed Bath & Beyond, Inc. (a)		3
	—	(h)	Charming Shoppes, Inc. (a)		—	(h)
	166		Collective Brands, Inc. (a)		2,544
	209		Dick’s Sporting Goods, Inc. (a)		6,029
	144		GameStop Corp., Class A (a)		2,838
	4		Home Depot, Inc.		119
	85		Lowe’s Cos., Inc.		1,823
	260		Men’s Wearhouse, Inc. (The)		6,350
	939		Office Depot, Inc. (a)		4,216
	42		O’Reilly Automotive, Inc. (a)		2,486
	131		RadioShack Corp.		2,637
	—	(h)	Signet Jewelers Ltd., (Bermuda) (a)		7
	5		Staples, Inc.		104
	108		Tractor Supply Co.		4,283
	68		Ulta Salon Cosmetics & Fragrance, Inc. (a)		2,083
	241		Williams-Sonoma, Inc.		7,787
					52,564
			Textiles, Apparel & Luxury Goods — 1.4%
	143		Coach, Inc.		7,151
	275		CROCS, Inc. (a)		3,830
	—	(h)	Iconix Brand Group, Inc. (a)		5
	308		Jones Group, Inc. (The)		4,453
	1		Liz Claiborne, Inc. (a)		5
	102		NIKE, Inc., Class B		8,287
	130		Warnaco Group, Inc. (The) (a)		6,926
					30,657
			Total Consumer Discretionary		344,262
			Consumer Staples — 6.6%
			Beverages — 1.4%
	126		Coca-Cola Co. (The)		7,753
	99		Constellation Brands, Inc., Class A (a)		1,955
	461		Dr. Pepper Snapple Group, Inc.		16,866
	109		Hansen Natural Corp. (a)		5,607
					32,181

SHARES			SECURITY DESCRIPTION	VALUE($)
			Food & Staples Retailing — 1.4%
	7		BJ’s Wholesale Club, Inc. (a)		279
	—	(h)	CVS Caremark Corp.		1
	230		Kroger Co. (The)		5,062
	—	(h)	Pantry, Inc. (The) (a)		2
	160		Walgreen Co.		5,420
	387		Wal-Mart Stores, Inc.		20,968
	5		Weis Markets, Inc.		178
					31,910
			Food Products — 2.3%
	366		ConAgra Foods, Inc.		8,239
	205		Dean Foods Co. (a)		2,128
	129		Del Monte Foods Co.		1,855
	2		Hain Celestial Group, Inc. (The) (a)		38
	57		Ralcorp Holdings, Inc. (a)		3,507
	68		Sanderson Farms, Inc.		2,858
	766		Sara Lee Corp.		10,984
	333		Smithfield Foods, Inc. (a)		5,581
	993		Tyson Foods, Inc., Class A		15,443
					50,633
			Household Products — 0.3%
	27		Colgate-Palmolive Co.		2,062
	69		Energizer Holdings, Inc. (a)		5,140
					7,202
			Personal Products — 0.1%
	24		Nu Skin Enterprises, Inc., Class A		730
			Tobacco — 1.1%
	365		Philip Morris International, Inc.		21,375
	168		Vector Group Ltd.		3,140
					24,515
			Total Consumer Staples		147,171
			Energy — 8.8%
			Energy Equipment & Services — 2.7%
	—	(h)	CARBO Ceramics, Inc.		41
	318		Complete Production Services, Inc. (a)		7,451
	46		Dresser-Rand Group, Inc. (a)		1,573
	95		Exterran Holdings, Inc. (a)		2,396
	240		Halliburton Co.		7,650
	93		Helix Energy Solutions Group, Inc. (a)		1,175
	—	(h)	Natural Gas Services Group, Inc. (a)		2
	120		Oceaneering International, Inc. (a)		7,445
	112		Oil States International, Inc. (a)		5,718
	—	(h)	OYO Geospace Corp. (a)		6
	754		Patterson-UTI Energy, Inc.		14,636

SEE NOTES TO FINANCIAL STATEMENTS.

6 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Energy Equipment & Services — Continued
	12		RPC, Inc.		271
	25		SEACOR Holdings, Inc. (a)		2,412
	214		Superior Energy Services, Inc. (a)		5,911
	269		Tetra Technologies, Inc. (a)		2,624
	14		Unit Corp. (a)		546
	80		Weatherford International Ltd., (Switzerland) (a)		1,338
					61,195
			Oil, Gas & Consumable Fuels — 6.1%
	99		Alpha Natural Resources, Inc. (a)		4,451
	49		Apache Corp.		4,948
	317		Arch Coal, Inc.		7,795
	310		Bill Barrett Corp. (a)		11,700
	10		Cabot Oil & Gas Corp.		300
	820		Chesapeake Energy Corp.		17,794
	—	(h)	Chevron Corp.		2
	74		Cimarex Energy Co.		5,687
	9		Comstock Resources, Inc. (a)		193
	26		Continental Resources, Inc. (a)		1,257
	31		Devon Energy Corp.		2,009
	132		EQT Corp.		4,934
	39		Frontier Oil Corp.		516
	10		Gran Tierra Energy, Inc., (Canada) (a)		73
	45		Holly Corp.		1,466
	381		International Coal Group, Inc. (a)		2,143
	197		Marathon Oil Corp.		7,006
	121		McMoRan Exploration Co. (a)		2,030
	158		Murphy Oil Corp.		10,297
	21		Newfield Exploration Co. (a)		1,228
	65		Petrohawk Energy Corp. (a)		1,110
	132		Plains Exploration & Production Co. (a)		3,687
	117		QEP Resources, Inc.		3,857
	206		Quicksilver Resources, Inc. (a)		3,077
	42		Southern Union Co.		1,053
	128		Southwestern Energy Co. (a)		4,321
	—	(h)	Stone Energy Corp. (a)		5
	312		Sunoco, Inc.		11,703
	490		Valero Energy Corp.		8,794
	28		Whiting Petroleum Corp. (a)		2,773
	472		Williams Cos., Inc. (The)		10,166
					136,375
			Total Energy		197,570

SHARES		SECURITY DESCRIPTION	VALUE($)
		Financials — 8.8%
		Capital Markets — 0.9%
	9	Ameriprise Financial, Inc.		465
	17	BlackRock, Inc.		2,896
	70	E*Trade Financial Corp. (a)		999
	1	Eaton Vance Corp.		17
	18	Franklin Resources, Inc.		2,031
	36	Goldman Sachs Group, Inc. (The)		5,847
	126	Morgan Stanley		3,131
	5	Northern Trust Corp.		259
	37	SEI Investments Co.		815
	96	State Street Corp.		3,993
	8	Stifel Financial Corp. (a)		394
	3	Waddell & Reed Financial, Inc., Class A		73
				20,920
		Commercial Banks — 1.8%
	5	Bank of Hawaii Corp.		221
	82	CapitalSource, Inc.		503
	1	Cathay General Bancorp		16
	12	City National Corp.		620
	148	East West Bancorp, Inc.		2,611
	570	Fifth Third Bancorp		7,158
	3	First Citizens BancShares, Inc., Class A		538
	30	First Financial Bancorp		498
	290	Huntington Bancshares, Inc.		1,647
	86	Iberiabank Corp.		4,460
	16	Investors Bancorp, Inc. (a)		186
	33	M&T Bank Corp.		2,486
	2	Old National Bancorp		22
	208	PNC Financial Services Group, Inc.		11,206
	5	PrivateBancorp, Inc.		54
	45	Prosperity Bancshares, Inc.		1,413
	39	Signature Bank (a)		1,660
	14	Susquehanna Bancshares, Inc.		112
	47	TCF Financial Corp.		614
	15	Trustmark Corp.		323
	85	U.S. Bancorp		2,050
	3	Umpqua Holdings Corp.		34
	8	Valley National Bancorp		110
	89	Webster Financial Corp.		1,519
	18	Wells Fargo & Co.		476
	13	Wintrust Financial Corp.		379
	1	Zions Bancorp		10
				40,926

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 7

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Consumer Finance — 1.1%
	439		American Express Co.		18,205
	131		Capital One Financial Corp.		4,868
	22		Cash America International, Inc.		772
					23,845
			Diversified Financial Services — 0.0% (g)
	56		Citigroup, Inc. (a)		234
	18		NASDAQ OMX Group, Inc. (The) (a)		388
	1		Portfolio Recovery Associates, Inc. (a)		88
					710
			Insurance — 2.6%
	1		ACE Ltd., (Switzerland)		67
	57		Aflac, Inc.		3,175
	—	(h)	Allied World Assurance Co. Holdings Ltd., (Bermuda)		6
	441		Allstate Corp. (The)		13,461
	—	(h)	Axis Capital Holdings Ltd., (Bermuda)		7
	84		Brown & Brown, Inc.		1,875
	—	(h)	CNO Financial Group, Inc. (a)		2
	4		Erie Indemnity Co., Class A		212
	240		Fidelity National Financial, Inc., Class A		3,211
	—	(h)	HCC Insurance Holdings, Inc.		6
	—	(h)	Infinity Property & Casualty Corp.		5
	80		Lincoln National Corp.		1,948
	216		MBIA, Inc. (a)		2,422
	—	(h)	Mercury General Corp.		3
	54		MetLife, Inc.		2,176
	—	(h)	OneBeacon Insurance Group Ltd., Class A		1
	85		Principal Financial Group, Inc.		2,272
	23		Progressive Corp. (The)		489
	218		Protective Life Corp.		5,228
	325		Prudential Financial, Inc.		17,078
	4		Tower Group, Inc.		99
	85		Transatlantic Holdings, Inc.		4,446
	9		Unitrin, Inc.		223
	1		XL Group plc, (Ireland)		23
					58,435
			Real Estate Investment Trusts (REITs) — 1.6%
	1		Alexandria Real Estate Equities, Inc.		58
	22		Apartment Investment & Management Co., Class A		504
	6		AvalonBay Communities, Inc.		653
	37		BRE Properties, Inc.		1,570
	78		Camden Property Trust		3,866
	23		Corporate Office Properties Trust		802

SHARES			SECURITY DESCRIPTION	VALUE($)
			Real Estate Investment Trusts (REITs) — Continued
	341		Duke Realty Corp.		4,256
	38		Essex Property Trust, Inc.		4,344
	24		Federal Realty Investment Trust		2,007
	4		HCP, Inc.		140
	44		Hospitality Properties Trust		994
	8		Host Hotels & Resorts, Inc.		119
	106		Liberty Property Trust		3,550
	79		Mack-Cali Realty Corp.		2,640
	28		Nationwide Health Properties, Inc.		1,155
	16		Potlatch Corp.		548
	148		Rayonier, Inc.		7,711
	1		Ventas, Inc.		31
	—	(h)	Vornado Realty Trust		8
					34,956
			Real Estate Management & Development — 0.5%
	36		CB Richard Ellis Group, Inc., Class A (a)		667
	242		Forest City Enterprises, Inc., Class A (a)		3,535
	92		Jones Lang LaSalle, Inc.		7,178
					11,380
			Thrifts & Mortgage Finance — 0.3%
	11		Astoria Financial Corp.		130
	—	(h)	Downey Financial Corp. (a)		—
	141		MGIC Investment Corp. (a)		1,242
	104		NewAlliance Bancshares, Inc.		1,345
	77		Northwest Bancshares, Inc.		868
	130		Ocwen Financial Corp. (a)		1,120
	198		People’s United Financial, Inc.		2,443
	—	(h)	Provident Financial Services, Inc.		3
	23		Washington Federal, Inc.		349
					7,500
			Total Financials		198,672
			Health Care — 10.7%
			Biotechnology — 0.7%
	80		Alexion Pharmaceuticals, Inc. (a)		5,478
	85		Amylin Pharmaceuticals, Inc. (a)		1,102
	30		BioMarin Pharmaceutical, Inc. (a)		793
	5		Celgene Corp. (a)		338
	41		Cephalon, Inc. (a)		2,713
	8		Cepheid, Inc. (a)		162
	24		Cubist Pharmaceuticals, Inc. (a)		560
	6		Dendreon Corp. (a)		211
	36		Human Genome Sciences, Inc. (a)		976
	90		Incyte Corp., Ltd. (a)		1,495
	—	(h)	Martek Biosciences Corp. (a)		2

SEE NOTES TO FINANCIAL STATEMENTS.

8 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Biotechnology — Continued
	11		Myriad Genetics, Inc. (a)		222
	—	(h)	Pharmasset, Inc. (a)		11
	6		Regeneron Pharmaceuticals, Inc. (a)		167
	—	(h)	Rigel Pharmaceuticals, Inc. (a)		1
	42		Seattle Genetics, Inc. (a)		693
	28		United Therapeutics Corp. (a)		1,690
					16,614
			Health Care Equipment & Supplies — 2.5%
	182		Align Technology, Inc. (a)		3,094
	78		American Medical Systems Holdings, Inc. (a)		1,569
	83		Baxter International, Inc.		4,238
	5		Beckman Coulter, Inc.		273
	183		Boston Scientific Corp. (a)		1,165
	230		CareFusion Corp. (a)		5,545
	70		Cooper Cos., Inc. (The)		3,468
	10		Gen-Probe, Inc. (a)		476
	—	(h)	Haemonetics Corp. (a)		11
	13		Hill-Rom Holdings, Inc.		495
	482		Hologic, Inc. (a)		7,721
	113		Immucor, Inc. (a)		1,962
	27		Integra LifeSciences Holdings Corp. (a)		1,147
	24		Intuitive Surgical, Inc. (a)		6,322
	78		Sirona Dental Systems, Inc. (a)		2,941
	25		St. Jude Medical, Inc. (a)		964
	15		STERIS Corp.		529
	99		Stryker Corp.		4,918
	26		Teleflex, Inc.		1,437
	161		Zimmer Holdings, Inc. (a)		7,617
					55,892
			Health Care Providers & Services — 3.7%
	57		AMERIGROUP Corp. (a)		2,371
	364		Cardinal Health, Inc.		12,613
	52		Catalyst Health Solutions, Inc. (a)		1,962
	222		Community Health Systems, Inc. (a)		6,674
	37		Express Scripts, Inc. (a)		1,786
	313		Health Management Associates, Inc., Class A (a)		2,507
	174		Health Net, Inc. (a)		4,692
	301		Humana, Inc. (a)		17,564
	—	(h)	Kindred Healthcare, Inc. (a)		4
	28		LifePoint Hospitals, Inc. (a)		965
	32		McKesson Corp.		2,089
	179		Medco Health Solutions, Inc. (a)		9,393
	1,011		Tenet Healthcare Corp. (a)		4,409
	427		UnitedHealth Group, Inc.		15,405
					82,434

SHARES			SECURITY DESCRIPTION	VALUE($)
			Health Care Technology — 0.6%
	189		Allscripts Healthcare Solutions, Inc. (a)		3,611
	87		Cerner Corp. (a)		7,612
	78		MedAssets, Inc. (a)		1,442
					12,665
			Life Sciences Tools & Services — 0.9%
	75		Bruker Corp. (a)		1,121
	1		Charles River Laboratories International, Inc. (a)		24
	57		Covance, Inc. (a)		2,689
	1		Illumina, Inc. (a)		30
	38		Life Technologies Corp. (a)		1,890
	323		Parexel International Corp. (a)		6,944
	230		Pharmaceutical Product Development, Inc.		5,936
	2		Thermo Fisher Scientific, Inc. (a)		113
	29		Waters Corp. (a)		2,150
					20,897
			Pharmaceuticals — 2.3%
	98		Abbott Laboratories		5,013
	15		Bristol-Myers Squibb Co.		409
	476		Eli Lilly & Co.		16,754
	129		Endo Pharmaceuticals Holdings, Inc. (a)		4,739
	39		Forest Laboratories, Inc. (a)		1,297
	307		Impax Laboratories, Inc. (a)		5,792
	99		King Pharmaceuticals, Inc. (a)		1,406
	—	(h)	Medicines Co. (The) (a)		3
	70		Medicis Pharmaceutical Corp., Class A		2,076
	67		Par Pharmaceutical Cos., Inc. (a)		2,181
	542		Pfizer, Inc.		9,428
	—	(h)	Questcor Pharmaceuticals, Inc. (a)		2
	185		ViroPharma, Inc. (a)		3,034
					52,134
			Total Health Care		240,636
			Industrials — 11.3%
			Aerospace & Defense — 1.5%
	45		Alliant Techsystems, Inc. (a)		3,466
	39		Cubic Corp.		1,682
	35		Esterline Technologies Corp. (a)		2,127
	58		General Dynamics Corp.		3,944
	205		ITT Corp.		9,668
	115		L-3 Communications Holdings, Inc.		8,279
	14		Lockheed Martin Corp.		964
	8		Moog, Inc., Class A (a)		286
	36		Northrop Grumman Corp.		2,278
	7		Teledyne Technologies, Inc. (a)		270
					32,964

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 9

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Air Freight & Logistics — 0.4%
	23		Atlas Air Worldwide Holdings, Inc. (a)		1,207
	3		FedEx Corp.		298
	95		United Parcel Service, Inc., Class B		6,374
					7,879
			Airlines — 0.4%
	65		Alaska Air Group, Inc. (a)		3,425
	80		JetBlue Airways Corp. (a)		562
	12		Southwest Airlines Co.		161
	191		U.S. Airways Group, Inc. (a)		2,250
	121		United Continental Holdings, Inc. (a)		3,527
					9,925
			Building Products — 0.0% (g)
	31		Owens Corning (a)		840
	10		Simpson Manufacturing Co., Inc.		266
					1,106
			Commercial Services & Supplies — 0.9%
	3		ABM Industries, Inc.		72
	63		Avery Dennison Corp.		2,294
	6		Brink’s Co. (The)		133
	32		Cintas Corp.		868
	75		Clean Harbors, Inc. (a)		5,260
	175		Covanta Holding Corp.		2,768
	35		HNI Corp.		851
	49		Iron Mountain, Inc.		1,062
	70		R.R. Donnelley & Sons Co.		1,292
	49		Republic Services, Inc.		1,469
	—	(h)	Team, Inc. (a)		—	(h)
	209		Tetra Tech, Inc. (a)		4,396
	—	(h)	UniFirst Corp.		5
					20,470
			Construction & Engineering — 1.4%
	188		Aecom Technology Corp. (a)		4,969
	—	(h)	Great Lakes Dredge & Dock Corp.		2
	589		KBR, Inc.		14,968
	49		Shaw Group, Inc. (The) (a)		1,485
	231		URS Corp. (a)		8,986
					30,410
			Electrical Equipment — 0.9%
	20		Baldor Electric Co.		832
	137		Brady Corp., Class A		4,205
	—	(h)	Franklin Electric Co., Inc.		4
	156		GrafTech International Ltd. (a)		2,569
	86		Hubbell, Inc., Class B		4,651

SHARES			SECURITY DESCRIPTION	VALUE($)
			Electrical Equipment — Continued
	36		Polypore International, Inc. (a)		1,200
	81		Regal-Beloit Corp.		4,654
	46		Thomas & Betts Corp. (a)		2,010
					20,125
			Industrial Conglomerates — 0.8%
	36		Carlisle Cos., Inc.		1,252
	1,097		General Electric Co.		17,577
					18,829
			Machinery — 2.9%
	7		Actuant Corp., Class A		167
	325		AGCO Corp. (a)		13,808
	—	(h)	Ampco-Pittsburgh Corp.		3
	—	(h)	Briggs & Stratton Corp.		8
	10		Crane Co.		371
	30		Danaher Corp.		1,291
	—	(h)	Donaldson Co., Inc.		3
	73		Dover Corp.		3,899
	113		Harsco Corp.		2,623
	70		IDEX Corp.		2,532
	129		Joy Global, Inc.		9,177
	86		Kaydon Corp.		2,990
	—	(h)	LB Foster Co., Class A (a)		3
	154		Manitowoc Co., Inc. (The)		1,718
	—	(h)	NACCO Industries, Inc., Class A		13
	2		Oshkosh Corp. (a)		58
	56		PACCAR, Inc.		2,850
	115		Pall Corp.		4,890
	33		Pentair, Inc.		1,088
	23		Sauer-Danfoss, Inc. (a)		513
	261		Timken Co.		10,796
	75		Toro Co. (The)		4,279
	21		WABCO Holdings, Inc. (a)		962
	24		Watts Water Technologies, Inc., Class A		843
					64,885
			Marine — 0.0% (g)
	8		Alexander & Baldwin, Inc.		261
			Professional Services — 0.1%
	17		Dun & Bradstreet Corp.		1,295
	1		Equifax, Inc.		35
	37		FTI Consulting, Inc. (a)		1,310
	9		Towers Watson & Co., Class A		442
					3,082
			Road & Rail — 1.7%
	4		Amerco, Inc. (a)		323

SEE NOTES TO FINANCIAL STATEMENTS.

10 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Road & Rail — Continued
	5		Avis Budget Group, Inc. (a)		53
	173		CSX Corp.		10,615
	30		Heartland Express, Inc.		449
	126		Knight Transportation, Inc.		2,250
	170		Norfolk Southern Corp.		10,462
	61		Old Dominion Freight Line, Inc. (a)		1,722
	153		Ryder System, Inc.		6,688
	249		Werner Enterprises, Inc.		5,313
					37,875
			Trading Companies & Distributors — 0.3%
	126		Applied Industrial Technologies, Inc.		3,840
	14		Fastenal Co.		732
	32		United Rentals, Inc. (a)		605
	27		Watsco, Inc.		1,505
					6,682
			Total Industrials		254,493
			Information Technology — 17.3%
			Communications Equipment — 1.7%
	—	(h)	Anaren, Inc. (a)		2
	353		Arris Group, Inc. (a)		3,288
	43		Aruba Networks, Inc. (a)		932
	58		Blue Coat Systems, Inc. (a)		1,558
	32		Brocade Communications Systems, Inc. (a)		204
	51		CommScope, Inc. (a)		1,606
	97		Harris Corp.		4,367
	118		InterDigital, Inc. (a)		3,962
	388		Motorola, Inc. (a)		3,163
	114		Plantronics, Inc.		4,089
	162		Polycom, Inc. (a)		5,478
	40		QUALCOMM, Inc.		1,817
	22		Riverbed Technology, Inc. (a)		1,263
	712		Tellabs, Inc.		4,859
	3		ViaSat, Inc. (a)		131
					36,719
			Computers & Peripherals — 1.4%
	899		Dell, Inc. (a)		12,933
	43		EMC Corp. (a)		893
	334		Hewlett-Packard Co.		14,036
	6		Isilon Systems, Inc. (a)		181
	213		NCR Corp. (a)		2,919
	58		QLogic Corp. (a)		1,024
					31,986
			Electronic Equipment, Instruments & Components — 1.9%
	30		AVX Corp.		433

SHARES			SECURITY DESCRIPTION	VALUE($)
			Electronic Equipment, Instruments & Components — Continued
	5		Cognex Corp.		143
	12		Coherent, Inc. (a)		521
	91		Corning, Inc.		1,672
	—	(h)	Daktronics, Inc.		1
	27		Dolby Laboratories, Inc., Class A (a)		1,671
	81		IPG Photonics Corp. (a)		1,825
	86		Itron, Inc. (a)		5,254
	496		Jabil Circuit, Inc.		7,614
	87		Molex, Inc.		1,766
	33		National Instruments Corp.		1,161
	718		Power-One, Inc. (a)		7,469
	—	(h)	Technitrol, Inc.		—	(h)
	1,077		Vishay Intertechnology, Inc. (a)		12,168
	66		Vishay Precision Group, Inc. (a)		1,120
					42,818
			Internet Software & Services — 1.9%
	1		Akamai Technologies, Inc. (a)		63
	143		AOL, Inc. (a)		3,812
	37		Google, Inc., Class A (a)		22,844
	153		IAC/InterActiveCorp. (a)		4,279
	—	(h)	Internap Network Services Corp. (a)		—	(h)
	18		MercadoLibre, Inc., (Argentina) (a)		1,178
	18		ValueClick, Inc. (a)		246
	3		WebMD Health Corp. (a)		170
	658		Yahoo!, Inc. (a)		10,865
					43,457
			IT Services — 2.0%
	139		Acxiom Corp. (a)		2,445
	19		Alliance Data Systems Corp. (a)		1,162
	358		Broadridge Financial Solutions, Inc.		7,878
	143		CACI International, Inc., Class A (a)		7,170
	129		Convergys Corp. (a)		1,460
	—	(h)	Diamond Management & Technology Consultants, Inc.		—	(h)
	42		DST Systems, Inc.		1,830
	—	(h)	Euronet Worldwide, Inc. (a)		2
	40		Gartner, Inc. (a)		1,272
	—	(h)	International Business Machines Corp.		14
	248		Lender Processing Services, Inc.		7,163
	54		ManTech International Corp., Class A (a)		2,107
	51		MAXIMUS, Inc.		3,092
	111		NeuStar, Inc., Class A (a)		2,862
	—	(h)	RightNow Technologies, Inc. (a)		3
	1		SRA International, Inc., Class A (a)		18

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 11

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		IT Services — Continued
	40	TeleTech Holdings, Inc. (a)		610
	192	Total System Services, Inc.		2,997
	9	VeriFone Systems, Inc. (a)		290
	175	Western Union Co. (The)		3,085
				45,460
		Office Electronics — 0.0% (g)
	4	Zebra Technologies Corp., Class A (a)		151
		Semiconductors & Semiconductor Equipment — 4.7%
	141	Altera Corp.		4,401
	237	Amkor Technology, Inc. (a)		1,712
	204	Analog Devices, Inc.		6,879
	264	Atheros Communications, Inc. (a)		8,196
	115	Atmel Corp. (a)		1,017
	371	Cypress Semiconductor Corp. (a)		5,238
	1,236	Fairchild Semiconductor International, Inc. (a)		13,931
	213	GT Solar International, Inc. (a)		1,757
	7	Integrated Device Technology, Inc. (a)		44
	10	International Rectifier Corp. (a)		235
	42	KLA-Tencor Corp.		1,513
	217	Lam Research Corp. (a)		9,946
	17	Linear Technology Corp.		534
	1,098	LSI Corp. (a)		5,755
	296	Maxim Integrated Products, Inc.		6,419
	92	Microchip Technology, Inc.		2,946
	329	Micron Technology, Inc. (a)		2,720
	87	Microsemi Corp. (a)		1,746
	175	Novellus Systems, Inc. (a)		5,114
	1,092	ON Semiconductor Corp. (a)		8,374
	353	PMC-Sierra, Inc. (a)		2,713
	6	Power Integrations, Inc.		218
	1,080	RF Micro Devices, Inc. (a)		7,872
	18	Semtech Corp. (a)		378
	391	Teradyne, Inc. (a)		4,392
	66	TriQuint Semiconductor, Inc. (a)		681
	6	Veeco Instruments, Inc. (a)		235
				104,966
		Software — 3.7%
	352	Adobe Systems, Inc. (a)		9,921
	9	Advent Software, Inc. (a)		465
	35	ANSYS, Inc. (a)		1,577
	19	Ariba, Inc. (a)		351
	32	Aspen Technology, Inc. (a)		357
	316	Autodesk, Inc. (a)		11,444
	11	Blackbaud, Inc.		272

SHARES			SECURITY DESCRIPTION	VALUE($)
			Software — Continued
	116		BMC Software, Inc. (a)		5,269
	1		Concur Technologies, Inc. (a)		29
	38		FactSet Research Systems, Inc.		3,378
	—	(h)	Fair Isaac Corp.		5
	148		Jack Henry & Associates, Inc.		4,031
	13		Lawson Software, Inc. (a)		118
	11		McAfee, Inc. (a)		500
	31		MICROS Systems, Inc. (a)		1,423
	598		Oracle Corp.		17,579
	17		Parametric Technology Corp. (a)		371
	8		Quest Software, Inc. (a)		205
	179		Rovi Corp. (a)		9,058
	2		Solera Holdings, Inc.		86
	56		SuccessFactors, Inc. (a)		1,508
	327		Synopsys, Inc. (a)		8,369
	8		Taleo Corp., Class A (a)		240
	79		VMware, Inc., Class A (a)		6,007
					82,563
			Total Information Technology		388,120
			Materials — 6.4%
			Chemicals — 2.7%
	63		Air Products & Chemicals, Inc.		5,388
	3		Albemarle Corp.		169
	131		Ashland, Inc.		6,780
	121		Cabot Corp.		4,103
	136		Cytec Industries, Inc.		6,735
	348		Ferro Corp. (a)		4,769
	3		International Flavors & Fragrances, Inc.		141
	55		Minerals Technologies, Inc.		3,247
	15		Monsanto Co.		921
	17		Mosaic Co. (The)		1,263
	98		OM Group, Inc. (a)		3,258
	101		PPG Industries, Inc.		7,713
	26		Rockwood Holdings, Inc. (a)		873
	227		Scotts Miracle-Gro Co. (The), Class A		12,109
	20		Sigma-Aldrich Corp.		1,244
	46		Valspar Corp.		1,471
	14		W.R. Grace & Co. (a)		445
	13		Westlake Chemical Corp.		413
					61,042
			Containers & Packaging — 0.8%
	3		Aptargroup, Inc.		138
	93		Ball Corp.		6,004
	200		Crown Holdings, Inc. (a)		6,432

SEE NOTES TO FINANCIAL STATEMENTS.

12 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
			Containers & Packaging — Continued
	—	(h)	Myers Industries, Inc.		1
	49		Owens-Illinois, Inc. (a)		1,378
	59		Packaging Corp. of America		1,433
	77		Sealed Air Corp.		1,776
					17,162
			Metals & Mining — 2.5%
	1,441		Alcoa, Inc.		18,917
	68		Carpenter Technology Corp.		2,418
	50		Cliffs Natural Resources, Inc.		3,230
	101		Commercial Metals Co.		1,408
	396		Hecla Mining Co. (a)		2,729
	210		Newmont Mining Corp.		12,766
	27		Reliance Steel & Aluminum Co.		1,132
	8		Royal Gold, Inc.		405
	84		Schnitzer Steel Industries, Inc., Class A		4,327
	2		Steel Dynamics, Inc.		28
	9		Stillwater Mining Co. (a)		154
	232		Titanium Metals Corp. (a)		4,571
	53		Walter Energy, Inc.		4,672
					56,757
			Paper & Forest Products — 0.4%
	67		Domtar Corp., (Canada)		5,301
	274		Weyerhaeuser Co.		4,445
					9,746
			Total Materials		144,707
			Telecommunication Services — 1.6%
			Diversified Telecommunication Services — 1.0%
	469		AT&T, Inc.		13,370
	—	(h)	Cbeyond, Inc. (a)		2
	—	(h)	CenturyLink, Inc.		1
	44		tw telecom, inc. (a)		812
	239		Verizon Communications, Inc.		7,755
					21,940
			Wireless Telecommunication Services — 0.6%
	26		Crown Castle International Corp. (a)		1,132
	57		NII Holdings, Inc. (a)		2,363
	8		SBA Communications Corp., Class A (a)		327
	—	(h)	Shenandoah Telecommunications Co.		2
	1,155		Sprint Nextel Corp. (a)		4,760
	88		Telephone & Data Systems, Inc.		3,073
	26		U.S. Cellular Corp. (a)		1,206
					12,863
			Total Telecommunication Services		34,803

SHARES		SECURITY DESCRIPTION	VALUE($)
		Utilities — 5.7%
		Electric Utilities — 2.0%
	25	Allete, Inc.		909
	221	DPL, Inc.		5,770
	45	Edison International		1,663
	19	El Paso Electric Co. (a)		455
	130	Entergy Corp.		9,702
	66	Exelon Corp.		2,679
	115	Great Plains Energy, Inc.		2,185
	47	Hawaiian Electric Industries, Inc.		1,061
	97	IDACORP, Inc.		3,574
	24	ITC Holdings Corp.		1,523
	28	NextEra Energy, Inc.		1,556
	34	Northeast Utilities		1,065
	141	NV Energy, Inc.		1,931
	38	Pinnacle West Capital Corp.		1,580
	49	PNM Resources, Inc.		578
	290	Portland General Electric Co.		6,051
	72	UniSource Energy Corp.		2,535
	14	Westar Energy, Inc.		355
				45,172
		Gas Utilities — 0.8%
	83	AGL Resources, Inc.		3,249
	100	Atmos Energy Corp.		2,936
	1	Chesapeake Utilities Corp.		18
	61	Energen Corp.		2,733
	27	Nicor, Inc.		1,306
	177	Questar Corp.		3,007
	27	Southwest Gas Corp.		952
	133	UGI Corp.		4,003
	13	WGL Holdings, Inc.		494
				18,698
		Independent Power Producers & Energy Traders — 1.2%
	617	AES Corp. (The) (a)		7,364
	159	Constellation Energy Group, Inc.		4,798
	785	NRG Energy, Inc. (a)		15,635
				27,797
		Multi-Utilities — 1.4%
	57	Alliant Energy Corp.		2,086
	190	Ameren Corp.		5,519
	35	Avista Corp.		755
	38	Black Hills Corp.		1,207
	503	CMS Energy Corp.		9,238
	40	DTE Energy Co.		1,867
	38	Integrys Energy Group, Inc.		2,021

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 13

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Long Positions — Continued
		Multi-Utilities — Continued
	3	NiSource, Inc.		48
	61	NorthWestern Corp.		1,814
	92	OGE Energy Corp.		4,063
	27	TECO Energy, Inc.		474
	41	Vectren Corp.		1,126
				30,218
		Water Utilities — 0.3%
	295	American Water Works Co., Inc.		7,054
		Total Utilities		128,939
		Total Common Stocks (Cost $1,920,619)		2,079,373
NUMBER OF RIGHTS
	Right — 0.0% (g)
		Health Care — 0.0% (g)
	1	Celgene Corp., expiring 12/31/11 (a) (Cost $5)		5
SHARES
	Short-Term Investment — 4.5%
		Investment Company — 4.5%
	100,582	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $100,582)		100,582
		Total Investments — 97.0% (Cost $2,021,206)		2,179,960
		Other Assets in Excess of Liabilities — 3.0%		68,184
		NET ASSETS — 100.0%	$	2,248,144
	Short Positions — 92.0%
		Common Stocks — 92.0%
		Consumer Discretionary — 16.1%
		Auto Components — 0.9%
	308	BorgWarner, Inc. (a)		17,291
	123	Gentex Corp.		2,455
	10	Goodyear Tire & Rubber Co. (The) (a)		106
	20	Johnson Controls, Inc.		718
	7	Tenneco, Inc. (a)		229
				20,799
		Automobiles — 0.0% (g)
	15	Harley-Davidson, Inc.		461
		Distributors — 0.1%
	117	LKQ Corp. (a)		2,551

SHARES			SECURITY DESCRIPTION	VALUE($)
			Diversified Consumer Services — 0.2%
	—	(h)	Apollo Group, Inc., Class A (a)		4
	46		Career Education Corp. (a)		814
	289		H&R Block, Inc.		3,410
	3		ITT Educational Services, Inc. (a)		168
	1		Regis Corp.		19
	28		Service Corp. International		234
					4,649
			Hotels, Restaurants & Leisure — 2.2%
	14		Ameristar Casinos, Inc.		247
	81		Chipotle Mexican Grill, Inc. (a)		17,003
	17		Choice Hotels International, Inc.		651
	8		Gaylord Entertainment Co. (a)		278
	262		Jack in the Box, Inc. (a)		6,070
	315		Las Vegas Sands Corp. (a)		14,442
	58		McDonald’s Corp.		4,503
	17		MGM Resorts International (a)		181
	90		Starwood Hotels & Resorts Worldwide, Inc.		4,856
	41		Vail Resorts, Inc. (a)		1,666
	2		Yum! Brands, Inc.		80
					49,977
			Household Durables — 1.4%
	201		Fortune Brands, Inc.		10,867
	67		Jarden Corp.		2,138
	420		KB Home		4,414
	55		Leggett & Platt, Inc.		1,112
	306		MDC Holdings, Inc.		7,889
	19		Pulte Group, Inc. (a)		149
	65		Stanley Black & Decker, Inc.		4,055
	5		Tempur-Pedic International, Inc. (a)		181
	23		Tupperware Brands Corp.		1,018
					31,823
			Internet & Catalog Retail — 0.1%
	143		Liberty Media Corp. — Interactive, Class A (a)		2,114
			Leisure Equipment & Products — 1.3%
	2,311		Eastman Kodak Co. (a)		10,884
	164		Hasbro, Inc.		7,594
	447		Mattel, Inc.		10,433
					28,911
			Media — 2.8%
	79		Comcast Corp., Class A		1,631
	54		CTC Media, Inc., (Russia)		1,284
	182		DIRECTV, Class A (a)		7,889
	196		Discovery Communications, Inc., Class A (a)		8,722

SEE NOTES TO FINANCIAL STATEMENTS.

14 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Media — Continued
	305		DreamWorks Animation SKG, Inc., Class A (a)		10,777
	1		John Wiley & Sons, Inc., Class A		37
	45		Lamar Advertising Co., Class A (a)		1,532
	14		Liberty Global, Inc., Class A (a)		536
	7		Liberty Global, Inc., Class C (a)		265
	2		Liberty Media Corp. - Capital, Series A, Class A (a)		109
	145		Live Nation Entertainment, Inc. (a)		1,372
	32		McGraw-Hill Cos., Inc. (The)		1,187
	1		National CineMedia, Inc.		15
	450		New York Times Co. (The), Class A (a)		3,450
	24		News Corp., Class A		350
	159		News Corp., Class B		2,557
	177		Omnicom Group, Inc.		7,777
	76		Regal Entertainment Group, Class A		1,026
	34		Scholastic Corp.		1,009
	72		Scripps Networks Interactive, Inc., Class A		3,665
	2		Time Warner, Inc.		52
	63		Valassis Communications, Inc. (a)		2,072
	231		Virgin Media, Inc.		5,881
					63,195
			Multiline Retail — 1.7%
	67		99 Cents Only Stores (a)		1,030
	942		J.C. Penney Co., Inc.		29,366
	649		Saks, Inc. (a)		7,226
					37,622
			Specialty Retail — 3.8%
	245		Aaron’s, Inc.		4,627
	65		Abercrombie & Fitch Co., Class A		2,770
	1		American Eagle Outfitters, Inc.		19
	250		Best Buy Co., Inc.		10,739
	64		Buckle, Inc. (The)		1,870
	249		Cabela’s, Inc. (a)		4,625
	393		CarMax, Inc. (a)		12,174
	79		Children’s Place Retail Stores, Inc. (The) (a)		3,496
	108		Dress Barn, Inc. (The) (a)		2,484
	94		Foot Locker, Inc.		1,493
	53		Guess?, Inc.		2,067
	—	(h)	Gymboree Corp. (a)		4
	13		hhgregg, Inc. (a)		310
	31		J. Crew Group, Inc. (a)		992
	8		Jos. A. Bank Clothiers, Inc. (a)		359
	16		Limited Brands, Inc.		478
	—	(h)	Lumber Liquidators Holdings, Inc. (a)		5
	6		Penske Automotive Group, Inc. (a)		87

SHARES			SECURITY DESCRIPTION	VALUE($)
			Specialty Retail — Continued
	1		PetSmart, Inc.		28
	4		Pier 1 Imports, Inc. (a)		30
	35		Rent-A-Center, Inc.		886
	36		Ross Stores, Inc.		2,132
	78		Sally Beauty Holdings, Inc. (a)		949
	401		Tiffany & Co.		21,274
	217		TJX Cos., Inc.		9,977
	7		Urban Outfitters, Inc. (a)		209
					84,084
			Textiles, Apparel & Luxury Goods — 1.6%
	58		Carter’s, Inc. (a)		1,435
	43		Columbia Sportswear Co.		2,230
	24		Fossil, Inc. (a)		1,398
	168		Hanesbrands, Inc. (a)		4,166
	22		Lululemon Athletica, Inc., (Canada) (a)		964
	81		Phillips-Van Heusen Corp.		4,972
	151		Polo Ralph Lauren Corp.		14,675
	130		Skechers U.S.A., Inc., Class A (a)		2,524
	67		Steven Madden Ltd. (a)		2,827
	6		Under Armour, Inc., Class A (a)		257
	18		Wolverine World Wide, Inc.		521
					35,969
			Total Consumer Discretionary		362,155
			Consumer Staples — 7.1%
			Beverages — 0.4%
	35		Brown-Forman Corp., Class B		2,159
	125		Central European Distribution Corp. (a)		3,113
	140		Coca-Cola Enterprises, Inc.		3,359
	15		Molson Coors Brewing Co., Class B		720
					9,351
			Food & Staples Retailing — 1.0%
	38		Costco Wholesale Corp.		2,362
	24		Ruddick Corp.		844
	262		Safeway, Inc.		5,998
	805		SUPERVALU, Inc.		8,687
	57		United Natural Foods, Inc. (a)		2,046
	57		Whole Foods Market, Inc. (a)		2,249
					22,186
			Food Products — 4.0%
	267		Archer-Daniels-Midland Co.		8,905
	78		Campbell Soup Co.		2,843
	6		Diamond Foods, Inc.		249
	—	(h)	Flowers Foods, Inc.		2

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 15

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Food Products — Continued
	182		General Mills, Inc.		6,844
	596		Green Mountain Coffee Roasters, Inc. (a)		19,649
	122		H.J. Heinz Co.		5,988
	86		Hershey Co. (The)		4,257
	16		Hormel Foods Corp.		756
	36		JM Smucker Co. (The)		2,322
	161		Kellogg Co.		8,088
	706		Kraft Foods, Inc., Class A		22,773
	2		Lancaster Colony Corp.		112
	77		McCormick & Co., Inc. (Non- Voting)		3,383
	17		Mead Johnson Nutrition Co.		1,021
	65		TreeHouse Foods, Inc. (a)		3,033
					90,225
			Household Products — 0.5%
	70		Church & Dwight Co., Inc.		4,642
	—	(h)	Clorox Co.		7
	45		Kimberly-Clark Corp.		2,832
	51		Procter & Gamble Co. (The)		3,248
					10,729
			Personal Products — 0.1%
	78		Avon Products, Inc.		2,369
	8		Estee Lauder Cos., Inc. (The), Class A		600
					2,969
			Tobacco — 1.1%
	543		Altria Group, Inc.		13,813
	8		Lorillard, Inc.		670
	141		Reynolds American, Inc.		9,181
	4		Universal Corp.		158
					23,822
			Total Consumer Staples		159,282
			Energy — 9.6%
			Energy Equipment & Services — 2.8%
	11		Atwood Oceanics, Inc. (a)		362
	58		Baker Hughes, Inc.		2,698
	79		Bristow Group, Inc. (a)		3,071
	243		Cameron International Corp. (a)		10,620
	22		Dril-Quip, Inc. (a)		1,548
	158		FMC Technologies, Inc. (a)		11,379
	88		Helmerich & Payne, Inc.		3,777
	374		Key Energy Services, Inc. (a)		3,684
	35		Lufkin Industries, Inc.		1,688
	117		National Oilwell Varco, Inc.		6,267
	405		Pride International, Inc. (a)		12,286

SHARES		SECURITY DESCRIPTION	VALUE($)
		Energy Equipment & Services — Continued
	9	Rowan Cos., Inc. (a)		303
	131	Tidewater, Inc.		6,049
				63,732
		Oil, Gas & Consumable Fuels — 6.8%
	5	Alpha Natural Resources, Inc. (a)		209
	16	Anadarko Petroleum Corp.		983
	151	Atlas Energy, Inc. (a)		4,389
	19	Berry Petroleum Co., Class A		666
	375	BPZ Resources, Inc. (a)		1,397
	119	Brigham Exploration Co. (a)		2,520
	84	Concho Resources, Inc. (a)		5,770
	19	ConocoPhillips		1,126
	28	Consol Energy, Inc.		1,044
	373	Denbury Resources, Inc. (a)		6,345
	204	El Paso Corp.		2,702
	191	EOG Resources, Inc.		18,266
	1	EXCO Resources, Inc.		15
	182	Exxon Mobil Corp.		12,074
	256	Forest Oil Corp. (a)		7,860
	105	Hess Corp.		6,618
	400	Massey Energy Co.		16,840
	62	Noble Energy, Inc.		5,087
	2	Northern Oil & Gas, Inc. (a)		35
	73	Occidental Petroleum Corp.		5,762
	178	Overseas Shipholding Group, Inc.		5,956
	899	Patriot Coal Corp. (a)		12,132
	110	Peabody Energy Corp.		5,805
	33	Pioneer Natural Resources Co.		2,314
	150	Range Resources Corp.		5,615
	37	Rosetta Resources, Inc. (a)		889
	1,021	SandRidge Energy, Inc. (a)		5,584
	39	SM Energy Co.		1,637
	208	Spectra Energy Corp.		4,942
	1	Swift Energy Co. (a)		19
	465	Tesoro Corp.		6,024
	122	Venoco, Inc. (a)		1,883
	20	World Fuel Services Corp.		571
				153,079
		Total Energy		216,811
		Financials — 9.3%
		Capital Markets — 2.2%
	17	Affiliated Managers Group, Inc. (a)		1,439
	264	American Capital Ltd. (a)		1,844
	698	Apollo Investment Corp.		7,669

SEE NOTES TO FINANCIAL STATEMENTS.

16 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Capital Markets — Continued
	427		Bank of New York Mellon Corp. (The)		10,698
	257		Charles Schwab Corp. (The)		3,954
	—	(h)	Cohen & Steers, Inc.		3
	72		Federated Investors, Inc., Class B		1,805
	3		Greenhill & Co., Inc.		266
	1		Janus Capital Group, Inc.		9
	507		Jefferies Group, Inc.		12,136
	117		Knight Capital Group, Inc., Class A (a)		1,530
	34		Legg Mason, Inc.		1,067
	348		MF Global Holdings Ltd. (a)		2,726
	28		Raymond James Financial, Inc.		786
	41		T. Rowe Price Group, Inc.		2,254
	25		TD AMERITRADE Holding Corp. (a)		424
					48,610
			Commercial Banks — 1.8%
	66		Associated Banc-Corp.		835
	240		BancorpSouth, Inc.		3,164
	41		BB&T Corp.		950
	7		BOK Financial Corp.		312
	242		Comerica, Inc.		8,673
	32		Commerce Bancshares, Inc.		1,192
	25		Cullen/Frost Bankers, Inc.		1,296
	2		First Financial Bankshares, Inc.		103
	901		First Horizon National Corp. (a)		9,095
	52		FirstMerit Corp.		888
	4		FNB Corp.		36
	1		Fulton Financial Corp.		10
	8		Glacier Bancorp, Inc.		106
	3		Hancock Holding Co.		103
	36		International Bancshares Corp.		617
	186		Marshall & Ilsley Corp.		1,099
	135		Regions Financial Corp.		853
	354		SunTrust Banks, Inc.		8,846
	19		SVB Financial Group (a)		836
	3		UMB Financial Corp.		111
	8		United Bankshares, Inc.		223
	1		Westamerica Bancorp		74
	9		Wilmington Trust Corp.		63
					39,485
			Consumer Finance — 0.3%
	3		Credit Acceptance Corp. (a)		179
	—	(h)	Discover Financial Services		2
	572		SLM Corp. (a)		6,809
					6,990

SHARES			SECURITY DESCRIPTION	VALUE($)
			Diversified Financial Services — 0.6%
	6		IntercontinentalExchange, Inc. (a)		677
	81		Leucadia National Corp. (a)		2,062
	49		Moody’s Corp.		1,324
	62		MSCI, Inc., Class A (a)		2,221
	34		NYSE Euronext		1,034
	358		PHH Corp. (a)		6,903
					14,221
			Insurance — 3.1%
	5		American Financial Group, Inc.		166
	188		AON Corp.		7,491
	125		Arthur J. Gallagher & Co.		3,508
	3		Assurant, Inc.		134
	124		Berkshire Hathaway, Inc., Class B (a)		9,892
	99		Chubb Corp.		5,751
	128		Cincinnati Financial Corp.		3,778
	12		CNA Financial Corp. (a)		338
	41		Delphi Financial Group, Inc., Class A		1,102
	7		First American Financial Corp.		93
	6		Genworth Financial, Inc., Class A (a)		65
	67		Hanover Insurance Group, Inc. (The)		3,031
	1		Hartford Financial Services Group, Inc.		26
	205		Loews Corp.		8,084
	4		Markel Corp. (a)		1,465
	126		Marsh & McLennan Cos., Inc.		3,145
	224		Old Republic International Corp.		2,953
	93		Reinsurance Group of America, Inc.		4,667
	4		RLI Corp.		213
	8		StanCorp Financial Group, Inc.		349
	54		Torchmark Corp.		3,065
	138		Travelers Cos., Inc. (The)		7,615
	69		Unum Group		1,555
	—	(h)	W.R. Berkley Corp.		3
					68,489
			Real Estate Investment Trusts (REITs) — 0.9%
	85		AMB Property Corp.		2,405
	1		Boston Properties, Inc.		79
	110		Developers Diversified Realty Corp.		1,425
	15		Equity One, Inc.		273
	20		Equity Residential		962
	17		Health Care REIT, Inc.		858
	5		Highwoods Properties, Inc.		154
	16		Host Hotels & Resorts, Inc.		250
	340		Kimco Realty Corp.		5,863
	6		Macerich Co. (The)		246

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 17

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Real Estate Investment Trusts (REITs) — Continued
	13		Plum Creek Timber Co., Inc.		485
	20		ProLogis		270
	32		SL Green Realty Corp.		2,118
	1		UDR, Inc.		27
	48		Vornado Realty Trust		4,213
	5		Weingarten Realty Investors		128
					19,756
			Real Estate Management & Development — 0.2%
	268		St Joe Co. (The) (a)		5,410
			Thrifts & Mortgage Finance — 0.2%
	35		First Niagara Financial Group, Inc.		419
	111		Hudson City Bancorp, Inc.		1,291
	197		New York Community Bancorp, Inc.		3,329
	6		Radian Group, Inc.		44
	8		TFS Financial Corp.		72
					5,155
			Total Financials		208,116
			Health Care — 10.0%
			Biotechnology — 0.7%
	—	(h)	Acorda Therapeutics, Inc. (a)		5
	8		Alnylam Pharmaceuticals, Inc. (a)		105
	83		Amgen, Inc. (a)		4,734
	24		Biogen Idec, Inc. (a)		1,493
	8		Gilead Sciences, Inc. (a)		298
	16		InterMune, Inc. (a)		210
	46		Isis Pharmaceuticals, Inc. (a)		425
	26		Medivation, Inc. (a)		306
	16		Onyx Pharmaceuticals, Inc. (a)		439
	94		Theravance, Inc. (a)		1,907
	158		Vertex Pharmaceuticals, Inc. (a)		6,059
					15,981
			Health Care Equipment & Supplies — 1.5%
	1		Alphatec Holdings, Inc. (a)		1
	20		C.R. Bard, Inc.		1,685
	2		DENTSPLY International, Inc.		51
	92		Edwards Lifesciences Corp. (a)		5,870
	9		IDEXX Laboratories, Inc. (a)		555
	150		Masimo Corp.		4,539
	4		Medtronic, Inc.		148
	34		NuVasive, Inc. (a)		879
	7		NxStage Medical, Inc. (a)		140
	128		ResMed, Inc. (a)		4,084
	49		Thoratec Corp. (a)		1,587

SHARES			SECURITY DESCRIPTION	VALUE($)
			Health Care Equipment & Supplies — Continued
	131		Varian Medical Systems, Inc. (a)		8,256
	248		Volcano Corp. (a)		6,062
					33,857
			Health Care Providers & Services — 5.2%
	321		Aetna, Inc.		9,598
	62		AmerisourceBergen Corp.		2,035
	98		Brookdale Senior Living, Inc. (a)		1,848
	314		Centene Corp. (a)		7,016
	22		Chemed Corp.		1,272
	87		CIGNA Corp.		3,058
	1		Coventry Health Care, Inc. (a)		16
	99		DaVita, Inc. (a)		7,133
	61		Healthsouth Corp. (a)		1,102
	379		Healthspring, Inc. (a)		11,053
	129		Henry Schein, Inc. (a)		7,241
	24		HMS Holdings Corp. (a)		1,445
	138		Laboratory Corp. of America Holdings (a)		11,243
	48		Lincare Holdings, Inc.		1,251
	1		Magellan Health Services, Inc. (a)		53
	49		Mednax, Inc. (a)		2,890
	285		Omnicare, Inc.		6,871
	—	(h)	Owens & Minor, Inc.		1
	87		Patterson Cos., Inc.		2,394
	109		PSS World Medical, Inc. (a)		2,573
	70		Quest Diagnostics, Inc.		3,429
	60		Universal American Corp.		970
	61		Universal Health Services, Inc., Class B		2,525
	68		VCA Antech, Inc. (a)		1,403
	371		WellCare Health Plans, Inc. (a)		10,308
	313		WellPoint, Inc. (a)		16,984
					115,712
			Health Care Technology — 0.0% (g)
	6		Quality Systems, Inc.		379
			Life Sciences Tools & Services — 0.2%
	—	(h)	Bio-Rad Laboratories, Inc., Class A (a)		—	(h)
	16		Dionex Corp. (a)		1,457
	5		Mettler-Toledo International, Inc., (Switzerland) (a)		614
	66		PerkinElmer, Inc.		1,555
					3,626
			Pharmaceuticals — 2.4%
	15		Allergan, Inc.		1,084
	323		Auxilium Pharmaceuticals, Inc. (a)		7,985

SEE NOTES TO FINANCIAL STATEMENTS.

18 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Pharmaceuticals — Continued
	274		Johnson & Johnson		17,417
	129		Merck & Co., Inc.		4,681
	51		Nektar Therapeutics (a)		737
	85		Perrigo Co.		5,572
	338		Salix Pharmaceuticals Ltd. (a)		12,804
	255		Vivus, Inc. (a)		1,972
	53		Watson Pharmaceuticals, Inc. (a)		2,466
					54,718
			Total Health Care		224,273
			Industrials — 10.8%
			Aerospace & Defense — 1.5%
	36		BE Aerospace, Inc. (a)		1,305
	2		Curtiss-Wright Corp.		49
	12		Goodrich Corp.		1,018
	—	(h)	Hexcel Corp. (a)		5
	163		Honeywell International, Inc.		7,690
	49		Precision Castparts Corp.		6,751
	79		Rockwell Collins, Inc.		4,753
	226		Spirit Aerosystems Holdings, Inc., Class A (a)		4,881
	72		Triumph Group, Inc.		6,047
	—	(h)	United Technologies Corp.		2
					32,501
			Air Freight & Logistics — 0.9%
	183		C.H. Robinson Worldwide, Inc.		12,916
	153		Expeditors International of Washington, Inc.		7,573
	13		Hub Group, Inc., Class A (a)		431
					20,920
			Airlines — 0.4%
	688		AMR Corp. (a)		5,419
	222		Delta Air Lines, Inc. (a)		3,080
					8,499
			Building Products — 0.4%
	10		A.O. Smith Corp.		579
	13		Armstrong World Industries, Inc. (a)		549
	68		Lennox International, Inc.		2,773
	184		Masco Corp.		1,957
	273		USG Corp. (a)		3,460
					9,318
			Commercial Services & Supplies — 1.1%
	10		Copart, Inc. (a)		326
	99		Corrections Corp. of America (a)		2,553
	3		Deluxe Corp.		57
	92		GEO Group, Inc. (The) (a)		2,366

SHARES			SECURITY DESCRIPTION	VALUE($)
			Commercial Services & Supplies — Continued
	15		Healthcare Services Group, Inc.		350
	11		Herman Miller, Inc.		221
	38		Mine Safety Appliances Co.		1,064
	354		Pitney Bowes, Inc.		7,768
	13		Rollins, Inc.		351
	77		Stericycle, Inc. (a)		5,536
	55		United Stationers, Inc. (a)		3,068
	5		Waste Connections, Inc.		184
	47		Waste Management, Inc.		1,689
					25,533
			Construction & Engineering — 1.4%
	53		EMCOR Group, Inc. (a)		1,382
	397		Fluor Corp.		19,136
	331		Granite Construction, Inc.		8,011
	21		Jacobs Engineering Group, Inc. (a)		814
	103		Quanta Services, Inc. (a)		2,021
	10		Tutor Perini Corp. (a)		231
					31,595
			Electrical Equipment — 1.3%
	22		Acuity Brands, Inc.		1,118
	154		American Superconductor Corp. (a)		5,178
	31		AMETEK, Inc.		1,673
	—	(h)	Babcock & Wilcox Co. (a)		2
	32		Belden, Inc.		906
	159		Emerson Electric Co.		8,706
	69		EnerSys (a)		1,816
	14		General Cable Corp. (a)		402
	11		II-VI, Inc. (a)		441
	46		Rockwell Automation, Inc.		2,857
	91		Roper Industries, Inc.		6,306
					29,405
			Industrial Conglomerates — 0.3%
	9		3M Co.		769
	228		Textron, Inc.		4,741
					5,510
			Machinery — 2.3%
	353		ArvinMeritor, Inc. (a)		5,851
	96		Bucyrus International, Inc.		6,576
	12		CLARCOR, Inc.		479
	8		Cummins, Inc.		728
	109		Deere & Co.		8,399
	26		Flowserve Corp.		2,553
	13		Gardner Denver, Inc.		777

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 19

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
			Machinery — Continued
	31		Graco, Inc.		1,062
	57		Illinois Tool Works, Inc.		2,604
	68		Kennametal, Inc.		2,326
	1		Lincoln Electric Holdings, Inc.		59
	18		Middleby Corp. (a)		1,320
	3		Mueller Industries, Inc.		94
	—	(h)	Mueller Water Products, Inc., Class A		—	(h)
	1		Navistar International Corp. (a)		63
	10		Nordson Corp.		774
	10		Snap-On, Inc.		528
	3		SPX Corp.		172
	500		Terex Corp. (a)		11,235
	79		Trinity Industries, Inc.		1,799
	36		Valmont Industries, Inc.		2,853
	49		Wabtec Corp.		2,278
					52,530
			Marine — 0.1%
	54		Kirby Corp. (a)		2,333
			Professional Services — 0.3%
	27		Corporate Executive Board Co. (The)		857
	3		CoStar Group, Inc. (a)		152
	11		IHS, Inc., Class A (a)		829
	154		Robert Half International, Inc.		4,183
					6,021
			Road & Rail — 0.7%
	4		Genesee & Wyoming, Inc., Class A (a)		206
	49		Hertz Global Holdings, Inc. (a)		556
	5		J.B. Hunt Transport Services, Inc.		182
	4		Kansas City Southern (a)		193
	34		Landstar System, Inc.		1,292
	141		Union Pacific Corp.		12,365
					14,794
			Trading Companies & Distributors — 0.1%
	1		GATX Corp.		23
	1		MSC Industrial Direct Co., Class A		45
	10		W.W. Grainger, Inc.		1,256
	36		WESCO International, Inc. (a)		1,542
					2,866
			Total Industrials		241,825
			Information Technology — 15.9%
			Communications Equipment — 1.1%
	2		ADTRAN, Inc.		62
	671		Ciena Corp. (a)		9,319

SHARES			SECURITY DESCRIPTION	VALUE($)
			Communications Equipment — Continued
	750		Finisar Corp. (a)		12,756
	—	(h)	Ixia (a)		3
	147		JDS Uniphase Corp. (a)		1,543
	—	(h)	Loral Space & Communications, Inc. (a)		5
	27		NETGEAR, Inc. (a)		831
	—	(h)	Oclaro, Inc. (a)		1
	101		Tekelec (a)		1,313
					25,833
			Computers & Peripherals — 0.8%
	14		Apple, Inc. (a)		4,088
	8		Diebold, Inc.		251
	21		Lexmark International, Inc., Class A (a)		789
	58		NetApp, Inc. (a)		3,089
	—	(h)	SanDisk Corp. (a)		2
	—	(h)	Super Micro Computer, Inc. (a)		1
	320		Western Digital Corp. (a)		10,247
					18,467
			Electronic Equipment & Instruments — 0.0% (g)
	15		Universal Display Corp. (a)		386
			Electronic Equipment, Instruments & Components — 1.5%
	286		Agilent Technologies, Inc. (a)		9,952
	178		Amphenol Corp., Class A		8,943
	2		Anixter International, Inc.		90
	—	(h)	Arrow Electronics, Inc. (a)		—	(h)
	63		Avnet, Inc. (a)		1,890
	40		Benchmark Electronics, Inc. (a)		654
	135		FLIR Systems, Inc. (a)		3,753
	77		Ingram Micro, Inc., Class A (a)		1,361
	18		L-1 Identity Solutions, Inc. (a)		217
	123		Plexus Corp. (a)		3,741
	79		Sanmina-SCI Corp. (a)		1,042
	58		SYNNEX Corp. (a)		1,674
	—	(h)	Tech Data Corp. (a)		3
					33,320
			Internet Software & Services — 1.6%
	—	(h)	DealerTrack Holdings, Inc. (a)		—	(h)
	117		Digital River, Inc. (a)		4,372
	38		eBay, Inc. (a)		1,133
	86		Equinix, Inc. (a)		7,256
	44		GSI Commerce, Inc. (a)		1,064
	227		Monster Worldwide, Inc. (a)		4,093
	10		SAVVIS, Inc. (a)		249
	17		Sohu.com, Inc., (China) (a)		1,283

SEE NOTES TO FINANCIAL STATEMENTS.

20 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Internet Software & Services — Continued
	476	VeriSign, Inc. (a)		16,528
				35,978
		IT Services — 2.2%
	6	Cognizant Technology Solutions Corp., Class A (a)		421
	103	Computer Sciences Corp.		5,073
	108	CoreLogic, Inc.		1,893
	36	Fidelity National Information Services, Inc.		979
	4	Fiserv, Inc. (a)		236
	240	Global Payments, Inc.		9,351
	3	iGate Corp.		63
	71	International Business Machines Corp.		10,196
	435	SAIC, Inc. (a)		6,755
	344	Sapient Corp.		4,524
	124	Teradata Corp. (a)		4,872
	26	Unisys Corp. (a)		604
	7	Visa, Inc., Class A		580
	127	Wright Express Corp. (a)		4,786
				50,333
		Office Electronics — 0.1%
	123	Xerox Corp.		1,445
		Semiconductors & Semiconductor Equipment — 5.2%
	1,744	Advanced Micro Devices, Inc. (a)		12,783
	923	Applied Materials, Inc.		11,405
	35	Broadcom Corp., Class A		1,431
	243	Cavium Networks, Inc. (a)		7,741
	226	Cirrus Logic, Inc. (a)		2,908
	49	Cree, Inc. (a)		2,494
	33	Cymer, Inc. (a)		1,232
	7	First Solar, Inc. (a)		949
	282	FormFactor, Inc. (a)		2,749
	7	Hittite Microwave Corp. (a)		356
	111	Intersil Corp., Class A		1,450
	61	MEMC Electronic Materials, Inc. (a)		782
	8	National Semiconductor Corp.		105
	1,545	NVIDIA Corp. (a)		18,592
	204	OmniVision Technologies, Inc. (a)		5,547
	70	Rambus, Inc. (a)		1,392
	82	Silicon Laboratories, Inc. (a)		3,261
	517	Skyworks Solutions, Inc. (a)		11,846
	440	Texas Instruments, Inc.		12,997
	300	Varian Semiconductor Equipment Associates, Inc. (a)		9,785
	241	Xilinx, Inc.		6,473
				116,278

SHARES		SECURITY DESCRIPTION	VALUE($)
		Software — 3.4%
	793	Activision Blizzard, Inc.		9,095
	400	AsiaInfo-Linkage, Inc., (China) (a)		8,881
	35	Blackboard, Inc. (a)		1,473
	162	CA, Inc.		3,750
	114	Cadence Design Systems, Inc. (a)		965
	10	Citrix Systems, Inc. (a)		621
	1	CommVault Systems, Inc. (a)		17
	72	Compuware Corp. (a)		719
	121	Electronic Arts, Inc. (a)		1,912
	166	Informatica Corp. (a)		6,753
	379	Intuit, Inc. (a)		18,211
	55	JDA Software Group, Inc. (a)		1,381
	163	Mentor Graphics Corp. (a)		1,759
	150	Microsoft Corp.		3,999
	70	NetSuite, Inc. (a)		1,426
	40	Novell, Inc. (a)		235
	110	Nuance Communications, Inc. (a)		1,729
	166	Pegasystems, Inc.		4,477
	9	Progress Software Corp. (a)		337
	3	Salesforce.com, Inc. (a)		313
	142	TIBCO Software, Inc. (a)		2,720
	484	TiVo, Inc. (a)		5,392
	7	Ultimate Software Group, Inc. (a)		287
	5	Verint Systems, Inc. (a)		176
				76,628
		Total Information Technology		358,668
		Materials — 5.9%
		Chemicals — 2.3%
	5	Celanese Corp., Class A		167
	57	CF Industries Holdings, Inc.		6,977
	157	Dow Chemical Co. (The)		4,827
	27	E.l. du Pont de Nemours & Co.		1,269
	68	Eastman Chemical Co.		5,332
	68	Ecolab, Inc.		3,376
	20	H.B. Fuller Co.		405
	449	Huntsman Corp.		6,222
	167	Intrepid Potash, Inc. (a)		5,744
	8	Lubrizol Corp.		834
	105	Nalco Holding Co.		2,948
	17	NewMarket Corp.		1,967
	82	Olin Corp.		1,642
	137	RPM International, Inc.		2,830
	53	Sherwin-Williams Co. (The)		3,841
	186	Solutia, Inc. (a)		3,372
				51,753

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 21

Highbridge Statistical Market Neutral Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short Positions — Continued
		Construction Materials — 0.4%
	7	Eagle Materials, Inc.		160
	22	Martin Marietta Materials, Inc.		1,757
	168	Vulcan Materials Co.		6,143
				8,060
		Containers & Packaging — 0.6%
	64	Greif, Inc., Class A		3,780
	165	Silgan Holdings, Inc.		5,553
	123	Sonoco Products Co.		4,115
	17	Temple-Inland, Inc.		347
				13,795
		Metals & Mining — 2.3%
	74	AK Steel Holding Corp.		937
	255	Allegheny Technologies, Inc.		13,429
	130	Allied Nevada Gold Corp. (a)		3,202
	2	Century Aluminum Co. (a)		21
	86	Coeur d’Alene Mines Corp. (a)		1,763
	20	Compass Minerals International, Inc.		1,611
	1	Freeport-McMoRan Copper & Gold, Inc.		121
	1	Gold Resource Corp.		17
	386	Nucor Corp.		14,739
	288	United States Steel Corp.		12,307
	162	Worthington Industries, Inc.		2,490
				50,637
		Paper & Forest Products — 0.3%
	22	International Paper Co.		555
	138	Louisiana-Pacific Corp. (a)		1,065
	37	Schweitzer-Mauduit International, Inc.		2,384
	226	Weyerhaeuser Co.		3,662
				7,666
		Total Materials		131,911
		Telecommunication Services — 1.6%
		Diversified Telecommunication Services — 1.1%
	1	AboveNet, Inc. (a)		40
	377	CenturyLink, Inc.		15,612
	141	Frontier Communications Corp.		1,236
	616	Windstream Corp.		7,794
				24,682
		Wireless Telecommunication Services — 0.5%
	789	Clearwire Corp., Class A (a)		5,596
	548	MetroPCS Communications, Inc. (a)		5,705
	29	Syniverse Holdings, Inc. (a)		881
				12,182
		Total Telecommunication Services		36,864

SHARES		SECURITY DESCRIPTION	VALUE($)
		Utilities — 5.7%
		Electric Utilities — 2.1%
	277	American Electric Power Co., Inc.		10,358
	269	Duke Energy Corp.		4,896
	17	FirstEnergy Corp.		610
	10	Pepco Holdings, Inc.		197
	437	PPL Corp.		11,747
	51	Progress Energy, Inc.		2,292
	406	Southern Co.		15,380
	83	UIL Holdings Corp.		2,405
				47,885
		Gas Utilities — 1.2%
	51	National Fuel Gas Co.		2,821
	128	New Jersey Resources Corp.		5,174
	41	Northwest Natural Gas Co.		2,022
	177	Oneok, Inc.		8,825
	93	Piedmont Natural Gas Co., Inc.		2,734
	88	South Jersey Industries, Inc.		4,455
				26,031
		Independent Power Producers & Energy Traders — 0.4%
	142	Calpine Corp. (a)		1,778
	54	Ormat Technologies, Inc.		1,543
	1,624	RRI Energy, Inc. (a)		6,105
				9,426
		Multi-Utilities — 1.9%
	155	CenterPoint Energy, Inc.		2,567
	16	Consolidated Edison, Inc.		803
	119	Dominion Resources, Inc.		5,189
	60	NSTAR		2,502
	485	Public Service Enterprise Group, Inc.		15,689
	6	SCANA Corp.		246
	165	Sempra Energy		8,821
	100	Wisconsin Energy Corp.		5,980
	24	Xcel Energy, Inc.		577
				42,374
		Water Utilities — 0.1%
	75	Aqua America, Inc.		1,614
		Total Utilities		127,330
		Total Short Positions (Proceeds $1,954,160)	$	2,067,235

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

22 HIGHBRIDGE FUNDS OCTOBER 31, 2010

NOTES TO SCHEDULE OF PORTFOLIO INVESTMENTS :

(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(j)	—  All or a portion of these securities are segregated for short sales.
(l)	—  The rate shown is the current yield as of October 31, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 23

STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Highbridge Statistical Market Neutral Fund
ASSETS:
Investments in non-affiliates, at value	$	2,079,378
Investments in affiliates, at value		100,582
Total investment securities, at value		2,179,960
Cash		77
Deposits at broker for securities sold short		2,143,586
Receivables:
Investment securities sold		223,665
Fund shares sold		6,397
Interest and dividends		945
Total Assets		4,554,630
LIABILITIES:
Payables:
Securities sold short, at value		2,067,235
Dividends for securities sold short		1,170
Investment securities purchased		226,225
Interest expense for securities sold short		462
Fund shares redeemed		7,274
Accrued liabilities:
Investment advisory fees		2,934
Administration fees		12
Distribution fees		291
Custodian and accounting fees		11
Trustees’ and Chief Compliance Officer’s fees		10
Other		862
Total Liabilities		2,306,486
Net Assets	$	2,248,144

SEE NOTES TO FINANCIAL STATEMENTS.

24 HIGHBRIDGE FUNDS OCTOBER 31, 2010

	Highbridge Statistical Market Neutral Fund
NET ASSETS:
Paid in capital	$	2,346,630
Accumulated net investment loss		(11	)
Accumulated net realized gains (losses)		(144,154	)
Net unrealized appreciation (depreciation)		45,679
Total Net Assets	$	2,248,144
Net Assets:
Class A	$	814,296
Class C		171,961
Select Class		1,261,887
Total	$	2,248,144
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		53,533
Class C		11,470
Select Class		82,232
Net Asset Value:
Class A —Redemption price per share	$	15.21
Class C — Offering price per share (a)		14.99
Select Class — Offering and redemption price per share		15.35
Class A maximum sales charge		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	16.05
Cost of investments in non-affiliates	$	1,920,624
Cost of investments in affiliates		100,582
Proceeds from securities sold short		1,954,160

(a) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 25

STATEMENT OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Highbridge Statistical Market Neutral Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	481
Dividend income from non-affiliates		36,290
Dividend income from affiliates		350
Total investment income		37,121
EXPENSES:
Investment advisory fees		51,833
Administration fees		2,758
Distribution fees:
Class A		2,424
Class C		1,786
Shareholder servicing fees:
Class A		2,424
Class C		595
Select Class		4,385
Custodian and accounting fees		360
Interest expense to affiliates		—	(a)
Professional fees		86
Trustees’ and Chief Compliance Officer’s fees		29
Printing and mailing costs		571
Registration and filing fees		207
Transfer agent fees		3,068
Other		31
Dividend expense on securities sold short		45,502
Interest expense to non-affiliates on securities sold short		8,850
Total expenses		124,909
Less amounts waived		(16,602	)
Less earnings credits		(2	)
Net expenses		108,305
Net investment income (loss)		(71,184	)
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		553,075
Securities sold short		(589,978	)
Net realized gain (loss)		(36,903	)
Change in net unrealized appreciation (depreciation) of: Investments in non-affiliates		92,429
Securities sold short		(110,338	)
Change in net unrealized appreciation (depreciation)		(17,909	)
Net realized/unrealized gains (losses)		(54,812	)
Change in net assets resulting from operations	$	(125,996	)

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

26 HIGHBRIDGE FUNDS OCTOBER 31, 2010

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Highbridge Statistical Market Neutral Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	(71,184	)	$	(59,826	)
Net realized gain (loss)		(36,903	)		(6,623	)
Change in net unrealized appreciation (depreciation)		(17,909	)		(11,327	)
Change in net assets resulting from operations		(125,996	)		(77,776	)
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		—			(1,014	)
Class C
From net investment income		—			(92	)
Select Class
From net investment income		—			(2,133	)
Total distributions to shareholders		—			(3,239	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		(1,046,168	)		1,924,149
NET ASSETS:
Change in net assets		(1,172,164	)		1,843,134
Beginning of period		3,420,308			1,577,174
End of period	$	2,248,144		$	3,420,308
Accumulated net investment loss	$	(11	)	$	(7	)

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 27

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Highbridge Statistical Market Neutral Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	499,510		$	1,357,648
Dividends and distributions reinvested		—			754
Cost of shares redeemed		(716,947	)		(755,524	)
Change in net assets from Class A capital transactions	$	(217,437	)	$	602,878
Class C
Proceeds from shares issued		40,044			268,166
Dividends and distributions reinvested		—			60
Cost of shares redeemed		(155,426	)		(97,427	)
Change in net assets from Class C capital transactions	$	(115,382	)	$	170,799
Select Class
Proceeds from shares issued		760,995			1,928,347
Dividends and distributions reinvested		—			873
Cost of shares redeemed		(1,474,344	)		(778,748	)
Change in net assets from Select Class capital transactions	$	(713,349	)	$	1,150,472
Total change in net assets from capital transactions	$	(1,046,168	)	$	1,924,149
SHARE TRANSACTIONS:
Class A
Issued		32,052			83,817
Reinvested		—			46
Redeemed		(46,191	)		(47,058	)
Change in Class A Shares		(14,139	)		36,805
Class C
Issued		2,590			16,609
Reinvested		—			4
Redeemed		(10,128	)		(6,121	)
Change in Class C Shares		(7,538	)		10,492
Select Class
Issued		48,413			118,864
Reinvested		—			53
Redeemed		(94,236	)		(48,238	)
Change in Select Class Shares		(45,823	)		70,679

SEE NOTES TO FINANCIAL STATEMENTS.

28 HIGHBRIDGE FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 29

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Net asset value, end of period
Highbridge Statistical Market Neutral Fund
Class A
Year Ended October 31, 2010	$	15.88	$	(0.39	)(f)	$	(0.28	)	$	(0.67	)	$	—		$	—		$	—		$	15.21
Year Ended October 31, 2009		16.27		(0.36	)(f)		(0.01	)		(0.37	)		(0.02	)		—			(0.02	)		15.88
Year Ended October 31, 2008		15.62		0.05	(f)		1.34			1.39			(0.74	)		—			(0.74	)		16.27
Year Ended October 31, 2007		15.92		0.28			(0.38	)		(0.10	)		(0.16	)		(0.04	)		(0.20	)		15.62
November 30, 2005 (g) through October 31, 2006		15.00		0.43	(f)		0.52			0.95			(0.03	)		—			(0.03	)		15.92
Class C
Year Ended October 31, 2010		15.73		(0.46	)(f)		(0.28	)		(0.74	)		—			—			—			14.99
Year Ended October 31, 2009		16.18		(0.44	)(f)		—	(h)		(0.44	)		(0.01	)		—			(0.01	)		15.73
Year Ended October 31, 2008		15.52		(0.02	)(f)		1.32			1.30			(0.64	)		—			(0.64	)		16.18
Year Ended October 31, 2007		15.86		0.21			(0.39	)		(0.18	)		(0.12	)		(0.04	)		(0.16	)		15.52
November 30, 2005 (g) through October 31, 2006		15.00		0.34	(f)		0.54			0.88			(0.02	)		—			(0.02	)		15.86
Select Class
Year Ended October 31, 2010		15.98		(0.35	)(f)		(0.28	)		(0.63	)		—			—			—			15.35
Year Ended October 31, 2009		16.34		(0.32	)(f)		(0.01	)		(0.33	)		(0.03	)		—			(0.03	)		15.98
Year Ended October 31, 2008		15.68		0.13	(f)		1.31			1.44			(0.78	)		—			(0.78	)		16.34
Year Ended October 31, 2007		15.95		0.44			(0.50	)		(0.06	)		(0.17	)		(0.04	)		(0.21	)		15.68
November 30, 2005 (g) through October 31, 2006		15.00		0.47	(f)		0.51			0.98			(0.03	)		—			(0.03	)		15.95

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Commencing for the year ended October 31, 2009, the Fund will present portfolio turnover in two ways, one including short sales and the other excluding short sales. For periods prior to October 31, 2009, the Fund’s portfolio turnover calculation excluded short sales.

(f) Calculated based upon average shares outstanding.

(g) Commencement of operations.

(h) Amount rounds to less than $0.01.

SEE NOTES TO FINANCIAL STATEMENTS.

30 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Ratios/Supplemental data
					Ratios to average net assets (a)
Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (including dividend and interest expense for securities sold short) (d)			Net expenses (excluding dividend and interest expense for securities sold short) (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits (including dividend and interest expense for securities sold short)			Expenses without waivers, reimbursements and earnings credits (excluding dividend and interest expense for securities sold short)			Portfolio turnover rate (excluding short sales) (b)(e)			Portfolio turnover rate (including short sales) (e)
	(4.22	)%	$	814,296		3.76	%		1.92	%		(2.51	)%		4.32	%		2.48	%		496	%		1,017	%
	(2.25	)		1,074,747		4.01			1.95			(2.23	)		4.52			2.46			638			1,276
	9.33			502,087		3.31			1.96			0.31			3.80			2.45			796			—
	(0.69	)		185,022		3.67			1.95			2.45			4.13			2.41			396			—
	6.32			34,345		3.19			1.95			3.00			3.73			2.49			274			—
	(4.70	)		171,961		4.27			2.43			(3.01	)		4.83			2.99			496			1,017
	(2.73	)		299,034		4.51			2.45			(2.74	)		5.02			2.96			638			1,276
	8.73			137,773		3.81			2.46			(0.11	)		4.30			2.95			796			—
	(1.17	)		67,702		4.17			2.45			1.82			4.63			2.91			396			—
	5.88			27,614		3.75			2.45			2.38			4.30			3.00			274			—
	(3.94	)		1,261,887		3.52			1.68			(2.26	)		4.08			2.24			496			1,017
	(2.01	)		2,046,527		3.76			1.70			(1.99	)		4.27			2.21			638			1,276
	9.61			937,314		3.06			1.71			0.79			3.55			2.20			796			—
	(0.42	)		1,021,662		3.42			1.70			2.43			3.88			2.16			396			—
	6.55			787,116		2.96			1.70			3.24			3.49			2.23			274			—

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 31

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following is a separate fund of the Trust (the “Fund”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Highbridge Statistical Market Neutral Fund	Class A, Class C and Select Class	Diversified

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Fund’s prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Fund applies fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in its portfolio by utilizing the quotations of an independent pricing service, unless the Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time the Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

32 HIGHBRIDGE FUNDS OCTOBER 31, 2010

The following table represents each valuation input by sector as presented on the Schedule of Portfolio Investments (“SOI”) (amounts in thousands):

	Level 1 Quoted prices			Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Total Investments in Securities #	$	2,179,955		$	5	$	—	$	2,179,960
Liabilities in Securities Sold Short #	$	(2,067,235	)	$	—	$	—	$	(2,067,235	)

# Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 2 consists of a right. Please refer to the SOI for industry specifics of the portfolio holdings.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Short Sales — The Fund engages in short sales as part of its normal investment activities. In a short sale, the Fund sells securities it does not own, in anticipation of a decline in the market value of those securities. In order to deliver securities to the purchaser, the Fund borrows securities from a broker. To close out a short position, the Fund must purchase the same securities at the current market price and deliver them to the broker.

The Fund is required to pledge cash or securities to the broker as collateral for the securities sold short. Collateral requirements are calculated daily based on the current market value of the short positions. Cash collateral deposited with the broker is recorded as an asset on the Statement of Assets and Liabilities. Securities segregated as collateral are denoted in the SOI. The Fund may receive or pay the net of the following amounts: (i) a portion of the income from the investment of cash collateral (ii) the broker’s fee on the borrowed securities (calculated daily based upon the market value of each borrowed security and a variable rate that is dependent on availability of the security); and (iii) a financing charge for the difference in the market value of the short position and cash collateral deposited with the broker. The net income or fee is included as interest income or interest expense on securities sold short, respectively, on the Statement of Operations.

The Fund is obligated to pay the broker dividends declared on short positions when a position is open on record date. Dividends on short positions are recorded on the Statement of Operations as dividend expense on ex-dividend date.

Liabilities for securities sold short are reported at market value on the Statement of Assets and Liabilities and the change in market value is recorded as unrealized gain or loss on the Statement of Operations. Short sale transactions may result in unlimited losses as the short position loses value and the securities’ price increases. There is no upward limit on the price a borrowed security could attain. The Fund is also subject to risk of loss if the broker were to fail to perform its obligations under the contractual terms.

The Fund will record a realized loss if the price of the security increases between the date of the short sale and the date on which the Fund replaces the borrowed security. The Fund will record a realized gain if the price of the security declines between those dates.

As of October 31, 2010, the Fund had outstanding short sales as listed on its SOI.

C. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income and expense on securities sold short less foreign taxes withheld, if any, are recorded on the ex-dividend date or when a Fund first learns of the dividend.

The Fund records distributions received in excess of income from underlying investments as a reduction of cost of investments and/or realized gain. Such amounts are based on estimates if actual amounts are not available and actual amounts of income, realized gain and return of capital may differ from the estimated amounts. The Fund adjusts the estimated amounts of components of distributions (and consequently its net investment income) as necessary once the issuers provide information about the actual composition of the distributions.

D. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to the Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

E. Federal Income Taxes — The Fund is treated as a separate taxable entity for Federal income tax purposes. The Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Fund’s conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Fund’s Federal tax returns for the prior three fiscal years remains subject to examination by the Internal Revenue Service.

F. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 33

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

Paid-in-Capital	Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
$(62,823)	$	71,180	$	(8,357	)

The reclassifications for the Fund relate primarily to dividend expense for securities sold short and net operating loss.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Fund. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of the Fund and for such services is paid a fee. The fee is accrued daily and paid monthly at an annual fee rate of 1.75% of the Fund’s average daily net assets. Currently, the annual fee rate is 1.50% of the Fund’s average daily net assets. The fee is contractually limited to 1.50% of the Fund’s average daily net assets until such time as the Fund commences with the borrowing of money from banks for investment purposes.

The Advisor, on behalf of the Fund, has entered into an investment sub-advisory agreement with Highbridge Capital Management, LLC (“HCM”) which is wholly-owned by JPMorgan Asset Management Holdings, Inc. For its services as sub-advisor, HCM receives a portion of the fees payable to the Advisor.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Fund. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of the Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Fund’s Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Fund in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Fund shall pay distribution fees, including payments to the Distributor, at annual rates of 0.25% and 0.75% of the average daily net assets of Class A and Class C Shares, respectively.

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

Front-End Sales Charge		CDSC
$	53	$	65

D. Shareholder Servicing Fees — The Trust, on behalf of the Fund, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to 0.25% of the average daily net assets of Class A, Class C and Select Class Shares.

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Fund under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

34 HIGHBRIDGE FUNDS OCTOBER 31, 2010

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Fund, provides portfolio custody services for the Fund. JPMIS provides portfolio accounting services for the Fund. The amounts paid directly to JPMCB and JPMIS by the Fund for custody and accounting services, respectively, are included in Custodian and accounting fees in the Statement of Operations. The custodian fees may be reduced by credits earned by the Fund, based on uninvested cash balances held by the custodian. Such earnings credits are presented separately in the Statement of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statement of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Fund to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend and interest expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Fund’s respective average daily net assets as shown in the table below:

Class A			Class C			Select Class
	1.95	%		2.45	%		1.70	%

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011.

For the year ended October 31, 2010, the Fund’s service providers waived fees and/or reimbursed expenses for the Fund as follows (amounts in thousands). None of these parties expects the Fund to repay any such waived fees and reimbursed expenses in future years.

Contractual Waivers
Investment Advisory		Administration		Shareholder Servicing		Total
$	7,554	$	1,034	$	7,405	$	15,993

Additionally, the Fund may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Fund’s investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amount of waivers resulting from investments in the money market funds for the year ended October 31, 2010 was approximately $609,000.

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Fund for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statement of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to accordance with the Plan performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, the Fund may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Fund may use related party broker/dealers. For the year ended October 31, 2010, the Fund did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission (“SEC”) has granted an exemptive order permitting the Fund to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)		Securities Sold Short		Covers on Securities Sold Short
$	13,022,851	$	14,125,357	$	12,621,040	$	13,705,439

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 35

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
$	2,049,975	$	159,173	$	29,188	$	129,985

The difference between book and tax basis appreciation (depreciation) on investments is primarily attributed to wash sale loss deferrals.

There were no distributions paid during the fiscal year ended October 31, 2010.

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows:

Total Distributions Paid From:
Ordinary Income		Total Distributions Paid
$	3,239	$	3,239

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows:

Current Distributable Ordinary Income		Current Distributable Long Term Capital Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
$	—	$	(55,607	)	$	(42,868	)

The cumulative timing differences primarily consist of loss deferrals on unsettled short sales and wash sale loss deferrals.

As of October 31, 2010, the Fund had the following net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

2015		2017		2018		Total
$	16,330	$	10,845	$	28,432	$	55,607

6. Borrowings

The Fund relies upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Fund to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Fund because it is an investment company in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Fund. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Fund had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statement of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

One or more affiliates of the Advisor have investment discretion with respect to their client’s holdings in the Fund, which collectively represent a significant portion of the Fund’s assets. Significant shareholder transactions, if any, may impact the Fund’s performance.

As of October 31, 2010, the Fund pledged substantially all of its assets for securities sold short to Morgan Stanley & Co. Incorporated. Deposits at broker for securities sold short, as noted on the Statement of Assets and Liabilities, are held at Morgan Stanley Co. Incorporated.

8. Subsequent Event

Subsequent to October 31, 2010 and through December 14, 2010, certain shareholders of the Fund redeemed their Select Class Shares and the Fund paid the redemptions primarily with the proceeds resulting from disposing of portfolio securities. The proceeds from these redemptions amounted to approximately 22% of the Fund’s net assets at October 31, 2010.

36 HIGHBRIDGE FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of Highbridge Statistical Market Neutral Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Highbridge Statistical Market Neutral Fund (a separate Fund of JPMorgan Trust I) (hereafter referred to as the “Fund”) at October 31, 2010, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 20, 2010

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 37

TRUSTEES

(Unaudited)

The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972-2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).		141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).		141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).		141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).		141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).		141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).		141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

38 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 39

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

40 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides infor- mation about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Highbridge Statistical Market Neutral Fund
Class A
Actual	$	1,000.00	$	981.30	$	18.58		3.72	%
Hypothetical		1,000.00		1,006.45		18.81		3.72
Class C
Actual		1,000.00		978.50		20.99		4.21
Hypothetical		1,000.00		1,003.98		21.27		4.21
Select Class
Actual		1,000.00		982.70		17.34		3.47
Hypothetical		1,000.00		1,007.71		17.56		3.47

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 41

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of the investment advisory agreement and sub-advisory agreement for the Fund whose annual report is contained herein (each an “Advisory Agreement” and, collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreement or any of their affiliates, approved the continuation of the Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the J.P. Morgan Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Fund’s performance compared to the performance of the Fund’s peers and benchmarks and analyses by the Advisor of the Fund’s performance. In addition, the Trustees have engaged an independent consultant to report on the performance of the Fund at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Fund’s expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain J.P. Morgan Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of J.P. Morgan Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreement with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees discussing the legal standards for their consid-

eration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve the Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from the Fund under the Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of the Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to the Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to the Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of the Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of the Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of the Fund. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Fund gained from their experience as Trustees of the J.P. Morgan Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Fund, their overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to concerns raised by them,

42 HIGHBRIDGE FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to the Fund. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Fund, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of the Advisory Agreement was not unreasonable in light of the services and benefits provided to the Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Fund. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for the Fund.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Fund for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Fund’s distributor and that these fees are in turn generally paid to financial intermediaries that sell the Fund, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for the Fund does not contain breakpoints. The Trust-

ees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Fund’s Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreement.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of the Fund. The Trustees also considered the complexity of investment management for the Fund relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to the Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for J.P. Morgan Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those J.P. Morgan Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in the Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed the Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 43

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

also considered the special analysis by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to the Fund’s performance for certain representative classes are summarized below:

The Trustees noted the Fund’s performance was in the fourth and second quintiles for both Class A and Select Class shares for the one- and three-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by the Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as the Fund. The Trustees recognized that Lipper reported the Fund’s

management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for the Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for the Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of the Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Fund’s net advisory fee for both Class A and Select Class shares were in the fifth quintile and that the actual total expenses for Class A and Select Class Shares were in the fourth quintile of their Universe Group. The Trustees also considered information provided by JPMFM and JPMDS related to the sub-advisory structure and distribution strategy of the Fund and, in light of this information, concluded that the advisory fees were reasonable.

44 HIGHBRIDGE FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and proce- dural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 45

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-HSMN-1010

Annual Report

J.P. Morgan International Equity Funds

October 31, 2010

JPMorgan Emerging Economies Fund

JPMorgan Emerging Markets Equity Fund

JPMorgan Global Focus Fund

JPMorgan International Equity Fund

JPMorgan International Equity Index Fund

JPMorgan International Opportunities Fund

JPMorgan International Value Fund

JPMorgan Intrepid International Fund

CONTENTS

CEO’s Letter	1
Market Overview	2
Fund Commentaries:
JPMorgan Emerging Economies Fund	3
JPMorgan Emerging Markets Equity Fund	6
JPMorgan Global Focus Fund	9
JPMorgan International Equity Fund	12
JPMorgan International Equity Index Fund	15
JPMorgan International Opportunities Fund	18
JPMorgan International Value Fund	21
JPMorgan Intrepid International Fund	24
Schedules of Portfolio Investments	27
Financial Statements	68
Financial Highlights	86
Notes to Financial Statements	102
Report of Independent Registered Public Accounting Firm	122
Trustees	123
Officers	125
Schedule of Shareholder Expenses	126
Board Approval of Investment Advisory Agreements	129
Tax Letter	133
Privacy Policy	134

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of any Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objectives, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

OCTOBER 31, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted

due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 1

J.P. Morgan International Equity Funds

MARKET OVERVIEW

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered during the third quarter of 2010 and into October 2010 on strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve and the Bank of Japan. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries.

Emerging Markets

Emerging market stocks were bolstered by strong gross domestic product (GDP) growth in developing countries, as the Morgan Stanley Capital International (“MSCI”) Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period.

Indian stocks were supported by strong corporate earnings and robust flows from foreign investors into the Indian market. In addition, the country’s monetary policy tightening was in line with investor expectations, creating optimism among investors that the Reserve Bank of India was attempting to maintain continued economic growth as it took measures to control inflation.

Meanwhile, the greater China region lagged other emerging markets. Investors were concerned that the Chinese government would be forced to take measures to clamp down on the surging Chinese economy and ward off inflation, potentially causing a sharp pullback in economic activity (also known as a “hard landing”). However, concerns about a hard landing in China failed to materialize and the Chinese stock market performed well toward the end of the reporting period.

Developed Markets

International stocks, as measured by the MSCI EAFE (Europe, Australasia and Far East) Index, gained 8.36%, underperforming emerging markets stocks and the S&P 500 Index’s 16.52% return for the twelve months ended October 31, 2010. The relative weakness of the MSCI EAFE Index was driven primarily by lagging European stocks. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity of European leaders, as well as the impact that austerity measures would have on growth in the region.

2 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Emerging Economies Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*	36.48%
Morgan Stanley Capital International (“MSCI”) Emerging Markets Index	23.89%
Net Assets as of 10/31/2010 (In Thousands)	$7,461

INVESTMENT OBJECTIVE**

The JPMorgan Emerging Economies Fund (the “Fund”) seeks long-term capital growth.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the MSCI Emerging Markets Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s stock selection was strongest in the energy and materials sectors. The Fund’s underweight in the healthcare sector and overweight in the information technology sector detracted from relative performance.

Individual contributors to relative performance included the Fund’s positions in Charoen Pokphand Foods Public Company Limited and Pacific Rubiales Energy Corp, which were both not held in the Benchmark. Shares of Charoen Pokphand Foods Public Company Limited, a Thailand-based agro-industrial and integrated food company, benefited as investor fears surrounding political upheaval in Thailand abated. Pacific Rubiales Energy Corp. is an oil exploration and production company. Shares of the company rose due to its increasing oil production.

The Fund’s underweight position in Petroleo Brasileiro S.A. also contributed to relative performance as the stock declined on concerns regarding the structure of an offering that allowed the Brazilian government to purchase shares of the company.

Individual detractors from relative performance included the Fund’s overweight positions in Chaoda Modern Agriculture Holdings Ltd., Gerdau S.A. and OTP Bank plc. Chaoda Modern Agriculture Holdings Ltd.’s stock was hurt after the agricultural produce provider issued new shares, options and convertible bonds to raise capital to expand the company’s production, diluting the value of existing shares. Shares of Gerdau S.A., a Brazil-based producer of long rolled steel, declined as the appreciating Brazil Real caused steel imports to rise, hurting the Brazilian steel industry. Shares of OTP Bank plc, a Hungarian bank, declined after the Hungarian government increased taxation on the country’s banking sector, hurting OTP Bank plc’s profitability.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers used a combination of top-down and bottom-up research, rigorously researching companies to determine their underlying value and potential for future earnings growth. The Fund held an average of 94 stocks during the reporting period. As a result of this process, the Fund’s largest overweight was in the financials sector and the Fund’s largest underweight was in the materials sector. From a country perspective, the Fund’s largest overweight was in Turkey and the Fund’s largest underweight was in India.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 3

JPMorgan Emerging Economies Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Samsung Electronics Co., Ltd. (South Korea)	3.4	%
	2.	Itau Unibanco Holding S.A., ADR (Preferred Stock) (Brazil)	2.4
	3.	China Mobile Ltd. (Hong Kong)	2.4
	4.	CNOOC Ltd. (Hong Kong)	2.2
	5.	Hon Hai Precision Industry Co., Ltd., GDR (Taiwan)	2.1
	6.	Sberbank of Russia (Russia)	1.9
	7.	Infosys Technologies Ltd., ADR (India)	1.9
	8.	Hyundai Motor Co. (South Korea)	1.8
	9.	OGX Petroleo e Gas Participacoes S.A. (Brazil)	1.7
	10.	Honam Petrochemical Corp. (South Korea)	1.6

PORTFOLIO COMPOSITION BY COUNTRY***
South Korea	16.7	%
Brazil	15.9
Hong Kong	10.6
Taiwan	10.2
South Africa	8.1
Russia	7.7
China	6.4
Turkey	5.5
India	5.0
Thailand	4.0
Mexico	3.1
Poland	2.7
Egypt	1.4
Canada	1.1
Others (each less than 1.0%)	1.6

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

4 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			SINCE INCEPTION
CLASS A SHARES		2/28/08
Without Sales Charge				36.12	%		(0.43	)%
With Sales Charge*				28.97			(2.41	)
CLASS C SHARES		2/28/08
Without CDSC				35.33			(0.95	)
With CDSC**				34.33			(0.95	)
CLASS R5 SHARES		2/28/08		36.66			0.00	%
SELECT CLASS SHARES		2/28/08		36.48			(0.19	)

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (2/28/08 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on February 28, 2008.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan Emerging Economies Fund, the MSCI Emerging Markets Index and the Lipper Emerging Markets Funds Index from February 28, 2008 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI Emerging Markets Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The amount reinvested is the entire dividend distributed to individuals resident in the country of the company, but does not include tax credits. The performance of the Lipper Emerging Markets Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI Emerging Markets Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market

performance of emerging markets. The Lipper Emerging Markets Funds Index is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the United States can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the U.S. and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 5

JPMorgan Emerging Markets Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)*		25.64%
Morgan Stanley Capital International (“MSCI”) Emerging Markets Index		23.89%
Net Assets as of 10/31/2010 (In Thousands)	$	1,744,141

INVESTMENT OBJECTIVE**

The JPMorgan Emerging Markets Equity Fund (the “Fund”) seeks to provide high total return from a portfolio of equity securities from emerging markets issuers.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) outperformed the MSCI Emerging Markets Index (the “Benchmark”) for the twelve months ended October 31, 2010 as the Fund’s stock selection in the financials sector more than offset relative weakness from the Fund’s materials holdings. The Fund’s overweight in the consumer staples sector also contributed to relative performance. In addition, the Fund’s average cash position was relatively high as the Fund experienced significant inflows during the reporting period. This was a modest drag on relative performance as the yields available from cash were low during the reporting period.

Individual contributors to relative performance included Turkiye Garanti Bankasi A.S. and Hyundai Mobis. Shares of Turkiye Garanti Bankasi A.S., a Turkish bank, benefited from improving trends for consumer lending in Turkey. Shares of Hyundai Mobis, a Korea-based auto parts manufacturer, benefited from recovering demand for automobiles. The Fund’s relative performance was also helped by not owning Gazprom OAO, as the Russian energy company was a weak performer in the Benchmark.

Individual detractors from relative performance included Orascom Telecom Holding SAE, Esprit Holdings Ltd. and Petroleo Brasileiro S.A. (“Petrobras”). Shares of Orascom Telecom Holding SAE, an Egyptian-based mobile phone operator, declined amid the overhang of the company’s dispute with the Algerian government. The Algerian government imposed restrictions on the company’s Algerian-based Djezzy unit, hurting the company’s profitability. Shares of Esprit Holdings Ltd., a Hong Kong-based retailer that is not held in the Benchmark, were hurt by the company’s weak earnings results announced in early September 2010, as growth in its Chinese operations was not enough to offset weakness in Europe. Shares of Petrobras declined during the reporting period on concerns regarding the structure of an offering that allowed the Brazilian government to purchase shares of the company.

HOW WAS THE FUND POSITIONED?

The Fund employed an active strategy in which portfolio construction was focused on the highest-conviction ideas found at the stock level, holding an average of 68 stocks during the reporting period. The Fund’s portfolio managers used bottom-up fundamental research to determine the Fund’s security weightings against the Benchmark, rigorously researching companies to determine their underlying value and potential for future earnings growth. As a result of this process, the Fund’s largest overweight was in the consumer staples sector and the Fund’s largest underweight was in the industrials sector. From a country perspective, the Fund’s largest overweight was in India and the Fund’s largest underweight was in Taiwan.

6 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Housing Development Finance Corp., Ltd. (India)	4.5	%
	2.	Vale S.A., ADR (Preferred Stock) (Brazil)	4.1
	3.	China Merchants Bank Co., Ltd., Class H (China)	3.3
	4.	Petroleo Brasileiro S.A., ADR (Preferred Stock) (Brazil)	3.2
	5.	Turkiye Garanti Bankasi A.S. (Turkey)	3.2
	6.	Samsung Electronics Co., Ltd. (South Korea)	2.5
	7.	Ping An Insurance Group Co. of China Ltd., Class H (China)	2.4
	8.	Sberbank of Russia (Russia)	2.4
	9.	Li & Fung Ltd. (Hong Kong)	2.2
	10.	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (Taiwan)	2.2

PORTFOLIO COMPOSITION BY COUNTRY***
Brazil	15.3	%
China	13.9
India	12.5
Hong Kong	10.1
South Korea	9.0
South Africa	6.4
Taiwan	5.1
Mexico	4.4
Russia	4.0
Indonesia	3.5
Turkey	3.2
Luxembourg	2.1
Chile	1.3
Egypt	1.2
United States	1.1
Hungary	1.1
Others (each less than 1.0%)	0.3
Short-Term Investment	5.5

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 7

JPMorgan Emerging Markets Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		9/28/01
Without Sales Charge				25.12	%		14.57	%		14.07	%
With Sales Charge*				18.56			13.34			13.45
CLASS B SHARES		9/28/01
Without CDSC				24.49			14.03			13.65
With CDSC**				19.49			13.79			13.65
CLASS C SHARES		2/28/06
Without CDSC				24.49			14.01			13.58
With CDSC***				23.49			14.01			13.58
INSTITUTIONAL CLASS SHARES		11/15/93		25.64			15.06			14.61
SELECT CLASS SHARES		9/10/01		25.48			14.86			14.33

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Prior to September 7, 2001, the Fund operated in a master feeder structure. The returns for the Institutional Class Shares prior to September 7, 2001 reflect the performance of the institutional feeder of the Emerging Markets Equity Portfolio, whose historical expenses were substantially similar to those of the Institutional Class Shares. The returns for the Select Class Shares before they were launched on September 10, 2001 reflect the performance of the retail feeder. The historical expenses of the retail feeder are substantially similar to those of the Select Class Shares.

Returns for Class A and Class B Shares prior to their inception date are based on the performance of the Select Class Shares. The actual returns for Class A and Class B Shares would have been lower than shown because Class A and Class B Shares have higher expenses than Select Class Shares.

Returns for Class C Shares prior to their inception date are based on the performance of Class B Shares. The actual returns of Class C Shares would have been similar to those shown because Class C Shares have expenses similar to those of Class B Shares.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan Emerging Markets Equity Fund, the MSCI Emerging Markets Index and the Lipper Emerging Markets Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI Emerging Markets Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the maximum possible dividend reinvestment of the securities included in the benchmark. The amount reinvested is the entire dividend

distributed to individuals resident in the country of the company, but does not include tax credits. The performance of the Lipper Emerging Markets Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI Emerging Markets Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of emerging markets. The Lipper Emerging Markets Funds Index is an index based on the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

Because Class B shares automatically convert to Class A shares after 8 years, the 10 Year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

8 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Global Focus Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*	22.57%
Morgan Stanley Capital International (“MSCI”) World Index	13.32%
Net Assets as of 10/31/2010 (In Thousands)	$3,143

INVESTMENT OBJECTIVE**

The JPMorgan Global Focus Fund (the “Fund”) seeks to provide long term capital growth by investing in a portfolio of equity securities in developed and emerging markets.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the MSCI World Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s stock selection in the autos and energy sectors contributed to relative performance while the Fund’s holdings in the healthcare and retail sectors detracted from relative performance.

Individual contributors to relative performance included the Fund’s overweight positions in German-based Lanxess AG and France-based Rhodia S.A., specialty chemical providers not held in the Benchmark. Both companies’ earnings received a boost from their managements’ disciplined cost-cutting measures and recovering demand in their end markets.

Another contributor to relative performance was the Fund’s overweight position in InterOil Corp., an integrated energy company operating in Papua New Guinea that was not held in the Benchmark. The stock rose as the company’s projects started to come on-line and generate revenues.

On the negative side, the Fund’s overweight positions in Greece-based Sidenor Steel Products Manufacturing Co. S.A. and EFG Eurobank Ergasias S.A. hurt relative performance. These stocks declined with other Greek stocks as the country’s debt crisis escalated.

Another individual detractor was the Fund’s overweight position in Austrian biotech company Intercell AG. Intercell AG’s management warned that the company may post a loss for 2010, due in part, to ongoing research and development costs.

HOW THE FUND WAS MANAGED

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future growth. The Fund’s portfolio managers looked for stocks that possessed an attractive valuation signal (as measured by the Fund’s portfolio managers’ proprietary dividend discount model), high significant profit growth potential and a timely catalyst that would enable the stock to realize its inherent value. The Fund was largely unconstrained with regards to sector, regional and market-cap distribution.

In addition, the Fund employed currency forwards to bring the Fund’s currency exposure closer in line with the U.S. dollar denominated Benchmark.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 9

JPMorgan Global Focus Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Lanxess AG (Germany)	4.3	%
	2.	Rhodia S.A. (France)	3.4
	3.	Telefonica S.A. (Spain)	2.5
	4.	Intercontinental Hotels Group plc (United Kingdom)	2.2
	5.	InterOil Corp. (Australia)	2.2
	6.	McDonald’s Corp. (United States)	2.1
	7.	Telekomunikasi Indonesia Tbk PT (Indonesia)	1.9
	8.	Nokian Renkaat OYJ (Finland)	1.8
	9.	Koninklijke KPN N.V. (Netherlands)	1.8
	10.	Kubota Corp. (Japan)	1.8

PORTFOLIO COMPOSITION BY COUNTRY***
United States	22.4	%
United Kingdom	14.1
Japan	10.4
Germany	7.4
France	6.5
Hong Kong	4.5
Netherlands	4.0
Australia	3.2
Indonesia	2.8
Spain	2.5
Austria	2.2
Norway	2.2
China	2.0
Denmark	2.0
Finland	1.8
Canada	1.7
Switzerland	1.5
Italy	1.3
Brazil	1.3
Taiwan	1.2
Ireland	1.1
South Africa	1.0
Belgium	1.0
Others (each less than 1.0%)	1.9

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

10 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		3/30/07
Without Sales Charge				22.26	%		(3.69	)%		(0.38	)%
With Sales Charge*				15.86			(5.41	)		(1.87	)
CLASS C SHARES		3/30/07
Without CDSC				21.59			(4.19	)		(0.89	)
With CDSC**				20.59			(4.19	)		(0.89	)
CLASS R5 SHARES		3/30/07		22.75			(3.27	)		0.06
SELECT CLASS SHARES		3/30/07		22.57			(3.45	)		(0.13	)

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (3/30/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on March 30, 2007.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan Global Focus Fund, the MSCI World Index and the Lipper Global Multi-Cap Value Funds Index from March 30, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI World Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper Global Multi-Cap Value Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The Lipper Global Multi-Cap Value

Funds is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

From the inception of the Fund through April 30, 2010, the Fund did not experience any shareholder purchase and sale activity. If such shareholder activity had occurred, the Fund’s performance may have been impacted.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 11

JPMorgan International Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		10.72%
Morgan Stanley Capital International (“MSCI”) EAFE Index		8.36%
Net Assets as of 10/31/2010 (In Thousands)	$	642,362

INVESTMENT OBJECTIVE**

The JPMorgan International Equity Fund (the “Fund”) seeks total return from long-term capital growth and income. Total return consists of capital growth and current income.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the MSCI EAFE Index (the “Benchmark”) for the twelve months ended October 31, 2010 as positive stock selection in the consumer discretionary sector more than offset negative stock selection in the energy sector.

Individual contributors to relative performance included Symrise AG and Burberry Group plc. Burberry Group plc, a luxury retail company, and Symrise AG, a Germany-based manufacturer of fragrances used in perfumes, both benefited from recovering demand, particularly among higher-end consumers. Other individual contributors included Volkswagen AG, as the success of the car manufacturer’s Audi brand, its strong presence in China and recovering global demand for autos fueled its strong earnings growth for the first nine months of the year, overshadowing concerns about the company’s pending merger with Porsche.

Individual detractors from relative performance included Lafarge S.A., Piraeus Bank S.A. and Esprit Holdings Ltd. Lafarge S.A., a France-based building materials company, was hurt by continued weakness in European construction activity. Piraeus Bank S.A. is a Greece-based financial and banking services group. The stock declined amid concerns about Greece’s debt crisis. Esprit Holdings Ltd., a Hong Kong-based fashion retailer that derived most of its earnings from Europe, was hurt as the fiscal crisis in Europe dampened regional demand and undermined the value of European currencies.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers continued to focus on stock selection to build a diversified portfolio of international equities. The Fund’s portfolio managers employed rigorous, bottom-up fundamental research in an effort to identify quality companies that were well-managed, had solid financial positions, possessed sustainable earnings that were growing faster than that of their peers yet whose stocks were trading below or at par with the market.

12 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Vodafone Group plc (United Kingdom)	2.5	%
	2.	Royal Dutch Shell plc, Class A (Netherlands)	2.5
	3.	Total S.A. (France)	2.3
	4.	BHP Billiton Ltd. (Australia)	2.3
	5.	Nestle S.A. (Switzerland)	2.1
	6.	HSBC Holdings plc (United Kingdom)	2.1
	7.	Honda Motor Co., Ltd. (Japan)	1.9
	8.	BG Group plc (United Kingdom)	1.8
	9.	Telefonica S.A. (Spain)	1.8
	10.	Novartis AG (Switzerland)	1.8

PORTFOLIO COMPOSITION BY COUNTRY***
United Kingdom	23.2	%
Japan	16.3
France	14.0
Switzerland	10.9
Germany	8.0
Netherlands	5.4
Spain	3.6
Hong Kong	3.3
Australia	3.2
China	1.7
Brazil	1.6
Ireland	1.5
Italy	1.5
Belgium	1.0
Others (each less than 1.0%)	3.9
Short-Term Investment	0.9

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments (excluding Investments of Cash Collateral for Securities on Loan) as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 13

JPMorgan International Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		2/28/02
Without Sales Charge				10.33	%		3.45	%		3.39	%
With Sales Charge*				4.57			2.34			2.84
CLASS B SHARES		2/28/02
Without CDSC				9.82			2.87			2.94
With CDSC**				4.82			2.51			2.94
CLASS C SHARES		1/31/03
Without CDSC				9.69			2.87			2.90
With CDSC***				8.69			2.87			2.90
CLASS R2 SHARES		11/3/08		10.07			3.33			3.33
CLASS R5 SHARES		5/15/06		10.86			3.88			3.75
SELECT CLASS SHARES		1/1/97		10.72			3.72			3.67

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Returns for Class A, Class B and Class R5 Shares prior to their inception dates are based on the performance of the Select Class Shares. The actual returns for Class A and Class B Shares would have been lower than shown because Class A and Class B Shares have higher expenses than Select Class Shares. The actual returns of Class R5 Shares would have been different because Class R5 Shares have different expenses than Select Class Shares.

Returns for Class R2 Shares prior to their inception date are based on the performance of Class A Shares. The actual returns of R2 Shares would have been lower than shown because R2 Shares have higher expenses than Class A Shares.

Returns for Class C Shares prior to their inception date are based on the performance of Class B Shares. The actual returns of Class C Shares would have been similar to those shown because Class C Shares have expenses similar to those of Class B Shares.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan International Equity Fund, the MSCI EAFE Index and the Lipper International Large-Cap Core Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Core Funds Index

includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The Lipper International Large-Cap Core Funds Index is based on the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

Because Class B Shares automatically convert to Class A Shares after 8 years, the 10 year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

14 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan International Equity Index Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		8.42%
Morgan Stanley Capital International (“MSCI”) EAFE GDP Index		5.66%
Net Assets as of 10/31/2010 (In Thousands)	$	665,617

INVESTMENT OBJECTIVE**

The JPMorgan International Equity Index Fund (the “Fund”) seeks to provide investment results that correspond to the aggregate price and dividend performance of the securities in the MSCI EAFE Gross Domestic Product (GDP) (the “Benchmark”).

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the Benchmark for the twelve months ended October 31, 2010. The Fund’s strategy is not a full replication approach. The Fund seeks to achieve a correlation of 0.90 with the Benchmark. Perfect correlation would be 1.00. The tracking error (a measure of how closely a portfolio follows the index to which it is benchmarked) of this strategy can be attributed to not owning all the names in the Benchmark and the Fund’s exposure to emerging markets stocks, which are not held in the Benchmark. The Fund’s exposure to emerging market stocks, which performed strongly during the reporting period, caused the Fund to outperform the Benchmark during the reporting period.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers constructed the Fund as a fundamental index strategy, with country weightings based on

gross domestic product (“GDP”) rather than traditional market capitalization. Each country was weighted by GDP, because the Fund’s portfolio managers believed that this measure served as a better indication of each country’s potential earning power than traditional market capitalization.

The Fund was well diversified throughout the reporting period, with approximately 1,000 developed country stocks and 150 emerging country stocks. On average, the Fund had the following weights within the major regions during the reporting period: Europe and Middle East ex-U.K., 55.4%; Japan, 18.0%; the United Kingdom, 9.4%; and Pacific ex-Japan, 6.4%.

The Fund’s emerging markets exposure had an average weighting of 8.6% during the reporting period. The Fund’s emerging markets exposure was constructed so that countries were about equally weighted, with periodic rebalancing to return to this weighting.

During the reporting period, the Fund’s portfolio managers used a combination of exchange-traded funds and futures to help manage cash flows. The Fund continued to closely track the Benchmark, consistent with its investment strategy, and attempted to provide broad passive international exposure for U.S. investors.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 15

JPMorgan International Equity Index Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	iShares MSCI EAFE Index Fund	1.8	%
	2.	Telefonica S.A. (Spain)	1.7
	3.	Banco Santander S.A. (Spain)	1.6
	4.	ENI S.p.A. (Italy)	1.5
	5.	Siemens AG (Germany)	1.5
	6.	Total S.A. (France)	1.1
	7.	BASF SE (Germany)	1.1
	8.	Enel S.p.A. (Italy)	1.0
	9.	Bayer AG (Germany)	1.0
	10.	Daimler AG (Germany)	0.9

PORTFOLIO COMPOSITION BY COUNTRY***
Japan	17.5	%
Germany	13.6
France	10.4
Italy	8.1
United Kingdom	7.5
Spain	6.3
Australia	4.0
Netherlands	3.9
Switzerland	2.1
United States	2.0
Belgium	1.9
Sweden	1.7
Austria	1.6
Norway	1.4
Denmark	1.2
Greece	1.0
Hong Kong	1.0
Others (each less than 1.0%)	14.8

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments (excluding Investments of Cash Collateral for Securities on Loan) as of October 31, 2010. The Fund’s composition is subject to change.

16 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		4/23/93
Without Sales Charge				8.09	%		3.56	%		3.29	%
With Sales Charge*				2.42			2.46			2.73
CLASS B SHARES		1/14/94
Without CDSC				7.32			2.82			2.71
With CDSC**				2.32			2.46			2.71
CLASS C SHARES		11/4/97
Without CDSC				7.40			2.84			2.56
With CDSC***				6.40			2.84			2.56
CLASS R2 SHARES		11/3/08		7.88			3.30			3.04
SELECT CLASS SHARES		10/28/92		8.42			3.83			3.57

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Returns for Class R2 Shares prior to their inception date are based on the performance of the Select Class Shares. Class R2 Shares performance has been adjusted to reflect the difference in expenses between classes.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan International Equity Index Fund, the MSCI EAFE GDP Index, Lipper International Large-Cap Core Funds Index and the Lipper International Multi-Cap Core Funds Index from October 31, 2000 to October 31, 2010. Effective October 7, 2009, the Fund’s Lipper category was changed to the Lipper International Large-Cap Core Funds Index. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE GDP Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Core Funds Index and Lipper International Multi-Cap Core Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the

expenses charged by the Fund. The MSCI EAFE GDP Index is a country weighted

index that is designed to measure the size of developed market economies, excluding the U.S. & Canada. The Lipper International Large-Cap Core Funds Index and Lipper International Multi-Cap Core Funds Index are indexes based on the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on fund distributions or redemption of fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside of the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

Because Class B Shares automatically convert to Class A Shares after 8 years, the 10 year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 17

JPMorgan International Opportunities Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)*		12.12%
Morgan Stanley Capital International (“MSCI”) EAFE Index		8.36%
Net Assets as of 10/31/2010 (In Thousands)	$	318,726

INVESTMENT OBJECTIVE**

The JPMorgan International Opportunities Fund (the “Fund”) seeks to provide high total return from a portfolio of equity securities of foreign companies in developed and, to a lesser extent, emerging markets.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) outperformed the MSCI EAFE Index (the “Benchmark”) for the twelve months ended October 31, 2010 as positive stock selection in the energy and utilities sectors more than compensated for the Fund’s negative stock selection and underweight positions in the outperforming retail and basic industries sectors.

Individual contributors to relative performance included the Fund’s overweight position in German-based Lanxess AG, a specialty chemical provider not held in the Benchmark. The company’s earnings received a boost from its management’s disciplined cost-cutting measures, recovering demand in the developed world, a growing presence in emerging markets and rising demand for synthetic rubber. Other individual contributors included the Fund’s overweight position in Volkswagen AG, as the success of the car manufacturer’s Audi brand, its strong presence in China and recovering global demand for autos fueled its strong earnings growth for the first nine months of the year, overshadowing concerns about the company’s pending merger with Porsche. In addition, the Fund bought shares of integrated energy company BP plc after the company’s oil spill in the Gulf of Mexico had taken its toll on the stock. The Fund benefited as the stock rebounded off its lows.

Individual detractors from relative performance included the Fund’s overweight positions in Lafarge S.A. and China Resources Land Ltd. Lafarge S.A., a France-based building materials company, was hurt by continued weakness in European construction activity. China Resources Land Ltd. is a real estate development company. Property stocks in the greater China region declined broadly on investor concerns about the Chinese government’s efforts to cool its surging property market, such as raising the installment requirement for second-home purchases and raising the mortgage rates applied to these purchases.

Another individual detractor was the Fund’s overweight position in Austrian biotech company Intercell AG. Management warned that the company may post a loss for 2010, due in part, to ongoing research and development costs.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. They used a proprietary dividend discount model and worked closely with analysts to identify the most attractive stocks in each sector.

In addition, the Fund employed futures and currency forwards to help manage cash flows and bring the Fund’s currency exposure closer in line with the U.S. dollar denominated Benchmark.

18 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Royal Dutch Shell plc, Class A (Netherlands)	3.2	%
	2.	Vodafone Group plc (United Kingdom)	2.2
	3.	Telefonica S.A. (Spain)	2.2
	4.	Siemens AG (Germany)	1.9
	5.	Nissan Motor Co., Ltd. (Japan)	1.7
	6.	HSBC Holdings plc (United Kingdom)	1.7
	7.	Sanofi-Aventis S.A. (France)	1.7
	8.	Mitsubishi Electric Corp. (Japan)	1.7
	9.	Unilever N.V. CVA (Netherlands)	1.6
	10.	GlaxoSmithKline plc (United Kingdom)	1.6

PORTFOLIO COMPOSITION BY COUNTRY***
United Kingdom	22.7	%
Japan	17.6
France	10.9
Netherlands	9.1
Germany	7.8
Hong Kong	4.8
Spain	3.1
Switzerland	2.4
Australia	2.2
Taiwan	2.0
Ireland	1.7
Canada	1.6
Luxembourg	1.4
China	1.3
Italy	1.2
Norway	1.0
Austria	1.0
Indonesia	1.0
Others (each less than 1.0%)	4.6
Short-Term Investment	2.6

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments (excluding Investments of Cash Collateral for Securities on Loan) as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 19

JPMorgan International Opportunities Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		9/10/01
Without Sales Charge				11.67	%		4.33	%		2.48	%
With Sales Charge*				5.81			3.22			1.94
CLASS B SHARES		9/10/01
Without CDSC				11.01			3.79			2.08
With CDSC**				6.01			3.44			2.08
CLASS C SHARES		7/31/07
Without CDSC				11.05			3.79			2.02
With CDSC***				10.05			3.79			2.02
INSTITUTIONAL CLASS SHARES		2/26/97		12.12			4.81			3.19
SELECT CLASS SHARES		9/10/01		11.93			4.59			2.90

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Prior to September 7, 2001 operated in a master feeder structure. The returns for the Institutional Class Shares prior to September 7, 2001 reflect the performance of the institutional feeder of the International Opportunities Portfolio, whose historical expenses were substantially similar to those of the Institutional Class Shares. The returns for the Select Class Shares before they were launched on September 10, 2001 reflect the performance of the retail feeder. The historical expenses of the retail feeder are substantially similar to those of the Select Class Shares.

Returns for Class A and Class B Shares prior to their inception date are based on the performance of the Institutional Class Shares. The actual returns for Class A and Class B Shares would have been lower than shown because Class A and Class B Shares have higher expenses than Institutional Class Shares.

Returns for Class C Shares prior to their inception date are based on the performance of Class B Shares. The actual returns of Class C Shares would have been similar to those shown because Class C Shares have expenses similar to those of Class B Shares.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan International Opportunities Fund, the MSCI EAFE Index and the Lipper International Large-Cap Core Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying

the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Core Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The Lipper International Large-Cap Core Funds Index is based on the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

Because Class B shares automatically convert to Class A shares after 8 years, the 10 Year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

20 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan International Value Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)*		11.79%
Morgan Stanley Capital International (“MSCI”) EAFE Value Index		4.63%
Net Assets as of 10/31/2010 (In Thousands)	$	1,534,634

INVESTMENT OBJECTIVE**

The JPMorgan International Value Fund (the “Fund”) seeks to provide high total return from a portfolio of foreign company equity securities.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) outperformed the MSCI EAFE Value Index (the “Benchmark”) for the twelve months ended October 31, 2010 as positive stock selection in the autos, energy and utilities sectors more than offset negative stock selection in the consumer nondurable sector and the Fund’s underweight positions in the outperforming retail and property sectors.

Individual contributors to relative performance included the Fund’s overweight positions in German-based Lanxess AG and France-based Rhodia S.A., specialty chemical providers not held in the Benchmark. Both companies’ earnings received a boost from their managements’ disciplined cost-cutting measures and recovering demand in their end markets.

Another contributor to relative performance was the Fund’s overweight position in Cairn Energy plc., an independent oil and gas exploration and production company not held in the Benchmark. The stock rose as the company ramped up

production following the completion of its pipeline project. In addition, Vedanta Resources plc announced plans to buy a controlling stake in Cairn Energy plc.’s Indian operations.

Individual detractors included the Fund’s overweight position in Lafarge S.A., a France-based building materials company that was hurt by continued weakness in European construction activity. Not owning chemical company BASF SE detracted from the Fund’s relative performance as the stock was a strong performer in the Benchmark. The Fund’s overweight position in Koninklijke Philips Electronics N.V., a provider of consumer electronics, lighting and medical equipment, also detracted from relative performance as its revenues and earnings failed to exceed the market’s estimates.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. They used a proprietary dividend discount model and worked closely with analysts to identify the most attractive value stocks in each sector.

In addition, the Fund employed futures and currency forwards to help manage cash flows and bring the Fund’s currency exposure closer in line with the U.S. dollar denominated Benchmark.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 21

JPMorgan International Value Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Royal Dutch Shell plc, Class A (Netherlands)	4.3	%
	2.	HSBC Holdings plc (United Kingdom)	3.2
	3.	Vodafone Group plc (United Kingdom)	3.0
	4.	Telefonica S.A. (Spain)	2.8
	5.	GDF Suez (France)	2.7
	6.	Sanofi-Aventis S.A. (France)	2.5
	7.	BP plc (United Kingdom)	2.2
	8.	Bayer AG (Germany)	1.9
	9.	BNP Paribas (France)	1.8
	10.	Allianz SE (Germany)	1.8

PORTFOLIO COMPOSITION BY COUNTRY***
United Kingdom	20.9	%
Japan	16.9
France	13.5
Germany	10.0
Netherlands	9.6
Spain	4.1
Hong Kong	2.8
Switzerland	2.4
Norway	2.4
Australia	1.3
Finland	1.2
Canada	1.2
Portugal	1.2
Belgium	1.2
Italy	1.0
China	1.0
Others (each less than 1.0%)	6.7
Short-Term Investment	2.6

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments (excluding Investments of Cash Collateral for Securities on Loan) as of October 31, 2010. The Fund’s composition is subject to change.

22 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		9/28/01
Without Sales Charge				11.35	%		4.19	%		4.01	%
With Sales Charge*				5.50			3.07			3.45
CLASS B SHARES		9/28/01
Without CDSC				10.81			3.68			3.62
With CDSC**				5.81			3.33			3.62
CLASS C SHARES		7/11/06
Without CDSC				10.81			3.68			3.56
With CDSC***				9.81			3.68			3.56
CLASS R2 SHARES		11/3/08		11.00			4.09			3.96
INSTITUTIONAL CLASS SHARES		11/4/93		11.79			4.64			4.54
SELECT CLASS SHARES		9/10/01		11.56			4.46			4.22

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Prior to September 7, 2001, the Fund operated in a master feeder structure. The returns for the Institutional Class Shares prior to September 7, 2001 reflect the performance of the institutional feeder of the International Equity Portfolio, whose historical expenses were substantially similar to those of the Institutional Class Shares. The returns for the Select Class Shares before they were launched on September 10, 2001 reflect the performance of the retail feeder. The historical expenses of the retail feeder are substantially similar to those of the Select Class Shares. Effective December 19, 2001, the Fund changed its investment strategy to a value strategy, which resulted in a restructuring of the portfolio.

Returns for Class A and Class B Shares prior to their inception date are based on the performance of the Select Class Shares. The actual returns for Class A and Class B Shares would have been lower than shown because Class A and Class B Shares have higher expenses than Select Class Shares.

Returns for Class R2 Shares prior to their inception date are based on the performance of Class A Shares. The actual returns of R2 Shares would have been lower than shown because R2 Shares have higher expenses than Class A Shares.

The performance of Class C Shares is based on the performance of Class B Shares of the Fund. The actual returns of Class C Shares would have been similar to those shown because Class C Shares have expenses similar to those of Class B Shares.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan International Value Fund, the MSCI EAFE Value Index and the Lipper International Large-Cap Value Funds Average from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE Value Index does not reflect the deduction of expenses or a sales charge associated with a

mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Value Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Value Index is a free float-adjusted market capitalization weighted index that is designed to measure the performance of value-oriented stocks in the world’s equity markets, excluding the U.S. and Canada. The Lipper International Large-Cap Value Funds Average is based on the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

Because Class B shares automatically convert to Class A shares after 8 years, the 10 Year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 23

JPMorgan Intrepid International Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)*		13.11%
Morgan Stanley Capital International (“MSCI”) EAFE Index		8.36%
Net Assets as of 10/31/2010 (In Thousands)	$	151,691

INVESTMENT OBJECTIVE**

The JPMorgan Intrepid International Fund (the “Fund”) seeks to maximize long-term capital growth by investing primarily in equity securities in developed markets outside of the U.S.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) outperformed the MSCI EAFE Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s portfolio managers constructed the Fund so that stock selection and style factors (i.e. growth and value characteristics) would be the primary drivers of returns. In an attempt to mitigate the impact on performance from individual stocks, the Fund held an average of 252 stocks across sectors during the reporting period. The financials sector was the largest contributor to relative performance while the consumer staples sector was the largest detractor.

Individual contributors to relative performance included the Fund’s overweight positions in German-based Lanxess AG and France-based Rhodia S.A., specialty chemical providers not held in the Benchmark. Both companies’ earnings received a boost from their managements’ disciplined cost-cutting measures and recovering demand in their end markets. Another

contributor to relative performance was the Fund’s underweight position in Toyota Motor Corp., which was a weak performing stock in the Benchmark.

On the negative side, the Fund’s overweight positions in Greece-based Piraeus Bank S.A. and Governor & Co. of the Bank of Ireland hurt relative performance. These stocks declined as Europe’s debt crisis escalated. Other individual detractors included Disco Corp., a maker of cutting tools for electronic equipment that is not held in the Benchmark. The company reported disappointing quarterly operating profit.

HOW WAS THE FUND POSITIONED?

The Fund’s strategy is rooted in the notion that investor behavior is influenced by human emotion and this influence gives rise to persistent growth and value anomalies within the market. The Fund’s portfolio managers sought to exploit these anomalies by utilizing a series of style screens designed to identify stocks with attractive growth and/or value characteristics, targeting names that possessed high earnings momentum, high medium-term price momentum, low price-to-book ratios and low price-to-earnings ratios. In addition, the Fund employed futures to help manage cash flows.

24 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Royal Dutch Shell plc, Class B (Netherlands)	2.0	%
	2.	Nestle S.A. (Switzerland)	2.0
	3.	BHP Billiton Ltd. (Australia)	1.8
	4.	Vodafone Group plc (United Kingdom)	1.7
	5.	Rio Tinto plc (United Kingdom)	1.5
	6.	Novartis AG (Switzerland)	1.5
	7.	HSBC Holdings plc (United Kingdom)	1.4
	8.	Telefonica S.A. (Spain)	1.3
	9.	Total S.A. (France)	1.2
	10.	Sanofi-Aventis S.A. (France)	1.1

PORTFOLIO COMPOSITION BY COUNTRY***
United Kingdom	22.6	%
Japan	17.2
Switzerland	9.1
France	8.2
Germany	8.1
Australia	5.3
Netherlands	4.5
Hong Kong	3.9
Spain	3.0
China	2.9
Italy	2.1
Finland	1.6
Sweden	1.4
Brazil	1.1
Others (each less than 1.0%)	9.0

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 25

JPMorgan Intrepid International Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			SINCE INCEPTION
CLASS A SHARES		4/30/01
Without Sales Charge				12.54	%		2.20	%		3.03	%
With Sales Charge*				6.63			1.10			2.45
CLASS C SHARES		2/28/06
Without CDSC				12.01			1.73			2.78
With CDSC**				11.01			1.73			2.78
CLASS R2 SHARES		11/3/08		12.26			2.10			2.97
INSTITUTIONAL CLASS SHARES		4/30/01		13.11			2.72			3.66
SELECT CLASS SHARES		2/28/06		12.86			2.48			3.53

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (4/30/01 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on April 30, 2001.

Returns for Class C and Class R2 Shares prior to their inception date are based on the performance of the Class A Shares. The actual returns for Class C and Class R2 Shares would have been lower than shown because Class C and Class R2 Shares have higher expenses than Class A Shares.

Returns for Select Class Shares prior to their inception date are based on the performance of Institutional Class Shares. The actual returns for Select Class Shares would have been lower than shown because Select Class Shares have higher expenses than Institutional Class Shares.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan Intrepid International Fund, the MSCI EAFE Index and the Lipper International Large-Cap Core Funds Index from April 30, 2001 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors

who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Core Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The Lipper International Large-Cap Core Funds Index is based on the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

26 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Emerging Economies Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 90.4%
			Brazil — 9.7%
	4		Banco Bradesco S.A., ADR (m)		78
	6		Banco do Brasil S.A. (m)		112
	3		Cia Energetica de Minas Gerais, ADR (m)		62
	3		EDP — Energias do Brasil S.A. (m)		69
	9		OGX Petroleo e Gas Participacoes S.A. (a) (m)		123
	3		Petroleo Brasileiro S.A., ADR (m)		92
	1		Souza Cruz S.A. (m)		71
	4		Vale S.A., ADR (m)		119
					726
			Canada — 1.1%
	3		Pacific Rubiales Energy Corp. (a) (m)		82
			China — 6.4%
	188		Bank of China Ltd., Class H (m)		113
	64		Bank of Communications Co., Ltd., Class H (m)		70
	37		China Merchants Bank Co., Ltd., Class H (m)		105
	—	(h)	New Oriental Education & Technology Group, ADR (a) (m)		43
	60		PetroChina Co., Ltd., Class H (m)		74
	84		Soho China Ltd. (m)		71
					476
			Egypt — 1.4%
	14		Commercial International Bank Egypt SAE (m)		102
			Hong Kong — 10.6%
	52		Chaoda Modern Agriculture Holdings Ltd. (m)		43
	132		China Gas Holdings Ltd. (m)		75
	18		China Mobile Ltd. (m)		179
	79		CNOOC Ltd. (m)		165
	2		Jardine Matheson Holdings Ltd. (m)		90
	84		Kingboard Laminates Holdings Ltd. (m)		81
	77		SJM Holdings Ltd. (m)		115
	12		Yue Yuen Industrial Holdings Ltd. (m)		43
					791
			India — 1.9%
	2		Infosys Technologies Ltd., ADR (m)		142
			Indonesia — 0.9%
	11		Astra International Tbk PT (m)		70
			Malaysia — 0.7%
	47		Telekom Malaysia Bhd (m)		52
			Mexico — 3.1%
	11		Banco Compartamos S.A. de C.V. (m)		78
	17		Grupo Financiero Banorte S.A.B. de C.V., Class O (m)		74
	12		Kimberly-Clark de Mexico S.A.B. de C.V., Class A (m)		76
					228

SHARES			SECURITY DESCRIPTION	VALUE($)
			Poland — 2.7%
	2		KGHM Polska Miedz S.A. (m)		112
	14		Telekomunikacja Polska S.A. (m)		91
					203
			Russia — 7.6%
	1		Lukoil OAO, ADR (m)		72
	6		MMC Norilsk Nickel, ADR (m)		119
	4		Mobile Telesystems OJSC, ADR (m)		91
	7		Rosneft Oil Co., GDR (a) (m)		45
	43		Sberbank of Russia (m)		142
	3		Tatneft, ADR (m)		101
					570
			South Africa — 8.1%
	6		Adcock Ingram Holdings Ltd. (m)		58
	16		African Bank Investments Ltd. (m)		84
	5		Imperial Holdings Ltd. (m)		80
	2		Kumba Iron Ore Ltd. (m)		86
	10		Pick n Pay Stores Ltd. (m)		64
	22		RMB Holdings Ltd. (m)		113
	8		Shoprite Holdings Ltd. (m)		117
					602
			South Korea — 16.6%
	1		GS Holdings (m)		70
	3		Hana Financial Group, Inc. (m)		84
	2		Hankook Tire Co., Ltd. (m)		56
	4		Hanwha Chem Corp. (m)		98
	1		Honam Petrochemical Corp. (m)		121
	1		Hyundai Motor Co. (m)		135
	4		Kangwon Land, Inc. (m)		99
	3		KT Corp., ADR (m)		67
	1		LG Corp. (m)		65
	6		LG Display Co. Ltd., ADR (m)		95
	1		POSCO, ADR (m)		96
	—	(h)	Samsung Electronics Co., Ltd. (m)		252
					1,238
			Taiwan — 10.2%
	3		Asustek Computer, Inc. (m)		22
	1		Asustek Computer, Inc., GDR (m)		26
	3		Chunghwa Telecom Co. Ltd., ADR (m)		75
	—	(h)	Compal Electronics, Inc., GDR (m)		1
	25		Coretronic Corp. (m)		38
	20		Hon Hai Precision Industry Co., Ltd., GDR (m)		153
	5		HTC Corp. (m)		120
	90		Macronix International (m)		55
	2		Pegatron Corp., GDR (a) (m)		12

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 27

JPMorgan Emerging Economies Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Taiwan — Continued
	18		Powertech Technology, Inc. (m)		59
	14		Tripod Technology Corp. (m)		54
	27		U-Ming Marine Transport Corp. (m)		56
	44		Wistron Corp. (m)		90
					761
			Thailand — 4.0%
	4		Banpu PCL, NVDR (m)		106
	129		Charoen Pokphand Foods PCL, NVDR (m)		101
	23		Kasikornbank PCL, NVDR (m)		90
					297
			Turkey — 5.4%
	17		KOC Holding A.S. (m)		79
	3		Tupras Turkiye Petrol Rafinerileri A.S. (m)		91
	19		Turk Hava Yollari (a) (m)		79
	9		Turkiye Halk Bankasi AS (m)		88
	16		Turkiye Is Bankasi, Class C (m)		70
					407
			Total Common Stocks (Cost $5,354)		6,747
	Participation Notes — 3.1%
			India — 3.1%
	5		Housing Development Finance Corp., expiring 09/16/13 (issued through UBS AG) (a) (m)		72
	3		Punjab National Bank, expiring 11/22/10 (issued through UBS AG) (a) (m)		92
	2		United Spirits Ltd., expiring 08/13/13 (issued through UBS AG) (a) (m)		68
			Total Participation Notes (Cost $210)		232
	Preferred Stocks — 6.1%
			Brazil — 6.1%
	1		Cia de Bebidas das Americas, ADR (m)		106
	7		Gerdau S.A., ADR (m)		97
	7		Itau Unibanco Holding S.A., ADR (m)		180
	2		Vivo Participacoes S.A. (m)		63
	—	(h)	Vivo Participacoes S.A., ADR (m)		9
			Total Preferred Stocks (Cost $405)		455
			Total Investments — 99.6% (Cost $5,969)		7,434
			Other Assets in Excess of Liabilities — 0.4%		27
			NET ASSETS — 100.0%	$	7,461

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		17.6	%
Oil, Gas & Consumable Fuels		13.7
Metals & Mining		8.5
Electronic Equipment, Instruments & Components		5.7
Semiconductors & Semiconductor Equipment		4.9
Wireless Telecommunication Services		4.6
Diversified Telecommunication Services		3.8
Industrial Conglomerates		3.1
Chemicals		3.0
Hotels, Restaurants & Leisure		2.9
Automobiles		2.8
Diversified Financial Services		2.6
Food & Staples Retailing		2.4
Capital Markets		2.2
Computers & Peripherals		2.0
Food Products		1.9
IT Services		1.9
Electric Utilities		1.8
Communications Equipment		1.6
Beverages		1.4
Distributors		1.1
Airlines		1.1
Consumer Finance		1.1
Household Products		1.0
Gas Utilities		1.0
Thrifts & Mortgage Finance		1.0
Real Estate Management & Development		1.0
Tobacco		1.0
Others (each less than 1.0%)		3.3

SEE NOTES TO FINANCIAL STATEMENTS.

28 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Emerging Markets Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 83.0%
		Brazil — 3.9%
	1,608	All America Latina Logistica S.A. (m)		15,211
	2,086	Cielo S.A. (m)		17,977
	2,680	OGX Petroleo e Gas Participacoes S.A. (a) (m)		35,042
	24	Weg S.A. (m)		313
				68,543
		Chile — 1.3%
	243	Banco Santander Chile, ADR (m)		22,529
		China — 13.9%
	6,890	Anhui Conch Cement Co., Ltd., Class H (m)		29,000
	21,719	China Construction Bank Corp., Class H (m)		20,763
	20,034	China Merchants Bank Co., Ltd., Class H (m)		57,086
	3,552	China National Building Material Co., Ltd., Class H (m)		8,699
	191	New Oriental Education & Technology Group, ADR (a) (m)		20,559
	3,808	Ping An Insurance Group Co. of China Ltd., Class H (m)		41,171
	744	Tencent Holdings Ltd. (m)		17,098
	3,722	Tsingtao Brewery Co., Ltd., Class H (m)		19,934
	21,223	Want Want China Holdings Ltd. (m)		19,616
	3,259	Wumart Stores, Inc., Class H (m)		7,683
				241,609
		Egypt — 1.2%
	315	Orascom Construction Industries (m)		14,258
	8,172	Orascom Telecom Holding SAE (a) (m)		6,304
				20,562
		Hong Kong — 10.0%
	6,657	AIA Group Ltd. (a) (m)		19,810
	3,015	China Mobile Ltd. (m)		30,790
	4,792	China Resources Enterprise Ltd. (m)		20,313
	17,404	CNOOC Ltd. (m)		36,335
	1,758	Esprit Holdings Ltd. (m)		9,487
	4,094	Hang Lung Properties Ltd. (m)		20,083
	7,224	Li & Fung Ltd. (m)		38,250
				175,068
		Hungary — 1.1%
	660	OTP Bank plc (a) (m)		19,595
		India — 12.5%
	599	ACC Ltd. (m)		13,311
	994	Ambuja Cements Ltd. (m)		3,142
	4,496	Bharti Airtel Ltd. (m)		33,078
	5,075	Housing Development Finance Corp., Ltd. (m)		78,651
	173	Infosys Technologies Ltd. (m)		11,581
	458	Infosys Technologies Ltd., ADR (m)		30,882

SHARES		SECURITY DESCRIPTION	VALUE($)
		India — Continued
	941	Jindal Steel & Power Ltd. (m)		14,809
	745	Reliance Capital Ltd. (m)		13,703
	538	United Spirits Ltd. (m)		18,133
				217,290
		Indonesia — 3.5%
	3,923	Astra International Tbk PT (m)		25,117
	19,082	Bank Rakyat Indonesia Persero Tbk PT (m)		24,430
	5,476	Unilever Indonesia Tbk PT (m)		10,725
				60,272
		Luxembourg — 2.1%
	290	Oriflame Cosmetics S.A. (m)		16,458
	494	Tenaris S.A., ADR (m)		20,463
				36,921
		Malaysia — 0.3%
	381	British American Tobacco Malaysia Bhd (m)		5,704
		Mexico — 4.4%
	348	America Movil S.A.B. de C.V., Series L, ADR (m)		19,917
	443	Cemex S.A.B. de C.V., ADR (a) (m)		3,888
	4,799	Grupo Financiero Banorte S.A.B. de C.V., Class O (m)		20,532
	11,642	Wal-Mart de Mexico S.A.B. de C.V., Series V, (m)		31,867
				76,204
		Russia — 4.0%
	358	Magnit OJSC, GDR (e) (m)		9,578
	698	Magnit OJSC, Reg. S, GDR (m)		18,638
	12,527	Sberbank of Russia (m)		41,153
				69,369
		South Africa — 6.4%
	3,886	African Bank Investments Ltd. (m)		19,917
	4,987	FirstRand Ltd. (m)		14,620
	982	Impala Platinum Holdings Ltd. (m)		27,711
	1,126	Massmart Holdings Ltd. (m)		22,937
	1,487	MTN Group Ltd. (m)		26,752
				111,937
		South Korea — 9.0%
	136	Hyundai Mobis (m)		33,870
	190	Hyundai Motor Co. (m)		28,835
	205	KT&G Corp. (m)		12,575
	43	POSCO (m)		17,646
	64	Samsung Electronics Co., Ltd. (m)		42,738
	41	Shinsegae Co., Ltd. (m)		20,557
				156,221

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 JPMORGAN EMERGING MARKETS EQUITY FUND 29

JPMorgan Emerging Markets Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Taiwan — 5.1%
	4,993	Acer, Inc. (m)		14,539
	8,031	Hon Hai Precision Industry Co., Ltd. (m)		30,374
	3,518	Taiwan Semiconductor Manufacturing Co., Ltd. (m)		7,239
	3,447	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		37,609
				89,761
		Turkey — 3.2%
	9,200	Turkiye Garanti Bankasi A.S. (m)		55,534
		United States — 1.1%
	474	NII Holdings, Inc. (a) (m)		19,828
		Total Common Stocks (Cost $1,076,381)		1,446,947
	Preferred Stocks — 11.3%
		Brazil — 11.3%
	223	Cia de Bebidas das Americas, ADR (m)		31,044
	1,107	Itau Unibanco Holding S.A. (m)		26,767
	558	Itau Unibanco Holding S.A., ADR (m)		13,705
	1,789	Petroleo Brasileiro S.A., ADR (m)		55,790
	2,454	Vale S.A., ADR (m)		70,516
		Total Preferred Stocks (Cost $113,145)		197,822
	Short-Term Investment — 5.5%
		Investment Company — 5.5%
	95,628	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $95,628)		95,628
		Total Investments — 99.8% (Cost $1,285,154)		1,740,397
		Other Assets in Excess of Other Liabilities — 0.2%		3,744
		NET ASSETS — 100.0%	$	1,744,141

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		17.4	%
Wireless Telecommunication Services		7.9
Food & Staples Retailing		7.6
Metals & Mining		7.5
Oil, Gas & Consumable Fuels		7.3
Semiconductors & Semiconductor Equipment		5.0
Thrifts & Mortgage Finance		4.5
Beverages		4.0
Insurance		3.5
IT Services		3.4
Construction Materials		3.3
Automobiles		3.1
Diversified Financial Services		2.8
Distributors		2.2
Auto Components		1.9
Electronic Equipment, Instruments & Components		1.7
Diversified Consumer Services		1.2
Energy Equipment & Services		1.2
Real Estate Management & Development		1.2
Food Products		1.1
Tobacco		1.1
Internet Software & Services		1.0
Short-Term Investment		5.5
Others (each less than 1.0%)		4.6

SEE NOTES TO FINANCIAL STATEMENTS.

30 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Global Focus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 94.8%
			Australia — 3.0%
	1		InterOil Corp. (a) (m)		64
	1		Macquarie Group Ltd. (m)		30
					94
			Austria — 2.1%
	—	(h)	Erste Group Bank AG (m)		21
	1		Intercell AG (a)		13
	—	(h)	Schoeller-Bleckmann Oilfield Equipment AG (m)		33
					67
			Belgium — 0.9%
	1		KBC Groep N.V. (a)		29
			Brazil — 1.2%
	3		Cosan Ltd., Class A (m)		37
			Canada — 1.6%
	—	(h)	First Quantum Minerals Ltd.		31
	1		Kinross Gold Corp. (m)		20
					51
			China — 1.9%
	20		Angang Steel Co., Ltd., Class H (m)		31
	7		ZTE Corp., Class H (m)		28
					59
			Denmark — 1.9%
	—	(h)	Carlsberg A/S, Class B (m)		49
	—	(h)	D/S Norden (m)		10
					59
			Finland — 1.8%
	2		Nokian Renkaat OYJ (m)		55
			France — 6.2%
	—	(h)	Atos Origin S.A. (a) (m)		21
	—	(h)	Pernod-Ricard S.A. (m)		21
	4		Rhodia S.A. (m)		102
	1		Sodexo (m)		50
					194
			Germany — 7.1%
	—	(h)	Bayer AG (m)		30
	1		Continental AG (a) (m)		47
	—	(h)	Hamburger Hafen und Logistik AG		17
	2		Lanxess AG (m)		128
					222
			Greece — 0.1%
	4		Corinth Pipeworks S.A. (a) (m)		5

SHARES			SECURITY DESCRIPTION	VALUE($)
			Hong Kong — 4.2%
	18		China Overseas Land & Investment Ltd. (m)		38
	30		Huabao International Holdings Ltd. (m)		45
	5		Hutchison Whampoa Ltd. (m)		50
					133
			Indonesia — 2.7%
	60		Perusahaan Gas Negara PT (m)		27
	56		Telekomunikasi Indonesia Tbk PT (m)		57
					84
			Ireland — 1.0%
	3		Experian plc (m)		32
			Israel — 0.8%
	—	(h)	Teva Pharmaceutical Industries Ltd., ADR (m)		25
			Italy — 1.3%
	7		Snam Rete Gas S.p.A. (m)		39
			Japan — 9.9%
	7		JX Holdings, Inc. (m)		44
	6		Kubota Corp. (m)		53
	5		Mitsubishi Electric Corp. (m)		47
	18		Nippon Sheet Glass Co., Ltd. (m)		39
	3		Nissan Motor Co., Ltd. (m)		30
	—	(h)	ORIX Corp. (m)		26
	1		Shiseido Co., Ltd. (m)		21
	—	(h)	Yahoo! Japan Corp. (m)		28
	1		Yakult Honsha Co., Ltd. (m)		23
					311
			Netherlands — 3.8%
	1		AerCap Holdings N.V. (a) (m)		13
	3		Koninklijke KPN N.V. (m)		55
	1		Royal Dutch Shell plc, Class A		44
	3		Vimetco N.V., GDR (a) (m)		9
					121
			Norway — 2.1%
	4		Orkla ASA (m)		43
	17		Sevan Marine ASA (a) (m)		22
					65
			South Africa — 0.9%
	6		African Bank Investments Ltd. (m)		29
			Spain — 2.4%
	3		Telefonica S.A.		74
			Switzerland — 1.4%
	1		ACE Ltd. (m)		45

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 31

JPMorgan Global Focus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Taiwan — 1.1%
	10		Hon Hai Precision Industry Co., Ltd. (m)		36
			United Arab Emirates — 0.8%
	5		Lamprell plc (m)		25
			United Kingdom — 13.4%
	5		Afren plc (a) (m)		10
	2		Associated British Foods plc (m)		41
	4		BP plc (m)		30
	1		British American Tobacco plc (m)		37
	14		Cable & Wireless Communications plc (m)		12
	14		Cable & Wireless Worldwide plc (m)		16
	4		Cookson Group plc (a) (m)		32
	11		GKN plc (m)		32
	3		Intercontinental Hotels Group plc (m)		65
	9		Man Group plc (m)		38
	2		Petropavlovsk plc (m)		32
	8		Resolution Ltd. (m)		32
	47		Taylor Wimpey plc (a) (m)		17
	1		Tullow Oil plc (m)		27
					421
			United States — 21.2%
	1		Abbott Laboratories (m)		43
	1		Aflac, Inc. (m)		31
	1		American Express Co. (m)		30
	—	(h)	Celgene Corp. (a) (m)		30
	1		Cisco Systems, Inc. (a) (m)		33
	1		General Mills, Inc. (m)		39
	1		Hewlett-Packard Co. (m)		38
	—	(h)	International Business Machines Corp. (m)		34
	2		Kroger Co. (The) (m)		43
	1		Lowe’s Cos., Inc. (m)		23
	1		McDonald’s Corp. (m)		62
	1		Merck & Co., Inc. (m)		36
	2		Microsoft Corp. (m)		47
	6		Sprint Nextel Corp. (a) (m)		27
	2		Staples, Inc. (m)		44
	1		Sysco Corp. (m)		22
	—	(h)	Union Pacific Corp. (m)		42
	1		Walt Disney Co. (The) (m)		43
					667
			Total Common Stocks (Cost $2,472)		2,979
			Total Investments — 94.8% (Cost $2,472)		2,979
			Other Assets in Excess of Liabilities — 5.2%		164
			NET ASSETS — 100.0%	$	3,143

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Chemicals		9.3	%
Oil, Gas & Consumable Fuels		7.4
Diversified Telecommunication Services		7.2
Hotels, Restaurants & Leisure		5.9
Food Products		4.7
Pharmaceuticals		4.5
Auto Components		4.5
Metals & Mining		4.3
Industrial Conglomerates		4.2
Insurance		3.6
Energy Equipment & Services		2.7
Beverages		2.3
Capital Markets		2.3
Specialty Retail		2.3
Gas Utilities		2.2
Food & Staples Retailing		2.2
Communications Equipment		2.0
Consumer Finance		1.9
IT Services		1.9
Machinery		1.8
Commercial Banks		1.7
Software		1.6
Electrical Equipment		1.6
Media		1.5
Biotechnology		1.4
Road & Rail		1.4
Building Products		1.3
Real Estate Management & Development		1.3
Computers & Peripherals		1.3
Tobacco		1.2
Electronic Equipment, Instruments & Components		1.2
Professional Services		1.1
Automobiles		1.0
Diversified Financial Services		1.0
Others (each less than 1.0%)		4.2

SEE NOTES TO FINANCIAL STATEMENTS.

32 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY		CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	14,881		CHF
	120,529		for HKD		Westpac Banking Corp.		12/10/10	$	15	#	$	15	#		$  —	(h)
	20,408		AUD		State Street Bank & Trust		12/10/10		20			20			—	(h)
	79,446		AUD		Westpac Banking Corp.		12/10/10		72			77			5
	97,744		CAD		Citibank, N.A.		12/10/10		95			96			1
	94,093		CHF		Union Bank of Switzerland AG		12/10/10		93			96			3
	11,463		EUR		Barclays Bank plc		12/10/10		16			16			—	(h)
	13,238		EUR		Morgan Stanley		12/10/10		18			18			—	(h)
	12,071		GBP		Morgan Stanley		12/10/10		18			19			1
	11,005		GBP		Royal Bank of Canada		12/10/10		18			18			—	(h)
	16,251		GBP		Royal Bank of Scotland		12/10/10		25			26			1
	145,222		HKD		Morgan Stanley		12/10/10		19			19			—	(h)
	3,298,123		JPY		HSBC Bank, N.A.		12/10/10		39			41			2
	242,678		SEK		Royal Bank of Scotland		12/10/10		33			36			3
	34,966		SGD		Deutsche Bank AG		12/10/10		26			27			1
								$	507		$	524			$17
CONTRACTS TO SELL		CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	135,048		DKK		Royal Bank of Scotland		12/10/10	$	23		$	25		$	(2	)
	104,445		DKK		Westpac Banking Corp.		12/10/10		20			20			—	(h)
	258,881		EUR		BNP Paribas		12/10/10		329			360			(31	)
	19,339		EUR		Citibank, N.A.		12/10/10		25			27			(2	)
	14,816		GBP		BNP Paribas		12/10/10		23			24			(1	)
	129,437		GBP		Citibank, N.A.		12/10/10		199			207			(8	)
	658,205		HKD		HSBC Bank, N.A.		12/10/10		85			85			—	(h)
	129,752		HKD		Union Bank of Switzerland AG		12/10/10		17			17			—	(h)
	2,524,553		JPY		Morgan Stanley		12/10/10		30			31			(1	)
	1,450,060		JPY		State Street Bank & Trust		12/10/10		17			18			(1	)
	214,756		NOK		Royal Bank of Scotland		12/10/10		35			37			(2	)
	20,153		TRY		Barclays Bank plc		12/10/10		13			14			(1	)
	138,955		ZAR		Deutsche Bank AG		12/10/10		19			20			(1	)
								$	835		$	885		$	(50	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 33

JPMorgan International Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 97.8%
		Australia — 3.2%
	350	BHP Billiton Ltd. (m)		14,450
	72	Rio Tinto Ltd. (m)		5,882
				20,332
		Belgium — 1.0%
	107	Anheuser-Busch InBev N.V. (m)		6,697
		Brazil — 1.6%
	77	Petroleo Brasileiro S.A., ADR (m)		2,610
	233	Vale S.A., ADR (m)		7,492
				10,102
		China — 1.7%
	853	China Life Insurance Co., Ltd., Class H (m)		3,750
	6,972	Industrial & Commercial Bank of China, Class H (m)		5,633
	514	Li Ning Co., Ltd. (m)		1,469
				10,852
		France — 13.9%
	129	Accor S.A. (m)		5,286
	72	Alstom S.A. (m)		3,616
	312	AXA S.A. (m)		5,696
	147	BNP Paribas (m)		10,717
	100	Edenred (a) (m)		2,091
	53	GDF Suez (m)		2,102
	87	Imerys S.A. (m)		5,185
	108	Lafarge S.A. (m)		6,173
	39	LVMH Moet Hennessy Louis Vuitton S.A. (m)		6,072
	55	Pernod-Ricard S.A. (m)		4,905
	43	PPR (m)		7,066
	118	Sanofi-Aventis S.A. (m)		8,302
	127	Societe Generale (m)		7,612
	271	Total S.A.		14,770
				89,593
		Germany — 6.9%
	110	Bayer AG (m)		8,204
	177	E.ON AG (m)		5,531
	52	Linde AG (m)		7,433
	148	SAP AG (m)		7,725
	83	Siemens AG (m)		9,493
	203	Symrise AG (m)		6,167
				44,553
		Hong Kong — 3.3%
	1,204	Belle International Holdings Ltd. (m)		2,181
	2,743	CNOOC Ltd. (m)		5,727
	282	Esprit Holdings Ltd. (m)		1,522

SHARES		SECURITY DESCRIPTION	VALUE($)
		Hong Kong — Continued
	1,271	Hang Lung Properties Ltd. (m)		6,235
	1,368	Sands China Ltd. (a) (m)		2,982
	1,224	Wynn Macau Ltd. (a) (m)		2,709
				21,356
		Ireland — 1.5%
	1,634	Governor & Co. of the Bank of Ireland (The) (a) (m)		1,221
	696	WPP plc (m)		8,092
				9,313
		Israel — 0.8%
	104	Teva Pharmaceutical Industries Ltd., ADR (m)		5,387
		Italy — 1.5%
	1,284	Intesa Sanpaolo S.p.A. (m)		4,515
	1,837	UniCredit S.p.A. (m)		4,788
				9,303
		Japan — 16.2%
	216	Canon, Inc. (m)		9,955
	103	Daikin Industries Ltd. (m)		3,566
	75	East Japan Railway Co. (m)		4,631
	336	Honda Motor Co., Ltd. (m)		12,120
	2	Japan Tobacco, Inc. (m)		5,403
	332	Komatsu Ltd. (m)		8,107
	685	Kubota Corp. (m)		6,075
	379	Mitsubishi Corp. (m)		9,101
	868	Mitsubishi UFJ Financial Group, Inc. (m)		4,029
	201	Mitsui Fudosan Co., Ltd. (m)		3,801
	77	Murata Manufacturing Co., Ltd. (m)		4,305
	62	Nidec Corp. (m)		6,123
	23	Nintendo Co., Ltd. (m)		5,913
	447	Nomura Holdings, Inc. (m)		2,296
	100	Shin-Etsu Chemical Co., Ltd. (m)		5,041
	30	SMC Corp. (m)		4,610
	385	Sumitomo Corp. (m)		4,871
	12	Yahoo! Japan Corp. (m)		4,363
				104,310
		Mexico — 0.9%
	67	America Movil S.A.B. de C.V., Series L, ADR (m)		3,833
	35	Fomento Economico Mexicano S.A.B. de C.V., ADR (m)		1,917
				5,750
		Netherlands — 5.4%
	841	ING Groep N.V. CVA (a) (m)		8,993
	458	Reed Elsevier N.V. (m)		5,979

SEE NOTES TO FINANCIAL STATEMENTS.

34 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Netherlands — Continued
	489	Royal Dutch Shell plc, Class A (c)		15,849
	173	Wolters Kluwer N.V. (m)		3,936
				34,757
		South Korea — 0.8%
	15	Samsung Electronics Co. Ltd., GDR (e) (m)		4,850
		Spain — 3.6%
	458	Banco Bilbao Vizcaya Argentaria S.A. (m)		6,034
	64	Inditex S.A. (c)		5,353
	431	Telefonica S.A. (c)		11,651
				23,038
		Sweden — 0.7%
	206	Atlas Copco AB, Class A (m)		4,306
		Switzerland — 10.9%
	369	ABB Ltd. (a) (m)		7,634
	180	Credit Suisse Group AG (m)		7,439
	87	Holcim Ltd. (m)		5,451
	241	Nestle S.A. (m)		13,200
	197	Novartis AG (m)		11,432
	64	Roche Holding AG (m)		9,374
	2	SGS S.A. (m)		3,496
	261	Xstrata plc (m)		5,062
	28	Zurich Financial Services AG (m)		6,880
				69,968
		Taiwan — 0.8%
	468	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		5,106
		United Kingdom — 23.1%
	170	Autonomy Corp. plc (a) (m)		3,970
	1,216	Barclays plc (m)		5,344
	605	BG Group plc (m)		11,776
	1,420	BP plc (m)		9,654
	395	Burberry Group plc (m)		6,456
	800	Centrica plc (m)		4,257
	364	GlaxoSmithKline plc (m)		7,104
	1,262	HSBC Holdings plc (m)		13,153
	731	ICAP plc (m)		5,340
	248	Imperial Tobacco Group plc (m)		7,956
	1,143	Man Group plc (m)		4,779

SHARES		SECURITY DESCRIPTION	VALUE($)
		United Kingdom — Continued
	1,005	Marks & Spencer Group plc (m)		6,888
	537	Prudential plc (m)		5,432
	106	Rio Tinto plc (m)		6,868
	369	Standard Chartered plc (m)		10,685
	1,433	Tesco plc (m)		9,809
	246	Unilever plc (m)		7,100
	5,836	Vodafone Group plc (m)		15,952
	653	Wm Morrison Supermarkets plc (m)		3,074
	105	Wolseley plc (a) (m)		2,792
				148,389
		Total Common Stocks (Cost $489,884)		627,962
	Preferred Stock — 1.0%
		Germany — 1.0%
	43	Volkswagen AG (m) (Cost $4,125)		6,387
NUMBER OF RIGHTS
	Rights — 0.1%
		United Kingdom — 0.1%
	46	Standard Chartered plc, expiring 11/05/10 (a) (m) (Cost $—)		389
SHARES
	Short-Term Investment — 0.9%
		Investment Company — 0.9%
	6,005	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $6,005)		6,005
	Investment of Cash Collateral for Securities on Loan — 1.4%
		Investment Company — 1.4%
	9,304	JPMorgan Prime Money Market Fund, Capital Shares, 0.120% (b) (l) (Cost $9,304)		9,304
		Total Investments — 101.2% (Cost $509,318 )		650,047
		Liabilities in Excess of Other Assets — (1.2)%		(7,685	)
		NET ASSETS — 100.0%	$	642,362

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 35

JPMorgan International Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments: (excluding Investments of Cash Collateral for Securities on Loan):

INDUSTRY	PERCENTAGE
Commercial Banks		11.6	%
Oil, Gas & Consumable Fuels		9.4
Pharmaceuticals		7.8
Metals & Mining		6.2
Machinery		3.6
Insurance		3.4
Food Products		3.2
Capital Markets		3.1
Wireless Telecommunication Services		3.1
Chemicals		2.9
Automobiles		2.9
Media		2.8
Software		2.7
Electrical Equipment		2.7
Construction Materials		2.6
Trading Companies & Distributors		2.6

INDUSTRY	PERCENTAGE
Textiles, Apparel & Luxury Goods		2.2	%
Multiline Retail		2.2
Beverages		2.1
Tobacco		2.1
Food & Staples Retailing		2.0
Diversified Telecommunication Services		1.8
Hotels, Restaurants & Leisure		1.7
Real Estate Management & Development		1.6
Semiconductors & Semiconductor Equipment		1.6
Office Electronics		1.6
Industrial Conglomerates		1.5
Specialty Retail		1.4
Diversified Financial Services		1.4
Multi-Utilities		1.0
Others (each less than 1.0%)		5.2

SEE NOTES TO FINANCIAL STATEMENTS.

36 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 95.7%
			Australia — 3.9%
	13		AGL Energy Ltd. (m)		208
	71		Alumina Ltd. (m)		143
	35		Amcor Ltd. (m)		233
	60		AMP Ltd. (m)		315
	12		Aristocrat Leisure Ltd. (c)		40
	86		Asciano Group (a) (c)		133
	5		ASX Ltd. (m)		184
	72		Australia & New Zealand Banking Group Ltd. (m)		1,746
	30		AXA Asia Pacific Holdings Ltd. (c)		159
	11		Bendigo and Adelaide Bank Ltd. (m)		96
	449		BGP Holdings Beneficial Interest Share (a) (f) (i)		—
	98		BHP Billiton Ltd. (m)		4,053
	6		Billabong International Ltd. (m)		48
	52		BlueScope Steel Ltd. (c)		103
	21		Boral Ltd. (m)		91
	41		Brambles Ltd. (m)		259
	4		Caltex Australia Ltd. (c)		43
	51		CFS Retail Property Trust (m)		93
	16		Coca-Cola Amatil Ltd. (m)		196
	2		Cochlear Ltd. (c)		116
	44		Commonwealth Bank of Australia (c)		2,112
	13		Computershare Ltd. (m)		131
	13		Crown Ltd. (c)		109
	17		CSL Ltd. (m)		542
	45		CSR Ltd. (c)		80
	140		Dexus Property Group (c)		114
	—	(h)	DuluxGroup Ltd. (a) (m)		—	(h)
	2		Energy Resources of Australia Ltd. (c)		26
	63		Fairfax Media Ltd. (c)		89
	36		Fortescue Metals Group Ltd. (a) (m)		222
	57		Foster’s Group Ltd. (m)		324
	40		Goodman Fielder Ltd. (c)		58
	183		Goodman Group (c)		113
	52		GPT Group (m)		142
	16		Harvey Norman Holdings Ltd. (m)		51
	47		Incitec Pivot Ltd. (m)		172
	61		Insurance Australia Group Ltd. (c)		228
	66		Intoll Group (m)		98
	4		Leighton Holdings Ltd. (c)		140
	16		Lend Lease Group (c)		112
	4		MacArthur Coal Ltd. (m)		44
	10		Macquarie Group Ltd. (m)		358
	11		MAp Group (m)		32
	22		Metcash Ltd. (m)		94
	96		Mirvac Group (m)		122

SHARES		SECURITY DESCRIPTION	VALUE($)
		Australia — Continued
	62	National Australia Bank Ltd. (m)		1,551
	20	Newcrest Mining Ltd. (m)		778
	38	OneSteel Ltd. (m)		102
	10	Orica Ltd. (m)		259
	26	Origin Energy Ltd. (c)		401
	91	OZ Minerals Ltd. (m)		141
	20	Paladin Energy Ltd. (a) (c)		82
	33	Qantas Airways Ltd. (a) (m)		91
	30	QBE Insurance Group Ltd.		510
	13	Rio Tinto Ltd. (m)		1,037
	24	Santos Ltd. (c)		300
	5	Sims Metal Management Ltd. (c)		78
	11	Sonic Healthcare Ltd. (m)		115
	40	SP AusNet (m)		37
	69	Stockland (c)		257
	37	Suncorp-Metway Ltd. (m)		337
	18	TABCORP Holdings Ltd. (c)		131
	37	Tatts Group Ltd. (c)		90
	128	Telstra Corp. Ltd. (m)		334
	20	Toll Holdings Ltd. (c)		119
	37	Transurban Group (m)		192
	29	Wesfarmers Ltd. (m)		954
	4	Wesfarmers Ltd. (m)		147
	64	Westfield Group (m)		780
	84	Westpac Banking Corp. (m)		1,880
	16	Woodside Petroleum Ltd. (m)		680
	36	Woolworths Ltd. (m)		1,006
	6	WorleyParsons Ltd. (c)		128
				26,289
		Austria — 1.6%
	56	Erste Group Bank AG (m)		2,514
	292	IMMOFINANZ AG (a) (c)		1,151
	44	OMV AG (m)		1,641
	16	Raiffeisen Bank International AG (m)		902
	98	Telekom Austria AG (m)		1,501
	22	Verbund AG (c)		895
	11	Vienna Insurance Group AG Wiener Versicherung Gruppe (m)		613
	32	Voestalpine AG (m)		1,288
				10,505
		Belgium — 1.8%
	264	Ageas (m)		812
	85	Anheuser-Busch InBev N.V. (m)		5,339
	17	Belgacom S.A. (c)		662
	3	Cie Nationale a Portefeuille (m)		178

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 37

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Belgium — Continued
	8	Colruyt S.A. (m)		442
	12	Delhaize Group S.A. (m)		835
	66	Dexia S.A. (a) (m)		293
	10	Groupe Bruxelles Lambert S.A. (m)		851
	19	KBC Groep N.V. (a)		828
	2	Mobistar S.A. (m)		159
	7	Solvay S.A. (m)		749
	12	UCB S.A. (m)		462
	14	Umicore (m)		638
				12,248
		Bermuda — 0.2%
	34	Seadrill Ltd. (c)		1,039
		Brazil — 0.2%
	16	BM&F Bovespa S.A. (m)		130
	34	Petroleo Brasileiro S.A. (m)		567
	17	Vale S.A. (m)		545
				1,242
		Chile — 0.8%
	3,253	Banco Santander Chile (m)		290
	10	CAP S.A. (m)		530
	50	Centros Comerciales Sudamericanos S.A. (m)		391
	330	Empresa Nacional de Electricidad S.A. (m)		587
	8	Empresas CMPC S.A. (m)		442
	44	Empresas COPEC S.A. (m)		830
	333	Enersis S.A. (m)		152
	26	Enersis S.A., ADR (m)		600
	10	Lan Airlines S.A. (m)		304
	51	S.A.C.I. Falabella (m)		512
	9	Sociedad Quimica y Minera de Chile S.A., Class B (m)		445
				5,083
		China — 0.6%
	262	Bank of China Ltd., Class H (m)		157
	26	BBMG Corp., Class H (m)		36
	94	BYD Co., Ltd., Class H (c)		573
	468	China Construction Bank Corp., Class H (m)		447
	75	China Life Insurance Co., Ltd., Class H (m)		330
	410	Datang International Power Generation Co., Ltd., Class H (m)		165
	46	Foxconn International Holdings Ltd. (a) (m)		34
	226	Huaneng Power International, Inc., Class H (m)		129
	286	Industrial & Commercial Bank of China, Class H (m)		231
	48	Lenovo Group Ltd. (m)		31

SHARES			SECURITY DESCRIPTION	VALUE($)
			China — Continued
	431		PetroChina Co., Ltd., Class H (m)		530
	91		Shui On Land Ltd. (c)		46
	74		Tingyi Cayman Islands Holding Corp. (m)		202
	38		Yangzijiang Shipbuilding Holdings Ltd. (m)		55
	167		Yanzhou Coal Mining Co., Ltd., Class H (m)		485
	361		Zhejiang Expressway Co., Ltd., Class H (m)		365
					3,816
			Cyprus — 0.1%
	167		Bank of Cyprus Public Co., Ltd. (m)		777
	—	(h)	Prosafe Production Public Ltd. (a)		1
	—	(h)	ProSafe SE (m)		1
					779
			Denmark — 1.2%
	—	(h)	A.P. Moller - Maersk A/S, Class A (m)		319
	—	(h)	A.P. Moller - Maersk A/S, Class B (m)		877
	8		Carlsberg A/S, Class B (m)		888
	1		Coloplast A/S, Class B (c)		179
	35		Danske Bank A/S (a) (m)		918
	16		DSV A/S (m)		330
	31		Novo Nordisk A/S, Class B (m)		3,306
	4		Novozymes A/S, Class B (m)		471
	2		Tryg A/S (m)		98
	15		Vestas Wind Systems A/S (a) (c)		493
	1		William Demant Holding A/S (a) (m)		98
					7,977
			Finland — 0.9%
	5		Elisa OYJ (c)		106
	23		Fortum OYJ (m)		662
	3		Kesko OYJ, Class B (m)		131
	7		Kone OYJ, Class B (m)		400
	7		Metso OYJ (m)		317
	6		Neste Oil OYJ (m)		105
	196		Nokia OYJ (m)		2,102
	6		Nokian Renkaat OYJ (m)		197
	3		Orion OYJ, Class B (m)		54
	7		Outokumpu OYJ (c)		119
	7		Pohjola Bank plc (m)		94
	4		Rautaruukki OYJ (c)		73
	22		Sampo OYJ, Class A (m)		618
	4		Sanoma OYJ (c)		99
	30		Stora Enso OYJ, Class R (c)		301
	27		UPM-Kymmene OYJ (m)		451
	4		Wartsila OYJ (m)		291
					6,120

SEE NOTES TO FINANCIAL STATEMENTS.

38 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			France — 10.4%
	10		Accor S.A. (m)		399
	2		Aeroports de Paris (m)		170
	8		Air France-KLM (a) (m)		153
	23		Air Liquide S.A. (m)		3,003
	151		Alcatel-Lucent (a) (m)		532
	13		Alstom S.A. (m)		677
	3		Atos Origin S.A. (a) (m)		136
	115		AXA S.A. (m)		2,096
	1		BioMerieux (m)		75
	63		BNP Paribas (m)		4,580
	15		Bouygues S.A. (m)		665
	3		Bureau Veritas S.A. (m)		240
	10		Cap Gemini S.A. (c)		485
	39		Carrefour S.A. (m)		2,117
	4		Casino Guichard Perrachon S.A. (m)		341
	4		Christian Dior S.A. (m)		603
	25		Cie de St-Gobain (m)		1,179
	9		Cie Generale de Geophysique-Veritas (a) (m)		216
	13		Cie Generale d’Optique Essilor International S.A. (m)		858
	10		CNP Assurances (m)		195
	10		Compagnie Generale des Etablissements Michelin, Class B		770
	61		Credit Agricole S.A. (m)		995
	38		Danone (m)		2,427
	4		Dassault Systemes S.A. (m)		292
	10		Edenred (a) (m)		203
	17		EDF S.A. (m)		776
	3		Eiffage S.A. (c)		133
	—	(h)	Eramet (m)		108
	2		Eurazeo (m)		146
	7		Eutelsat Communications (m)		248
	2		Fonciere Des Regions (m)		181
	121		France Telecom S.A. (m)		2,902
	82		GDF Suez (m)		3,263
	1		Gecina S.A. (m)		147
	31		Groupe Eurotunnel S.A. (m)		311
	3		Hermes International (m)		733
	2		ICADE (m)		166
	1		Iliad S.A. (m)		118
	2		Imerys S.A. (m)		136
	2		Ipsen S.A. (c)		65
	4		JCDecaux S.A. (a) (c)		128
	6		Klepierre (m)		231
	13		Lafarge S.A. (m)		746
	8		Lagardere S.C.A. (m)		331

SHARES		SECURITY DESCRIPTION	VALUE($)
		France — Continued
	9	Legrand S.A. (m)		332
	16	L’Oreal S.A. (m)		1,841
	16	LVMH Moet Hennessy Louis Vuitton S.A. (m)		2,512
	4	Metropole Television S.A. (m)		105
	57	Natixis (a) (m)		350
	2	Neopost S.A. (c)		173
	9	PagesJaunes Groupe (m)		94
	13	Pernod-Ricard S.A. (m)		1,147
	10	Peugeot S.A. (a) (c)		399
	5	PPR (m)		815
	8	Publicis Groupe S.A. (m)		420
	13	Renault S.A. (a) (m)		701
	11	Safran S.A. (m)		346
	68	Sanofi-Aventis S.A. (m)		4,746
	16	Schneider Electric S.A. (m)		2,255
	12	SCOR SE (m)		301
	1	Societe BIC S.A. (m)		122
	42	Societe Generale (m)		2,516
	8	Societe Television Francaise 1 (m)		126
	6	Sodexo (m)		413
	18	Suez Environnement Co. (m)		345
	6	Technip S.A. (m)		538
	6	Thales S.A. (m)		240
	136	Total S.A. (c)		7,429
	6	Unibail-Rodamco SE (m)		1,293
	7	Vallourec S.A. (m)		737
	23	Veolia Environnement (m)		664
	28	Vinci S.A. (m)		1,526
	80	Vivendi S.A. (m)		2,298
				69,060
		Germany — 12.7%
	22	Adidas AG (m)		1,438
	48	Allianz SE (m)		5,996
	97	BASF SE (m)		7,048
	85	Bayer AG (m)		6,323
	35	Bayerische Motoren Werke AG (m)		2,544
	10	Beiersdorf AG (m)		648
	8	Celesio AG (m)		187
	74	Commerzbank AG (a) (c)		665
	5	Continental AG (a) (m)		452
	94	Daimler AG (a) (m)		6,202
	66	Deutsche Bank AG (m)		3,782
	21	Deutsche Boerse AG (m)		1,486
	24	Deutsche Lufthansa AG (a) (m)		511
	89	Deutsche Post AG (m)		1,667

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 39

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Germany — Continued
	9	Deutsche Postbank AG (a) (m)		316
	289	Deutsche Telekom AG (m)		4,190
	187	E.ON AG (m)		5,840
	4	Fraport AG Frankfurt Airport Services Worldwide (c)		244
	19	Fresenius Medical Care AG & Co. KGaA (m)		1,220
	2	Fresenius SE (m)		220
	17	GEA Group AG (m)		447
	6	Hannover Rueckversicherung AG (m)		315
	15	HeidelbergCement AG (m)		765
	12	Henkel AG & Co. KGaA (m)		593
	5	Hochtief AG (m)		408
	114	Infineon Technologies AG (a) (m)		893
	15	K+S AG (m)		1,044
	18	Linde AG (m)		2,601
	11	MAN SE (m)		1,234
	7	Merck KGaA (m)		558
	13	Metro AG (m)		945
	20	Muenchener Rueckversicherungs AG (m)		3,100
	1	Puma AG Rudolf Dassler Sport (m)		180
	44	RWE AG (m)		3,143
	4	Salzgitter AG (m)		309
	88	SAP AG (m)		4,595
	85	Siemens AG (m)		9,733
	7	Suedzucker AG (m)		159
	36	ThyssenKrupp AG (m)		1,340
	15	TUI AG (a) (c)		170
	12	United Internet AG (m)		220
	3	Volkswagen AG (c)		404
	2	Wacker Chemie AG (m)		336
				84,471
		Greece — 1.0%
	129	Alpha Bank AE (a) (m)		852
	46	Coca Cola Hellenic Bottling Co. S.A. (m)		1,200
	82	EFG Eurobank Ergasias S.A. (a) (m)		506
	62	Hellenic Telecommunications Organization S.A. (m)		497
	158	National Bank of Greece S.A. (a) (m)		1,734
	57	OPAP S.A. (m)		1,074
	85	Piraeus Bank S.A. (a) (m)		443
	30	Public Power Corp. S.A. (m)		500
				6,806
		Hong Kong — 1.0%
	4	ASM Pacific Technology Ltd. (m)		36
	32	Bank of East Asia Ltd. (m)		136

SHARES			SECURITY DESCRIPTION	VALUE($)
			Hong Kong — Continued
	118		Belle International Holdings Ltd. (m)		214
	78		BOC Hong Kong Holdings Ltd. (m)		244
	25		Cathay Pacific Airways Ltd. (m)		67
	25		Cheung Kong Holdings Ltd. (m)		384
	10		Cheung Kong Infrastructure Holdings Ltd. (m)		42
	60		China Mobile Ltd. (m)		617
	—	(h)	China Mobile Ltd., ADR (m)		17
	1		Chinese Estates Holdings Ltd. (m)		2
	40		CLP Holdings Ltd. (m)		328
	24		CNOOC Ltd. (m)		50
	24		Esprit Holdings Ltd. (m)		130
	17		Hang Lung Group Ltd. (m)		113
	44		Hang Lung Properties Ltd. (m)		216
	16		Hang Seng Bank Ltd. (m)		234
	23		Henderson Land Development Co., Ltd. (m)		164
	90		Hong Kong & China Gas Co., Ltd. (m)		217
	21		Hong Kong Exchanges and Clearing Ltd. (m)		473
	29		Hongkong Electric Holdings Ltd. (m)		184
	2		Hopewell Highway Infrastructure Ltd. (m)		2
	12		Hopewell Holdings Ltd. (m)		37
	6		Hutchison Telecommunications Hong Kong Holdings Ltd. (m)		2
	39		Hutchison Whampoa Ltd. (m)		388
	13		Hysan Development Co., Ltd. (m)		50
	15		Kerry Properties Ltd. (m)		83
	48		Li & Fung Ltd. (m)		255
	13		Lifestyle International Holdings Ltd. (m)		30
	46		Link REIT (The) (m)		142
	62		Mongolia Energy Co., Ltd. (a) (m)		24
	30		MTR Corp. (m)		114
	54		New World Development Ltd. (m)		106
	78		Noble Group Ltd. (m)		113
	18		NWS Holdings Ltd. (m)		43
	5		Orient Overseas International Ltd. (m)		42
	76		PCCW Ltd. (m)		29
	28		Shangri-La Asia Ltd. (m)		63
	36		Sino Land Co., Ltd. (m)		76
	30		Sun Hung Kai Properties Ltd. (m)		508
	16		Swire Pacific Ltd., Class A (m)		234
	6		Television Broadcasts Ltd. (m)		30
	29		Wharf Holdings Ltd. (m)		193
	19		Wheelock & Co., Ltd. (m)		67
	4		Wing Hang Bank Ltd. (m)		47
	16		Yue Yuen Industrial Holdings Ltd. (m)		56
					6,602

SEE NOTES TO FINANCIAL STATEMENTS.

40 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Hungary — 0.8%
	134		Magyar Telekom Telecommunications plc (m)		388
	15		MOL Hungarian Oil and Gas plc (a) (m)		1,551
	79		OTP Bank plc (a) (m)		2,343
	4		Richter Gedeon Nyrt. (m)		932
					5,214
			India — 0.8%
	3		Bharat Heavy Electricals Ltd. (m)		145
	21		Housing Development Finance Corp., Ltd. (m)		321
	7		ICICI Bank Ltd., ADR (m)		391
	8		Infosys Technologies Ltd. (m)		552
	239		ITC Ltd., GDR (m)		918
	5		Larsen & Toubro Ltd., GDR (m)		213
	9		Mahindra & Mahindra Ltd. (m)		142
	33		NTPC Ltd. (m)		146
	7		Oil & Natural Gas Corp., Ltd. (m)		202
	12		Ranbaxy Laboratories Ltd., GDR (a) (m)		161
	30		Reliance Industries Ltd. (m)		734
	6		Reliance Industries Ltd., GDR (e) (m)		273
	43		Sterlite Industries India Ltd. (m)		163
	4		Sun Pharmaceutical Industries Ltd. (m)		197
	3		Tata Power Co., Ltd. (m)		96
	122		United Phosphorus Ltd. (m)		547
					5,201
			Ireland — 0.9%
	4		Allied Irish Banks plc (a) (m)		2
	146		CRH plc (m)		2,514
	92		Elan Corp. plc (a) (m)		511
	23		Elan Corp. plc, ADR (a) (m)		126
	25		Experian plc (m)		295
	290		Governor & Co. of the Bank of Ireland (The) (a) (m)		217
	7		Grafton Group plc (m)		30
	13		James Hardie Industries SE (a) (c)		68
	32		Kerry Group plc, Class A (m)		1,164
	35		Ryanair Holdings plc (m)		202
	14		Shire plc (m)		326
	29		WPP plc (m)		338
					5,793
			Israel — 0.7%
	50		Bank Hapoalim BM (a) (m)		228
	60		Bank Leumi Le-Israel BM (a) (m)		275
	88		Bezeq Israeli Telecommunication Corp., Ltd. (m)		231
	3		Cellcom Israel Ltd. (m)		93
	—	(h)	Delek Group Ltd. (m)		56

SHARES			SECURITY DESCRIPTION	VALUE($)
			Israel — Continued
	1		Discount Investment Corp. (m)		30
	1		Elbit Systems Ltd. (m)		62
	22		Israel Chemicals Ltd. (m)		343
	—	(h)	Israel Corp., Ltd. (The) (a) (m)		125
	27		Israel Discount Bank Ltd., Class A (a) (m)		56
	—	(h)	Koor Industries Ltd. (m)		—	(h)
	12		Makhteshim-Agan Industries Ltd. (a) (m)		61
	85		Migdal Insurance & Financial Holding Ltd. (m)		177
	6		Mizrahi Tefahot Bank Ltd. (m)		58
	3		NICE Systems Ltd. (a) (m)		103
	3		Ormat Industries (m)		24
	4		Partner Communications Co., Ltd. (m)		88
	16		Teva Pharmaceutical Industries Ltd. (m)		826
	31		Teva Pharmaceutical Industries Ltd., ADR (m)		1,611
					4,447
			Italy — 8.0%
	163		A2A S.p.A. (m)		267
	212		Assicurazioni Generali S.p.A. (m)		4,641
	42		Atlantia S.p.A. (m)		951
	21		Autogrill S.p.A. (a) (m)		279
	102		Banca Carige S.p.A. (m)		246
	396		Banca Monte dei Paschi di Siena S.p.A. (a) (m)		558
	71		Banca Popolare di Milano Scarl (m)		330
	114		Banco Popolare SC (m)		614
	11		Beni Stabili S.p.A. (a) (m)		11
	1,142		Enel S.p.A. (m)		6,525
	452		ENI S.p.A. (m)		10,185
	11		Exor S.p.A. (m)		293
	138		Fiat S.p.A. (m)		2,341
	74		Finmeccanica S.p.A. (m)		1,037
	1,385		Intesa Sanpaolo S.p.A. (m)		4,871
	167		Intesa Sanpaolo S.p.A. (m)		457
	20		Luxottica Group S.p.A. (m)		578
	122		Mediaset S.p.A. (m)		902
	85		Mediobanca S.p.A. (a) (m)		877
	39		Mediolanum S.p.A. (c)		182
	282		Parmalat S.p.A. (m)		775
	42		Pirelli & C. S.p.A. (m)		363
	42		Prelios S.p.A. (a) (m)		25
	32		Prysmian S.p.A. (m)		626
	46		Saipem S.p.A. (m)		2,053
	215		Snam Rete Gas S.p.A. (m)		1,167
	1		Telecom Italia Media S.p.A. (a) (m)		—	(h)
	1,668		Telecom Italia S.p.A. (m)		2,560
	996		Telecom Italia S.p.A. RNC (m)		1,222

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 41

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Italy — Continued
	191		Terna Rete Elettrica Nazionale S.p.A. (m)		882
	2,296		UniCredit S.p.A. (m)		5,986
	105		UniCredit S.p.A.		273
	114		Unione di Banche Italiane ScpA (c)		1,199
					53,276
			Japan — 17.3%
	19		77 Bank Ltd. (The) (m)		88
	2		ABC-Mart, Inc. (m)		54
	2		Acom Co., Ltd. (c)		19
	9		Advantest Corp. (m)		164
	32		Aeon Co., Ltd. (m)		381
	4		Aeon Credit Service Co., Ltd. (m)		50
	4		Aeon Mall Co., Ltd. (m)		103
	8		Aiful Corp. (a) (c)		5
	7		Air Water, Inc. (m)		82
	10		Aisin Seiki Co., Ltd. (m)		313
	35		Ajinomoto Co., Inc. (m)		334
	2		Alfresa Holdings Corp. (m)		84
	46		All Nippon Airways Co., Ltd. (a) (m)		174
	18		Amada Co., Ltd. (m)		119
	21		Aozora Bank Ltd. (m)		35
	5		Arrk Corp. (a) (m)		5
	20		Asahi Breweries Ltd. (m)		412
	48		Asahi Glass Co., Ltd. (m)		464
	67		Asahi Kasei Corp. (m)		397
	9		Asics Corp. (m)		97
	22		Astellas Pharma, Inc. (m)		818
	18		Bank of Kyoto Ltd. (The) (m)		161
	66		Bank of Yokohama Ltd. (The) (m)		323
	4		Benesse Holdings, Inc. (m)		186
	35		Bridgestone Corp. (m)		619
	13		Brother Industries Ltd. (m)		161
	3		Canon Marketing Japan, Inc. (m)		31
	59		Canon, Inc. (m)		2,715
	12		Casio Computer Co., Ltd. (c)		85
	—	(h)	Central Japan Railway Co. (m)		605
	40		Chiba Bank Ltd. (The) (m)		246
	9		Chiyoda Corp. (m)		75
	35		Chubu Electric Power Co., Inc. (m)		873
	12		Chugai Pharmaceutical Co., Ltd. (m)		209
	9		Chugoku Bank Ltd. (The) (m)		104
	16		Chugoku Electric Power Co., Inc. (The) (m)		312
	51		Chuo Mitsui Trust Holdings, Inc. (m)		185
	13		Citizen Holdings Co., Ltd. (m)		76
	3		Coca-Cola West Co., Ltd. (m)		51

SHARES			SECURITY DESCRIPTION	VALUE($)
			Japan — Continued
	32		Cosmo Oil Co., Ltd. (m)		86
	8		Credit Saison Co., Ltd. (m)		107
	25		Dai Nippon Printing Co., Ltd. (m)		320
	15		Daicel Chemical Industries Ltd. (m)		107
	16		Daido Steel Co., Ltd. (m)		82
	10		Daihatsu Motor Co., Ltd. (m)		135
	—	(h)	Dai-ichi Life Insurance Co., Ltd. (The) (m)		512
	33		Daiichi Sankyo Co., Ltd. (m)		704
	12		Daikin Industries Ltd. (m)		428
	1		Dainippon Screen Manufacturing Co., Ltd. (a) (m)		6
	8		Dainippon Sumitomo Pharma Co., Ltd. (m)		71
	4		Daito Trust Construction Co., Ltd. (m)		244
	25		Daiwa House Industry Co., Ltd. (m)		273
	88		Daiwa Securities Group, Inc. (m)		360
	4		Dena Co., Ltd. (m)		114
	26		Denki Kagaku Kogyo KK (m)		116
	26		Denso Corp. (m)		802
	9		Dentsu, Inc. (m)		212
	1		DIC Corp. (m)		2
	14		Dowa Holdings Co., Ltd. (m)		83
	17		East Japan Railway Co. (m)		1,056
	13		Eisai Co., Ltd. (m)		458
	6		Electric Power Development Co., Ltd. (m)		184
	10		Elpida Memory, Inc. (a) (c)		102
	4		FamilyMart Co., Ltd. (m)		126
	10		Fanuc Ltd. (m)		1,411
	3		Fast Retailing Co., Ltd. (m)		370
	31		Fuji Electric Holdings Co., Ltd. (m)		74
	31		Fuji Heavy Industries Ltd. (m)		214
	—	(h)	Fuji Media Holdings, Inc. (m)		25
	25		FUJIFILM Holdings Corp. (m)		828
	91		Fujitsu Ltd. (m)		622
	41		Fukuoka Financial Group, Inc. (m)		158
	32		Furukawa Electric Co., Ltd. (m)		120
	21		GS Yuasa Corp. (c)		140
	22		Gunma Bank Ltd. (The) (m)		109
	22		Hachijuni Bank Ltd. (The) (m)		113
	1		Hakuhodo DY Holdings, Inc. (m)		53
	3		Hamamatsu Photonics KK (m)		107
	62		Hankyu Hanshin Holdings, Inc. (c)		297
	14		Hino Motors Ltd. (m)		60
	2		Hirose Electric Co., Ltd. (m)		178
	27		Hiroshima Bank Ltd. (The) (m)		110
	4		Hisamitsu Pharmaceutical Co., Inc. (m)		147
	5		Hitachi Chemical Co., Ltd. (m)		98

SEE NOTES TO FINANCIAL STATEMENTS.

42 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Japan — Continued
	6		Hitachi Construction Machinery Co., Ltd. (m)		117
	4		Hitachi High-Technologies Corp. (m)		72
	227		Hitachi Ltd. (m)		1,026
	9		Hitachi Metals Ltd. (m)		102
	10		Hokkaido Electric Power Co., Inc. (m)		202
	66		Hokuhoku Financial Group, Inc. (m)		123
	10		Hokuriku Electric Power Co. (m)		235
	86		Honda Motor Co., Ltd. (m)		3,108
	21		Hoya Corp. (m)		493
	7		Ibiden Co., Ltd. (m)		175
	1		Idemitsu Kosan Co., Ltd. (m)		101
	71		IHI Corp. (m)		135
	—	(h)	Inpex Corp. (m)		547
	16		Isetan Mitsukoshi Holdings Ltd. (m)		171
	62		Isuzu Motors Ltd. (m)		238
	3		Ito En Ltd. (c)		43
	80		ITOCHU Corp. (m)		700
	2		Itochu Techno-Solutions Corp. (m)		56
	13		Iyo Bank Ltd. (The) (m)		97
	27		J. Front Retailing Co., Ltd. (m)		139
	2		Jafco Co., Ltd. (m)		32
	1		Japan Petroleum Exploration Co. (m)		53
	—	(h)	Japan Prime Realty Investment Corp. (m)		80
	—	(h)	Japan Real Estate Investment Corp. (m)		250
	—	(h)	Japan Retail Fund Investment Corp. (m)		131
	17		Japan Steel Works Ltd. (The) (m)		162
	—	(h)	Japan Tobacco, Inc. (m)		743
	24		JFE Holdings, Inc. (m)		759
	11		JGC Corp. (m)		208
	34		Joyo Bank Ltd. (The) (m)		148
	14		JS Group Corp. (m)		265
	10		JSR Corp. (m)		166
	10		JTEKT Corp. (m)		103
	—	(h)	Jupiter Telecommunications Co., Ltd. (m)		140
	118		JX Holdings, Inc. (m)		697
	43		Kajima Corp. (m)		100
	13		Kamigumi Co., Ltd. (m)		105
	16		Kaneka Corp. (m)		98
	40		Kansai Electric Power Co., Inc. (The) (m)		1,021
	11		Kansai Paint Co., Ltd. (c)		103
	27		Kao Corp. (m)		681
	76		Kawasaki Heavy Industries Ltd. (m)		210
	36		Kawasaki Kisen Kaisha Ltd. (m)		140
	—	(h)	KDDI Corp. (m)		830
	20		Keikyu Corp. (m)		191

SHARES		SECURITY DESCRIPTION	VALUE($)
		Japan — Continued
	30	Keio Corp. (m)		210
	14	Keisei Electric Railway Co., Ltd. (m)		93
	2	Keyence Corp. (m)		545
	9	Kikkoman Corp. (m)		95
	7	Kinden Corp. (m)		62
	88	Kintetsu Corp. (c)		277
	41	Kirin Holdings Co., Ltd. (m)		558
	133	Kobe Steel Ltd. (m)		292
	5	Koito Manufacturing Co., Ltd. (m)		65
	50	Komatsu Ltd. (m)		1,231
	5	Konami Corp. (m)		88
	24	Konica Minolta Holdings, Inc. (m)		237
	61	Kubota Corp. (m)		543
	19	Kuraray Co., Ltd. (m)		265
	6	Kurita Water Industries Ltd. (m)		155
	8	Kyocera Corp. (m)		804
	15	Kyowa Hakko Kirin Co., Ltd. (m)		143
	21	Kyushu Electric Power Co., Inc. (m)		488
	3	Lawson, Inc. (m)		145
	1	Mabuchi Motor Co., Ltd. (m)		69
	6	Makita Corp. (m)		202
	88	Marubeni Corp. (m)		552
	12	Marui Group Co., Ltd. (m)		95
	3	Maruichi Steel Tube Ltd. (m)		57
	5	Matsui Securities Co., Ltd. (m)		29
	78	Mazda Motor Corp. (m)		198
	3	McDonald’s Holdings Co., Japan Ltd. (m)		86
	8	Medipal Holdings Corp. (m)		91
	4	MEIJI Holdings Co., Ltd. (m)		174
	19	Minebea Co., Ltd. (m)		103
	65	Mitsubishi Chemical Holdings Corp. (m)		334
	72	Mitsubishi Corp. (m)		1,740
	104	Mitsubishi Electric Corp. (m)		971
	60	Mitsubishi Estate Co., Ltd. (m)		1,057
	21	Mitsubishi Gas Chemical Co., Inc. (m)		129
	146	Mitsubishi Heavy Industries Ltd. (m)		532
	3	Mitsubishi Logistics Corp. (m)		33
	60	Mitsubishi Materials Corp. (a) (m)		189
	204	Mitsubishi Motors Corp. (a) (c)		242
	12	Mitsubishi Tanabe Pharma Corp. (m)		196
	664	Mitsubishi UFJ Financial Group, Inc. (m)		3,082
	3	Mitsubishi UFJ Lease & Finance Co., Ltd. (m)		106
	89	Mitsui & Co., Ltd. (m)		1,405
	43	Mitsui Chemicals, Inc. (m)		126
	35	Mitsui Engineering & Shipbuilding Co., Ltd. (m)		80

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 43

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Japan — Continued
	42		Mitsui Fudosan Co., Ltd. (m)		789
	28		Mitsui Mining & Smelting Co., Ltd. (m)		84
	61		Mitsui OSK Lines Ltd. (m)		391
	4		Mitsumi Electric Co., Ltd. (m)		66
	1,022		Mizuho Financial Group, Inc. (m)		1,482
	31		Mizuho Securities Co., Ltd. (m)		66
	73		Mizuho Trust & Banking Co., Ltd. (a) (m)		65
	29		MS&AD Insurance Group Holdings (m)		685
	10		Murata Manufacturing Co., Ltd. (m)		556
	10		Namco Bandai Holdings, Inc. (m)		92
	139		NEC Corp. (m)		386
	14		NGK Insulators Ltd. (m)		207
	8		NGK Spark Plug Co., Ltd. (m)		118
	7		NHK Spring Co., Ltd. (m)		59
	5		Nidec Corp. (m)		519
	17		Nikon Corp. (m)		327
	5		Nintendo Co., Ltd. (m)		1,326
	—	(h)	Nippon Building Fund, Inc. (m)		265
	18		Nippon Electric Glass Co., Ltd. (m)		231
	47		Nippon Express Co., Ltd. (m)		186
	9		Nippon Meat Packers, Inc. (m)		108
	5		Nippon Paper Group, Inc. (m)		129
	36		Nippon Sheet Glass Co., Ltd. (m)		79
	252		Nippon Steel Corp. (m)		793
	28		Nippon Telegraph & Telephone Corp. (m)		1,240
	69		Nippon Yusen KK (m)		290
	36		Nishi-Nippon City Bank Ltd. (The) (m)		98
	8		Nissan Chemical Industries Ltd. (m)		87
	125		Nissan Motor Co., Ltd. (m)		1,101
	2		Nissha Printing Co., Ltd. (c)		35
	11		Nisshin Seifun Group, Inc. (m)		130
	33		Nisshin Steel Co., Ltd. (m)		60
	7		Nisshinbo Holdings, Inc. (m)		68
	4		Nissin Foods Holdings Co., Ltd. (m)		130
	2		Nitori Holdings Co., Ltd. (m)		171
	9		Nitto Denko Corp. (m)		324
	75		NKSJ Holdings, Inc. (a) (m)		513
	6		NOK Corp. (m)		104
	178		Nomura Holdings, Inc. (m)		916
	5		Nomura Real Estate Holdings, Inc. (m)		72
	—	(h)	Nomura Real Estate Office Fund, Inc. (m)		86
	5		Nomura Research Institute Ltd. (m)		100
	22		NSK Ltd. (m)		169
	26		NTN Corp. (m)		116
	—	(h)	NTT Data Corp. (m)		203

SHARES			SECURITY DESCRIPTION	VALUE($)
			Japan — Continued
	1		NTT DoCoMo, Inc. (m)		1,374
	—	(h)	NTT Urban Development Corp. (m)		59
	35		Obayashi Corp. (m)		144
	—	(h)	Obic Co., Ltd. (m)		60
	33		Odakyu Electric Railway Co., Ltd. (m)		304
	44		OJI Paper Co., Ltd. (m)		204
	11		Olympus Corp. (m)		298
	10		Omron Corp. (m)		241
	5		Ono Pharmaceutical Co., Ltd. (m)		200
	1		Onward Holdings Co., Ltd. (m)		7
	2		Oracle Corp. Japan (m)		88
	3		Oriental Land Co., Ltd. (m)		257
	5		ORIX Corp. (m)		500
	104		Osaka Gas Co., Ltd. (m)		393
	1		Otsuka Corp. (m)		51
	100		Panasonic Corp. (m)		1,460
	1		Pioneer Corp. (a) (m)		3
	—	(h)	Promise Co., Ltd. (c)		—	(h)
	—	(h)	Rakuten, Inc. (m)		293
	32		Resona Holdings, Inc. (c)		255
	32		Ricoh Co., Ltd. (m)		449
	2		Rinnai Corp. (m)		116
	5		Rohm Co., Ltd. (m)		318
	3		Sankyo Co., Ltd. (m)		149
	4		Santen Pharmaceutical Co., Ltd. (m)		138
	19		Sapporo Hokuyo Holdings, Inc. (m)		77
	15		Sapporo Holdings Ltd. (m)		60
	1		SBI Holdings, Inc. (m)		132
	10		Secom Co., Ltd. (m)		458
	11		Sega Sammy Holdings, Inc. (m)		173
	7		Seiko Epson Corp. (m)		113
	24		Sekisui Chemical Co., Ltd. (m)		152
	25		Sekisui House Ltd. (m)		238
	35		Senshu Ikeda Holdings, Inc. (m)		46
	40		Seven & I Holdings Co., Ltd. (m)		926
	—	(h)	Seven Bank Ltd. (m)		65
	53		Sharp Corp. (m)		524
	9		Shikoku Electric Power Co., Inc. (m)		278
	13		Shimadzu Corp. (m)		98
	1		Shimamura Co., Ltd. (m)		115
	4		Shimano, Inc. (m)		179
	31		Shimizu Corp. (m)		118
	21		Shin-Etsu Chemical Co., Ltd. (m)		1,047
	4		Shinko Electric Industries Co., Ltd. (m)		38
	40		Shinsei Bank Ltd. (a) (c)		32

SEE NOTES TO FINANCIAL STATEMENTS.

44 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Japan — Continued
	16		Shionogi & Co., Ltd. (m)		274
	18		Shiseido Co., Ltd. (m)		374
	32		Shizuoka Bank Ltd. (The) (m)		277
	78		Showa Denko KK (m)		143
	9		Showa Shell Sekiyu KK (m)		77
	3		SMC Corp. (m)		382
	42		Softbank Corp. (m)		1,336
	63		Sojitz Corp. (m)		116
	52		Sony Corp. (m)		1,756
	—	(h)	Sony Financial Holdings, Inc. (m)		170
	4		Square Enix Holdings Co., Ltd. (m)		73
	8		Stanley Electric Co., Ltd. (m)		134
	6		Sumco Corp. (a)		94
	85		Sumitomo Chemical Co., Ltd. (m)		369
	60		Sumitomo Corp. (m)		756
	36		Sumitomo Electric Industries Ltd. (m)		459
	30		Sumitomo Heavy Industries Ltd. (m)		169
	178		Sumitomo Metal Industries Ltd. (m)		414
	28		Sumitomo Metal Mining Co., Ltd. (m)		447
	69		Sumitomo Mitsui Financial Group, Inc. (m)		2,071
	19		Sumitomo Realty & Development Co., Ltd. (m)		420
	9		Sumitomo Rubber Industries Ltd. (m)		101
	75		Sumitomo Trust & Banking Co., Ltd. (The) (m)		412
	12		Suruga Bank Ltd. (m)		106
	4		Suzuken Co., Ltd. (m)		113
	17		Suzuki Motor Corp. (m)		425
	2		Sysmex Corp. (m)		117
	14		T&D Holdings, Inc. (m)		293
	41		Taiheiyo Cement Corp. (a) (m)		44
	55		Taisei Corp. (m)		118
	7		Taisho Pharmaceutical Co., Ltd. (m)		145
	15		Taiyo Nippon Sanso Corp. (m)		120
	14		Takashimaya Co., Ltd. (m)		106
	40		Takeda Pharmaceutical Co., Ltd. (m)		1,870
	—	(h)	Takefuji Corp. (m)		—	(h)
	7		TDK Corp. (m)		379
	48		Teijin Ltd. (m)		177
	9		Terumo Corp. (m)		450
	7		THK Co., Ltd. (m)		129
	43		Tobu Railway Co., Ltd. (m)		243
	6		Toho Co., Ltd. (m)		86
	21		Toho Gas Co., Ltd. (m)		111
	22		Tohoku Electric Power Co., Inc. (m)		504
	37		Tokio Marine Holdings, Inc. (m)		1,032
	16		Tokuyama Corp. (m)		88

SHARES			SECURITY DESCRIPTION	VALUE($)
			Japan — Continued
	65		Tokyo Electric Power Co., Inc. (The) (m)		1,555
	8		Tokyo Electron Ltd. (m)		458
	138		Tokyo Gas Co., Ltd. (m)		649
	5		Tokyo Steel Manufacturing Co., Ltd. (m)		50
	20		Tokyo Tatemono Co., Ltd. (m)		81
	60		Tokyu Corp. (m)		269
	23		Tokyu Land Corp. (m)		103
	16		TonenGeneral Sekiyu KK (m)		143
	30		Toppan Printing Co., Ltd. (m)		243
	68		Toray Industries, Inc. (m)		395
	202		Toshiba Corp. (m)		1,010
	29		Tosoh Corp. (m)		77
	14		TOTO Ltd. (m)		95
	8		Toyo Seikan Kaisha Ltd. (m)		142
	5		Toyo Suisan Kaisha Ltd. (m)		107
	4		Toyobo Co., Ltd. (m)		7
	4		Toyoda Gosei Co., Ltd. (m)		81
	4		Toyota Boshoku Corp. (m)		64
	10		Toyota Industries Corp. (m)		276
	144		Toyota Motor Corp. (m)		5,097
	11		Toyota Tsusho Corp. (m)		166
	5		Trend Micro, Inc. (m)		153
	3		Tsumura & Co. (m)		95
	54		Ube Industries Ltd. (m)		133
	6		Unicharm Corp. (m)		245
	5		Uniden Corp. (a) (m)		10
	10		UNY Co., Ltd. (m)		83
	6		Ushio, Inc. (m)		93
	1		USS Co., Ltd. (m)		88
	—	(h)	West Japan Railway Co. (m)		330
	1		Yahoo! Japan Corp. (m)		262
	5		Yakult Honsha Co., Ltd. (m)		155
	4		Yamada Denki Co., Ltd. (m)		290
	11		Yamaguchi Financial Group, Inc. (m)		100
	8		Yamaha Corp. (m)		99
	14		Yamaha Motor Co., Ltd. (a) (m)		221
	21		Yamato Holdings Co., Ltd. (m)		265
	2		Yamato Kogyo Co., Ltd. (m)		59
	7		Yamazaki Baking Co., Ltd. (m)		81
	13		Yaskawa Electric Corp. (m)		101
	10		Yokogawa Electric Corp. (m)		65
					115,337
			Luxembourg — 0.7%
	58		ArcelorMittal (m)		1,863
	3		Millicom International Cellular S.A. (m)		246

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 45

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Luxembourg — Continued
	20	SES S.A. FDR (m)		507
	83	Tenaris S.A. (m)		1,728
				4,344
		Macau — 0.0% (g)
	52	Sands China Ltd. (a) (m)		112
	32	Wynn Macau Ltd. (a) (m)		70
				182
		Mexico — 0.8%
	21	Alfa S.A.B. de C.V., Class A (m)		174
	728	America Movil S.A.B. de C.V., Series L (c)		2,087
	285	Cemex S.A.B. de C.V. (a) (m)		251
	103	Fomento Economico Mexicano S.A.B. de C.V. (m)		567
	4	Fresnillo plc (m)		89
	20	Grupo Carso S.A.B. de C.V., Series A1 (m)		114
	187	Grupo Mexico S.A.B. de C.V., Class B (m)		617
	28	Grupo Modelo S.A.B. de C.V., Series C (m)		155
	119	Grupo Televisa S.A. (m)		533
	31	Kimberly-Clark de Mexico S.A.B. de C.V., Class A (m)		192
	77	Telefonos de Mexico S.A.B. de C.V., Class A (m)		58
	91	Telefonos de Mexico S.A.B. de C.V., Class L (m)		70
	237	Wal-Mart de Mexico S.A.B. de C.V., Series V (m)		649
				5,556
		Netherlands — 3.9%
	113	Aegon N.V. (a) (m)		718
	17	Akzo Nobel N.V. (c)		1,003
	30	ASML Holding N.V. (m)		983
	4	Corio N.V. (m)		311
	5	Delta Lloyd N.V. (m)		108
	27	European Aeronautic Defence and Space Co., N.V. (a) (m)		700
	5	Fugro N.V. CVA (m)		342
	8	Heineken Holding N.V. (m)		348
	18	Heineken N.V. (m)		921
	278	ING Groep N.V. CVA (a) (m)		2,972
	79	Koninklijke Ahold N.V. (m)		1,094
	5	Koninklijke Boskalis Westminster N.V. (m)		203
	11	Koninklijke DSM N.V. (c)		605
	111	Koninklijke KPN N.V. (m)		1,861
	71	Koninklijke Philips Electronics N.V. (m)		2,168
	4	Koninklijke Vopak N.V. (m)		209
	24	QIAGEN N.V. (a) (m)		453
	8	Randstad Holding N.V. (a) (m)		382

SHARES		SECURITY DESCRIPTION	VALUE($)
		Netherlands — Continued
	50	Reed Elsevier N.V. (m)		656
	87	Royal Dutch Shell plc, Class A (m)		2,821
	65	Royal Dutch Shell plc, Class B (m)		2,068
	12	SBM Offshore N.V. (m)		243
	27	TNT N.V. (m)		720
	115	Unilever N.V. CVA (m)		3,415
	20	Wolters Kluwer N.V. (m)		453
				25,757
		New Zealand — 0.4%
	246	Auckland International Airport Ltd. (m)		394
	81	Contact Energy Ltd. (a) (m)		362
	163	Fletcher Building Ltd. (m)		1,019
	155	Sky City Entertainment Group Ltd. (m)		357
	479	Telecom Corp. of New Zealand Ltd. (m)		748
				2,880
		Norway — 1.4%
	20	Aker Solutions ASA (m)		306
	120	DnB NOR ASA (m)		1,646
	109	Norsk Hydro ASA (m)		668
	1	Norske Skogindustrier ASA (a) (m)		1
	95	Orkla ASA (m)		918
	60	Renewable Energy Corp. ASA (a) (m)		209
	136	Statoil ASA (m)		2,970
	98	Telenor ASA (m)		1,576
	23	Yara International ASA (m)		1,228
				9,522
		Philippines — 0.8%
	42	Ayala Corp. (m)		396
	1,733	Ayala Land, Inc. (m)		676
	77	Banco de Oro Unibank, Inc. (m)		110
	410	Bank of the Philippine Islands (m)		560
	1,821	Energy Development Corp. (m)		254
	7	Globe Telecom, Inc. (m)		144
	66	Jollibee Foods Corp. (m)		136
	176	Manila Electric Co. (m)		904
	73	Metropolitan Bank & Trust (m)		132
	14	Philippine Long Distance Telephone Co. (m)		847
	11	SM Investments Corp. (m)		136
	2,630	SM Prime Holdings, Inc. (m)		732
				5,027
		Portugal — 0.9%
	566	Banco Comercial Portugues S.A. (c)		515
	106	Banco Espirito Santo S.A. (m)		525

SEE NOTES TO FINANCIAL STATEMENTS.

46 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Portugal — Continued
	37	Brisa Auto-Estradas de Portugal S.A. (m)		280
	40	Cimpor Cimentos de Portugal SGPS S.A. (m)		280
	352	EDP — Energias de Portugal S.A. (m)		1,346
	49	Galp Energia SGPS S.A., Class B (m)		942
	44	Jeronimo Martins SGPS S.A. (m)		665
	118	Portugal Telecom SGPS S.A. (m)		1,708
				6,261
		Singapore — 0.7%
	39	Ascendas REIT (m)		62
	68	CapitaLand Ltd. (m)		205
	58	CapitaMall Trust (m)		89
	37	CapitaMalls Asia Ltd. (m)		61
	15	City Developments Ltd. (m)		149
	49	ComfortDelgro Corp., Ltd. (m)		56
	27	Cosco Corp. Singapore Ltd. (m)		39
	46	DBS Group Holdings Ltd. (m)		495
	27	Fraser and Neave Ltd. (m)		131
	161	Genting Singapore plc (a) (c)		271
	180	Golden Agri-Resources Ltd. (m)		91
	3	Jardine Cycle & Carriage Ltd. (m)		95
	34	Keppel Corp., Ltd. (m)		263
	19	Keppel Land Ltd. (m)		65
	1	K-Green Trust (a) (m)		1
	25	Neptune Orient Lines Ltd. (a) (m)		41
	32	Olam International Ltd. (m)		78
	65	Oversea-Chinese Banking Corp., Ltd. (m)		456
	1	SATS Ltd. (m)		2
	26	SembCorp Industries Ltd. (m)		92
	22	SembCorp Marine Ltd. (m)		78
	11	Singapore Airlines Ltd. (m)		137
	23	Singapore Exchange Ltd. (m)		157
	40	Singapore Press Holdings Ltd. (m)		129
	44	Singapore Technologies Engineering Ltd. (m)		113
	212	Singapore Telecommunications Ltd. (m)		507
	15	StarHub Ltd. (m)		31
	29	United Overseas Bank Ltd. (m)		416
	13	UOL Group Ltd. (m)		45
	50	Wilmar International Ltd. (m)		248
				4,603
		South Africa — 0.8%
	9	ABSA Group Ltd. (m)		169
	1	Anglo Platinum Ltd. (a) (m)		102
	6	AngloGold Ashanti Ltd. (m)		299
	9	Bidvest Group Ltd. (m)		187

SHARES			SECURITY DESCRIPTION	VALUE($)
			South Africa — Continued
	98		FirstRand Ltd. (m)		287
	17		Gold Fields Ltd. (m)		262
	17		Impala Platinum Holdings Ltd. (m)		476
	51		MTN Group Ltd. (m)		913
	11		Naspers Ltd., Class N (m)		579
	34		Pretoria Portland Cement Co., Ltd. (m)		162
	64		Sanlam Ltd. (m)		241
	18		Sasol Ltd. (m)		795
	13		Shoprite Holdings Ltd. (m)		177
	22		Standard Bank Group Ltd. (m)		325
	41		Steinhoff International Holdings Ltd. (a) (m)		127
	6		Tiger Brands Ltd. (m)		153
					5,254
			South Korea — 0.8%
	2		Daelim Industrial Co., Ltd. (m)		171
	7		Daewoo Shipbuilding & Marine Engineering Co., Ltd. (m)		179
	1		Hite Brewery Co., Ltd. (m)		60
	7		Hynix Semiconductor, Inc. (a) (m)		143
	4		Hyundai Mobis (m)		1,004
	1		Hyundai Motor Co. (m)		183
	4		KB Financial Group, Inc. (m)		174
	2		LG Chem Ltd. (m)		687
	4		LG Electronics, Inc. (m)		376
	1		POSCO (m)		612
	1		Samsung Electronics Co., Ltd. (m)		760
	2		Samsung Fire & Marine Insurance Co., Ltd. (m)		348
	3		Shinhan Financial Group Co., Ltd. (m)		127
	—	(h)	Shinsegae Co., Ltd. (m)		196
	1		SK Energy Co., Ltd. (m)		105
	1		SK Telecom Co., Ltd. (m)		122
					5,247
			Spain — 6.2%
	31		Abertis Infraestructuras S.A. (c)		607
	3		Acciona S.A. (c)		229
	10		Acerinox S.A. (m)		164
	15		ACS Actividades de Construccion y Servicios S.A. (c)		766
	369		Banco Bilbao Vizcaya Argentaria S.A. (m)		4,863
	98		Banco de Sabadell S.A. (c)		479
	22		Banco de Valencia S.A. (c)		125
	90		Banco Popular Espanol S.A. (c)		583
	839		Banco Santander S.A. (m)		10,766
	29		Bankinter S.A. (c)		194
	87		Criteria Caixacorp S.A. (m)		494

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 47

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Spain — Continued
	44		EDP Renovaveis S.A. (a) (m)		254
	16		Enagas (m)		353
	45		Ferrovial S.A. (m)		514
	4		Fomento de Construcciones y Contratas S.A. (c)		107
	20		Gamesa Corp. Tecnologica S.A. (a) (m)		138
	24		Gas Natural SDG S.A. (m)		346
	9		Gestevision Telecinco S.A. (c)		110
	14		Grifols S.A. (c)		234
	75		Iberdrola Renovables S.A. (m)		254
	406		Iberdrola S.A. (m)		3,432
	49		Iberia Lineas Aereas de Espana S.A. (a) (m)		215
	21		Inditex S.A. (c)		1,781
	9		Indra Sistemas S.A. (c)		180
	76		Mapfre S.A. (m)		254
	10		Red Electrica Corp. S.A. (m)		506
	72		Repsol YPF S.A. (m)		2,006
	410		Telefonica S.A.		11,083
	14		Zardoya Otis S.A. (m)		226
					41,263
			Sweden — 1.6%
	12		Alfa Laval AB (m)		201
	11		Assa Abloy AB, Class B (m)		277
	23		Atlas Copco AB, Class A (m)		484
	14		Atlas Copco AB, Class B (m)		258
	9		Boliden AB (m)		148
	8		Electrolux AB, Series B (m)		202
	7		Getinge AB, Class B (m)		147
	34		Hennes & Mauritz AB, Class B (m)		1,209
	7		Hexagon AB, Class B (c)		137
	2		Holmen AB, Class B (m)		54
	12		Husqvarna AB, Class B (m)		82
	16		Investor AB, Class B (m)		326
	7		Kinnevik Investment AB, Class B (m)		150
	—	(h)	Loomis AB, Class B (m)		4
	2		Modern Times Group AB, Class B (m)		125
	1		Niscayah Group AB (m)		1
	112		Nordea Bank AB (m)		1,231
	5		Ratos AB, Class B (m)		163
	35		Sandvik AB (m)		524
	11		Scania AB, Class B (m)		235
	9		Securitas AB, Class B (m)		98
	49		Skandinaviska Enskilda Banken AB, Class A (m)		377
	14		Skanska AB, Class B (m)		263
	13		SKF AB, Class B (m)		348
	5		SSAB AB, Class A (m)		73

SHARES			SECURITY DESCRIPTION	VALUE($)
			Sweden — Continued
	4		SSAB AB, Class B (m)		47
	20		Svenska Cellulosa AB, Class B (m)		305
	17		Svenska Handelsbanken AB, Class A (m)		556
	24		Swedbank AB, Class A (a) (m)		340
	7		Swedish Match AB (m)		194
	9		Tele2 AB, Class B (m)		192
	104		Telefonaktiebolaget LM Ericsson, Class B (m)		1,148
	69		TeliaSonera AB (m)		579
	38		Volvo AB, Class B (a) (m)		508
					10,986
			Switzerland — 2.1%
	35		ABB Ltd. (a) (m)		720
	2		Actelion Ltd. (a) (m)		88
	2		Adecco S.A. (m)		115
	1		Aryzta AG (m)		50
	—	(h)	Aryzta AG (m)		8
	1		Baloise Holding AG (m)		76
	8		Cie Financiere Richemont S.A., Class A (m)		414
	18		Credit Suisse Group AG (m)		735
	4		GAM Holding AG (a) (m)		55
	1		Geberit AG (m)		122
	—	(h)	Givaudan S.A. (m)		135
	4		Holcim Ltd. (m)		240
	3		Julius Baer Group Ltd. (m)		141
	1		Kuehne & Nagel International AG (m)		77
	—	(h)	Lindt & Spruengli AG (m)		29
	3		Logitech International S.A. (a) (c)		57
	1		Lonza Group AG (m)		64
	53		Nestle S.A. (m)		2,885
	2		Nobel Biocare Holding AG (c)		33
	32		Novartis AG (m)		1,849
	1		Pargesa Holding S.A. (m)		58
	11		Roche Holding AG (m)		1,623
	—	(h)	Schindler Holding AG (m)		47
	—	(h)	Schindler Holding AG (c)		11
	—	(h)	SGS S.A. (m)		146
	—	(h)	Sika AG (m)		71
	—	(h)	Sonova Holding AG (c)		50
	42		STMicroelectronics N.V. (m)		369
	—	(h)	Straumann Holding AG (m)		48
	—	(h)	Sulzer AG (m)		2
	—	(h)	Swatch Group AG (The) (m)		184
	1		Swatch Group AG (The) (m)		54
	—	(h)	Swiss Life Holding AG (a) (m)		61
	6		Swiss Reinsurance Co., Ltd. (m)		267

SEE NOTES TO FINANCIAL STATEMENTS.

48 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			Switzerland — Continued
	—	(h)	Swisscom AG (m)		58
	2		Syngenta AG (m)		421
	57		UBS AG (a) (m)		973
	50		Xstrata plc (m)		965
	2		Zurich Financial Services AG (m)		572
					13,873
			Taiwan — 0.7%
	34		Asustek Computer, Inc. (m)		276
	168		Cathay Financial Holding Co., Ltd. (m)		256
	61		Chimei Innolux Corp. (a) (m)		82
	394		China Steel Corp. (m)		399
	183		Far Eastern New Century Corp. (m)		263
	205		Hon Hai Precision Industry Co., Ltd. (m)		777
	29		MediaTek, Inc. (m)		366
	43		Nan Ya Plastics Corp. (m)		96
	105		Pegatron Corp. (a) (m)		142
	173		Quanta Computer, Inc. (m)		318
	703		Taishin Financial Holding Co., Ltd. (a) (m)		308
	133		Taiwan Mobile Co., Ltd. (m)		297
	491		Taiwan Semiconductor Manufacturing Co., Ltd. (m)		1,011
	234		United Microelectronics Corp. (m)		112
					4,703
			Thailand — 0.7%
	90		Advanced Info Service PCL (m)		271
	136		Bangkok Bank PCL (m)		702
	15		Banpu PCL (m)		378
	30		Electricity Generating PCL (m)		98
	183		Kasikornbank PCL (m)		769
	284		Krung Thai Bank PCL (m)		160
	75		PTT Aromatics & Refining PCL (m)		75
	18		PTT Chemical PCL (m)		86
	113		PTT Exploration & Production PCL (m)		647
	65		PTT PCL (m)		651
	60		Siam Cement PCL (m)		661
	115		Siam Commercial Bank PCL (m)		395
	25		Thai Oil PCL (m)		44
					4,937
			Turkey — 0.9%
	150		Akbank TAS (m)		928
	64		Aksigorta A.S. (m)		99
	32		Anadolu Efes Biracilik Ve Malt Sanayii A.S. (m)		511
	106		Eregli Demir ve Celik Fabrikalari TAS (a) (m)		391
	31		Haci Omer Sabanci Holding A.S. (m)		166

SHARES			SECURITY DESCRIPTION	VALUE($)
			Turkey — Continued
	19		Tupras Turkiye Petrol Rafinerileri A.S. (m)		494
	77		Turkcell Iletisim Hizmet A.S. (m)		549
	244		Turkiye Garanti Bankasi A.S. (m)		1,474
	172		Turkiye Is Bankasi, Class C (m)		763
	89		Yapi ve Kredi Bankasi A.S. (a) (m)		336
					5,711
			United Kingdom — 7.4%
	24		3i Group plc (m)		115
	5		Admiral Group plc (m)		129
	6		Aggreko plc (m)		162
	8		AMEC plc (m)		143
	32		Anglo American plc (m)		1,486
	10		Antofagasta plc (m)		206
	33		ARM Holdings plc (m)		195
	9		Associated British Foods plc (m)		148
	35		AstraZeneca plc (m)		1,762
	5		Autonomy Corp. plc (a) (m)		125
	70		Aviva plc (m)		444
	9		Babcock International Group plc (m)		84
	81		BAE Systems plc (m)		445
	17		Balfour Beatty plc (m)		75
	278		Barclays plc (m)		1,221
	82		BG Group plc (m)		1,597
	53		BHP Billiton plc (m)		1,892
	456		BP plc (m)		3,101
	14		British Airways plc (a) (c)		60
	49		British American Tobacco plc (m)		1,854
	21		British Land Co. plc (m)		175
	28		British Sky Broadcasting Group plc (m)		319
	192		BT Group plc (m)		473
	8		Bunzl plc (m)		96
	11		Burberry Group plc (m)		175
	64		Cable & Wireless Worldwide plc (m)		72
	35		Cairn Energy plc (a) (m)		214
	15		Capita Group plc (The) (m)		189
	12		Capital Shopping Centres Group plc (m)		71
	4		Carnival plc (m)		187
	123		Centrica plc (m)		653
	28		Cobham plc (m)		105
	47		Compass Group plc (m)		384
	61		Diageo plc (m)		1,120
	—	(h)	Drax Group plc (m)		—	(h)
	6		Eurasian Natural Resources Corp. plc (m)		89
	12		Firstgroup plc (m)		78
	35		G4S plc (m)		146

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 49

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
			United Kingdom — Continued
	126		GlaxoSmithKline plc (m)		2,465
	17		Hammerson plc (m)		117
	22		Home Retail Group plc (m)		76
	428		HSBC Holdings plc (m)		4,455
	14		ICAP plc (m)		101
	—	(h)	IMI plc (m)		—	(h)
	24		Imperial Tobacco Group plc (m)		784
	11		Inmarsat plc (m)		113
	7		Intercontinental Hotels Group plc (m)		139
	38		International Power plc (m)		252
	4		Intertek Group plc (m)		118
	20		Invensys plc (m)		92
	12		Investec plc (m)		96
	91		ITV plc (a) (m)		100
	30		J Sainsbury plc (m)		186
	5		Johnson Matthey plc (m)		163
	5		Kazakhmys plc (m)		111
	58		Kingfisher plc (m)		222
	19		Land Securities Group plc (m)		204
	145		Legal & General Group plc (m)		233
	989		Lloyds Banking Group plc (a) (m)		1,087
	4		London Stock Exchange Group plc (m)		44
	4		Lonmin plc (a) (m)		113
	42		Man Group plc (m)		177
	39		Marks & Spencer Group plc (m)		268
	—	(h)	Meggitt plc (m)		—	(h)
	83		National Grid plc (m)		785
	5		Next plc (m)		171
	134		Old Mutual plc (m)		280
	19		Pearson plc (m)		284
	6		Petrofac Ltd. (m)		150
	63		Prudential plc (m)		639
	2		Randgold Resources Ltd. (m)		209
	15		Reckitt Benckiser Group plc (m)		827
	30		Reed Elsevier plc (m)		258
	36		Resolution Ltd. (m)		152
	22		Rexam plc (m)		111
	35		Rio Tinto plc (m)		2,283
	46		Rolls-Royce Group plc (a) (m)		475
	2,934		Rolls-Royce Group plc, Class C (a) (f) (i) (m)		5
	432		Royal Bank of Scotland Group plc (a) (m)		309
	85		RSA Insurance Group plc (m)		178
	23		SABMiller plc (m)		738
	32		Sage Group plc (The) (m)		140
	3		Schroders plc (m)		70

SHARES			SECURITY DESCRIPTION	VALUE($)
			United Kingdom — Continued
	21		Scottish & Southern Energy plc (m)		394
	18		Segro plc (m)		86
	12		Serco Group plc (m)		120
	6		Severn Trent plc (m)		132
	22		Smith & Nephew plc (m)		193
	10		Smiths Group plc (m)		184
	51		Standard Chartered plc (m)		1,471
	57		Standard Life plc (m)		207
	195		Tesco plc (m)		1,335
	21		Thomas Cook Group plc (m)		62
	14		TUI Travel plc (m)		47
	22		Tullow Oil plc (m)		421
	31		Unilever plc (m)		893
	17		United Utilities Group plc (m)		166
	3		Vedanta Resources plc (m)		100
	1,283		Vodafone Group plc (m)		3,509
	4		Whitbread plc (c)		118
	—	(h)	William Hill plc (m)		1
	52		Wm Morrison Supermarkets plc (m)		247
	7		Wolseley plc (a) (m)		187
					49,443
			United States — 0.0% (g)
	1		Synthes, Inc. (m)		117
			Total Common Stocks (Cost $369,269)		636,971
	Investment Companies — 2.0%
			United States — 2.0%
	210		iShares MSCI EAFE Index Fund		11,972
	13		iShares MSCI Germany Index Fund (m)		307
	22		iShares MSCI Pacific ex-Japan Index Fund (m)		989
			Total Investment Companies (Cost $13,043)		13,268
	Preferred Stocks — 1.5%
			Brazil — 0.7%
	30		Banco Bradesco S.A. (m)		618
	2		Cia de Bebidas das Americas (m)		223
	6		Cia Energetica de Minas Gerais (m)		99
	80		Itau Unibanco Holding S.A. (m)		1,932
	40		Petroleo Brasileiro S.A. (m)		613
	31		Vale S.A., Class A (m)		867
					4,352
			Germany — 0.8%
	5		Bayerische Motoren Werke AG (c)		266
	8		Fresenius SE (m)		754

SEE NOTES TO FINANCIAL STATEMENTS.

50 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Preferred Stocks — Continued
		Germany — Continued
	19	Henkel AG & Co. KGaA (m)		1,096
	9	Porsche Automobil Holding SE (c)		468
	4	RWE AG (c)		275
	18	Volkswagen AG (m)		2,682
				5,541
		Total Preferred Stocks (Cost $3,508)		9,893
NUMBER OF WARRANTS
	Warrants — 0.0% (g)
		France — 0.0% (g)
	2	Fonciere Des Regions, expiring 12/31/10 (a) (m)		3
		Hong Kong — 0.0% (g)
	6	Henderson Land Development Co., Ltd., expiring 06/01/11 (a) (m)		2
		Italy — 0.0% (g)
	130	Unione di Banche Italiane ScPA, expiring 06/30/11 (a) (m)		2
		Total Warrants (Cost $—)		7
NUMBER OF RIGHTS
	Rights — 0.0% (g)
		Spain — 0.0% (g)
	425	Banco Santander S.A., expiring 10/29/10 (a) (m) (Cost $—)		70
SHARES
	Short-Term Investment — 0.0% (g)
		Investment Company — 0.0% (g)
	156	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $156)		156
	Investment of Cash Collateral for Securities on Loan —2.9%
		Investment Company — 2.9%
	19,145	JPMorgan Prime Money Market Fund, Capital Shares, 0.120% (b) (l) (Cost $19,145)		19,145
		Total Investments — 102.1% (Cost $405,121)		679,510
		Liabilities in Excess of Other Assets — (2.1)%		(13,893	)
		NET ASSETS — 100.0%	$	665,617

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments (excluding Investments of Cash Collateral for Securities on Loan):

INDUSTRY	PERCENTAGE
Commercial Banks		15.0	%
Oil, Gas & Consumable Fuels		7.1
Diversified Telecommunication Services		5.3
Pharmaceuticals		5.1
Electric Utilities		4.6
Insurance		4.5
Metals & Mining		4.4
Automobiles		4.2
Chemicals		4.1
Industrial Conglomerates		2.4
Beverages		2.3
Food Products		2.1
Food & Staples Retailing		2.1
Wireless Telecommunication Services		2.0
Mutual Funds		2.0
Machinery		2.0
Media		1.5
Multi-Utilities		1.5
Capital Markets		1.4
Diversified Financial Services		1.4
Real Estate Management & Development		1.3
Electrical Equipment		1.2
Textiles, Apparel & Luxury Goods		1.1
Construction Materials		1.1
Software		1.1
Electronic Equipment, Instruments & Components		1.0
Energy Equipment & Services		1.0
Others (each less than 1.0%)		17.2

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 51

JPMorgan International Equity Index Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	12	TOPIX Index		12/09/10	$	1,202	$	(23	)
	85	Dow Jones Euro STOXX 50 Index		12/17/10		3,358		70
	11	FTSE 100 Index		12/17/10		998		21
							$	68

SEE NOTES TO FINANCIAL STATEMENTS.

52 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan International Opportunities Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 95.2%
		Australia — 2.2%
	103	Macquarie Group Ltd. (m)		3,672
	202	QBE Insurance Group Ltd.		3,393
				7,065
		Austria — 1.0%
	47	Erste Group Bank AG (m)		2,144
	45	Intercell AG (a) (c)		1,100
				3,244
		Belgium — 0.9%
	64	KBC Groep N.V. (a)		2,807
		Canada — 1.6%
	28	First Quantum Minerals Ltd. (c)		2,417
	146	Kinross Gold Corp. (m)		2,635
				5,052
		China — 1.3%
	1,443	China Merchants Bank Co., Ltd., Class H (m)		4,111
		Finland — 0.7%
	186	Nokia OYJ (m)		1,996
	133	Ruukki Group OYJ (a)		332
				2,328
		France — 10.8%
	42	Atos Origin S.A. (a) (m)		1,928
	66	BNP Paribas (m)		4,827
	35	Compagnie Generale des Etablissements Michelin, Class B (c)		2,798
	118	GDF Suez (m)		4,710
	34	Pernod-Ricard S.A. (m)		2,997
	21	PPR (m)		3,492
	76	Sanofi-Aventis S.A. (m)		5,325
	33	Schneider Electric S.A. (m)		4,750
	54	Sodexo (m)		3,520
				34,347
		Germany — 6.3%
	65	Bayer AG (m)		4,813
	68	Daimler AG (a) (m)		4,469
	70	Lanxess AG (m)		4,877
	52	Siemens AG (m)		5,957
				20,116
		Hong Kong — 4.7%
	1,152	China Overseas Land & Investment Ltd. (m)		2,428
	970	China Resources Land Ltd. (m)		1,917
	383	Hang Lung Properties Ltd. (m)		1,879
	1,350	Huabao International Holdings Ltd. (m)		2,041

SHARES		SECURITY DESCRIPTION	VALUE($)
		Hong Kong — Continued
	344	Hutchison Whampoa Ltd. (m)		3,397
	202	Sun Hung Kai Properties Ltd. (m)		3,475
				15,137
		India — 0.9%
	42	Infosys Technologies Ltd., ADR (m)		2,818
		Indonesia — 1.0%
	3,688	Perusahaan Gas Negara PT (m)		1,677
	1,529	Telekomunikasi Indonesia Tbk PT (m)		1,552
				3,229
		Ireland — 1.7%
	248	Experian plc (m)		2,882
	107	Shire plc (m)		2,507
				5,389
		Israel — 0.6%
	35	Teva Pharmaceutical Industries Ltd., ADR (m)		1,822
		Italy — 1.2%
	687	Snam Rete Gas S.p.A. (m)		3,722
		Japan — 17.4%
	67	Daikin Industries Ltd. (m)		2,331
	41	East Japan Railway Co. (m)		2,526
	110	FUJIFILM Holdings Corp. (m)		3,683
	354	Fujitsu Ltd. (m)		2,415
	1	Japan Tobacco, Inc. (m)		3,010
	589	JX Holdings, Inc. (m)		3,473
	235	Kubota Corp. (m)		2,084
	577	Marubeni Corp. (m)		3,625
	561	Mitsubishi Electric Corp. (m)		5,258
	260	Mitsui & Co., Ltd. (m)		4,091
	10	Nintendo Co., Ltd. (m)		2,505
	365	Nippon Express Co., Ltd. (m)		1,450
	933	Nippon Sheet Glass Co., Ltd. (m)		2,047
	628	Nissan Motor Co., Ltd. (m)		5,516
	180	Ricoh Co., Ltd. (m)		2,518
	130	Shiseido Co., Ltd. (m)		2,718
	101	Sumco Corp. (a) (c)		1,566
	93	Sumitomo Mitsui Financial Group, Inc. (m)		2,767
	269	Takashimaya Co., Ltd. (m)		2,025
				55,608
		Luxembourg — 1.4%
	138	ArcelorMittal (m)		4,455
		Netherlands — 9.0%
	70	ASML Holding N.V. (m)		2,306
	386	ING Groep N.V. (a) (m)		4,125

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 53

JPMorgan International Opportunities Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stock — Continued
		Netherlands — Continued
	163	Koninklijke KPN N.V. (m)		2,717
	154	Koninklijke Philips Electronics N.V. (m)		4,693
	309	Royal Dutch Shell plc, Class A		10,007
	168	Unilever N.V. CVA (m)		4,989
				28,837
		Norway — 1.0%
	237	DnB NOR ASA (m)		3,260
		Singapore — 0.7%
	882	Singapore Telecommunications Ltd. (m)		2,113
		South Korea — 0.8%
	27	LG Electronics, Inc. (m)		2,392
		Spain — 3.1%
	231	Banco Bilbao Vizcaya Argentaria S.A. (m)		3,038
	254	Telefonica S.A.		6,864
				9,902
		Switzerland — 2.4%
	96	Credit Suisse Group AG (m)		3,969
	15	Zurich Financial Services AG (m)		3,749
				7,718
		Taiwan — 2.0%
	388	Hon Hai Precision Industry Co., Ltd., GDR (m)		2,967
	307	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		3,345
				6,312
		United Kingdom — 22.5%
	722	Barclays plc (m)		3,175
	211	BG Group plc (m)		4,109
	110	BHP Billiton plc (m)		3,889
	530	BP plc (m)		3,603
	125	British American Tobacco plc (m)		4,752
	1,110	BT Group plc (m)		2,738
	985	Cable & Wireless Worldwide plc (m)		1,108
	236	Cairn Energy plc (a) (m)		1,459

SHARES		SECURITY DESCRIPTION	VALUE($)
		United Kingdom — Continued
	880	Centrica plc (m)		4,685
	193	Cookson Group plc (a) (m)		1,596
	252	GlaxoSmithKline plc (m)		4,926
	516	HSBC Holdings plc (m)		5,368
	209	Intercontinental Hotels Group plc (m)		4,038
	277	International Power plc (m)		1,851
	3,433	Lloyds Banking Group plc (a) (m)		3,773
	687	Man Group plc (m)		2,873
	316	National Grid plc (m)		2,986
	446	Premier Farnell plc (m)		1,941
	72	Reckitt Benckiser Group plc (m)		4,023
	99	Tullow Oil plc (m)		1,889
	2,535	Vodafone Group plc (m)		6,930
				71,712
		Total Common Stocks (Cost $267,823)		303,496
	Preferred Stock — 1.5%
		Germany — 1.5%
	31	Volkswagen AG (m) (Cost $2,830)		4,603
	Short-Term Investment — 2.5%
		Investment Company — 2.5%
	8,106	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $8,106)		8,106
	Investment of Cash Collateral for Securities on Loan — 1.4%
		Investment Company — 1.4%
	4,447	JPMorgan Prime Money Market Fund, Capital Shares, 0.120% (b) (l) (Cost $4,447)		4,447
		Total Investments — 100.6% (Cost $283,206)		320,652
		Liabilities in Excess of Other Assets — (0.6)%		(1,926	)
		NET ASSETS — 100.0%	$	318,726

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

54 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments: (excluding Investments of Cash Collateral for Securities on Loan):

INDUSTRY	PERCENTAGE
Commercial Banks		11.2	%
Oil, Gas & Consumable Fuels		7.8
Pharmaceuticals		6.1
Diversified Telecommunication Services		5.4
Industrial Conglomerates		5.1
Automobiles		4.6
Metals & Mining		4.2
Multi-Utilities		3.9
Capital Markets		3.3
Electrical Equipment		3.2
Real Estate Management & Development		3.1
Electronic Equipment, Instruments & Components		2.7
Tobacco		2.5
Trading Companies & Distributors		2.4
Hotels, Restaurants & Leisure		2.4

INDUSTRY	PERCENTAGE
Semiconductors & Semiconductor Equipment		2.3	%
Insurance		2.3
Wireless Telecommunication Services		2.2
Chemicals		2.2
Multiline Retail		1.7
Gas Utilities		1.7
Food Products		1.6
IT Services		1.5
Building Products		1.4
Diversified Financial Services		1.3
Household Products		1.3
Road & Rail		1.3
Short-Term Investment		2.6
Others (each less than 1.0%)		8.7

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	12	TOPIX Index		12/09/10	$	1,202	$	(56	)
	52	Dow Jones Euro STOXX 50 Index		12/17/10		2,055		49
	18	FTSE 100 Index		12/17/10		1,633		1
							$	(6	)

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY		CURRENCY	COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	108,003,915 1,335,877	JPY for CAD	Westpac Banking Corp.		11/10/10	$	1,309	#	$	1,342	#	$	33
	4,892,789	AUD	Credit Suisse International		11/10/10		4,567			4,788			221
	1,829,391	AUD	HSBC Bank, N.A.		11/10/10		1,694			1,790			96
	15,689,074	AUD	Westpac Banking Corp.		11/10/10		14,275			15,354			1,079
	5,721,717	CHF	Royal Bank of Scotland		11/10/10		5,673			5,815			142
	9,821,869	CHF	Union Bank of Switzerland AG		11/10/10		9,501			9,981			480
	4,140,000	EUR	BNP Paribas		11/10/10		5,650			5,762			112
	1,551,145	EUR	Citibank, N.A.		11/10/10		2,091			2,159			68
	2,334,774	EUR	Goldman Sachs International		11/10/10		3,004			3,249			245
	3,388,975	EUR	Morgan Stanley		11/10/10		4,568			4,716			148
	1,722,849	EUR	Societe Generale		11/10/10		2,213			2,398			185

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 55

JPMorgan International Opportunities Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

CONTRACTS TO BUY		CURRENCY	COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
	2,731,135	EUR	State Street Bank & Trust		11/10/10	$	3,557	$	3,801	$	244
	1,813,572	EUR	Westpac Banking Corp.		11/10/10		2,524		2,524		—	(h)
	2,203,595	GBP	Merrill Lynch & Co., Inc.		11/10/10		3,460		3,531		71
	1,266,195	GBP	State Street Bank & Trust		11/10/10		1,977		2,029		52
	175,403,536	JPY	Barclays Bank plc		11/10/10		2,051		2,180		129
	145,799,441	JPY	BNP Paribas		11/10/10		1,785		1,812		27
	780,676,139	JPY	HSBC Bank, N.A.		11/10/10		9,130		9,702		572
	341,836,213	JPY	Merrill Lynch & Co., Inc.		11/10/10		3,997		4,248		251
	217,619,874	JPY	Westpac Banking Corp.		11/10/10		2,645		2,705		60
	11,620,200	NOK	Morgan Stanley		11/10/10		1,946		1,983		37
	49,625,808	SEK	Morgan Stanley		11/10/10		7,008		7,428		420
	13,893,183	SEK	State Street Bank & Trust		11/10/10		1,963		2,079		116
	3,291,941	SGD	HSBC Bank, N.A.		11/10/10		2,438		2,543		105
						$	99,026	$	103,919	$	4,893

CONTRACTS TO SELL		CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
	2,874,068		AUD		Westpac Banking Corp.		11/10/10	$	2,610	$	2,813	$	(203	)
	2,887,392		CAD		Westpac Banking Corp.		11/10/10		2,804		2,830		(26	)
	16,107,931		EUR		Barclays Bank plc		11/10/10		21,556		22,418		(862	)
	628,963		EUR		Credit Suisse International		11/10/10		809		875		(66	)
	8,520,623		EUR		HSBC Bank, N.A.		11/10/10		11,002		11,858		(856	)
	1,751,594		EUR		Royal Bank of Scotland		11/10/10		2,286		2,438		(152	)
	1,189,156		EUR		Union Bank of Switzerland AG		11/10/10		1,661		1,655		6
	4,899,148		GBP		HSBC Bank, N.A.		11/10/10		7,605		7,849		(244	)
	2,203,595		GBP		Merrill Lynch & Co., Inc.		11/10/10		3,460		3,531		(71	)
	2,203,595		GBP		Merrill Lynch & Co., Inc.		11/10/10		3,460		3,531		(71	)
	2,410,871		GBP		Royal Bank of Scotland		11/10/10		3,844		3,863		(19	)
	4,030,251		HKD		Barclays Bank plc		11/10/10		519		520		(1	)
	66,281,303		HKD		HSBC Bank, N.A.		11/10/10		8,544		8,551		(7	)
	12,269,669		HKD		Royal Bank of Scotland		11/10/10		1,582		1,583		(1	)
	593,969,340		JPY		Barclays Bank plc		11/10/10		7,080		7,382		(302	)
	341,836,213		JPY		Merrill Lynch & Co., Inc.		11/10/10		3,997		4,248		(251	)
	341,836,213		JPY		Merrill Lynch & Co., Inc.		11/10/10		3,997		4,248		(251	)
	107,514,171		JPY		Royal Bank of Canada		11/10/10		1,278		1,337		(59	)
	7,009,709		NOK		Citibank, N.A.		11/10/10		1,194		1,196		(2	)
	7,013,343		NOK		Royal Bank of Scotland		11/10/10		1,189		1,197		(8	)
								$	90,477	$	93,923	$	(3,446	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

56 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan International Value Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — 94.7%
		Australia — 1.3%
	1,201	QBE Insurance Group Ltd. (c)		20,202
		Austria — 0.9%
	311	Erste Group Bank AG (m)		14,072
		Belgium — 1.1%
	404	KBC Groep N.V. (a) (c)		17,571
		Canada — 1.2%
	201	First Quantum Minerals Ltd. (c)		17,637
		China — 1.0%
	5,137	China Merchants Bank Co., Ltd., Class H (m)		14,636
		Finland — 1.2%
	1,532	Nokia OYJ (m)		16,454
	960	Ruukki Group OYJ (a) (c)		2,391
				18,845
		France — 13.3%
	382	BNP Paribas (m)		27,958
	131	Compagnie Generale des Etablissements Michelin, Class B		10,451
	1,013	GDF Suez (m)		40,462
	81	PPR (m)		13,252
	726	Rhodia S.A. (m)		20,253
	535	Sanofi-Aventis S.A. (m)		37,514
	139	Schneider Electric S.A. (m)		19,820
	328	Societe Generale (m)		19,670
	230	Sodexo (m)		14,983
				204,363
		Germany — 8.2%
	222	Allianz SE (m)		27,812
	377	Bayer AG (m)		28,149
	254	Daimler AG (a) (m)		16,698
	174	Hamburger Hafen und Logistik AG (c)		7,629
	266	Lanxess AG (m)		18,495
	244	Siemens AG (m)		27,810
				126,593
		Hong Kong — 2.7%
	2,684	Hutchison Whampoa Ltd. (m)		26,508
	896	Sun Hung Kai Properties Ltd. (m)		15,413
				41,921
		Indonesia — 0.8%
	12,480	Telekomunikasi Indonesia Tbk PT (m)		12,669
		Ireland — 0.8%
	1,076	Experian plc (m)		12,504

SHARES		SECURITY DESCRIPTION	VALUE ($)
		Italy — 1.0%
	2,709	Snam Rete Gas S.p.A. (m)		14,687
		Japan — 16.7%
	248	Aisin Seiki Co., Ltd. (m)		7,774
	226	East Japan Railway Co. (m)		13,925
	639	FUJIFILM Holdings Corp. (m)		21,305
	2,334	Fujitsu Ltd. (m)		15,921
	2	Japan Tobacco, Inc. (m)		6,748
	2,603	JX Holdings, Inc. (m)		15,346
	2,181	Marubeni Corp. (m)		13,701
	1,767	Mitsubishi Electric Corp. (m)		16,561
	1,260	Mitsui & Co., Ltd. (m)		19,809
	47	Nintendo Co., Ltd. (m)		12,059
	2,643	Nippon Express Co., Ltd. (m)		10,501
	2,437	Nippon Sheet Glass Co., Ltd. (m)		5,348
	364	Nippon Telegraph & Telephone Corp. (m)		16,435
	3,099	Nissan Motor Co., Ltd. (m)		27,239
	1,183	Ricoh Co., Ltd. (m)		16,548
	508	Shiseido Co., Ltd. (m)		10,595
	883	Sumitomo Mitsui Financial Group, Inc. (m)		26,359
				256,174
		Luxembourg — 0.8%
	379	ArcelorMittal (m)		12,267
		Netherlands — 9.5%
	2,442	ING Groep N.V. CVA (a) (m)		26,131
	1,149	Koninklijke KPN N.V. (m)		19,196
	537	Koninklijke Philips Electronics N.V. (m)		16,371
	1,991	Royal Dutch Shell plc, Class A (m)		64,611
	648	Unilever N.V. CVA (m)		19,233
				145,542
		Norway — 2.4%
	1,516	DnB NOR ASA (m)		20,824
	1,578	Orkla ASA (m)		15,290
				36,114
		Portugal — 1.1%
	4,597	Energias de Portugal S.A. (m)		17,587
		Singapore — 0.9%
	5,777	Singapore Telecommunications Ltd. (m)		13,842
		South Africa — 0.8%
	2,446	African Bank Investments Ltd. (m)		12,534
		South Korea — 0.9%
	154	LG Electronics, Inc. (m)		13,535

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 57

JPMorgan International Value Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — Continued
		Spain — 4.1%
	1,546	Banco Bilbao Vizcaya Argentaria S.A. (m)		20,373
	1,569	Telefonica S.A. (c)		42,395
				62,768
		Switzerland — 2.4%
	767	UBS AG (a) (m)		13,024
	97	Zurich Financial Services AG (m)		23,667
				36,691
		Taiwan — 0.9%
	3,486	Hon Hai Precision Industry Co., Ltd. (m)		13,183
		United Kingdom — 20.7%
	2,373	Barclays plc (m)		10,429
	4,904	BP plc (m)		33,336
	6,396	BT Group plc (m)		15,770
	1,177	Cairn Energy plc (a) (m)		7,276
	4,134	Centrica plc (m)		21,998
	1,282	Cookson Group plc (a) (m)		10,582
	3,753	GKN plc (m)		10,664
	942	GlaxoSmithKline plc (m)		18,396
	4,740	HSBC Holdings plc (m)		49,331
	845	Intercontinental Hotels Group plc (m)		16,316
	13,339	Lloyds Banking Group plc (a) (m)		14,661
	2,457	Man Group plc (m)		10,271
	2,553	National Grid plc (m)		24,141
	395	Petropavlovsk plc (m)		6,128
	1,472	Prudential plc (m)		14,883
	412	Tullow Oil plc (m)		7,822
	16,578	Vodafone Group plc (m)		45,318
				317,322
		Total Common Stocks (Cost $1,210,948)		1,453,259
	Preferred Stock — 1.6%
		Germany — 1.6%
	168	Volkswagen AG (m) (Cost $15,441)		25,221
	Short-Term Investment — 2.6%
		Investment Company — 2.6%
	39,408	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $39,408)		39,408

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Investment of Cash Collateral for Securities on Loan — 2.4%
		Investment Company — 2.4%
	37,337	JPMorgan Prime Money Market Fund, Capital Shares, 0.120% (b) (l) (Cost $37,337)		37,337
		Total Investments — 101.3% (Cost $1,303,134 )		1,555,225
		Liabilities in Excess of Other Assets — (1.3)%		(20,591	)
		NET ASSETS — 100.0%	$	1,534,634

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments (excluding Investments of Cash Collateral for Securities on Loan):

INDUSTRY	PERCENTAGE
Commercial Banks		15.5	%
Oil, Gas & Consumable Fuels		8.5
Diversified Telecommunication Services		7.9
Industrial Conglomerates		6.5
Multi-Utilities		5.7
Insurance		5.7
Pharmaceuticals		5.5
Automobiles		4.6
Wireless Telecommunication Services		3.0
Chemicals		2.6
Diversified Financial Services		2.5
Electrical Equipment		2.4
Metals & Mining		2.4
Electronic Equipment, Instruments & Components		2.3
Trading Companies & Distributors		2.2
Hotels, Restaurants & Leisure		2.1
Auto Components		1.9
Road & Rail		1.6
Capital Markets		1.5
Food Products		1.3
Electric Utilities		1.2
Office Electronics		1.1
Communications Equipment		1.1
Computers & Peripherals		1.0
Real Estate Management & Development		1.0
Gas Utilities		1.0
Short-Term Investment		2.6
Others (each less than 1.0%)		5.3

SEE NOTES TO FINANCIAL STATEMENTS.

58 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	82	TOPIX Index		12/09/10	$	8,213	$	(170	)
	322	Dow Jones Euro STOXX 50 Index		12/17/10		12,723		(14	)
	121	FTSE 100 Index		12/17/10		10,976		(84	)
							$	(268	)

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY		CURRENCY	COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	5,352,629 5,321,584	AUD for CAD	Union Bank of Switzerland AG		11/24/10	$	5,216	#	$	5,230	#	$	14
	7,608,226 5,398,248	AUD for EUR	Citibank, N.A.		11/24/10		7,511	#		7,433	#		(78	)
	3,373,137 3,862,478	GBP for EUR	Morgan Stanley		11/24/10		5,374	#		5,404	#		30
	309,768,544 2,756,588	JPY for EUR	Morgan Stanley		11/24/10		3,836	#		3,850	#		14
	8,471,050 974,814,512	EUR for JPY	Deutsche Bank AG		11/24/10		12,116	#		11,787	#		(329	)
	9,285,267	AUD	HSBC Bank, N.A.		11/24/10		8,586			9,072			486
	105,825,905	AUD	Merrill Lynch & Co., Inc.		11/24/10		94,405			103,390			8,985
	4,629,149	CHF	Citibank, N.A.		11/24/10		4,511			4,705			194
	7,207,461	CHF	Royal Bank of Canada		11/24/10		7,132			7,325			193
	14,114,276	DKK	Goldman Sachs International		11/24/10		2,438			2,634			196
	4,623,505	EUR	Credit Suisse International		11/24/10		5,937			6,434			497
	20,848,013	EUR	Goldman Sachs International		11/24/10		26,823			29,010			2,187
	13,775,883	EUR	Merrill Lynch & Co., Inc.		11/24/10		17,756			19,169			1,413
	10,863,645	EUR	Morgan Stanley		11/24/10		14,643			15,117			474
	11,185,917	EUR	TD Bank Financial Group		11/24/10		15,437			15,565			128
	4,370,811	GBP	BNP Paribas		11/24/10		6,801			7,002			201
	4,772,831	GBP	Morgan Stanley		11/24/10		7,369			7,647			278
	499,454,171	JPY	BNP Paribas		11/24/10		6,147			6,208			61
	4,631,500,055	JPY	HSBC Bank, N.A.		11/24/10		54,290			57,566			3,276
	610,048,597	JPY	State Street Bank & Trust		11/24/10		7,466			7,582			116
	301,337,111	SEK	HSBC Bank, N.A.		11/24/10		41,039			45,083			4,044
	15,128,741	SGD	HSBC Bank, N.A.		11/24/10		11,168			11,689			521
	13,143,015	TRY	Union Bank of Switzerland AG		11/24/10		9,135			9,128			(7	)
						$	375,136		$	398,030		$	22,894

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 59

JPMorgan International Value Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

CONTRACTS TO SELL		CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
	5,989,127		AUD		Barclays Bank plc		11/24/10	$	5,771	$	5,851	$	(80	)
	4,358,312		AUD		Credit Suisse International		11/24/10		3,831		4,258		(427	)
	2,272,010		AUD		Deutsche Bank AG		11/24/10		1,973		2,220		(247	)
	8,623,954		CAD		Goldman Sachs International		11/24/10		8,338		8,451		(113	)
	2,638,913		CHF		Goldman Sachs International		11/24/10		2,535		2,682		(147	)
	13,422,842		CHF		Morgan Stanley		11/24/10		13,232		13,643		(411	)
	8,849,992		EUR		Citibank, N.A.		11/24/10		11,847		12,315		(468	)
	22,324,807		EUR		Goldman Sachs International		11/24/10		28,707		31,065		(2,358	)
	8,934,794		EUR		HSBC Bank, N.A.		11/24/10		11,444		12,433		(989	)
	13,775,883		EUR		Merrill Lynch & Co., Inc.		11/24/10		17,756		19,169		(1,413	)
	4,950,616		GBP		Barclays Bank plc		11/24/10		7,666		7,931		(265	)
	7,298,062		GBP		Deutsche Bank AG		11/24/10		11,459		11,693		(234	)
	3,060,000		GBP		HSBC Bank, N.A.		11/24/10		4,779		4,902		(123	)
	78,671,292		GBP		Societe Generale		11/24/10		122,988		126,042		(3,054	)
	104,449,469		HKD		HSBC Bank, N.A.		11/24/10		13,448		13,477		(29	)
	473,359,904		JPY		Citibank, N.A.		11/24/10		5,611		5,883		(272	)
	458,290,177		JPY		Union Bank of Switzerland AG		11/24/10		5,385		5,697		(312	)
	20,995,529		NOK		Credit Suisse International		11/24/10		3,461		3,581		(120	)
	77,834,618		NOK		HSBC Bank, N.A.		11/24/10		12,562		13,275		(713	)
	27,783,523		NOK		Union Bank of Switzerland AG		11/24/10		4,444		4,739		(295	)
	2,920,951		SGD		Deutsche Bank AG		11/24/10		2,146		2,257		(111	)
	13,143,015		TRY		HSBC Bank, N.A.		11/24/10		8,623		9,129		(506	)
								$	308,006	$	320,693	$	(12,687	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

60 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

JPMorgan Intrepid International Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — 98.6%
		Australia — 5.3%
	23	Australia & New Zealand Banking Group Ltd. (m)		556
	67	BHP Billiton Ltd. (m)		2,760
	53	Bradken Ltd. (m)		424
	287	Fairfax Media Ltd.		407
	19	Flight Centre Ltd. (m)		429
	62	Iluka Resources Ltd. (a) (m)		410
	70	IOOF Holdings Ltd. (m)		494
	29	MacArthur Coal Ltd. (m)		341
	15	Macquarie Group Ltd. (m)		518
	12	Newcrest Mining Ltd. (m)		474
	53	Seek Ltd. (m)		376
	37	Westpac Banking Corp. (m)		831
				8,020
		Austria — 0.6%
	6	Andritz AG (m)		465
	11	Voestalpine AG (m)		425
				890
		Belgium — 0.9%
	2	Bekaert S.A. (m)		523
	8	KBC Groep N.V. (a)		362
	10	Umicore (m)		454
				1,339
		Bermuda — 0.3%
	13	Signet Jewelers Ltd. (a) (m)		464
		Brazil — 0.5%
	31	OGX Petroleo e Gas Participacoes S.A. (a) (m)		406
	12	Vale S.A., ADR (m)		377
				783
		China — 2.9%
	4	Baidu, Inc., ADR (a) (m)		430
	530	China Construction Bank Corp., Class H (m)		507
	220	China Merchants Bank Co., Ltd., Class H (m)		626
	144	China National Building Material Co., Ltd., Class H (m)		353
	202	Dongfeng Motor Group Co. Ltd., Class H (m)		439
	223	Guangzhou R&F Properties Co., Ltd., Class H (m)		319
	28	Ping An Insurance Group Co. of China Ltd., Class H (m)		303
	43	Weichai Power Co., Ltd., Class H (m)		567
	252	Yangzijiang Shipbuilding Holdings Ltd. (m)		365
	144	Yanzhou Coal Mining Co., Ltd., Class H (m)		417
				4,326

SHARES		SECURITY DESCRIPTION	VALUE ($)
		Denmark — 0.9%
	5	Carlsberg A/S, Class B (m)		495
	10	D/S Norden (m)		390
	5	Novo Nordisk A/S, Class B (m)		522
				1,407
		Finland — 1.6%
	15	Fortum OYJ (m)		430
	9	Metso OYJ (m)		437
	63	Nokia OYJ (m)		675
	24	UPM-Kymmene OYJ (m)		392
	7	Wartsila OYJ (m)		498
				2,432
		France — 8.2%
	8	Accor S.A. (m)		336
	10	Alstom S.A. (m)		493
	40	AXA S.A. (m)		725
	16	BNP Paribas (m)		1,158
	4	Casino Guichard Perrachon S.A. (m)		397
	15	Edenred (a) (m)		317
	29	France Telecom S.A. (m)		697
	15	JCDecaux S.A. (a)		427
	3	LVMH Moet Hennessy Louis Vuitton S.A. (m)		521
	5	Pernod-Ricard S.A. (m)		453
	3	PPR (m)		571
	21	Rhodia S.A. (m)		586
	23	Sanofi-Aventis S.A. (m)		1,646
	4	Schneider Electric S.A. (m)		638
	14	Societe Generale (m)		855
	5	Technip S.A. (m)		381
	33	Total S.A.		1,815
	7	Valeo S.A. (a)		361
				12,377
		Germany — 7.3%
	13	Aixtron AG (m)		420
	4	Allianz SE (m)		541
	10	BASF SE (m)		755
	15	Bayer AG (m)		1,083
	7	Bayerische Motoren Werke AG (m)		523
	5	Continental AG (a) (m)		469
	11	Daimler AG (a) (m)		724
	19	Deutsche Lufthansa AG (a) (m)		400
	21	Deutsche Post AG (m)		393
	38	Deutsche Telekom AG (m)		555
	26	E.ON AG (m)		804
	8	Hannover Rueckversicherung AG (m)		391

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 61

JPMorgan Intrepid International Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — Continued
		Germany — Continued
	53	Infineon Technologies AG (a) (m)		417
	7	Lanxess AG (m)		513
	3	Linde AG (m)		488
	7	MTU Aero Engines Holding AG (m)		429
	10	SAP AG (m)		524
	11	Siemens AG (m)		1,204
	16	Symrise AG (m)		487
				11,120
		Hong Kong — 3.9%
	836	Bosideng International Holdings, Ltd. (m)		423
	148	Cathay Pacific Airways Ltd. (m)		399
	37	China Mobile Ltd. (m)		378
	217	CNOOC Ltd. (m)		453
	97	Hang Lung Properties Ltd. (m)		476
	47	Hutchison Whampoa Ltd. (m)		464
	18	Jardine Strategic Holdings Ltd. (m)		472
	77	Kingboard Chemical Holdings Ltd. (m)		375
	53	Orient Overseas International Ltd. (m)		461
	503	Pacific Basin Shipping Ltd. (m)		367
	25	Sun Hung Kai Properties Ltd. (m)		430
	30	Swire Pacific Ltd., Class A (m)		427
	202	United Laboratories International Holdings Ltd. (The) (m)		384
	68	Wharf Holdings Ltd. (m)		448
				5,957
		India — 0.8%
	8	ICICI Bank Ltd., ADR (m)		404
	14	Tata Motors Ltd., ADR (m)		381
	55	Yes Bank Ltd. (m)		444
				1,229
		Indonesia — 0.5%
	58	Astra International Tbk PT (m)		371
	361	Bank Rakyat Indonesia Persero Tbk PT (m)		462
				833
		Ireland — 0.7%
	22	Shire plc (m)		506
	47	WPP plc (m)		546
				1,052
		Israel — 0.3%
	8	Teva Pharmaceutical Industries Ltd., ADR (m)		427
		Italy — 2.1%
	31	Banca Generali S.p.A. (m)		396
	17	Danieli & C Officine Meccaniche S.p.A. (m)		439

SHARES			SECURITY DESCRIPTION	VALUE ($)
			Italy — Continued
	90		Enel S.p.A. (m)		512
	32		Indesit Co. S.p.A. (m)		398
	143		Intesa Sanpaolo S.p.A. (m)		501
	76		Snam Rete Gas S.p.A. (m)		410
	408		Telecom Italia S.p.A. (m)		501
					3,157
			Japan — 17.2%
	32		Aeon Co., Ltd. (m)		380
	14		Aisin Seiki Co., Ltd. (m)		423
	19		Aoyama Trading Co., Ltd. (m)		308
	48		Asahi Glass Co., Ltd. (m)		460
	35		Brother Industries Ltd. (m)		445
	14		Canon, Inc. (m)		640
	—	(h)	Central Japan Railway Co. (m)		439
	32		Century Tokyo Leasing Corp. (m)		459
	72		Chiba Bank Ltd. (The) (m)		444
	10		Daikin Industries Ltd. (m)		362
	8		Daito Trust Construction Co., Ltd. (m)		478
	10		Don Quijote Co., Ltd. (m)		271
	10		FamilyMart Co., Ltd. (m)		365
	18		FCC Co., Ltd. (m)		377
	90		Fukuoka Financial Group, Inc. (m)		349
	67		Fukuyama Transporting Co., Ltd. (m)		332
	81		Hino Motors Ltd. (m)		350
	20		Hitachi Chemical Co., Ltd. (m)		367
	100		Hitachi Ltd. (m)		452
	25		Hitachi Transport System Ltd. (m)		389
	32		Honda Motor Co., Ltd. (m)		1,157
	129		Isuzu Motors Ltd. (m)		495
	57		ITOCHU Corp. (m)		497
	91		JX Holdings, Inc. (m)		538
	41		Kansai Paint Co., Ltd.		382
	20		Komatsu Ltd. (m)		479
	52		Kubota Corp. (m)		461
	5		Kyocera Corp. (m)		468
	95		Marubeni Corp. (m)		597
	30		Mitsubishi Corp. (m)		709
	61		Mitsubishi Electric Corp. (m)		572
	202		Mitsubishi UFJ Financial Group, Inc. (m)		935
	30		Mitsui & Co., Ltd. (m)		472
	64		Mitsui OSK Lines Ltd. (m)		409
	9		Murata Manufacturing Co., Ltd. (m)		517
	26		NGK Spark Plug Co., Ltd. (m)		362
	35		NHK Spring Co., Ltd. (m)		297
	16		Nihon Kohden Corp. (m)		295

SEE NOTES TO FINANCIAL STATEMENTS.

62 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — Continued
		Japan — Continued
	37	Nippon Electric Glass Co., Ltd. (m)		476
	67	Nippon Paint Co. Ltd. (m)		495
	14	Nippon Telegraph & Telephone Corp. (m)		645
	79	Nissan Motor Co., Ltd. (m)		693
	3	Nitori Holdings Co., Ltd. (m)		295
	20	Omron Corp. (m)		468
	6	ORIX Corp. (m)		584
	1	Rakuten, Inc. (m)		484
	6	Rohm Co., Ltd. (m)		355
	4	Shimamura Co., Ltd. (m)		412
	3	SMC Corp. (m)		504
	15	Sony Corp. (m)		507
	47	Sumitomo Corp. (m)		590
	39	Sumitomo Electric Industries Ltd. (m)		495
	14	Sumitomo Mitsui Financial Group, Inc. (m)		421
	101	Sumitomo Trust & Banking Co., Ltd. (The) (m)		551
	7	Yamada Denki Co., Ltd. (m)		428
				26,135
		Macau — 0.6%
	187	Sands China Ltd. (a) (m)		407
	196	Wynn Macau Ltd. (a) (m)		434
				841
		Mexico — 0.3%
	60	Banco Compartamos S.A. de C.V. (m)		422
		Netherlands — 4.5%
	51	Aegon N.V. (a) (m)		321
	16	ASML Holding N.V. (m)		546
	96	ING Groep N.V. (a) (m)		1,028
	27	Koninklijke Ahold N.V. (m)		377
	31	Koninklijke KPN N.V. (m)		512
	17	Koninklijke Philips Electronics N.V. (m)		518
	6	Nutreco N.V. (m)		469
	97	Royal Dutch Shell plc, Class B (m)		3,109
				6,880
		Norway — 0.9%
	35	DnB NOR ASA (m)		486
	28	Telenor ASA (m)		449
	9	Yara International ASA (m)		449
				1,384
		Singapore — 0.5%
	220	Genting Singapore plc (a)		370
	36	Singapore Airlines Ltd. (m)		442
				812

SHARES			SECURITY DESCRIPTION	VALUE ($)
			South Korea — 0.8%
	2		Honam Petrochemical Corp. (m)		443
	3		Hyundai Motor Co. (m)		462
	1		Samsung Electronics Co., Ltd. (m)		363
					1,268
			Spain — 3.0%
	100		Banco Santander S.A. (m)		1,279
	56		Iberdrola S.A. (m)		472
	6		Inditex S.A.		489
	71		Telefonica S.A.		1,923
	12		Viscofan S.A. (m)		404
					4,567
			Sweden — 1.5%
	24		Atlas Copco AB, Class A (m)		511
	13		SKF AB, Class B (m)		337
	15		Svenska Handelsbanken AB, Class A (m)		484
	20		Tele2 AB, Class B (m)		441
	33		Volvo AB, Class B (a) (m)		452
					2,225
			Switzerland — 9.1%
	32		ABB Ltd. (a) (m)		663
	11		Cie Financiere Richemont S.A., Class A (m)		539
	26		Credit Suisse Group AG (m)		1,085
	82		Ferrexpo plc (m)		426
	30		GAM Holding AG (a) (m)		469
	73		Informa plc (m)		512
	55		Nestle S.A. (m)		3,039
	38		Novartis AG (m)		2,207
	—	(h)	Sika AG (m)		397
	4		Sulzer AG (m)		493
	2		Swatch Group AG (The) (m)		589
	84		UBS AG (a) (m)		1,425
	48		Xstrata plc (m)		928
	4		Zurich Financial Services AG (m)		968
					13,740
			Taiwan — 0.8%
	48		Hon Hai Precision Industry Co., Ltd., GDR (m)		368
	16		HTC Corp. (m)		363
	45		Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		487
					1,218
			United Kingdom — 22.6%
	25		Acergy S.A. (m)		505
	19		Aggreko plc (m)		485

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 63

JPMorgan Intrepid International Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE ($)
	Common Stocks — Continued
		United Kingdom — Continued
	69	ARM Holdings plc (m)		406
	90	Ashmore Group plc (m)		555
	19	AstraZeneca plc (m)		954
	83	Aviva plc (m)		532
	237	Barclays plc (m)		1,040
	54	BG Group plc (m)		1,046
	223	BP plc (m)		1,517
	22	British American Tobacco plc (m)		841
	8	Britvic plc (m)		61
	30	Burberry Group plc (m)		495
	52	Cairn Energy plc (a) (m)		320
	11	Carnival plc (m)		492
	103	Centrica plc (m)		548
	51	Cookson Group plc (a) (m)		424
	203	EnQuest plc (a) (m)		420
	215	Enterprise Inns plc (a) (m)		393
	158	GKN plc (m)		449
	63	GlaxoSmithKline plc (m)		1,222
	199	HSBC Holdings plc (m)		2,068
	71	ICAP plc (m)		522
	29	IMI plc (m)		361
	80	Inchcape plc (a) (m)		447
	23	Intercontinental Hotels Group plc (m)		444
	65	Intermediate Capital Group plc (m)		338
	99	International Personal Finance plc (m)		493
	78	International Power plc (m)		520
	61	Investec plc (m)		484
	384	ITV plc (a) (m)		420
	71	J Sainsbury plc (m)		441
	24	Kazakhmys plc (m)		501
	77	Kingfisher plc (m)		294
	232	Legal & General Group plc (m)		373
	743	Lloyds Banking Group plc (a) (m)		817
	92	Man Group plc (m)		385
	65	Michael Page International plc (m)		487
	14	Next plc (m)		504
	20	Petrofac Ltd. (m)		474
	32	Petropavlovsk plc (m)		502
	99	Premier Farnell plc (m)		431
	52	Prudential plc (m)		524
	65	PZ Cussons plc (m)		420
	11	Renishaw plc (m)		212
	36	Rio Tinto plc (m)		2,319

SHARES			SECURITY DESCRIPTION	VALUE ($)
			United Kingdom — Continued
	699		Royal Bank of Scotland Group plc (a) (m)		500
	15		SABMiller plc (m)		478
	43		Standard Chartered plc (m)		1,241
	93		Tesco plc (m)		634
	35		Travis Perkins plc (m)		468
	957		Vodafone Group plc (m)		2,617
	17		Weir Group plc (The) (m)		435
	14		Whitbread plc		392
					34,251
			Total Common Stocks (Cost $112,556)		149,556
	Preferred Stocks — 1.4%
			Brazil — 0.6%
	4		Cia de Bebidas das Americas, ADR (m)		545
	16		Itau Unibanco Holding S.A., ADR		381
					926
			Germany — 0.8%
	7		Henkel AG & Co. KGaA (m)		405
	5		Volkswagen AG (m)		788
					1,193
			Total Preferred Stocks (Cost $1,718)		2,119
NUMBER OF RIGHTS
	Rights — 0.0% (g)
			United Kingdom — 0.0% (g)
	6		Standard Chartered plc, expiring 11/05/10 (a) (m) (Cost $—)		48
SHARES
	Short-Term Investment — 0.0% (g)
			Investment Company — 0.0% (g)
	—	(h)	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $—(h))		—	(h)
			Total Investments — 100.0% (Cost $114,274)		151,723
			Liabilities in Excess of Other Assets — 0.0% (g)		(32	)
			NET ASSETS — 100.0%	$	151,691

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

64 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		11.7	%
Oil, Gas & Consumable Fuels		6.6
Metals & Mining		6.2
Pharmaceuticals		5.9
Machinery		5.2
Capital Markets		4.4
Chemicals		3.8
Diversified Telecommunication Services		3.8
Automobiles		3.7
Insurance		3.1
Food Products		2.6
Electronic Equipment, Instruments & Components		2.5
Hotels, Restaurants & Leisure		2.4
Electrical Equipment		2.2
Trading Companies & Distributors		2.2

INDUSTRY	PERCENTAGE
Industrial Conglomerates		2.0	%
Wireless Telecommunication Services		2.0
Semiconductors & Semiconductor Equipment		2.0
Auto Components		1.8
Specialty Retail		1.8
Food & Staples Retailing		1.7
Real Estate Management & Development		1.7
Textiles, Apparel & Luxury Goods		1.7
Media		1.5
Electric Utilities		1.5
Beverages		1.3
Marine		1.1
Consumer Finance		1.0
Diversified Financial Services		1.0
Others (each less than 1.0%)		11.6

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 65

J.P. Morgan International Equity Funds

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

ADR	—  American Depositary Receipt
AUD	—  Australian Dollar
CAD	—  Canadian Dollar
CHF	—  Swiss Franc
CVA	—  Dutch Certification
DKK	—  Danish Krone
EAFE	—  Europe, Australasia, and Far East
EUR	—  Euro
FDR	—  Fiduciary Depositary Receipt
GBP	—  British Pound
GDR	—  Global Depositary Receipt
HKD	—  Hong Kong Dollar
JPY	—  Japanese Yen
NOK	—  Norwegian Krone
NVDR	—  Non Voting Depository Receipt
Reg. S	—  Security was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration.
REIT	—  Real Estate Investment Trust
RNC	—  Risparmio Non-Convertible Savings Shares
SEK	—  Swedish Krona
SGD	—  Singapore Dollar
TRY	—  New Turkish Lira
ZAR	—  South African Rand
(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(c)	—  Security, or a portion of the security, has been delivered to a counterparty as part of a security lending transaction.
(e)	—  Security is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

(f) —  Security is fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. The following approximates the value and percentage of these investments based on total investments (amounts in thousands):

	Fund	Value		Percentage
	International Equity Index		$5		—	%(g)
	In addition, the value and percentage, based on total investments (excluding Investments of Cash Collateral for Securities on Loan), of the investments that apply the fair valuation policy for the international investments as described in Note 2.A are as follows (amounts in thousands):
	Fund	Value		Percentage
	Emerging Economies Fund	$	5,104		68.7	%
	Emerging Markets Equity Fund		1,140,752		65.5
	Global Focus Fund		2,075		69.6
	International Equity Fund		603,544		94.2
	International Equity Index Fund		628,282		95.1
	International Opportunities Fund		295,062		93.3
	International Value Fund		1,460,843		96.2
	Intrepid International Fund		147,462		97.2
(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(i)	—  Security has been deemed illiquid pursuant to procedures approved by the Board of Trustees and may be difficult to sell.
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.

SEE NOTES TO FINANCIAL STATEMENTS.

66 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 67

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Emerging Economies Fund			Emerging Markets Equity Fund		Global Focus Fund			International Equity Fund
ASSETS:
Investments in non-affiliates, at value	$	7,434		$	1,644,769	$	2,979		$	634,738
Investments in affiliates, at value		—			95,628		—			15,309
Total investment securities, at value		7,434			1,740,397		2,979			650,047
Cash		27			375		168			334
Foreign currency, at value		2			4,826		55			89
Receivables:
Investment securities sold		—	(a)		5,565		53			164
Fund shares sold		—			8,268		13			840
Interest and dividends		15			1,114		3			1,212
Tax reclaims		—			—		2			745
Securities lending income		—			—		—			1
Unrealized appreciation on forward foreign currency exchange contracts		—			—		17			—
Due from Advisor		7			—		22			—
Prepaid expenses and other assets		58			—		—			—
Total Assets		7,543			1,760,545		3,312			653,432
LIABILITIES:
Payables:
Investment securities purchased		—			11,323		40			118
Collateral for securities lending program		—			—		—			9,304
Fund shares redeemed		—			1,205		—			831
Unrealized depreciation on forward foreign currency exchange contracts		—			—		50			—
Accrued liabilities:
Investment advisory fees		—			1,439		—			318
Administration fees		—	(a)		135		—			71
Shareholder servicing fees		1			296		1			70
Distribution fees		—	(a)		83		—	(a)		47
Custodian and accounting fees		25			449		12			70
Trustees’ and Chief Compliance Officer’s fees		—	(a)		1		—	(a)		—	(a)
Deferred India capital gains tax		—			1,213		—			—
Transfer agent fees		3			174		1			134
Audit fees		52			43		46			46
Registration		—			4		18			32
Other		1			39		1			29
Total Liabilities		82			16,404		169			11,070
Net Assets	$	7,461		$	1,744,141	$	3,143		$	642,362

SEE NOTES TO FINANCIAL STATEMENTS.

68 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	Emerging Economies Fund			Emerging Markets Equity Fund			Global Focus Fund			International Equity Fund
NET ASSETS:
Paid in capital	$	7,799		$	1,299,967		$	3,295		$	521,070
Accumulated undistributed net investment income		87			1,359			83			556
Accumulated net realized gains (losses)		(1,890	)		(11,433	)		(709	)		(20,104	)
Net unrealized appreciation (depreciation)		1,465			454,248			474			140,840
Total Net Assets	$	7,461		$	1,744,141		$	3,143		$	642,362
Net Assets:
Class A	$	49		$	253,037		$	293		$	131,125
Class B		—			10,812			—			4,543
Class C		49			40,757			214			23,370
Class R2		—			—			—			70
Class R5		50			—			100			242,131
Institutional Class		—			513,904			—			—
Select Class		7,313			925,631			2,536			241,123
Total	$	7,461		$	1,744,141		$	3,143		$	642,362
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		4			10,791			21			9,785
Class B		—			467			—			350
Class C		4			1,771			15			1,818
Class R2		—			—			—			5
Class R5		4			—			7			17,866
Institutional Class		—			21,374			—			—
Select Class		525			38,885			180			17,787
Net Asset Value:
Class A — Redemption price per share	$	13.91		$	23.45		$	14.05		$	13.40
Class B — Offering price per share (b)		—			23.15			—			13.00
Class C — Offering price per share (b)		13.87			23.01			13.98			12.85
Class R2 — Offering and redemption price per share		—			—			—			13.37
Class R5 — Offering and redemption price per share		13.93			—			14.08			13.55
Institutional Class — Offering and redemption price per share		—			24.04			—			—
Select Class — Offering and redemption price per share		13.92			23.80			14.07			13.56
Class A maximum sales charge		5.25	%		5.25	%		5.25	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	14.68		$	24.75		$	14.83		$	14.14
Cost of investments in non-affiliates	$	5,969		$	1,189,526		$	2,472		$	494,009
Cost of investments in affiliates		—			95,628			—			15,309
Cost of foreign currency		2			4,608			55			89
Value of securities on loan		—			—			—			8,916

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class B and Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 69

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except per share amounts)

	International Equity Index Fund		International Opportunities Fund		International Value Fund		Intrepid International Fund
ASSETS:
Investments in non-affiliates, at value	$	660,209	$	308,099	$	1,478,480	$	151,723
Investments in affiliates, at value		19,301		12,553		76,745		—	(a)
Total investment securities, at value		679,510		320,652		1,555,225		151,723
Cash		78		154		68		—
Foreign currency, at value		3,421		436		1,765		143
Deposits at broker for futures contracts		383		319		1,830		—
Receivables:
Investment securities sold		12,920		1,220		11,265		5,361
Fund shares sold		305		21		5,145		96
Interest and dividends		1,143		693		3,395		292
Tax reclaims		132		126		761		217
Securities lending income		17		11		51		—
Unrealized appreciation on forward foreign currency exchange contracts		—		4,899		23,308		—
Due from Advisor		20		—		—		—
Total Assets		697,929		328,531		1,602,813		157,832
LIABILITIES:
Payables:
Due to custodian		—		—		—		1,158
Investment securities purchased		11,972		1,491		13,993		4,435
Collateral for securities lending program		19,145		4,447		37,337		—
Fund shares redeemed		432		23		1,785		181
Variation margin on futures contracts		41		41		241		—
Unrealized depreciation on forward foreign currency exchange contracts		—		3,452		13,101		—
Accrued liabilities:
Investment advisory fees		307		159		733		83
Administration fees		13		26		122		7
Shareholder servicing fees		5		21		233		12
Distribution fees		42		4		46		7
Custodian and accounting fees		73		57		253		112
Trustees’ and Chief Compliance Officer’s fees		7		1		7		1
Deferred India capital gains tax		13		—		—		—
Other		262		83		328		145
Total Liabilities		32,312		9,805		68,179		6,141
Net Assets	$	665,617	$	318,726	$	1,534,634	$	151,691

SEE NOTES TO FINANCIAL STATEMENTS.

70 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	International Equity Index Fund			International Opportunities Fund			International Value Fund			Intrepid International Fund
NET ASSETS:
Paid in capital	$	473,607		$	351,779		$	1,716,753		$	671,770
Accumulated undistributed net investment income		10,185			6,164			38,890			2,136
Accumulated net realized gains (losses)		(92,766	)		(78,149	)		(483,227	)		(559,691	)
Net unrealized appreciation (depreciation)		274,591			38,932			262,218			37,476
Total Net Assets	$	665,617		$	318,726		$	1,534,634		$	151,691
Net Assets:
Class A	$	124,178		$	13,904		$	143,259		$	23,960
Class B		6,503			949			5,337			—
Class C		18,148			849			19,646			1,489
Class R2		251			—			856			68
Institutional Class		—			272,487			421,538			99,766
Select Class		516,537			30,537			943,998			26,408
Total	$	665,617		$	318,726		$	1,534,634		$	151,691
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		6,524			1,053			10,721			1,444
Class B		370			72			405			—
Class C		986			66			1,510			90
Class R2		13			—			65			4
Institutional Class		—			20,299			31,027			5,890
Select Class		26,939			2,284			69,915			1,554
Net Asset Value:
Class A — Redemption price per share	$	19.03		$	13.20		$	13.36		$	16.59
Class B — Offering price per share (b)		17.57			13.09			13.18			—
Class C — Offering price per share (b)		18.41			12.84			13.01			16.61
Class R2 — Offering and redemption price per share		18.86			—			13.21			16.46
Institutional Class — Offering and redemption price per share		—			13.42			13.59			16.94
Select Class — Offering and redemption price per share		19.17			13.37			13.50			16.99
Class A maximum sales charge		5.25	%		5.25	%		5.25	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	20.08		$	13.93		$	14.10		$	17.51
Cost of investments in non-affiliates	$	385,820		$	270,653		$	1,226,389		$	114,274
Cost of investments in affiliates		19,301			12,553			76,745			—	(a)
Cost of foreign currency		3,327			427			1,738			142
Value of securities on loan		18,205			4,236			35,883			—

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class B and Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 71

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Emerging Economies Fund			Emerging Markets Equity Fund			Global Focus Fund			International Equity Fund
INVESTMENT INCOME:
Dividend income from non-affiliates	$	193		$	20,517		$	59		$	17,014
Interest income from affiliates		—	(a)		1			—			—	(a)
Dividend income from affiliates		—			58			—			15
Income from securities lending (net)		—			—			—			610
Foreign taxes withheld		(14	)		(925	)		(4	)		(1,459	)
Total investment income		179			19,651			55			16,180
EXPENSES:
Investment advisory fees		63			10,992			22			4,694
Administration fees		6			1,020			3			546
Distribution fees:
Class A		—	(a)		451			—	(a)		319
Class B		—			80			—			37
Class C		1			225			1			171
Class R2		—			—			—			—	(a)
Shareholder servicing fees:
Class A		—	(a)		451			—	(a)		319
Class B		—			27			—			12
Class C		—	(a)		75			—	(a)		57
Class R2		—			—			—			—	(a)
Class R5		—	(a)		—			—	(a)		89
Institutional Class		—			400			—			—
Select Class		16			1,195			6			633
Custodian and accounting fees		55			1,382			56			270
Interest expense to affiliates		—			—	(a)		—			2
Professional fees		78			76			66			68
Trustees’ and Chief Compliance Officer’s fees		—	(a)		12			—	(a)		8
Printing and mailing costs		4			221			8			121
Registration and filing fees		—	(a)		177			84			72
Transfer agent fees		7			704			4			329
Other		7			24			6			14
Total expenses		237			17,512			256			7,761
Less amounts waived		(72	)		(150	)		(26	)		(1,383	)
Less expense reimbursements		(63	)		—			(196	)		—
Net expenses		102			17,362			34			6,378
Net investment income (loss)		77			2,289			21			9,802
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		1,435			18,812			273			(7,375	)
Foreign currency transactions		(1	)		(541	)		65			54
Net realized gain (loss)		1,434			18,271			338			(7,321	)
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		481			269,209	(b)		232			54,110
Foreign currency translations		—	(a)		202			(36	)		68
Change in net unrealized appreciation (depreciation)		481			269,411			196			54,178
Net realized/unrealized gains (losses)		1,915			287,682			534			46,857
Change in net assets resulting from operations	$	1,992		$	289,971		$	555		$	56,659

(a) Amount rounds to less than $1,000.

(b) Net of change in deferred India Capital Gains Tax of approximately $(1,065,000) for Emerging Markets Equity Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

72 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	International Equity Index Fund			International Opportunities Fund			International Value Fund			Intrepid International Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	—		$	—		$	—		$	—	(a)
Dividend income from non-affiliates		23,338			6,866			51,195			6,544
Interest income from affiliates		2			—	(a)		1			15
Dividend income from affiliates		12			9			41			6
Income from securities lending (net)		1,225			239			2,097			—
Foreign taxes withheld		(2,327	)		(535	)		(4,349	)		(469	)
Total investment income		22,250			6,579			48,985			6,096
EXPENSES:
Investment advisory fees		4,202			1,485			10,077			2,352
Administration fees		712			230			1,563			259
Distribution fees:
Class A		291			35			346			70
Class B		53			10			43			—
Class C		129			6			137			11
Class R2		1			—			2			—	(a)
Shareholder servicing fees:
Class A		291			35			346			70
Class B		18			3			14			—
Class C		43			2			46			4
Class R2		1			—			1			—	(a)
Institutional Class		—			203			399			92
Select Class		1,558			71			2,793			387
Custodian and accounting fees		599			175			946			278
Interest expense to affiliates		19			—	(a)		9			15
Professional fees		61			65			46			74
Trustees’ and Chief Compliance Officer’s fees		8			4			18			3
Printing and mailing costs		123			11			238			68
Registration and filing fees		59			52			184			58
Transfer agent fees		549			72			1,134			93
Other		10			23			30			11
Total expenses		8,727			2,482			18,372			3,845
Less amounts waived		(1,935	)		(93	)		(252	)		(534	)
Net expenses		6,792			2,389			18,120			3,311
Net investment income (loss)		15,458			4,190			30,865			2,785
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		(3,550	)		(615	)		(73,576	)		59,538
Futures		82			(378	)		8,355			(6,159	)
Foreign currency transactions		(338	)		2,873			17,504			(68	)
Payment by affiliate (See Note 3)		20			—			—			—
Net realized gain (loss)		(3,786	)		1,880			(47,717	)		53,311
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		29,376	(b)		25,053			101,272			(24,333	)
Futures		640			83			(268	)		—
Foreign currency translations		301			865			4,183			(25	)
Change in net unrealized appreciation (depreciation)		30,317			26,001			105,187			(24,358	)
Net realized/unrealized gains (losses)		26,531			27,881			57,470			28,953
Change in net assets resulting from operations	$	41,989		$	32,071		$	88,335		$	31,738

(a) Amount rounds to less than $1,000.

(b) Net of change in deferred India Capital Gains Tax of approximately ($13,000) for International Equity Index Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 73

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Emerging Economies Fund						Emerging Markets Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	77		$	104		$	2,289		$	3,558
Net realized gain (loss)		1,434			(2,033	)		18,271			(13,795	)
Change in net unrealized appreciation (depreciation)		481			3,823			269,411			216,188
Change in net assets resulting from operations		1,992			1,894			289,971			205,951
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(1	)		(1	)		(303	)		(719	)
Class B
From net investment income		—			—			—			(62	)
Class C
From net investment income		(1	)		(1	)		—			(64	)
Class R5
From net investment income		(1	)		(1	)		—			—
Institutional Class
From net investment income		—			—			(1,509	)		(2,758	)
Select Class
From net investment income		(151	)		(142	)		(1,116	)		(4,365	)
Total distributions to shareholders		(154	)		(145	)		(2,928	)		(7,968	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		154			145			648,370			268,670
NET ASSETS:
Change in net assets		1,992			1,894			935,413			466,653
Beginning of period		5,469			3,575			808,728			342,075
End of period	$	7,461		$	5,469		$	1,744,141		$	808,728
Accumulated undistributed net investment income	$	87		$	145		$	1,359		$	2,536

SEE NOTES TO FINANCIAL STATEMENTS.

74 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	Global Focus Fund						International Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	21		$	20		$	9,802		$	9,849
Net realized gain (loss)		338			(238	)		(7,321	)		(7,824	)
Change in net unrealized appreciation (depreciation)		196			957			54,178			108,853
Change in net assets resulting from operations		555			739			56,659			110,878
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(1	)		(2	)		(1,890	)		(1,589	)
From net realized gains		—			—			—			(37,068	)
Class B
From net investment income		—			—			(47	)		(75	)
From net realized gains		—			—			—			(2,278	)
Class C
From net investment income		(1	)		(1	)		(233	)		(324	)
From net realized gains		—			—			—			(10,061	)
Class R2 (a)
From net investment income		—			—			(1	)		(1	)
From net realized gains		—			—			—			(22	)
Class R5
From net investment income		(1	)		(1	)		(3,497	)		(2,274	)
From net realized gains		—			—			—			(37,418	)
Select Class
From net investment income		(23	)		(26	)		(4,249	)		(5,191	)
From net realized gains		—			—			—			(112,931	)
Total distributions to shareholders		(26	)		(30	)		(9,917	)		(209,232	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		182			30			47,454			165,511
NET ASSETS:
Change in net assets		711			739			94,196			67,157
Beginning of period		2,432			1,693			548,166			481,009
End of period	$	3,143		$	2,432		$	642,362		$	548,166
Accumulated undistributed net investment income	$	83		$	23		$	556		$	584

(a) Commencement of offering of class of shares effective November 3, 2008 for International Equity Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 75

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	International Equity Index Fund						International Opportunities Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	15,458		$	19,864		$	4,190		$	3,846
Net realized gain (loss)		(3,786	)		(79,560	)		1,880			(35,292	)
Change in net unrealized appreciation (depreciation)		30,317			245,962			26,001			70,769
Change in net assets resulting from operations		41,989			186,266			32,071			39,323
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(1,807	)		(3,656	)		(365	)		(138	)
From net realized gains		—			(7,474	)		—			—
Class B
From net investment income		(81	)		(302	)		(40	)		(8	)
From net realized gains		—			(828	)		—			—
Class C
From net investment income		(200	)		(375	)		(16	)		(3	)
From net realized gains		—			(1,016	)		—			—
Class R2 (a)
From net investment income		(3	)		(2	)		—			—
From net realized gains		—			(5	)		—			—
Institutional Class
From net investment income		—			—			(4,519	)		(3,282	)
Select Class
From net investment income		(13,601	)		(32,065	)		(694	)		(517	)
From net realized gains		—			(61,778	)		—			—
Total distributions to shareholders		(15,692	)		(107,501	)		(5,634	)		(3,948	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		(267,549	)		11,707			86,553			12,802
NET ASSETS:
Change in net assets		(241,252	)		90,472			112,990			48,177
Beginning of period		906,869			816,397			205,736			157,559
End of period	$	665,617		$	906,869		$	318,726		$	205,736
Accumulated undistributed net investment income	$	10,185		$	8,959		$	6,164		$	4,715

(a) Commencement of offering of class of shares effective November 3, 2008 for International Equity Index Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

76 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	International Value Fund						Intrepid International Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	30,865		$	27,618		$	2,785		$	7,958
Net realized gain (loss)		(47,717	)		(232,503	)		53,311			(244,500	)
Change in net unrealized appreciation (depreciation)		105,187			506,572			(24,358	)		307,918
Change in net assets resulting from operations		88,335			301,687			31,738			71,376
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(3,117	)		(3,125	)		(475	)		(1,192	)
Class B
From net investment income		(110	)		(160	)		—			—
Class C
From net investment income		(341	)		(387	)		(16	)		(113	)
Class R2 (a)
From net investment income		(12	)		(2	)		(1	)		(4	)
Institutional Class
From net investment income		(9,483	)		(5,546	)		(2,226	)		(7,511	)
Select Class
From net investment income		(29,353	)		(24,451	)		(5,283	)		(32,144	)
Total distributions to shareholders		(42,416	)		(33,671	)		(8,001	)		(40,964	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		(150,363	)		558,187			(340,849	)		(214,831	)
NET ASSETS:
Change in net assets		(104,444	)		826,203			(317,112	)		(184,419	)
Beginning of period		1,639,078			812,875			468,803			653,222
End of period	$	1,534,634		$	1,639,078		$	151,691		$	468,803
Accumulated undistributed net investment income	$	38,890		$	32,925		$	2,136		$	6,681

(a) Commencement of offering of class of shares effective November 3, 2008.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 77

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Emerging Economies Fund				Emerging Markets Equity Fund
	Year Ended 10/31/2010		Year Ended 10/31/2009		Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	—	$	—	$	152,758		$	93,400
Dividends and distributions reinvested		1		1		289			675
Cost of shares redeemed		—		—		(61,610	)		(27,906	)
Redemption fees		—		—		9			7
Change in net assets from Class A capital transactions	$	1	$	1	$	91,446		$	66,176
Class B
Proceeds from shares issued	$	—	$	—	$	1,062		$	2,566
Dividends and distributions reinvested		—		—		—			57
Cost of shares redeemed		—		—		(3,076	)		(2,328	)
Redemption fees		—		—		1			1
Change in net assets from Class B capital transactions	$	—	$	—	$	(2,013	)	$	296
Class C
Proceeds from shares issued	$	—	$	—	$	22,021		$	13,432
Dividends and distributions reinvested		1		1		—			53
Cost of shares redeemed		—		—		(7,401	)		(2,197	)
Redemption fees		—		—		1			1
Change in net assets from Class C capital transactions	$	1	$	1	$	14,621		$	11,289
Class R5
Dividends and distributions reinvested		1		1		—			—
Change in net assets from Class R5 capital transactions	$	1	$	1	$	—		$	—
Institutional Class
Proceeds from shares issued	$	—	$	—	$	150,379		$	155,331
Dividends and distributions reinvested		—		—		956			2,059
Cost of shares redeemed		—		—		(55,826	)		(18,200	)
Redemption fees		—		—		20			22
Change in net assets from Institutional Class capital transactions	$	—	$	—	$	95,529		$	139,212
Select Class
Proceeds from shares issued	$	—	$	—	$	587,892		$	171,112
Dividends and distributions reinvested		151		142		914			2,583
Cost of shares redeemed		—		—		(140,041	)		(122,024	)
Redemption fees		—		—		22			26
Change in net assets from Select Class capital transactions	$	151	$	142	$	448,787		$	51,697
Total change in net assets from capital transactions	$	154	$	145	$	648,370		$	268,670

SEE NOTES TO FINANCIAL STATEMENTS.

78 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	Emerging Economies Fund					Emerging Markets Equity Fund
	Year Ended 10/31/2010		Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		—		—			7,257			5,844
Reinvested		1		—	(a)		15			56
Redeemed		—		—			(2,955	)		(1,969	)
Change in Class A Shares		1		—	(a)		4,317			3,931
Class B
Issued		—		—			51			160
Reinvested		—		—			—			5
Redeemed		—		—			(150	)		(171	)
Change in Class B Shares		—		—			(99	)		(6	)
Class C
Issued		—		—			1,068			814
Reinvested		1		—	(a)		—			4
Redeemed		—		—			(368	)		(152	)
Change in Class C Shares		1		—	(a)		700			666
Class R5
Reinvested		1		—	(a)		—			—
Change in Class R5 Shares		1		—	(a)		—			—
Institutional Class
Issued		—		—			7,103			9,689
Reinvested		—		—			48			168
Redeemed		—		—			(2,726	)		(1,298	)
Change in Institutional Class Shares		—		—			4,425			8,559
Select Class
Issued		—		—			28,083			11,078
Reinvested		13		22			46			212
Redeemed		—		—			(6,623	)		(8,620	)
Change in Select Class Shares		13		22			21,506			2,670

(a) Amount rounds to less than 1,000 (shares or dollars).

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 79

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Global Focus Fund					International Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009		Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	119		$	—	$	53,404		$	64,416
Dividends and distributions reinvested		1			2		1,815			30,900
Cost of shares redeemed		(29	)		—		(49,059	)		(48,759	)
Redemption fees		—			—		4			4
Change in net assets from Class A capital transactions	$	91		$	2	$	6,164		$	46,561
Class B
Proceeds from shares issued	$	—		$	—	$	388		$	1,146
Dividends and distributions reinvested		—			—		35			1,813
Cost of shares redeemed		—			—		(1,539	)		(1,563	)
Redemption fees		—			—		—	(a)		—	(a)
Change in net assets from Class B capital transactions	$	—		$	—	$	(1,116	)	$	1,396
Class C
Proceeds from shares issued	$	20		$	—	$	4,773		$	8,929
Dividends and distributions reinvested		1			1		142			5,176
Cost of shares redeemed		—	(a)		—		(6,232	)		(9,688	)
Redemption fees		—			—		1			1
Change in net assets from Class C capital transactions	$	21		$	1	$	(1,316	)	$	4,418
Class R2 (b)
Proceeds from shares issued	$	—		$	—	$	—		$	51
Dividends and distributions reinvested		—			—		1			23
Cost of shares redeemed		—			—		—			—
Redemption fees		—			—		—			—	(a)
Change in net assets from Class R2 capital transactions	$	—		$	—	$	1		$	74
Class R5
Proceeds from shares issued	$	—		$	—	$	92,066		$	45,438
Dividends and distributions reinvested		1			1		3,141			39,641
Cost of shares redeemed		—			—		(16,242	)		(12,381	)
Redemption fees		—			—		6			4
Change in net assets from Class R5 capital transactions	$	1		$	1	$	78,971		$	72,702
Select Class
Proceeds from shares issued	$	46		$	—	$	61,653		$	102,044
Dividends and distributions reinvested		23			26		2,244			75,111
Cost of shares redeemed		—			—		(99,156	)		(136,807	)
Redemption fees		—			—		9			12
Change in net assets from Select Class capital transactions	$	69		$	26	$	(35,250	)	$	40,360
Total change in net assets from capital transactions	$	182		$	30	$	47,454		$	165,511

SEE NOTES TO FINANCIAL STATEMENTS.

80 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	Global Focus Fund						International Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		9			—			4,228			6,260
Reinvested		—	(a)		—	(a)		158			3,303
Redeemed		(2	)		—			(3,888	)		(5,064	)
Change in Class A Shares		7			—	(a)		498			4,499
Class B
Issued		—			—			31			115
Reinvested		—			—			3			200
Redeemed		—			—			(127	)		(162	)
Change in Class B Shares		—			—			(93	)		153
Class C
Issued		1			—			391			945
Reinvested		—	(a)		—	(a)		13			576
Redeemed		—	(a)		—			(522	)		(941	)
Change in Class C Shares		1			—	(a)		(118	)		580
Class R2 (b)
Issued		—			—			—			3
Reinvested		—			—			—	(a)		2
Change in Class R2 Shares		—			—			—	(a)		5
Class R5
Issued		—			—			7,273			3,936
Reinvested		—	(a)		—	(a)		265			4,191
Redeemed		—			—			(1,259	)		(1,253	)
Change in Class R5 Shares		—	(a)		—	(a)		6,279			6,874
Select Class
Issued		3			—			4,820			10,616
Reinvested		2			4			190			7,956
Redeemed		—			—			(8,133	)		(12,747	)
Change in Select Class Shares		5			4			(3,123	)		5,825

(a) Amount rounds to less than 1,000 (shares or dollars).

(b) Commencement of offering of class of shares effective November 3, 2008 for International Equity Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 81

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	International Equity Index Fund						International Opportunities Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	42,734		$	35,488		$	6,352		$	6,039
Dividends and distributions reinvested		1,646			9,865			355			129
Cost of shares redeemed		(36,427	)		(28,466	)		(7,711	)		(1,738	)
Redemption fees		6			2			—	(a)		—	(a)
Change in net assets from Class A capital transactions	$	7,959		$	16,889		$	(1,004	)	$	4,430
Class B
Proceeds from shares issued	$	276		$	917		$	479		$	938
Dividends and distributions reinvested		76			1,085			39			8
Cost of shares redeemed		(2,397	)		(2,887	)		(1,352	)		(451	)
Redemption fees		—	(a)		—	(a)		—	(a)		—	(a)
Change in net assets from Class B capital transactions	$	(2,045	)	$	(885	)	$	(834	)	$	495
Class C
Proceeds from shares issued	$	6,869		$	6,021		$	520		$	534
Dividends and distributions reinvested		173			1,166			13			1
Cost of shares redeemed		(5,881	)		(2,860	)		(367	)		(89	)
Redemption fees		1			—	(a)		—	(a)		—	(a)
Change in net assets from Class C capital transactions	$	1,162		$	4,327		$	166		$	446
Class R2 (b)
Proceeds from shares issued	$	55		$	220		$	—		$	—
Dividends and distributions reinvested		1			7			—			—
Cost of shares redeemed		(57	)		(1	)		—			—
Redemption fees		—	(a)		—	(a)		—			—
Change in net assets from Class R2 capital transactions	$	(1	)	$	226		$	—		$	—
Institutional Class
Proceeds from shares issued	$	—		$	—		$	104,249		$	27,508
Dividends and distributions reinvested		—			—			3,546			2,318
Cost of shares redeemed		—			—			(19,076	)		(22,350	)
Redemption fees		—			—			4			2
Change in net assets from Institutional Class capital transactions	$	—		$	—		$	88,723		$	7,478
Select Class
Proceeds from shares issued	$	117,431		$	241,760		$	4,689		$	4,149
Dividends and distributions reinvested		680			30,857			384			297
Cost of shares redeemed		(392,764	)		(281,483	)		(5,572	)		(4,494	)
Redemption fees		29			16			1			1
Change in net assets from Select Class capital transactions	$	(274,624	)	$	(8,850	)	$	(498	)	$	(47	)
Total change in net assets from capital transactions	$	(267,549	)	$	11,707		$	86,553		$	12,802

SEE NOTES TO FINANCIAL STATEMENTS.

82 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	International Equity Index Fund						International Opportunities Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		2,380			2,335			519			623
Reinvested		91			685			29			14
Redeemed		(2,066	)		(1,956	)		(633	)		(172	)
Change in Class A Shares		405			1,064			(85	)		465
Class B
Issued		17			67			38			98
Reinvested		4			81			3			1
Redeemed		(146	)		(218	)		(112	)		(45	)
Change in Class B Shares		(125	)		(70	)		(71	)		54
Class C
Issued		395			379			42			54
Reinvested		10			83			1			—	(a)
Redeemed		(354	)		(201	)		(31	)		(9	)
Change in Class C Shares		51			261			12			45
Class R2 (b)
Issued		3			13			—			—
Reinvested		—	(a)		—	(a)		—			—
Redeemed		(3	)		—	(a)		—			—
Change in Class R2 Shares		—	(a)		13			—			—
Institutional Class
Issued		—			—			8,434			2,648
Reinvested		—			—			285			242
Redeemed		—			—			(1,517	)		(2,261	)
Change in Institutional Class Shares		—			—			7,202			629
Select Class
Issued		6,652			15,961			382			400
Reinvested		37			2,081			31			31
Redeemed		(22,658	)		(18,752	)		(464	)		(445	)
Change in Select Class Shares		(15,969	)		(710	)		(51	)		(14	)

(a) Amount rounds to less than 1,000 (shares or dollars).

(b) Commencement of offering of class of shares effective November 3, 2008 for International Equity Index Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 83

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	International Value Fund						Intrepid International Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	58,999		$	87,967		$	20,658		$	16,644
Dividends and distributions reinvested		2,371			2,077			436			1,011
Cost of shares redeemed		(63,715	)		(55,160	)		(23,179	)		(9,321	)
Redemption fees		3			8			—	(a)		—	(a)
Change in net assets from Class A capital transactions	$	(2,342	)	$	34,892		$	(2,085	)	$	8,334
Class B
Proceeds from shares issued	$	148		$	647		$	—		$	—
Dividends and distributions reinvested		89			130			—			—
Cost of shares redeemed		(1,813	)		(2,510	)		—			—
Redemption fees		—	(a)		1			—			—
Change in net assets from Class B capital transactions	$	(1,576	)	$	(1,732	)	$	—		$	—
Class C
Proceeds from shares issued	$	3,844		$	7,778		$	236		$	333
Dividends and distributions reinvested		186			195			13			79
Cost of shares redeemed		(3,957	)		(4,869	)		(394	)		(777	)
Redemption fees		—	(a)		1			—	(a)		—	(a)
Change in net assets from Class C capital transactions	$	73		$	3,105		$	(145	)	$	(365	)
Class R2 (b)
Proceeds from shares issued	$	859		$	536		$	—		$	50
Dividends and distributions reinvested		2			2			1			4
Cost of shares redeemed		(464	)		(106	)		—			—
Redemption fees		—	(a)		—	(a)		—			—	(a)
Change in net assets from Class R2 capital transactions	$	397		$	432		$	1		$	54
Institutional Class
Proceeds from shares issued	$	294,459		$	212,949		$	37,640		$	49,941
Dividends and distributions reinvested		3,023			1,627			664			71
Cost of shares redeemed		(233,179	)		(77,572	)		(62,299	)		(56,256	)
Redemption fees		8			15			1			1
Change in net assets from Institutional Class capital transactions	$	64,311		$	137,019		$	(23,994	)	$	(6,243	)
Select Class
Proceeds from shares issued	$	550,466		$	727,606		$	7,296		$	85,691
Dividends and distributions reinvested		1,759			1,646			61			388
Cost of shares redeemed		(763,471	)		(344,843	)		(321,984	)		(302,693	)
Redemption fees		20			62			1			3
Change in net assets from Select Class capital transactions	$	(211,226	)	$	384,471		$	(314,626	)	$	(216,611	)
Total change in net assets from capital transactions	$	(150,363	)	$	558,187		$	(340,849	)	$	(214,831	)

SEE NOTES TO FINANCIAL STATEMENTS.

84 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	International Value Fund						Intrepid International Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		4,805			8,804			1,352			1,269
Reinvested		192			215			29			86
Redeemed		(5,246	)		(5,727	)		(1,505	)		(751	)
Change in Class A Shares		(249	)		3,292			(124	)		604
Class B
Issued		12			63			—			—
Reinvested		7			14			—			—
Redeemed		(153	)		(262	)		—			—
Change in Class B Shares		(134	)		(185	)		—			—
Class C
Issued		317			795			16			23
Reinvested		16			21			1			6
Redeemed		(335	)		(515	)		(26	)		(63	)
Change in Class C Shares		(2	)		301			(9	)		(34	)
Class R2 (b)
Issued		67			43			—			4
Reinvested		—	(a)		—	(a)		—	(a)		—	(a)
Redeemed		(37	)		(8	)		—			—
Change in Class R2 Shares		30			35			—	(a)		4
Institutional Class
Issued		23,378			21,286			2,453			4,125
Reinvested		241			167			43			6
Redeemed		(20,449	)		(7,855	)		(4,002	)		(4,597	)
Change in Institutional Class Shares		3,170			13,598			(1,506	)		(466	)
Select Class
Issued		44,547			69,961			460			6,731
Reinvested		141			170			4			32
Redeemed		(66,104	)		(33,021	)		(20,518	)		(23,809	)
Change in Select Class Shares		(21,416	)		37,110			(20,054	)		(17,046	)

(a) Amount rounds to less than 1,000 (shares or dollars).

(b) Commencement of offering of class of shares effective November 3, 2008.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 85

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income
Emerging Economies Fund
Class A
Year Ended October 31, 2010	$	10.47	$	0.11	(e)	$	3.60		$	3.71		$	(0.27	)
Year Ended October 31, 2009		7.14		0.18			3.42			3.60			(0.27	)
February 28, 2008 (f) through October 31, 2008		15.00		0.20			(8.06	)		(7.86	)		—
Class C
Year Ended October 31, 2010		10.46		0.05	(e)		3.59			3.64			(0.23	)
Year Ended October 31, 2009		7.11		0.14			3.43			3.57			(0.22	)
February 28, 2008 (f) through October 31, 2008		15.00		0.16			(8.05	)		(7.89	)		—
Class R5
Year Ended October 31, 2010		10.48		0.17	(e)		3.59			3.76			(0.31	)
Year Ended October 31, 2009		7.16		0.22			3.41			3.63			(0.31	)
February 28, 2008 (f) through October 31, 2008		15.00		0.24			(8.08	)		(7.84	)		—
Select Class
Year Ended October 31, 2010		10.48		0.14	(e)		3.59			3.73			(0.29	)
Year Ended October 31, 2009		7.15		0.20			3.42			3.62			(0.29	)
February 28, 2008 (f) through October 31, 2008		15.00		0.23			(8.08	)		(7.85	)		—

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Commencement of operations.

(g) Includes interest expense of 0.01%.

(h) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

SEE NOTES TO FINANCIAL STATEMENTS.

86 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	13.91		36.12	%	$	49		1.85	%		0.96	%		3.99	%		156	%
	10.47		52.59			36		1.85			2.27			5.59			141
	7.14		(52.40	)		24		1.86	(g)		2.37			5.30	(h)		110
	13.87		35.33			49		2.35			0.46			4.49			156
	10.46		51.98			36		2.35			1.77			6.08			141
	7.11		(52.60	)		24		2.36	(g)		1.86			5.81	(h)		110
	13.93		36.66			50		1.40			1.41			3.54			156
	10.48		53.31			37		1.40			2.72			5.13			141
	7.16		(52.27	)		24		1.41	(g)		2.82			4.86	(h)		110
	13.92		36.35			7,313		1.60			1.21			3.74			156
	10.48		53.07			5,360		1.60			2.52			5.33			141
	7.15		(52.33	)		3,503		1.61	(g)		2.62			5.05	(h)		110

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 87

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Redemption fees
Emerging Markets Equity Fund
Class A
Year Ended October 31, 2010	$	18.79	$	(0.01	)(e)	$	4.71		$	4.70		$	(0.04	)	$	—	(f)
Year Ended October 31, 2009		12.66		0.07	(e)		6.31			6.38			(0.25	)		—	(f)
Year Ended October 31, 2008		26.19		0.27			(13.78	)		(13.51	)		(0.02	)		—	(f)
Year Ended October 31, 2007		16.42		0.02	(e)		9.80			9.82			(0.05	)		—	(f)
Year Ended October 31, 2006		12.23		0.05	(e)		4.16			4.21			(0.02	)		—	(f)
Class B
Year Ended October 31, 2010		18.60		(0.12	)(e)		4.67			4.55			—			—	(f)
Year Ended October 31, 2009		12.46		—	(e)(f)		6.25			6.25			(0.11	)		—	(f)
Year Ended October 31, 2008		25.89		0.16			(13.59	)		(13.43	)		—			—	(f)
Year Ended October 31, 2007		16.26		(0.08	)(e)		9.71			9.63			—			—	(f)
Year Ended October 31, 2006		12.14		(0.02	)(e)		4.14			4.12			—			—	(f)
Class C
Year Ended October 31, 2010		18.49		(0.11	)(e)		4.63			4.52			—			—	(f)
Year Ended October 31, 2009		12.42		(0.01	)(e)		6.23			6.22			(0.15	)		—	(f)
Year Ended October 31, 2008		25.80		0.16			(13.54	)		(13.38	)		—			—	(f)
Year Ended October 31, 2007		16.26		(0.08	)(e)		9.68			9.60			(0.06	)		—	(f)
February 28, 2006 (g) through October 31, 2006		15.21		(0.05	)(e)		1.10			1.05			—			—	(f)
Institutional Class
Year Ended October 31, 2010		19.23		0.08	(e)		4.82			4.90			(0.09	)		—	(f)
Year Ended October 31, 2009		12.97		0.14	(e)		6.45			6.59			(0.33	)		—	(f)
Year Ended October 31, 2008		26.80		0.30			(14.04	)		(13.74	)		(0.09	)		—	(f)
Year Ended October 31, 2007		16.79		0.11	(e)		10.01			10.12			(0.11	)		—	(f)
Year Ended October 31, 2006		12.47		0.12	(e)		4.25			4.37			(0.05	)		—	(f)
Select Class
Year Ended October 31, 2010		19.04		0.05	(e)		4.77			4.82			(0.06	)		—	(f)
Year Ended October 31, 2009		12.84		0.11	(e)		6.39			6.50			(0.30	)		—	(f)
Year Ended October 31, 2008		26.54		0.28			(13.94	)		(13.66	)		(0.04	)		—	(f)
Year Ended October 31, 2007		16.62		0.07	(e)		9.94			10.01			(0.09	)		—	(f)
Year Ended October 31, 2006		12.36		0.09	(e)		4.21			4.30			(0.04	)		—	(f)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

88 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	23.45		25.08	%	$	253,037		1.82	%		(0.03	)%		1.83	%		14	%
	18.79		51.49			121,638		1.85			0.45			1.85			10
	12.66		(51.62	)		32,192		1.82			1.17			1.82			19
	26.19		59.98			62,409		1.82			0.11			1.82			26
	16.42		34.50			25,722		1.88			0.36			1.88			4
	23.15		24.46			10,812		2.31			(0.58	)		2.32			14
	18.60		50.70			10,535		2.36			(0.02	)		2.37			10
	12.46		(51.87	)		7,124		2.32			0.67			2.32			19
	25.89		59.23			15,402		2.32			(0.40	)		2.32			26
	16.26		33.94			8,812		2.37			(0.14	)		2.38			4
	23.01		24.45			40,757		2.32			(0.52	)		2.33			14
	18.49		50.72			19,803		2.35			(0.06	)		2.35			10
	12.42		(51.86	)		5,030		2.32			0.68			2.32			19
	25.80		59.17			9,519		2.32			(0.38	)		2.32			26
	16.26		6.90			1,903		2.45			(0.48	)		2.46			4
	24.04		25.55			513,904		1.40			0.37			1.43			14
	19.23		52.20			325,849		1.43			0.93			1.46			10
	12.97		(51.44	)		108,836		1.42			1.52			1.42			19
	26.80		60.59			193,867		1.42			0.51			1.42			26
	16.79		35.14			92,060		1.43			0.77			1.47			4
	23.80		25.38			925,631		1.57			0.23			1.58			14
	19.04		51.88			330,903		1.61			0.73			1.62			10
	12.84		(51.53	)		188,893		1.57			1.43			1.57			19
	26.54		60.45			341,701		1.57			0.34			1.57			26
	16.62		34.85			263,684		1.62			0.60			1.62			4

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 89

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations								Distributions
	Net asset value, beginning of period		Net investment income (loss)		Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions
Global Focus Fund
Class A
Year Ended October 31, 2010	$	11.59	$	0.06	$	2.51		$	2.57		$	(0.11	)	$	—		$	(0.11	)
Year Ended October 31, 2009		8.22		0.08		3.42			3.50			(0.13	)		—			(0.13	)
Year Ended October 31, 2008		16.56		0.12		(8.07	)		(7.95	)		(0.02	)		(0.37	)		(0.39	)
March 30, 2007 (e) through October 31, 2007		15.00		0.07		1.49			1.56			—			—			—
Class C
Year Ended October 31, 2010		11.55		0.01		2.48			2.49			(0.06	)		—			(0.06	)
Year Ended October 31, 2009		8.17		0.04		3.41			3.45			(0.07	)		—			(0.07	)
Year Ended October 31, 2008		16.51		0.06		(8.03	)		(7.97	)		—			(0.37	)		(0.37	)
March 30, 2007 (e) through October 31, 2007		15.00		0.03		1.48			1.51			—			—			—
Class R5
Year Ended October 31, 2010		11.61		0.13		2.49			2.62			(0.15	)		—			(0.15	)
Year Ended October 31, 2009		8.25		0.12		3.42			3.54			(0.18	)		—			(0.18	)
Year Ended October 31, 2008		16.60		0.18		(8.08	)		(7.90	)		(0.08	)		(0.37	)		(0.45	)
March 30, 2007 (e) through October 31, 2007		15.00		0.11		1.49			1.60			—			—			—
Select Class
Year Ended October 31, 2010		11.60		0.11		2.49			2.60			(0.13	)		—			(0.13	)
Year Ended October 31, 2009		8.24		0.10		3.41			3.51			(0.15	)		—			(0.15	)
Year Ended October 31, 2008		16.58		0.16		(8.08	)		(7.92	)		(0.05	)		(0.37	)		(0.42	)
March 30, 2007 (e) through October 31, 2007		15.00		0.10		1.48			1.58			—			—			—

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Commencement of operations.

SEE NOTES TO FINANCIAL STATEMENTS.

90 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets(a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses(d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	14.05		22.26	%	$	293		1.45	%		0.57	%		9.89	%		97	%
	11.59		43.34			161		1.45			0.87			10.11			119
	8.22		(49.02	)		112		1.45			0.97			6.94			264
	16.56		10.40			221		1.45			0.80			11.93			135
	13.98		21.59			214		1.95			0.09			10.10			97
	11.55		42.63			159		1.95			0.37			10.61			119
	8.17		(49.26	)		112		1.95			0.47			7.44			264
	16.51		10.07			220		1.95			0.30			12.43			135
	14.08		22.75			100		1.00			1.04			9.15			97
	11.61		44.06			82		1.00			1.32			9.65			119
	8.25		(48.79	)		57		1.00			1.42			6.48			264
	16.60		10.67			111		1.00			1.25			11.48			135
	14.07		22.57			2,536		1.20			0.84			9.36			97
	11.60		43.67			2,030		1.20			1.12			9.86			119
	8.24		(48.86	)		1,412		1.20			1.22			6.69			264
	16.58		10.53			2,764		1.20			1.05			11.68			135

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 91

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
International Equity Fund
Class A
Year Ended October 31, 2010	$	12.33	$	0.18	(e)	$	1.07		$	1.25		$	(0.18	)	$	—		$	(0.18	)	$	—	(f)
Year Ended October 31, 2009		18.28		0.20	(e)(g)		1.98	(g)		2.18			(0.20	)		(7.93	)		(8.13	)		—	(f)
Year Ended October 31, 2008		42.57		0.67	(e)		(15.42	)		(14.75	)		(0.79	)		(8.75	)		(9.54	)		—	(f)
Year Ended October 31, 2007		37.52		0.47	(e)		6.72			7.19			(0.52	)		(1.62	)		(2.14	)		—	(f)
Year Ended October 31, 2006		30.82		0.38	(e)		7.29			7.67			(0.44	)		(0.53	)		(0.97	)		—	(f)
Class B
Year Ended October 31, 2010		11.97		0.11	(e)		1.04			1.15			(0.12	)		—			(0.12	)		—	(f)
Year Ended October 31, 2009		18.01		0.14	(e)(g)		1.92	(g)		2.06			(0.17	)		(7.93	)		(8.10	)		—	(f)
Year Ended October 31, 2008		42.13		0.50	(e)		(15.21	)		(14.71	)		(0.66	)		(8.75	)		(9.41	)		—	(f)
Year Ended October 31, 2007		37.26		0.25	(e)		6.65			6.90			(0.41	)		(1.62	)		(2.03	)		—	(f)
Year Ended October 31, 2006		30.65		0.17	(e)		7.25			7.42			(0.28	)		(0.53	)		(0.81	)		—	(f)
Class C
Year Ended October 31, 2010		11.85		0.11	(e)		1.01			1.12			(0.12	)		—			(0.12	)		—	(f)
Year Ended October 31, 2009		17.92		0.14	(e)(g)		1.89	(g)		2.03			(0.17	)		(7.93	)		(8.10	)		—	(f)
Year Ended October 31, 2008		41.95		0.50	(e)		(15.12	)		(14.62	)		(0.66	)		(8.75	)		(9.41	)		—	(f)
Year Ended October 31, 2007		37.11		0.25	(e)		6.63			6.88			(0.42	)		(1.62	)		(2.04	)		—	(f)
Year Ended October 31, 2006		30.57		0.20	(e)		7.19			7.39			(0.32	)		(0.53	)		(0.85	)		—	(f)
Class R2
Year Ended October 31, 2010		12.31		0.15	(e)		1.06			1.21			(0.15	)		—			(0.15	)		—
November 3, 2008 (k) through October 31, 2009		18.29		0.18	(e)(g)		1.96	(g)		2.14			(0.19	)		(7.93	)		(8.12	)		—	(f)
Class R5
Year Ended October 31, 2010		12.47		0.23	(e)		1.09			1.32			(0.24	)		—			(0.24	)		—	(f)
Year Ended October 31, 2009		18.38		0.25	(e)(g)		2.01	(g)		2.26			(0.24	)		(7.93	)		(8.17	)		—	(f)
Year Ended October 31, 2008		42.72		0.80	(e)		(15.49	)		(14.69	)		(0.90	)		(8.75	)		(9.65	)		—	(f)
Year Ended October 31, 2007		37.63		0.66	(e)		6.72			7.38			(0.67	)		(1.62	)		(2.29	)		—	(f)
May 15, 2006 (k) through October 31, 2006		37.07		0.14	(e)		0.82			0.96			(0.40	)		—			(0.40	)		—	(f)
Select Class
Year Ended October 31, 2010		12.47		0.22	(e)		1.08			1.30			(0.21	)		—			(0.21	)		—	(f)
Year Ended October 31, 2009		18.38		0.24	(e)(g)		2.00	(g)		2.24			(0.22	)		(7.93	)		(8.15	)		—	(f)
Year Ended October 31, 2008		42.72		0.65	(e)		(15.41	)		(14.76	)		(0.83	)		(8.75	)		(9.58	)		—	(f)
Year Ended October 31, 2007		37.63		0.56	(e)		6.74			7.30			(0.59	)		(1.62	)		(2.21	)		—	(f)
Year Ended October 31, 2006		30.90		0.51	(e)		7.27			7.78			(0.52	)		(0.53	)		(1.05	)		—	(f)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net realized and unrealized gains (losses) on investments per share would have been $1.88, $1.95 and $2.00 and the total return would have been 26.65%, 26.85% and 27.82% for Class C, Class R2 and Class R5 Shares, respectively. The impact on net investment income (loss) per share and the net investment income (loss) ratio was less than $0.01 and 0.01%, respectively, for Class A, Class B, Class C, Class R2, Class R5 and Select Class Shares. The impact on net realized and unrealized gains (losses) on investments per share and total return was less than $0.01 and 0.01%, respectively, for Class A, Class B and Select Class Shares.

(h) Includes a gain resulting from a payment by affiliate. The effect is less than 0.01% on total return.

(i) Includes interest expense of 0.04%

(j) Includes interest expense of 0.01%.

(k) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

92 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	13.40		10.42	%	$	131,125		1.31	%		1.44	%		1.54	%		15	%
	12.33		27.39	(g)		114,557		1.31			1.90	(g)		1.62			14
	18.28		(43.95	)(h)		87,531		1.35	(i)		2.33			1.64			13
	42.57		19.93			181,682		1.32	(j)		1.20			1.51			14
	37.52		25.32			140,985		1.31			1.08			1.49			22
	13.00		9.82			4,543		1.86			0.89			2.04			15
	11.97		26.72	(g)		5,303		1.87			1.44	(g)		2.12			14
	18.01		(44.27	)(h)		5,225		1.91			1.74			2.14			13
	42.13		19.25			13,236		1.87			0.64			2.00			14
	37.26		24.57			11,734		1.92			0.50			1.99			22
	12.85		9.69			23,370		1.86			0.88			2.04			15
	11.85		26.76	(g)		22,934		1.87			1.46	(g)		2.12			14
	17.92		(44.24	)(h)		24,300		1.91			1.74			2.14			13
	41.95		19.25			61,023		1.87			0.65			2.01			14
	37.11		24.57			46,106		1.91			0.57			1.99			22
	13.37		10.07			70		1.56			1.17			1.79			15
	12.31		26.95	(g)		64		1.56			1.76	(g)		1.85			14
	13.55		10.86			242,131		0.86			1.86			1.10			15
	12.47		27.92	(g)		144,494		0.86			2.39	(g)		1.16			14
	18.38		(43.70	)(h)		86,640		0.90	(i)		2.86			1.19			13
	42.72		20.45			76,309		0.87	(j)		1.67			1.06			14
	37.63		2.67			30,533		0.86			0.82			1.07			22
	13.56		10.72			241,123		1.06			1.74			1.29			15
	12.47		27.73	(g)		260,814		1.06			2.28	(g)		1.37			14
	18.38		(43.82	)(h)		277,313		1.10	(i)		2.10			1.37			13
	42.72		20.21			3,202,097		1.07	(j)		1.42			1.25			14
	37.63		25.66			4,098,105		1.06			1.46			1.24			22

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 93

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
International Equity Index Fund
Class A
Year Ended October 31, 2010	$	17.89	$	0.33	(e)	$	1.10	(f)	$	1.43		$	(0.29	)	$	—		$	(0.29	)	$	—	(g)
Year Ended October 31, 2009		16.27		0.36	(e)(h)		3.52	(h)		3.88			(0.70	)		(1.56	)		(2.26	)		—	(g)
Year Ended October 31, 2008		33.43		0.78			(15.70	)		(14.92	)		(0.58	)		(1.66	)		(2.24	)		—	(g)
Year Ended October 31, 2007		26.63		0.50	(e)		7.00			7.50			(0.54	)		(0.16	)		(0.70	)		—	(g)
July 1, 2006 through October 31, 2006 (j)		24.55		0.06			2.02			2.08			—			—			—			—
Year Ended June 30, 2006		19.57		0.43	(e)		4.90			5.33			(0.35	)		—			(0.35	)		—	(g)
Class B
Year Ended October 31, 2010		16.54		0.18	(e)		1.02	(f)		1.20			(0.17	)		—			(0.17	)		—	(g)
Year Ended October 31, 2009		15.13		0.24	(e)(h)		3.25	(h)		3.49			(0.52	)		(1.56	)		(2.08	)		—	(g)
Year Ended October 31, 2008		31.25		0.55			(14.64	)		(14.09	)		(0.37	)		(1.66	)		(2.03	)		—	(g)
Year Ended October 31, 2007		24.93		0.29	(e)		6.55			6.84			(0.36	)		(0.16	)		(0.52	)		—	(g)
July 1, 2006 through October 31, 2006 (j)		23.04		0.02			1.87			1.89			—			—			—			—
Year Ended June 30, 2006		18.42		0.25	(e)		4.62			4.87			(0.25	)		—			(0.25	)		—	(g)
Class C
Year Ended October 31, 2010		17.35		0.20	(e)		1.06	(f)		1.26			(0.20	)		—			(0.20	)		—	(g)
Year Ended October 31, 2009		15.78		0.24	(e)(h)		3.41	(h)		3.65			(0.52	)		(1.56	)		(2.08	)		—	(g)
Year Ended October 31, 2008		32.52		0.57			(15.24	)		(14.67	)		(0.41	)		(1.66	)		(2.07	)		—	(g)
Year Ended October 31, 2007		25.94		0.30	(e)		6.81			7.11			(0.37	)		(0.16	)		(0.53	)		—	(g)
July 1, 2006 through October 31, 2006 (j)		23.97		0.01			1.96			1.97			—			—			—			—
Year Ended June 30, 2006		19.12		0.24	(e)		4.81			5.05			(0.20	)		—			(0.20	)		—	(g)
Class R2
Year Ended October 31, 2010		17.76		0.28	(e)		1.10	(f)		1.38			(0.28	)		—			(0.28	)		—	(g)
November 3, 2008 (l) through October 31, 2009		16.32		0.27	(e)(h)		3.48	(h)		3.75			(0.75	)		(1.56	)		(2.31	)		—	(g)
Select Class
Year Ended October 31, 2010		18.01		0.37	(e)		1.12	(f)		1.49			(0.33	)		—			(0.33	)		—	(g)
Year Ended October 31, 2009		16.39		0.42	(e)(h)		3.51	(h)		3.93			(0.75	)		(1.56	)		(2.31	)		—	(g)
Year Ended October 31, 2008		33.65		0.80			(15.75	)		(14.95	)		(0.65	)		(1.66	)		(2.31	)		—	(g)
Year Ended October 31, 2007		26.79		0.59	(e)		7.02			7.61			(0.59	)		(0.16	)		(0.75	)		—	(g)
July 1, 2006 through October 31, 2006 (j)		24.67		0.10			2.02			2.12			—			—			—			—
Year Ended June 30, 2006		19.65		0.46	(e)		4.95			5.41			(0.39	)		—			(0.39	)		—	(g)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) An affiliate of JPMorgan Chase & Co. reimbursed the Fund for losses incurred from an operational error. The impact was less than $0.01 to the net realized and unrealized gains (losses) on investments per share and less than 0.01% to the total return.

(g) Amount rounds to less than $0.01.

(h) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net realized and unrealized gains (losses) on investments per share would have been $3.48, $3.22, $3.38, $3.45 and $3.48 and the total return would have been 27.45%, 26.55%, 26.52%, 26.75% and 27.81% for Class A, Class B, Class C, Class R2 and Select Class Shares, respectively. The impact on net investment income (loss) per share and the net investment income (loss) ratio was less than $0.01 and 0.01%, respectively, for Class A, Class B, Class C, Class R2, and Select Class Shares.

(i) Includes a gain resulting from a payment by affiliate. The effect is less than 0.01% on total return.

(j) The Fund changed its fiscal year end from June 30 to October 31.

(k) Amount rounds to less than 1%.

(l) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

94 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	19.03		8.09	%(f)	$	124,178		1.07	%		1.89	%		1.34	%		39	%
	17.89		27.74	(h)		109,441		1.07			2.40	(h)		1.37			37
	16.27		(47.49	)(i)		82,272		1.07			2.97			1.27			18
	33.43		28.72			139,828		1.07			1.72			1.28			15
	26.63		8.47			91,809		1.07			0.86			1.28			—	(k)
	24.55		27.41			82,186		1.07			1.87			1.29			12
	17.57		7.32	(f)		6,503		1.80			1.11			1.83			39
	16.54		26.78	(h)		8,179		1.80			1.72	(h)		1.87			37
	15.13		(47.88	)(i)		8,547		1.77			2.18			1.77			18
	31.25		27.87			21,693		1.77			1.03			1.77			15
	24.93		8.20			20,192		1.77			0.16			1.78			—	(k)
	23.04		26.54			20,317		1.78			1.17			1.79			12
	18.41		7.34	(f)		18,148		1.80			1.19			1.83			39
	17.35		26.74	(h)		16,231		1.80			1.63	(h)		1.87			37
	15.78		(47.85	)(i)		10,639		1.77			2.16			1.77			18
	32.52		27.83			23,567		1.78			1.03			1.78			15
	25.94		8.22			13,871		1.77			0.16			1.78			—	(k)
	23.97		26.48			12,718		1.78			1.08			1.79			12
	18.86		7.88	(f)		251		1.32			1.62			1.59			39
	17.76		26.96	(h)		234		1.32			1.77	(h)		1.62			37
	19.17		8.37	(f)		516,537		0.82			2.08			1.08			39
	18.01		28.02	(h)		772,784		0.82			2.76	(h)		1.12			37
	16.39		(47.35	)(i)		714,939		0.82			3.09			1.02			18
	33.65		29.02			1,584,921		0.82			1.97			1.03			15
	26.79		8.59			1,243,966		0.82			1.12			1.03			—	(k)
	24.67		27.74			1,170,044		0.82			1.99			1.04			12

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 95

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Redemption fees
International Opportunities Fund
Class A
Year Ended October 31, 2010	$	12.10	$	0.15	(e)	$	1.24		$	1.39		$	(0.29	)	$	—	(f)
Year Ended October 31, 2009		9.95		0.19	(e)(g)		2.16	(g)		2.35			(0.20	)		—	(f)
Year Ended October 31, 2008		18.40		0.30	(e)		(8.48	)		(8.18	)		(0.27	)		—	(f)
Year Ended October 31, 2007		15.00		0.26	(e)		3.31			3.57			(0.17	)		—	(f)
Year Ended October 31, 2006		11.62		0.15	(e)		3.40			3.55			(0.17	)		—	(f)
Class B
Year Ended October 31, 2010		12.03		0.08	(e)		1.23			1.31			(0.25	)		—	(f)
Year Ended October 31, 2009		9.83		0.14	(e)(g)		2.16	(g)		2.30			(0.10	)		—	(f)
Year Ended October 31, 2008		18.20		0.23	(e)		(8.39	)		(8.16	)		(0.21	)		—	(f)
Year Ended October 31, 2007		14.86		0.18	(e)		3.27			3.45			(0.11	)		—	(f)
Year Ended October 31, 2006		11.53		0.09	(e)		3.36			3.45			(0.12	)		—	(f)
Class C
Year Ended October 31, 2010		11.82		0.09	(e)		1.20			1.29			(0.27	)		—	(f)
Year Ended October 31, 2009		9.77		0.13	(e)(g)		2.11	(g)		2.24			(0.19	)		—	(f)
Year Ended October 31, 2008		18.21		0.23	(e)		(8.35	)		(8.12	)		(0.32	)		—	(f)
July 31, 2007 (h) through October 31, 2007		16.88		(0.03	)(e)		1.36			1.33			—			—	(f)
Institutional Class
Year Ended October 31, 2010		12.29		0.22	(e)		1.24			1.46			(0.33	)		—	(f)
Year Ended October 31, 2009		10.13		0.25	(e)(g)		2.18	(g)		2.43			(0.27	)		—	(f)
Year Ended October 31, 2008		18.72		0.38	(e)		(8.62	)		(8.24	)		(0.35	)		—	(f)
Year Ended October 31, 2007		15.25		0.34	(e)		3.37			3.71			(0.24	)		—	(f)
Year Ended October 31, 2006		11.82		0.19	(e)		3.48			3.67			(0.24	)		—	(f)
Select Class
Year Ended October 31, 2010		12.24		0.19	(e)		1.25			1.44			(0.31	)		—	(f)
Year Ended October 31, 2009		10.07		0.22	(e)(g)		2.18	(g)		2.40			(0.23	)		—	(f)
Year Ended October 31, 2008		18.60		0.34	(e)		(8.56	)		(8.22	)		(0.31	)		—	(f)
Year Ended October 31, 2007		15.16		0.30	(e)		3.34			3.64			(0.20	)		—	(f)
Year Ended October 31, 2006		11.75		0.17	(e)		3.46			3.63			(0.22	)		—	(f)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net realized and unrealized gains (losses) on investments per share would have been $2.15, $2.14, $2.10, $2.17 and $2.17 , the total return would have been 24.07%, 23.41%, 23.40%, 24.60% and 24.31% and the net investment income (loss) ratio would have been 1.83%, 1.33%, 1.19%, 1.19%, 2.40% and 2.11% for Class A, Class B, Class C, Institutional Class and Select Class Shares, respectively. The net investment income (loss) per share would have been $0.12 for Class C Shares. The impact on net investment income (loss) per share was less than $0.01 for Class A, Class B, Institutional Class and Select Class Shares.

(h) Commencement of offering of class of shares.

(i) Includes interest expense of 0.01%.

SEE NOTES TO FINANCIAL STATEMENTS.

96 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	13.20		11.67	%	$	13,904		1.34	%		1.23	%		1.36	%		57	%
	12.10		24.17	(g)		13,773		1.41			1.84	(g)		1.42			85
	9.95		(45.06	)		6,700		1.39			1.99			1.39			70
	18.40		23.98			13,255		1.39			1.58			1.40			92
	15.00		30.88			11,261		1.42			1.12			1.56			92
	13.09		11.01			949		1.85			0.65			1.86			57
	12.03		23.62	(g)		1,716		1.91			1.34	(g)		1.92			85
	9.83		(45.31	)		879		1.89			1.48			1.89			70
	18.20		23.30			2,023		1.89			1.06			1.90			92
	14.86		30.17			1,396		1.92			0.65			2.06			92
	12.84		11.05			849		1.85			0.77			1.86			57
	11.82		23.50	(g)		636		1.91			1.20	(g)		1.92			85
	9.77		(45.31	)		87		1.89			1.58			1.89			70
	18.21		7.88			77		1.90			(0.69	)		1.94			92
	13.42		12.12			272,487		0.91			1.75			0.96			57
	12.29		24.70	(g)		161,023		0.92			2.41	(g)		1.02			85
	10.13		(44.77	)		126,248		0.92			2.48			0.98			70
	18.72		24.58			154,596		0.93	(i)		1.99			1.00			92
	15.25		31.48			77,502		0.92			1.33			1.15			92
	13.37		11.93			30,537		1.09			1.56			1.11			57
	12.24		24.41	(g)		28,588		1.16			2.12	(g)		1.17			85
	10.07		(44.87	)		23,645		1.14			2.20			1.14			70
	18.60		24.22			63,875		1.14			1.78			1.15			92
	15.16		31.25			55,237		1.17			1.24			1.30			92

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 97

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
International Value Fund
Class A
Year Ended October 31, 2010	$	12.27	$	0.17	(e)	$	1.20		$	1.37		$	(0.28	)	$	—		$	(0.28	)	$	—	(f)
Year Ended October 31, 2009		10.32		0.23	(e)		2.06			2.29			(0.34	)		—			(0.34	)		—	(f)
Year Ended October 31, 2008		20.84		0.41	(e)		(9.73	)		(9.32	)		(0.22	)		(0.98	)		(1.20	)		—	(f)
Year Ended October 31, 2007		16.65		0.29	(e)		4.10			4.39			(0.20	)		—			(0.20	)		—	(f)
Year Ended October 31, 2006		12.59		0.41	(e)		3.81			4.22			(0.16	)		—			(0.16	)		—	(f)
Class B
Year Ended October 31, 2010		12.10		0.11	(e)		1.18			1.29			(0.21	)		—			(0.21	)		—	(f)
Year Ended October 31, 2009		10.12		0.18	(e)		2.03			2.21			(0.23	)		—			(0.23	)		—	(f)
Year Ended October 31, 2008		20.46		0.32	(e)		(9.56	)		(9.24	)		(0.12	)		(0.98	)		(1.10	)		—	(f)
Year Ended October 31, 2007		16.37		0.19	(e)		4.03			4.22			(0.13	)		—			(0.13	)		—	(f)
Year Ended October 31, 2006		12.40		0.34	(e)		3.75			4.09			(0.12	)		—			(0.12	)		—	(f)
Class C
Year Ended October 31, 2010		11.96		0.11	(e)		1.17			1.28			(0.23	)		—			(0.23	)		—	(f)
Year Ended October 31, 2009		10.04		0.18	(e)		2.02			2.20			(0.28	)		—			(0.28	)		—	(f)
Year Ended October 31, 2008		20.36		0.33	(e)		(9.51	)		(9.18	)		(0.16	)		(0.98	)		(1.14	)		—	(f)
Year Ended October 31, 2007		16.37		0.20	(e)		4.01			4.21			(0.22	)		—			(0.22	)		—	(f)
July 11, 2006 (g) through October 31, 2006		15.06		—	(e)(f)		1.31			1.31			—			—			—			—	(f)
Class R2
Year Ended October 31, 2010		12.19		0.11	(e)		1.21			1.32			(0.30	)		—			(0.30	)		—	(f)
November 3, 2008 (g) through October 31, 2009		10.33		0.09	(e)		2.15			2.24			(0.38	)		—			(0.38	)		—	(f)
Institutional Class
Year Ended October 31, 2010		12.47		0.25	(e)		1.19			1.44			(0.32	)		—			(0.32	)		—	(f)
Year Ended October 31, 2009		10.47		0.28	(e)		2.10			2.38			(0.38	)		—			(0.38	)		—	(f)
Year Ended October 31, 2008		21.11		0.50	(e)		(9.89	)		(9.39	)		(0.27	)		(0.98	)		(1.25	)		—	(f)
Year Ended October 31, 2007		16.83		0.34	(e)		4.17			4.51			(0.23	)		—			(0.23	)		—	(f)
Year Ended October 31, 2006		12.70		0.42	(e)		3.91			4.33			(0.20	)		—			(0.20	)		—	(f)
Select Class
Year Ended October 31, 2010		12.40		0.23	(e)		1.18			1.41			(0.31	)		—			(0.31	)		—	(f)
Year Ended October 31, 2009		10.42		0.25	(e)		2.10			2.35			(0.37	)		—			(0.37	)		—	(f)
Year Ended October 31, 2008		21.01		0.47	(e)		(9.84	)		(9.37	)		(0.24	)		(0.98	)		(1.22	)		—	(f)
Year Ended October 31, 2007		16.76		0.32	(e)		4.15			4.47			(0.22	)		—			(0.22	)		—	(f)
Year Ended October 31, 2006		12.65		0.40	(e)		3.89			4.29			(0.18	)		—			(0.18	)		—	(f)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

98 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	13.36		11.35	%	$	143,259		1.34	%		1.41	%		1.35	%		92	%
	12.27		23.08			134,648		1.36			2.20			1.36			98
	10.32		(47.12	)		79,202		1.32			2.59			1.32			86
	20.84		26.60			106,228		1.34			1.55			1.34			92
	16.65		33.85			23,013		1.39			2.65			1.39			80
	13.18		10.81			5,337		1.84			0.91			1.85			92
	12.10		22.50			6,517		1.86			1.80			1.86			98
	10.12		(47.40	)		7,321		1.82			2.03			1.82			86
	20.46		25.96			14,604		1.84			1.04			1.84			92
	16.37		33.20			7,790		1.89			2.27			1.90			80
	13.01		10.81			19,646		1.84			0.89			1.85			92
	11.96		22.60			18,081		1.86			1.77			1.86			98
	10.04		(47.43	)		12,159		1.82			2.12			1.82			86
	20.36		25.96			17,193		1.84			1.09			1.84			92
	16.37		8.70			1,691		1.92			0.03			1.93			80
	13.21		11.00			856		1.60			0.90			1.61			92
	12.19		22.73			423		1.60			0.76			1.60			98
	13.59		11.79			421,538		0.92			2.04			0.95			92
	12.47		23.75			347,238		0.95			2.60			0.96			98
	10.47		(46.94	)		149,326		0.92			3.09			0.92			86
	21.11		27.10			201,062		0.94			1.80			0.94			92
	16.83		34.47			51,749		0.94			2.82			1.01			80
	13.50		11.56			943,998		1.09			1.84			1.10			92
	12.40		23.51			1,132,171		1.11			2.42			1.11			98
	10.42		(47.00	)		564,867		1.07			2.91			1.07			86
	21.01		26.91			732,412		1.09			1.68			1.09			92
	16.76		34.22			259,906		1.14			2.63			1.14			80

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 99

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
Intrepid International Fund
Class A
Year Ended October 31, 2010	$	14.99	$	0.12	(e)	$	1.73		$	1.85		$	(0.25	)	$	—		$	(0.25	)	$	—	(f)
Year Ended October 31, 2009		13.51		0.19	(e)		2.40			2.59			(1.11	)		—			(1.11	)		—	(f)
Year Ended October 31, 2008		27.57		0.49	(e)		(13.93	)		(13.44	)		(0.23	)		(0.39	)		(0.62	)		—	(f)
Year Ended October 31, 2007		21.77		0.21	(e)		5.72			5.93			(0.13	)		—			(0.13	)		—	(f)
Year Ended October 31, 2006		17.24		0.24	(e)		4.46			4.70			(0.17	)		—			(0.17	)		—	(f)
Class C
Year Ended October 31, 2010		14.99		0.05	(e)		1.73			1.78			(0.16	)		—			(0.16	)		—	(f)
Year Ended October 31, 2009		13.37		0.13	(e)		2.41			2.54			(0.92	)		—			(0.92	)		—	(f)
Year Ended October 31, 2008		27.33		0.38	(e)		(13.80	)		(13.42	)		(0.15	)		(0.39	)		(0.54	)		—	(f)
Year Ended October 31, 2007		21.70		0.10	(e)		5.67			5.77			(0.14	)		—			(0.14	)		—	(f)
February 28, 2006 (h) through October 31, 2006		19.66		0.10	(e)		1.94			2.04			—			—			—			—	(f)
Class R2
Year Ended October 31, 2010		14.86		0.08	(e)		1.72			1.80			(0.20	)		—			(0.20	)		—
November 3, 2008 (h) through October 31, 2009		13.56		0.16	(e)		2.32			2.48			(1.18	)		—			(1.18	)		—	(f)
Institutional Class
Year Ended October 31, 2010		15.27		0.19	(e)		1.78			1.97			(0.30	)		—			(0.30	)		—	(f)
Year Ended October 31, 2009		13.76		0.25	(e)		2.46			2.71			(1.20	)		—			(1.20	)		—	(f)
Year Ended October 31, 2008		28.05		0.60	(e)		(14.17	)		(13.57	)		(0.33	)		(0.39	)		(0.72	)		—	(f)
Year Ended October 31, 2007		22.11		0.34	(e)		5.81			6.15			(0.21	)		—			(0.21	)		—	(f)
Year Ended October 31, 2006		17.52		0.36	(e)		4.51			4.87			(0.28	)		—			(0.28	)		—	(f)
Select Class
Year Ended October 31, 2010		15.31		0.15	(e)		1.79			1.94			(0.26	)		—			(0.26	)		—	(f)
Year Ended October 31, 2009		13.72		0.23	(e)		2.45			2.68			(1.09	)		—			(1.09	)		—	(f)
Year Ended October 31, 2008		27.96		0.57	(e)		(14.14	)		(13.57	)		(0.28	)		(0.39	)		(0.67	)		—	(f)
Year Ended October 31, 2007		22.08		0.28	(e)		5.79			6.07			(0.19	)		—			(0.19	)		—	(f)
February 28, 2006 (h) through October 31, 2006		19.90		0.20	(e)		1.98			2.18			—			—			—			—	(f)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Includes interest expense of 0.01%.

(h) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

100 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	16.59		12.54	%	$	23,960		1.50	%		0.78	%		1.73	%		92	%
	14.99		21.38			23,506		1.51	(g)		1.51			1.63			95
	13.51		(49.72	)		13,027		1.51			2.25			1.53			126
	27.57		27.38			24,750		1.50			0.84			1.54			84
	21.77		27.46			12,886		1.50			1.17			1.64			92
	16.61		12.01			1,489		2.00			0.30			2.24			92
	14.99		20.77			1,489		2.00	(g)		1.03			2.13			95
	13.37		(49.97	)		1,773		2.01	(g)		1.75			2.03			126
	27.33		26.74			4,861		2.00			0.40			2.04			84
	21.70		10.38			1,508		2.00			0.76			2.12			92
	16.46		12.26			68		1.75			0.53			1.99			92
	14.86		20.61			60		1.75	(g)		1.29			1.87			95
	16.94		13.11			99,766		1.00			1.21			1.31			92
	15.27		22.05			112,905		1.01	(g)		1.90			1.22			95
	13.76		(49.49	)		108,212		1.01	(g)		2.68			1.13			126
	28.05		28.04			368,217		1.00			1.37			1.14			84
	22.11		28.07			496,326		1.00			1.74			1.24			92
	16.99		12.86			26,408		1.25			0.93			1.37			92
	15.31		21.65			330,843		1.25	(g)		1.81			1.38			95
	13.72		(49.58	)		530,210		1.26	(g)		2.56			1.28			126
	27.96		27.69			1,966,815		1.25			1.14			1.29			84
	22.08		10.95			521,615		1.25			1.46			1.38			92

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 101

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (“JPM I”) and JPMorgan Trust II (“JPM II”) (the “Trusts”) were formed on November 12, 2004, as Delaware statutory trusts, pursuant to Declarations of Trust dated November 5, 2004 and are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as open-end management investment companies.

The following are 8 separate funds of the Trusts (collectively, the “Funds”) covered by this report:

	Classes Offered	Trust	Diversified/Non-Diversified
Emerging Economies Fund	Class A, Class C, Class R5 and Select Class	JPM I	Non-Diversified
Emerging Markets Equity Fund	Class A, Class B, Class C, Institutional Class and Select Class	JPM I	Diversified
Global Focus Fund	Class A, Class C, Class R5 and Select Class	JPM I	Diversified
International Equity Fund	Class A, Class B, Class C, Class R2, Class R5 and Select Class	JPM I	Diversified
International Equity Index Fund	Class A, Class B, Class C, Class R2 and Select Class	JPM II	Diversified
International Opportunities Fund	Class A, Class B, Class C, Institutional Class and Select Class	JPM I	Diversified
International Value Fund	Class A, Class B, Class C, Class R2, Institutional Class and Select Class	JPM I	Diversified
Intrepid International Fund	Class A, Class C, Class R2, Institutional Class and Select Class	JPM I	Diversified

Prior to November 1, 2010, the Emerging Economies Fund was not publicly offered for investment.

Prior to April 30, 2010, the Global Focus Fund was not publicly offered for investment.

Effective November 1, 2009, Class B Shares of the Emerging Markets Equity Fund, International Equity Fund, International Equity Index Fund, International Opportunities Fund and International Value Fund may not be purchased or acquired by new or existing shareholders, except through exchanges from Class B Shares of another J.P. Morgan Fund and dividend reinvestments. Shareholders who have invested in Class B Shares prior to November 1, 2009 may continue to hold their Class B Shares until they convert automatically to Class A Shares.

Class A Shares generally provide for a front-end sales charge while Class B and Class C Shares provide for a contingent deferred sales charge (“CDSC”). Class B Shares automatically convert to Class A Shares after eight years. No sales charges are assessed with respect to the Class R2, Class R5, Select Class and Institutional Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Funds’ prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trusts in the preparation of their financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could have been material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an

102 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset value.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following tables represent each valuation input by country as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

Emerging Economies Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Participation Notes
India	$	140	$	92	$	—	$	232
Total Participation Notes		140		92		—		232
Common Stocks
Brazil		494		232		—		726
Canada		82		—		—		82
China		43		433		—		476
Egypt		—		102		—		102
Hong Kong		—		791		—		791
India		142		—		—		142
Indonesia		—		70		—		70
Malaysia		—		52		—		52
Mexico		228		—		—		228
Poland		—		203		—		203
Russia		—		570		—		570
South Africa		—		602		—		602
South Korea		—		1,238		—		1,238
Taiwan		—		761		—		761
Thailand		—		297		—		297
Turkey		—		407		—		407
Total Common Stocks		989		5,758		—		6,747
Preferred Stocks
Brazil		169		286		—		455
Total Preferred Stocks		169		286		—		455
Total Investments in Securities	$	1,298	$	6,136	$	—	$	7,434

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 103

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Emerging Markets Equity Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Brazil	$	68,543	$	—	$	—	$	68,543
Chile		—		22,529		—		22,529
China		—		241,609		—		241,609
Egypt		—		20,562		—		20,562
Hong Kong		—		175,068		—		175,068
Hungary		—		19,595		—		19,595
India		30,882		186,408		—		217,290
Indonesia		—		60,272		—		60,272
Luxembourg		—		36,921		—		36,921
Malaysia		—		5,704		—		5,704
Mexico		52,399		23,805		—		76,204
Russia		9,578		59,791		—		69,369
South Africa		—		111,937		—		111,937
South Korea		—		156,221		—		156,221
Taiwan		—		89,761		—		89,761
Turkey		—		55,534		—		55,534
United States		19,828		—		—		19,828
Total Common Stocks		181,230		1,265,717		—		1,446,947
Preferred Stocks
Brazil		97,283		100,539		—		197,822
Total Preferred Stocks		97,283		100,539		—		197,822
Short-Term Investment
Investment Company		95,628		—		—		95,628
Total Investments in Securities	$	374,141	$	1,366,256	$	—	$	1,740,397
Global Focus Fund
	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	64	$	30	$	—	$	94
Austria		—		67		—		67
Belgium		—		29		—		29
Brazil		37		—		—		37
Canada		51		—		—		51
China		—		59		—		59
Denmark		—		59		—		59
Finland		—		55		—		55
France		—		194		—		194
Germany		—		222		—		222
Greece		—		5		—		5
Hong Kong		—		133		—		133
Indonesia		—		84		—		84
Ireland		—		32		—		32
Israel		—		25		—		25
Italy		—		39		—		39
Japan		—		311		—		311
Netherlands		13		108		—		121
Norway		—		65		—		65

104 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Global Focus Fund (continued)
	Level 1 Quoted prices		Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
South Africa	$	—	$	29		$	—	$	29
Spain		—		74			—		74
Switzerland		45		—			—		45
Taiwan		—		36			—		36
United Arab Emirates		—		25			—		25
United Kingdom		—		421			—		421
United States		667		—			—		667
Total Common Stocks		877		2,102			—		2,979
Total Investments in Securities	$	877	$	2,102		$	—	$	2,979
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	17		$	—	$	17
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	(50	)	$	—	$	(50	)

International Equity Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—	$	20,332	$	—	$	20,332
Belgium		—		6,697		—		6,697
Brazil		7,492		2,610		—		10,102
China		—		10,852		—		10,852
France		—		89,593		—		89,593
Germany		—		44,553		—		44,553
Hong Kong		—		21,356		—		21,356
Ireland		—		9,313		—		9,313
Israel		—		5,387		—		5,387
Italy		—		9,303		—		9,303
Japan		—		104,310		—		104,310
Mexico		—		5,750		—		5,750
Netherlands		—		34,757		—		34,757
South Korea		—		4,850		—		4,850
Spain		—		23,038		—		23,038
Sweden		—		4,306		—		4,306
Switzerland		—		69,968		—		69,968
Taiwan		—		5,106		—		5,106
United Kingdom		—		148,389		—		148,389
Total Common Stocks		7,492		620,470		—		627,962
Preferred Stock
Germany		—		6,387		—		6,387
Total Preferred Stock		—		6,387		—		6,387
Rights
United Kingdom		—		389		—		389
Short-Term Investment
Investment Company		6,005		—		—		6,005
Investment of Cash Collateral for Securities on Loan
Investment Company		9,304		—		—		9,304
Total Investments in Securities	$	22,801	$	627,246	$	—	$	650,047

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 105

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

International Equity Index Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs			Total
Investments in Securities
Common Stocks
Australia	$	—	$	26,289	$	—	(a)	$	26,289
Austria		—		10,505		—			10,505
Belgium		—		12,248		—			12,248
Bermuda		—		1,039		—			1,039
Brazil		1,242		—		—			1,242
Chile		4,038		1,045		—			5,083
China		—		3,816		—			3,816
Cyprus		—		779		—			779
Denmark		—		7,977		—			7,977
Finland		—		6,120		—			6,120
France		—		69,060		—			69,060
Germany		—		84,471		—			84,471
Greece		—		6,806		—			6,806
Hong Kong		—		6,602		—			6,602
Hungary		—		5,214		—			5,214
India		—		5,201		—			5,201
Ireland		—		5,793		—			5,793
Israel		93		4,354		—			4,447
Italy		—		53,276		—			53,276
Japan		—		115,337		—			115,337
Luxembourg		—		4,344		—			4,344
Macau		—		182		—			182
Mexico		5,467		89		—			5,556
Netherlands		—		25,757		—			25,757
New Zealand		—		2,880		—			2,880
Norway		—		9,522		—			9,522
Philippines		—		5,027		—			5,027
Portugal		—		6,261		—			6,261
Singapore		—		4,603		—			4,603
South Africa		—		5,254		—			5,254
South Korea		—		5,247		—			5,247
Spain		—		41,263		—			41,263
Sweden		—		10,986		—			10,986
Switzerland		—		13,873		—			13,873
Taiwan		—		4,703		—			4,703
Thailand		—		4,937		—			4,937
Turkey		—		5,711		—			5,711
United Kingdom		—		49,438		5			49,443
United States		—		117		—			117
Total Common Stocks		10,840		626,126		5			636,971
Preferred Stocks
Brazil		4,352		—		—			4,352
Germany		—		5,541		—			5,541
Total Preferred Stocks		4,352		5,541		—			9,893
Investment Companies		13,268		—		—			13,268
Rights
Spain		—		70		—			70
Warrants
France		—		3		—			3
Hong Kong		—		2		—			2
Italy		—		2		—			2
Total Warrants		—		7		—			7

106 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

International Equity Index Fund (continued)
	Level 1 Quoted prices			Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Short-Term Investment
Investment Company	$	156		$	—	$	—	$	156
Investment of Cash Collateral for Securities on Loan
Investment Company		19,145			—		—		19,145
Total Investments in Securities	$	47,761		$	631,744	$	5	$	679,510
Appreciation in Other Financial Instruments
Futures Contracts	$	91		$	—	$	—	$	91
Depreciation in Other Financial Instruments
Futures Contracts	$	(23	)	$	—	$	—	$	(23	)

International Opportunities Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—	$	7,065	$	—	$	7,065
Austria		—		3,244		—		3,244
Belgium		—		2,807		—		2,807
Canada		5,052		—		—		5,052
China		—		4,111		—		4,111
Finland		—		2,328		—		2,328
France		—		34,347		—		34,347
Germany		—		20,116		—		20,116
Hong Kong		—		15,137		—		15,137
India		2,818		—		—		2,818
Indonesia		—		3,229		—		3,229
Ireland		—		5,389		—		5,389
Israel		—		1,822		—		1,822
Italy		—		3,722		—		3,722
Japan		—		55,608		—		55,608
Luxembourg		—		4,455		—		4,455
Netherlands		—		28,837		—		28,837
Norway		—		3,260		—		3,260
Singapore		—		2,113		—		2,113
South Korea		—		2,392		—		2,392
Spain		—		9,902		—		9,902
Switzerland		—		7,718		—		7,718
Taiwan		—		6,312		—		6,312
United Kingdom		—		71,712		—		71,712
Total Common Stocks		7,870		295,626		—		303,496
Preferred Stock
Germany		—		4,603		—		4,603
Total Preferred Stock		—		4,603		—		4,603
Short-Term Investment
Investment Company		8,106		—		—		8,106
Investment of Cash Collateral for Securities on Loan
Investment Company		4,447		—		—		4,447
Total Investments in Securities	$	20,423	$	300,229	$	—	$	320,652

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 107

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

International Opportunities Fund (continued)
	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	4,899		$	—	$	4,899
Futures Contracts		50			—			—		50
Total Appreciation in Other Financial Instruments	$	50		$	4,899		$	—	$	4,949
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	(3,452	)	$	—	$	(3,452	)
Futures Contracts		(56	)		—			—		(56	)
Total Depreciation in Other Financial Instruments	$	(56	)	$	(3,452	)	$	—	$	(3,508	)
International Value Fund
	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—		$	20,202		$	—	$	20,202
Austria		—			14,072			—		14,072
Belgium		—			17,571			—		17,571
Canada		17,637			—			—		17,637
China		—			14,636			—		14,636
Finland		—			18,845			—		18,845
France		—			204,363			—		204,363
Germany		—			126,593			—		126,593
Hong Kong		—			41,921			—		41,921
Indonesia		—			12,669			—		12,669
Ireland		—			12,504			—		12,504
Italy		—			14,687			—		14,687
Japan		—			256,174			—		256,174
Luxembourg		—			12,267			—		12,267
Netherlands		—			145,542			—		145,542
Norway		—			36,114			—		36,114
Portugal		—			17,587			—		17,587
Singapore		—			13,842			—		13,842
South Africa		—			12,534			—		12,534
South Korea		—			13,535			—		13,535
Spain		—			62,768			—		62,768
Switzerland		—			36,691			—		36,691
Taiwan		—			13,183			—		13,183
United Kingdom		—			317,322			—		317,322
Total Common Stocks		17,637			1,435,622			—		1,453,259
Preferred Stock
Germany		—			25,221			—		25,221
Total Preferred Stock		—			25,221			—		25,221
Short-Term Investment
Investment Company		39,408			—			—		39,408
Investment of Cash Collateral for Securities on Loan
Investment Company		37,337			—			—		37,337
Total Investments in Securities	$	94,382		$	1,460,843		$	—	$	1,555,225
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	23,308		$	—	$	23,308

108 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

International Value Fund (continued)
	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	(13,101	)	$	—	$	(13,101	)
Futures Contracts		(268	)		—			—		(268	)
Total Depreciation in Other Financial Instruments	$	(268	)	$	(13,101	)	$	—	$	(13,369	)

Intrepid International Fund

	Level 1 Quoted prices			Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—		$	8,020	$	—	$	8,020
Austria		—			890		—		890
Belgium		—			1,339		—		1,339
Bermuda		—			464		—		464
Brazil		783			—		—		783
China		430			3,896		—		4,326
Denmark		—			1,407		—		1,407
Finland		—			2,432		—		2,432
France		—			12,377		—		12,377
Germany		—			11,120		—		11,120
Hong Kong		—			5,957		—		5,957
India		—			1,229		—		1,229
Indonesia		—			833		—		833
Ireland		—			1,052		—		1,052
Israel		—			427		—		427
Italy		—			3,157		—		3,157
Japan		—			26,135		—		26,135
Macau		—			841		—		841
Mexico		422			—		—		422
Netherlands		—			6,880		—		6,880
Norway		—			1,384		—		1,384
Singapore		—			812		—		812
South Korea		—			1,268		—		1,268
Spain		—			4,567		—		4,567
Sweden		—			2,225		—		2,225
Switzerland		—			13,740		—		13,740
Taiwan		—			1,218		—		1,218
United Kingdom		—			34,251		—		34,251
Total Common Stocks		1,635			147,921		—		149,556
Preferred Stocks
Brazil		926			—		—		926
Germany		—			1,193		—		1,193
Total Preferred Stocks		926			1,193		—		2,119
Rights
United Kingdom		—			48		—		48
Short-Term Investment
Investment Company		—	(a)		—		—		—	(a)
Total Investments in Securities	$	2,561		$	149,162	$	—	$	151,723

(a) Amount rounds to less than $1,000.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 109

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The following is a summary of investments for which significant unobservable inputs (Level 3) were used in determining fair value (amounts in thousands):

JPM Emerging Economies Fund	Balance as of 10/31/09			Realized gain (loss)		Change in unrealized appreciation (depreciation)		Net amortization (accretion)		Net purchases (sales)			Transfers into Level 3			Transfers out of Level 3			Balance as of 10/31/10
Investments in Securities
Common Stocks — Taiwan	$	32		$	—	$	—	$	—	$	—		$	—		$	(32	)	$	—
Total	$	32		$	—	$	—	$	—	$	—		$	—		$	(32	)	$	—
JPM International Equity Index Fund	Balance as of 10/31/09			Realized gain (loss)		Change in unrealized appreciation (depreciation)		Net amortization (accretion)		Net purchases (sales)			Transfers into Level 3			Transfers out of Level 3			Balance as of 10/31/10
Investments in Securities
Common Stocks — Australia	$	—	(a)	$	—	$	—	$	—	$	—	(a)	$	—	(a)	$	—		$	—	(a)
Common Stocks — United Kingdom		—			—		—		—		—			5			—			5
Total	$	—	(a)	$	—	$	—	$	—	$	—	(a)	$	5		$	—		$	5

(a) Security has a zero value.

Transfers into, and out of, Level 3 are valued utilizing values as of the beginning of the period.

Transfers from Level 2 to Level 3 or from Level 3 to Level 2 are due to a decline or an increase in market activity (e.g. frequency of trades), which resulted in a lack of or increase in available market inputs to determine price.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Restricted and Illiquid Securities — Certain securities held by the Funds may be subject to legal or contractual restrictions on resale or are illiquid. Restricted securities generally may be resold in transactions exempt from registration. An illiquid security is a security which cannot be disposed of promptly (within seven days) and in the usual course of business at approximately its fair value and includes, but is not limited to, repurchase agreements maturing in excess of seven days, time deposits with a withdrawal penalty, non-negotiable instruments and instruments for which no market exists. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at the current valuation may be difficult.

The following is the value and percentage of net assets of illiquid securities as of October 31, 2010 (amounts in thousands):

	Value	Percentage
International Equity Index Fund	$5		—	%(a)

(a) Amount rounds to less than 0.01%.

C. Futures Contracts — The International Equity Index Fund, International Opportunities Fund, International Value Fund and Intrepid International Fund use index futures contracts to gain or reduce exposure to the stock market, maintain liquidity and minimize transaction costs. The Funds also buy futures contracts to immediately invest incoming cash in the market or sell futures in response to cash outflows, thereby simulating an invested position in the underlying index while maintaining a cash balance for liquidity.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Funds are required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Funds periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Funds may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Funds to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Funds to unlimited risk of loss. The Funds may enter into

110 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Funds’ credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

D. Forward Foreign Currency Exchange Contracts — The Global Focus Fund, International Equity Index Fund, International Opportunities Fund and International Value Fund may be exposed to foreign currency risks associated with portfolio investments and therefore use forward foreign currency exchange contracts to hedge or manage these exposures. Forward foreign currency exchange contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency.

The values of the forward foreign currency exchange contracts are adjusted daily based on the applicable exchange rate of the underlying currency. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation until the contract settlement date. When the forward contract is closed, the Funds record a realized gain or loss equal to the difference between the value at the time the contract was opened and the value at the time it was closed.

E. Summary of Derivative Information

The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statements of Assets and Liabilities (amounts in thousands):

Global Focus Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Forward Foreign Currency Exchange Contracts
Foreign exchange contracts	Receivables	$	17
Total		$	17
Liabilities:
Foreign exchange contracts	Payables		(50	)
Total		$	(50	)

International Equity Index Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)
Equity contracts	Receivables, Net Assets — Unrealized Appreciation	$	91
Total		$	91
Liabilities:
Equity contracts	Payables, Net Assets — Unrealized Depreciation		(23	)
Total		$	(23	)

International Opportunities Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)			Forward Foreign Currency Exchange Contracts
Foreign exchange contracts	Receivables	$	—		$	4,899
Equity contracts	Receivables, Net Assets — Unrealized Appreciation		50			—
Total		$	50		$	4,899
Liabilities:
Foreign exchange contracts	Payables	$	—		$	(3,452	)
Equity contracts	Payables, Net Assets — Unrealized Depreciation		(56	)		—
Total		$	(56	)	$	(3,452	)

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 111

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

International Value Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)			Forward Foreign Currency Exchange Contracts
Foreign exchange contracts	Receivables	$	—		$	23,308
Total		$	—		$	23,308
Liabilities:
Foreign exchange contracts	Payables		—			(13,101	)
Equity contracts	Payables, Net Assets — Unrealized Depreciation		(268	)		—
Total		$	(268	)	$	(13,101	)

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the Schedules of Portfolio Investments. The Statements of Assets and Liabilities only reflect the current day variation margin receivable/payable to brokers.

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Global Focus Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	68	$	68
Total	$	68	$	68

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Forward Foreign Currency Exchange Contracts			Total
Foreign exchange contracts	$	(36	)	$	(36	)
Total	$	(36	)	$	(36	)

International Equity Index Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Forward Foreign Currency Exchange Contracts			Total
Foreign exchange contracts	$	—	$	(2	)	$	(2	)
Equity contracts		82		—			82
Total	$	82	$	(2	)	$	80

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	640	$	640
Total	$	640	$	640

International Opportunities Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	—		$	2,374	$	2,374
Equity contracts		(378	)		—		(378	)
Total	$	(378	)	$	2,374	$	1,996

112 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	—	$	842	$	842
Equity contracts		83		—		83
Total	$	83	$	842	$	925

International Value Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	—	$	14,841	$	14,841
Equity contracts		8,355		—		8,355
Total	$	8,355	$	14,841	$	23,196

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	—		$	4,179	$	4,179
Equity contracts		(268	)		—		(268	)
Total	$	(268	)	$	4,179	$	3,911

Intrepid International Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	–		$	5	$	5
Equity contracts		(6,159	)		–		(6,159	)
Total	$	(6,159	)	$	5	$	(6,154	)

The Funds’ derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

Derivatives Volume — The table below discloses the volume of the Funds’ derivatives activities as of October 31, 2010 (amounts in thousands). Please refer to the tables in the Summary of Derivatives Information for derivative-related gains and losses associated with volume activity.

	Global Focus Fund		International Equity Index Fund		International Opportunities Fund		International Value Fund		Intrepid International Fund
Futures Contracts:
Average Notional Balance Long	$	—	$	15,915	$	3,539	$	11,941	$	13,144
Ending Notional Balance Long		—		5,558		4,890		31,912		—
Forward Foreign Currency Exchange Contracts:
Average Settlement Value Purchased		549		—		59,890		448,292		—
Average Settlement Value Sold		845		—		53,044		404,764		—
Ending Settlement Value Purchased		507		—		99,026		375,136		—
Ending Settlement Value Sold		835		—		90,477		308,006		—

F. Foreign Currency Translation — The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Funds are presented at the foreign exchange rates and market values at the close of the period, the Funds do not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 113

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on each Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at period end.

G. Securities Lending — Each Fund may lend securities to brokers approved by J.P. Morgan Investment Management Inc. (“JPMIM” or “the “Advisor”) in order to generate additional income. JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, serves as lending agent for the Funds pursuant to an Amended and Restated Securities Lending Agreement effective February 9, 2010 (“Securities Lending Agreement”). Securities loaned are collateralized by cash, which is invested in Capital Shares of the JPMorgan Prime Money Market Fund. Upon termination of a loan, the Funds are required to return to the borrower the posted cash collateral. Loans are subject to termination by the Funds or the borrower at any time.

Securities lending income is comprised of income earned on cash collateral investments (“Collateral Investments”), net of a rebate received from or paid to borrowers for use of cash collateral and lending agent fees. This amount is recorded as Income from securities lending (net) on the Statements of Operations. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Dividend or Interest income, respectively, on the Statements of Operations.

For the year ended October 31, 2010, the Funds earned the following amounts from the investment of cash collateral, prior to rebates or fees, from an investment in an affiliated fund as described below (amounts in thousands):

International Equity Fund	$	40
International Equity Index Fund		94
International Opportunities Fund		23
International Value Fund		130

At the inception of a loan, securities are exchanged for cash collateral equal to at least 102% of the value of loaned U.S. dollar-denominated securities plus accrued interest and 105% of the value of loaned non-dollar-denominated securities, plus accrued interest. The Securities Lending Agreement requires that the loaned securities be marked to market on a daily basis and additional cash collateral is requested from borrowers when the cash received from borrowers becomes less than 102% and 105% of the value of loaned U.S. dollar denominated and non-dollar denominated securities, respectively, subject to certain de minimis guidelines.

The value of the cash collateral received is recorded as a liability on the Statements of Assets and Liabilities and details of Collateral Investments are disclosed in the SOI. At October 31, 2010, the value of outstanding securities on loan and the value of Collateral Investments were as follows (amount in thousands):

	Value of Securities on Loan		Cash Collateral Posted by Borrower		Total Value of Cash Collateral Investments
International Equity Fund	$	8,916	$	9,304	$	9,304
International Equity Index Fund		18,205		19,145		19,145
International Opportunities Fund		4,236		4,447		4,447
International Value Fund		35,883		37,337		37,337

The Funds bear the risk of loss associated with the Collateral Investments and are not entitled to additional collateral from the borrower to cover any such losses. To the extent that the value of the Collateral Investments decline below the amount owed to a borrower, a Fund may incur losses that exceed the amount it earned on lending the security. Upon termination of a loan, a Fund may use leverage (borrow money) to repay the borrower for cash collateral posted if the Advisor does not believe that it is prudent to sell the Collateral Investments to fund the payment of this liability.

Securities lending also involves counterparty risks, including the risk that the loaned securities may not be returned in a timely manner or at all. Subject to certain conditions, JPMCB has agreed to indemnify the Funds from losses resulting from a borrower’s failure to return a loaned security.

The Advisor of the Funds waived fees associated with the Funds’ investment in JPMorgan Prime Money Market Fund as follows (amounts in thousands):

International Equity Fund	$	16
International Equity Index Fund		37
International Opportunities Fund		9
International Value Fund		53

These amounts offset the administration fees and shareholder servicing fees incurred by JPMorgan Prime Money Market Fund related to the Funds’ investment in such fund. A portion of the waiver is voluntary.

114 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Under the Securities Lending Agreement, JPMCB is entitled to a fee, paid monthly in arrears equal to (i) 0.03% of the average dollar value of the loans of U.S. dollar-denominated securities outstanding during a given month; and (ii) 0.09% of the average dollar value of loans of non-dollar-denominated securities outstanding during a given month.

The Funds incurred lending agent fees to JPMCB as follows for the year ended October 31, 2010 (amounts in thousands):

	Lending Agent Fees Incurred
International Equity Fund	$	16
International Equity Index Fund		44
International Opportunities Fund		9
International Value Fund		52

H. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

I. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trusts are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to its Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

J. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years, or since inception if shorter, remains subject to examination by the Internal Revenue Service.

K. Foreign Taxes — The Funds may be subject to foreign taxes on income, gains on investments or currency purchase/repatriation, a portion of which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon their current interpretation of tax rules and regulations that exist in the markets in which they invest.

L. Dividends and Distributions to Shareholders — Dividends from net investment income, if any, are declared and paid at least annually, except for International Equity Fund, which are declared and paid quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital			Accumulated Undistributed/ (Overdistributed) Net Investment Income			Accumulated Net Realized Gain (Loss) on Investments
Emerging Economies Fund	$	—		$	19		$	(19	)
Emerging Markets Equity Fund		—			(538	)		538
Global Focus Fund		—			65			(65	)
International Equity Fund		—			87			(87	)
International Equity Index Fund		—			1,460			(1,460	)
International Opportunities Fund		(25,712	)		2,893			22,819
International Value Fund		—			17,516			(17,516	)
Intrepid International Fund		—			671			(671	)

The reclassifications for the Funds relate primarily to distributions from passive foreign investment company (PFIC) gains and losses (Emerging Economies Fund, International Equity Index Fund and Intrepid International Fund), Brazil IOF tax reclasses (Emerging Economies Fund and Emerging Markets Equity Fund), litigation recovery (International Equity Fund), expiration of capital loss carryforwards (International Opportunities Fund) and foreign currency gains or losses (Emerging Economies Fund, Emerging Markets Equity Fund, Global Focus Fund, International Equity Fund, International Equity Index Fund, International Opportunities Fund and International Value Fund).

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 115

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

M. Redemption Fees — Generally, shares of the Funds held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the applicable Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, JPMIM acts as the investment advisor to the Funds. JPMIM is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). JPMIM supervises the investments of each respective Fund and for such services is paid a fee. The fee is accrued daily and paid monthly based on each Fund’s respective average daily net assets. The annual fee rate for each Fund is as follows:

Emerging Economies Fund	1.00	%
Emerging Markets Equity Fund	1.00
Global Focus Fund	0.80
International Equity Fund	0.80
International Equity Index Fund	0.55
International Opportunities Fund	0.60
International Value Fund	0.60
Intrepid International Fund	0.85

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fees — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding fund of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of each Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trusts’ exclusive underwriter and promotes and arranges for the sale of each Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A, Class B, Class C and Class R2 Shares of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that each Fund shall pay distribution fees, including payments to the Distributor, at annual rates of the average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R2
Emerging Economies Fund		0.25	%		n/a			0.75	%		n/a
Emerging Markets Equity Fund		0.25			0.75	%		0.75			n/a
Global Focus Fund		0.25			n/a			0.75			n/a
International Equity Fund		0.25			0.75			0.75			0.50	%
International Equity Index Fund		0.25			0.75			0.75			0.50
International Opportunities Fund		0.25			0.75			0.75			n/a
International Value Fund		0.25			0.75			0.75			0.50
Intrepid International Fund		0.25			n/a			0.75			0.50

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class B and Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

	Front-End Sales Charge			CDSC
Emerging Markets Equity Fund	$	89		$	29
Global Focus Fund		—	(a)		—	(a)
International Equity Fund		17			9
International Equity Index Fund		69			26
International Opportunities Fund		3			3
International Value Fund		21			9
Intrepid International Fund		2			—	(a)

(a) Amount rounds to less than $1,000.

116 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

D. Shareholder Servicing Fees — The Trusts, on behalf of the Funds, have entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R2			Class R5			Institutional Class			Select Class
Emerging Economies Fund		0.25	%		n/a			0.25	%		n/a			0.05	%		n/a			0.25	%
Emerging Markets Equity Fund		0.25			0.25	%		0.25			n/a			n/a			0.10	%		0.25
Global Focus Fund		0.25			n/a			0.25			n/a			0.05			n/a			0.25
International Equity Fund		0.25			0.25			0.25			0.25	%		0.05			n/a			0.25
International Equity Index Fund		0.25			0.25			0.25			0.25			n/a			n/a			0.25
International Opportunities Fund		0.25			0.25			0.25			n/a			n/a			0.10			0.25
International Value Fund		0.25			0.25			0.25			0.25			n/a			0.10			0.25
Intrepid International Fund		0.25			n/a			0.25			0.25			n/a			0.10			0.25

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMCB provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. The Funds earn interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statements of Operations.

Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Funds to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Funds’ respective average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R2			Class R5			Institutional Class			Select Class
Emerging Economies Fund		1.85	%		n/a			2.35	%		n/a			1.40	%		n/a			1.60	%
Emerging Markets Equity Fund		2.00			2.50	%		2.50			n/a			n/a			1.45	%		1.75
Global Focus Fund		1.45			n/a			1.95			n/a			1.00			n/a			1.20
International Equity Fund		1.31			2.00			2.00			1.56	%		0.86			n/a			1.06
International Equity Index Fund		1.18			1.93			1.93			1.43			n/a			n/a			0.93
International Opportunities Fund		1.31	*		1.92			1.92			n/a			n/a			0.91	*		1.06	*
International Value Fund		1.45			1.95			1.95			1.70			n/a			0.95			1.41
Intrepid International Fund		1.80			n/a			2.00			2.05			n/a			1.00			1.25

* Prior to September 1, 2010, the contractual expense limitations for International Opportunities Fund were 1.42%, 0.92% and 1.17% for Class A Shares, Institutional Class Shares and Select Class Shares, respectively.

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011, except for International Opportunities Fund where the expense limitation percentage is in effect until at least February 29, 2012. In addition, the Funds’ service providers have voluntarily waived fees during the year ended October 31, 2010. However, the Funds’ service providers are under no obligation to do so and may discontinue such voluntary waivers at any time.

For the year ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for each of the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and reimbursed expenses in future years.

	Contractual Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
Emerging Economies Fund	$	63	$	6	$	3	$	72	$	63
Emerging Markets Equity Fund		—		—		62		62		—
Global Focus Fund		22		3		1		26		196
International Equity Fund		1,037		—		280		1,317		—
International Equity Index Fund		—		—		1,164		1,164		—

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 117

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

	Contractual Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
International Opportunities Fund	$	—	$	—	$	78	$	78	$	—
International Value Fund		28		—		98		126		—
Intrepid International Fund		208		171		92		471		—

	Voluntary Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total
International Equity Fund	$	39	$	—	$	—	$	39
International Equity Index Fund		2		134		614		750
International Value Fund		46		—		—		46
Intrepid International Fund		28		22		—		50

Additionally, the Funds may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Funds’ investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amounts of these waivers resulting from investments in the money market funds for the year ended October 31, 2010 were as follows (excluding the reimbursement disclosed in Note 2.G. regarding cash collateral for securities lending invested in JPMorgan Prime Money Market Fund) (amounts in thousands):

Emerging Markets Equity Fund	$	88
International Equity Fund		27
International Equity Index Fund		21
International Opportunities Fund		15
International Value Fund		80
Intrepid International Fund		13

G. Other — Certain officers of the Trusts are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

The Trusts adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, certain Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the year ended October 31, 2010, International Equity Index incurred brokerage commissions of approximately $100 with related party broker/dealers.

The Securities and Exchange Commission (“SEC”) has granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

An affiliate of JPMorgan Chase & Co. will make a payment to International Equity Index Fund of approximately $20,000 relating to an operational error.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
Emerging Economies Fund	$	9,817	$	9,601
Emerging Markets Equity Fund		708,255		144,072
Global Focus Fund		2,664		2,567
International Equity Fund		140,805		84,694
International Equity Index Fund		290,479		531,936
International Opportunities Fund		221,295		135,655
International Value Fund		1,485,217		1,646,409
Intrepid International Fund		242,333		593,921

118 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
Emerging Economies Fund	$	6,000	$	1,730	$	296	$	1,434
Emerging Markets Equity Fund		1,294,451		455,893		9,947		445,946
Global Focus Fund		2,485		614		120		494
International Equity Fund		514,295		176,810		41,058		135,752
International Equity Index Fund		438,795		260,888		20,173		240,715
International Opportunities Fund		287,225		39,786		6,359		33,427
International Value Fund		1,348,500		227,686		20,961		206,725
Intrepid International Fund		129,421		23,663		1,361		22,302

For all of the Funds, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to mark to market of passive foreign investment companies (PFICs) (Emerging Economies Fund, Emerging Markets Equity Fund, Global Focus Fund and International Equity Index Fund) and wash sale loss deferrals (Emerging Markets Equity Fund, Global Focus Fund, International Equity Fund, International Equity Index Fund, International Opportunities Fund, International Value Fund and Intrepid International Fund).

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Ordinary Income		Total Distributions Paid
Emerging Economies Fund	$	154	$	154
Emerging Markets Equity Fund		2,928		2,928
Global Focus Fund		26		26
International Equity Fund		9,917		9,917
International Equity Index Fund		15,692		15,692
International Opportunities Fund		5,634		5,634
International Value Fund		42,416		42,416
Intrepid International Fund		8,001		8,001

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

	Ordinary Income		Net Long Term Capital Gains		Total Distributions Paid
Emerging Economies Fund	$	145	$	—	$	145
Emerging Markets Equity Fund		7,968		—		7,968
Global Focus Fund		30		—		30
International Equity Fund		23,058		186,174		209,232
International Equity Index Fund		36,370		71,131		107,501
International Opportunities Fund		3,948		—		3,948
International Value Fund		33,671		—		33,671
Intrepid International Fund		40,964		—		40,964

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Long-Term Capital-Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
Emerging Economies Fund	$	119	$	(1,890	)	$	1,434
Emerging Markets Equity Fund		9,586		(10,351	)		444,951
Global Focus Fund		55		(701	)		493
International Equity Fund		627		(15,127	)		135,863
International Equity Index Fund		14,960		(63,839	)		240,896
International Opportunities Fund		7,522		(74,128	)		33,561
International Value Fund		48,529		(437,944	)		207,305
Intrepid International Fund		2,908		(545,308	)		22,329

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 119

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

For the Funds, the cumulative timing differences primarily consist of mark to market of forward foreign currency contracts (Global Focus Fund, International Opportunities Fund and International Value Fund), mark to market of PFICs (Emerging Economies Fund, Emerging Markets Equity Fund, Global Focus Fund, International Equity Index Fund and Intrepid International Fund) and wash sale loss deferrals (Emerging Markets Equity Fund, Global Focus Fund, International Equity Fund, International Equity Index Fund, International Opportunities Fund, International Value Fund and Intrepid International Fund).

As of October 31, 2010, the following Funds had net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2011		2016		2017		2018		Total
Emerging Economies Fund	$	—	$	—	$	1,890	$	—	$	1,890
Emerging Markets Equity Fund		—		—		10,351		—		10,351
Global Focus Fund		—		437		264		—		701
International Equity Fund		—		—		7,942		7,185		15,127
International Equity Index Fund		—		—		63,839		—		63,839
International Opportunities Fund		15,833		18,724		39,130		441		74,128
International Value Fund		—		132,632		241,545		63,767		437,944
Intrepid International Fund		—		294,337		250,971		—		545,308

During the year ended October 31, 2010, the following Funds utilized capital loss carryforwards as follows (amounts in thousands):

Emerging Economies Fund	$	1,380
Emerging Markets Equity Fund		18,453
Global Focus Fund		258
International Equity Fund		—
International Equity Index Fund		7,779
International Opportunities Fund		—
International Value Fund		—
Intrepid International Fund		12,171

During the year ended October 31, 2010, the International Opportunities Fund had expired capital loss carryforwards of $25,712 (amount in thousands).

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPM II and may be relied upon by the Funds because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trusts and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

One or more affiliates of the Advisor have investment discretion with respect to their clients’ holdings in the Funds, which collectively represent a significant portion of the Funds’ assets for International Equity Index Fund, International Value Fund and Intrepid International Fund. Additionally, the Advisor owns a significant portion of the outstanding shares of the Emerging Economies Fund and the Global Focus Fund.

120 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

In addition, the JPMorgan SmartRetirement Funds and the J.P. Morgan Investor Funds, which are affiliated funds of funds, own, in the aggregate more than 10% of the net assets of certain of the Funds as follows:

	JPMorgan SmartRetirement Funds			J.P. Morgan Investor Funds
JPMorgan International Equity Fund		30.8	%		n/a
JPMorgan International Equity Index Fund		n/a			38.0	%
JPMorgan International Opportunities Fund		61.9			n/a
JPMorgan Intrepid International Fund		40.3			n/a

Significant shareholder transactions, if any, may impact the Funds’ performance.

The Funds may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year depending on the Fund. Such concentrations may subject the Funds to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the Funds’ net assets consisted of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of and investment income from such securities.

As of October 31, 2010, International Equity Fund, International Opportunities Fund, International Value Fund and Intrepid International Fund invested 23.2%, 22.7%, 20.9% and 22.6% of their respective total investments (excluding Investments of Cash Collateral for Securities on Loan) in issuers in the United Kingdom. Global Focus Fund invested 22.4% of its total investments in issuers in the United States.

8. Legal Matters

Prior to becoming an affiliate of JPMorgan, on June 29, 2004, Banc One Investment Advisors Corporation (“BOIA”) subsequently known as JPMorgan Investment Advisors Inc. (“JPMIA”), entered into agreements with the SEC (the “SEC Order”) and the New York Attorney General (“NYAG settlement”) in resolution of investigations into market timing of certain One Group mutual funds advised by BOIA. JPMIA was investment advisor to certain of the Funds until January 1, 2010. Effective January 1, 2010, JPMIA transferred its investment advisory business to JPMIM and JPMIM became investment advisor to such Funds. Under the terms of the SEC Order and the NYAG settlement, BOIA agreed to pay disgorgement of $10 million and a civil money penalty of $40 million for a total payment of $50 million, which has been distributed to certain current and former shareholders of certain funds. Pursuant to the NYAG settlement, BOIA reduced its management fee for certain funds in the aggregate amount of approximately $8 million annually (based on assets under management as of June 30, 2004) over a five year period from September 27, 2004 through September 27, 2009.

In addition to the matters involving the SEC and NYAG, various lawsuits were filed by private plaintiffs in connection with these circumstances in various state and federal courts. These actions were transferred to the United States District Court for the District of Maryland. The plaintiffs filed consolidated amended complaints, naming as defendants, BOIA, Bank One Corporation and JPMorgan (the former and current corporate parent of BOIA), the Distributor, One Group Services Company (the former distributor of One Group Mutual Funds), certain officers of One Group Mutual Funds and BOIA, and certain current and former Trustees of One Group Mutual Funds.

As of June 14, 2006, all claims against One Group Mutual Funds and current and former trustees were dismissed by the United States District Court in Maryland. Certain claims against BOIA and its affiliates were also dismissed. On October 25, 2010, the court approved a settlement resolving all remaining claims in the litigation in Maryland.

The Funds will be reimbursed for all costs associated with these matters to ensure that they incur no expense as it relates to the matters described above. A portion of these reimbursements may be from related parties.

As noted above, the settlement agreement with the NYAG requires BOIA to establish reduced “net management fee rates” for certain Funds (“Reduced Rate Funds”). “Net Management Fee Rates” means the percentage fee rates specified in contracts between BOIA and its affiliates and the Reduced Rate Funds, less waivers and reimbursements by BOIA and its affiliates, in effect as of June 30, 2004. The settlement agreement requires that the reduced Net Management Fee Rates must result in a reduction of $8 million annually based upon assets under management as of June 30, 2004, for a total reduction over five years of $40 million from that which would have been paid by the Reduced Rate Funds on the Net Management Fee Rates as of June 30, 2004. To the extent that BOIA and its affiliates have agreed as part of the settlement with the NYAG to waive or reimburse expenses of a Fund in connection with the settlement with the NYAG, those reduced Net Management Fee Rates are referred to as “Reduced Rates.” The Reduced Rates were implemented on September 27, 2004 and remained in place through September 27, 2009. Thus, the Reduced Rates are no longer in effect.

9. Subsequent Event

Effective November 30, 2010, the International Equity Fund, the International Opportunities Fund and the International Value Fund will offer Class R6 Shares.

As of November 30, 2010, the net assets of the Emerging Economies Fund increased to approximately $44,800,000, of which the J.P. Morgan Investor Funds owned approximately 82%.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 121

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and JPMorgan Trust II and the Shareholders of JPMorgan Emerging Economies Fund, JPMorgan Emerging Markets Equity Fund, JPMorgan Global Focus Fund, JPMorgan International Equity Fund, JPMorgan International Equity Index Fund, JPMorgan International Opportunities Fund, JPMorgan International Value Fund and JPMorgan Intrepid International Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan Emerging Economies Fund, JPMorgan Emerging Markets Equity Fund, JPMorgan Global Focus Fund, JPMorgan International Equity Fund, JPMorgan International Opportunities Fund, JPMorgan International Value Fund and JPMorgan Intrepid International Fund (each a separate Fund of JPMorgan Trust I) and JPMorgan International Equity Index Fund (a separate Fund of JPMorgan Trust II) (hereafter collectively referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 23, 2010

122 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000–2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972–2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974–present).		141	Director, Cardinal Health, Inc. (CAH) (1994–present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007–present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999–present); President, Adelphi University (New York) (1998–1999).		141	Director, New Plan Excel (NXL) (1999–2005); Director, National Financial Partners (NFP) (2003–2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002–present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003–2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971–2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000–2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000–2002); President, DCI Marketing, Inc. (1992–2000).		141	Director, Center for Deaf and Hard of Hearing (1990–present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985–present).		141	Trustee, Carleton College (2003–present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001–2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985–2001).		141	Director, Radio Shack Corp. (1987–2008); Trustee, Stratton Mountain School (2001–present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002–2010); President, Kenyon College (1995–2002).		141	Trustee, American University in Cairo (1999–present); Trustee, Carleton College (2002–2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003–present); Chairman and Chief Executive Officer, Lumelite Corporation (1985–2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992–present).

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 123

TRUSTEES

(Unaudited) (continued)

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000–2009); Chief Investment Officer, Wabash College (2004–present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988–1999).		141	Trustee, Wabash College (1988–present); Chairman, Indianapolis Symphony Orchestra Foundation (1994–present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968–1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993–present).		141	Trustee, The Victory Portfolios (2000–2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989–1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990–1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990–1998).		141	Director, Glenview Trust Company, LLC (2001–present); Trustee, St. Catharine College (1998–present); Trustee, Bellarmine University (2000–present); Director, Springfield-Washington County Economic Development Authority (1997–present); Trustee, Catholic Education Foundation (2005–present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

124 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 125

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of each Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1,2010 to October 31, 2010*		Annualized Expense Ratio
Emerging Economies Fund
Class A
Actual	$	1,000.00	$	1,136.40	$	9.96		1.85	%
Hypothetical		1,000.00		1,015.88		9.40		1.85
Class C
Actual		1,000.00		1,133.20		12.64		2.35
Hypothetical		1,000.00		1,013.36		11.93		2.35
Class R5
Actual		1,000.00		1,139.00		7.55		1.40
Hypothetical		1,000.00		1,018.15		7.12		1.40
Select Class
Actual		1,000.00		1,138.20		8.62		1.60
Hypothetical		1,000.00		1,017.14		8.13		1.60
Emerging Markets Equity Fund
Class A
Actual		1,000.00		1,099.90		9.84		1.86
Hypothetical		1,000.00		1,015.83		9.45		1.86
Class B
Actual		1,000.00		1,097.20		12.48		2.36
Hypothetical		1,000.00		1,013.31		11.98		2.36
Class C
Actual		1,000.00		1,097.30		12.48		2.36
Hypothetical		1,000.00		1,013.31		11.98		2.36
Institutional Class
Actual		1,000.00		1,102.20		7.58		1.43
Hypothetical		1,000.00		1,018.00		7.27		1.43

126 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1,2010 to October 31, 2010*		Annualized Expense Ratio
Emerging Markets Equity Fund (continued)
Select Class
Actual	$	1,000.00	$	1,101.30	$	8.53		1.61	%
Hypothetical		1,000.00		1,017.09		8.19		1.61
Global Focus Fund
Class A
Actual		1,000.00		1,053.20		7.50		1.45
Hypothetical		1,000.00		1,017.90		7.37		1.45
Class C
Actual		1,000.00		1,050.30		10.08		1.95
Hypothetical		1,000.00		1,015.38		9.91		1.95
Class R5
Actual		1,000.00		1,055.50		5.18		1.00
Hypothetical		1,000.00		1,020.16		5.09		1.00
Select Class
Actual		1,000.00		1,054.70		6.21		1.20
Hypothetical		1,000.00		1,019.16		6.11		1.20
International Equity Fund
Class A
Actual		1,000.00		1,072.70		6.84		1.31
Hypothetical		1,000.00		1,018.60		6.67		1.31
Class B
Actual		1,000.00		1,069.20		9.70		1.86
Hypothetical		1,000.00		1,015.83		9.45		1.86
Class C
Actual		1,000.00		1,068.50		9.70		1.86
Hypothetical		1,000.00		1,015.83		9.45		1.86
Class R2
Actual		1,000.00		1,070.60		8.14		1.56
Hypothetical		1,000.00		1,017.34		7.93		1.56
Class R5
Actual		1,000.00		1,074.20		4.50		0.86
Hypothetical		1,000.00		1,020.87		4.38		0.86
Select Class
Actual		1,000.00		1,073.90		5.54		1.06
Hypothetical		1,000.00		1,019.86		5.40		1.06
International Equity Index Fund
Class A
Actual		1,000.00		1,067.30		5.58		1.07
Hypothetical		1,000.00		1,019.81		5.45		1.07
Class B
Actual		1,000.00		1,062.90		9.36		1.80
Hypothetical		1,000.00		1,016.13		9.15		1.80
Class C
Actual		1,000.00		1,062.90		9.36		1.80
Hypothetical		1,000.00		1,016.13		9.15		1.80
Class R2
Actual		1,000.00		1,066.10		6.87		1.32
Hypothetical		1,000.00		1,018.55		6.72		1.32
Select Class
Actual		1,000.00		1,068.00		4.27		0.82
Hypothetical		1,000.00		1,021.07		4.18		0.82

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 127

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited) (continued)

Hypothetical $1,000 Investment

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1,2010 to October 31, 2010*		Annualized Expense Ratio
International Opportunities Fund
Class A
Actual	$	1,000.00	$	1,061.90	$	6.91		1.33	%
Hypothetical		1,000.00		1,018.10		6.77		1.33
Class B
Actual		1,000.00		1,059.10		9.60		1.85
Hypothetical		1,000.00		1,015.88		9.40		1.85
Class C
Actual		1,000.00		1,059.40		9.60		1.85
Hypothetical		1,000.00		1,015.88		9.40		1.85
Institutional Class
Actual		1,000.00		1,064.20		4.73		0.91
Hypothetical		1,000.00		1,020.62		4.63		0.91
Select Class
Actual		1,000.00		1,063.60		5.62		1.08
Hypothetical		1,000.00		1,019.76		5.50		1.08
International Value Fund
Class A
Actual		1,000.00		1,075.70		7.27		1.39
Hypothetical		1,000.00		1,018.20		7.07		1.39
Class B
Actual		1,000.00		1,073.30		9.82		1.88
Hypothetical		1,000.00		1,015.73		9.55		1.88
Class C
Actual		1,000.00		1,073.40		9.88		1.89
Hypothetical		1,000.00		1,015.68		9.60		1.89
Class R2
Actual		1,000.00		1,074.00		8.63		1.65
Hypothetical		1,000.00		1,016.89		8.39		1.65
Institutional Class
Actual		1,000.00		1,078.60		4.87		0.93
Hypothetical		1,000.00		1,020.52		4.74		0.93
Select Class
Actual		1,000.00		1,076.60		5.91		1.13
Hypothetical		1,000.00		1,019.51		5.75		1.13
Intrepid International Fund
Class A
Actual		1,000.00		1,086.40		7.84		1.49
Hypothetical		1,000.00		1,017.69		7.58		1.49
Class C
Actual		1,000.00		1,084.20		10.45		1.99
Hypothetical		1,000.00		1,015.17		10.11		1.99
Class R2
Actual		1,000.00		1,085.80		9.15		1.74
Hypothetical		1,000.00		1,016.43		8.84		1.74
Institutional Class
Actual		1,000.00		1,090.10		5.22		0.99
Hypothetical		1,000.00		1,020.21		5.04		0.99
Select Class
Actual		1,000.00		1,088.40		6.53		1.24
Hypothetical		1,000.00		1,018.95		6.31		1.24

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

128 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of each of the investment advisory agreements for the Funds whose annual report is contained herein (each an “Advisory Agreement” and collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreements or any of their affiliates, approved the continuation of each Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Funds’ performance compared to the performance of the Funds’ peers and benchmarks and analyses by the Advisor of the Funds’ performance. In addition, the Trustees have engaged an independent consultant to report on the performance of each of the Funds at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Funds’ expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreements with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees

discussing the legal standards for their consideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve each Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from each Fund under the applicable Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of each Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to each Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to each Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of each Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of each Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of each of the Funds. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Funds gained from their experience as Trustees of the Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the Advisor’s integrity and the Advisor’s

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 129

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

responsiveness to concerns raised by them, including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to each Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Funds by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to each of the Funds. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Funds, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of each of the Advisory Agreements was not unreasonable in light of the services and benefits provided to each Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Funds. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for these Funds.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Funds for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Funds’ distributor and that these fees are in turn generally paid to financial intermediaries that sell the Funds, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, securities lending and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for each Fund does not contain breakpoints. The Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Funds’ Senior Officer/Chief Compliance Officer

The Trustees noted that, upon their direction, the Senior Officer for the International Equity Fund and International Equity Index Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the Senior Officer’s report in determining whether to continue the Advisory Agreements.

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Emerging Economies Fund, Emerging Markets Equity Fund, Global Focus Fund, International Opportunities Fund, International Value Fund and Intrepid International Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreements.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of each Fund. The Trustees also considered the complexity of investment management for the Funds relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to each Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for Funds which had at least one full year of performance at the time of the review in a report prepared by

130 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Lipper. The Trustees considered the total return performance information, which included the ranking of those Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in each Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed each Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and also considered the special analysis that was done by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to each Fund’s performance for certain representative classes are summarized below:

The Trustees noted the performance of the Emerging Economies Fund’s performance was in the second quintile for Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Emerging Markets Equity Fund’s performance was in the fourth, second and second quintiles for both Class A and Select Class shares for the one-, three- and five- year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Global Focus Fund’s performance was in the first quintile for Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the International Equity Fund’s performance was in the first, second and third quintiles for Class A shares and in the first, first and second quintiles for Select Class shares for the one-, three-, and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that overall performance was attractive. The Trustees discussed the performance and investment

strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the International Equity Index Fund’s performance was in the second quintile for both Class A and Select Class shares for the one-, three- and five-year periods ended December 31, 2009, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the International Opportunities Fund’s performance was in the second, third and second quintiles for Class A and in the second quintile for Select Class shares for the one-, three- and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the International Value Fund’s performance was in the third, third and first quintiles for both Class A and Select Class shares for the one-, three- and five- year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Intrepid International Fund’s performance was in the fourth, fifth and fourth quintiles for Class A shares for the one-, three- and five- year periods ended December 31, 2009, respectively, and in the fourth and fifth quintiles for Select Class shares for the one- and three-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and concluded that they were satisfied with the Advisor’s analysis of the Fund’s performance, however, they requested that the Fund’s Advisor provide additional Fund performance information to be reviewed with members of the equity subcommittee at each of their regular meetings over the course of the next year.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by each Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as each Fund. The Trustees recognized that Lipper reported each Fund’s management fee rate as the combined contractual

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 131

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for each Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for each Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of each Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Emerging Economies Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for Class A and Select Class shares were in the third and fourth quintiles, respectively of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Emerging Markets Equity Fund’s net advisory fee for both Class A and Select Class shares were in the third and fourth quintiles, respectively, and that the actual total expenses for both Class A and Select Class shares were in the third and fourth quintiles, respectively of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Global Focus Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for both Class A and Select Class shares were in the third and fourth quintiles, respectively of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the International Equity Fund’s net advisory fee for both Class A and Select Class shares were in

the second quintile, and that the actual total expenses for both Class A and Select Class shares were in the second quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the International Equity Index Fund’s net advisory fee for both Class A and Select Class shares were in the fifth quintile and that the actual total expenses for Class A and Select Class shares were in the fourth quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the International Opportunities Fund’s net advisory fee for both Class A and Select Class shares were in the second quintile, and that the actual total expenses for both Class A and Select Class shares were in the second and third quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the International Value Fund’s net advisory fee for both Class A and Select Class shares were in the second quintile, and that the actual total expenses for both Class A and Select Class shares were in the second and third quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Intrepid International Fund’s net advisory fee for both Class A and Select Class shares were in the fourth quintile, and that the actual total expenses for both Class A and Select Class shares were in the third quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

132 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

Tax Letter

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Funds’ income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Dividend Received Deductions (DRD)

The following represents the percentage of ordinary income distributions eligible for the 70% dividend received deduction for corporate rate shareholders for the fiscal year ended October 31, 2010:

	Dividend Received Deduction
Emerging Economies Fund		17.15	%
Global Focus Fund		28.87

Qualified Dividend Income (QDI)

For the fiscal year ended October 31, 2010, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%. The following represents the amount of ordinary income distributions treated as qualified dividends (amounts in thousands):

	Qualified Dividend Income
Emerging Economies Fund	$	136
Emerging Markets Equity Fund		2,928
Global Focus Fund		26
International Equity Fund		9,917
International Equity Index Fund		12,874
International Opportunities Fund		2,772
International Value Fund		24,349
Intrepid International Fund		8,001

Foreign Source Income and Foreign Tax Credit Pass Through

For the fiscal year ended October 31, 2010, the Funds intend to elect to pass through to shareholders the income tax credit for taxes paid to foreign countries. Gross income and foreign tax expenses are as follows (amounts in thousands):

	Gross Income		Foreign Tax Pass Through
Emerging Economies Fund	$	154	$	14
Emerging Markets Equity Fund		11,872		925
Global Focus Fund		43		4
International Equity Fund		15,556		1,366
International Equity Index Fund		20,276		2,305
International Opportunities Fund		6,331		533
International Value Fund		46,846		4,024
Intrepid International Fund		6,082		468

The pass-through of the foreign tax credit will only affect those persons who are shareholders on the dividend record date in December, 2010. These shareholders will receive more detailed information along with 2010 Form 1099-DIV.

OCTOBER 31, 2010 J.P. MORGAN INTERNATIONAL EQUITY FUNDS 133

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

134 J.P. MORGAN INTERNATIONAL EQUITY FUNDS OCTOBER 31, 2010

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

© JPMorgan Chase & Co., 2010  All rights reserved. October 2010.

AN-INTEQ-1010

Annual Report

J.P. Morgan Tax Aware Funds

October 31, 2010

JPMorgan Tax Aware Equity Fund

(formerly JPMorgan Tax Aware Disciplined Equity Fund)

JPMorgan Tax Aware Real Return Fund

JPMorgan Tax Aware U.S. Equity Fund

CONTENTS

CEO’s Letter	1
A Message From Gary J. Madich	2
Market Overview	3
Fund Commentaries:
JPMorgan Tax Aware Equity Fund	4
JPMorgan Tax Aware Real Return Fund	6
JPMorgan Tax Aware U.S. Equity Fund	10
Schedules of Portfolio Investments	12
Financial Statements	40
Financial Highlights	46
Notes to Financial Statements	52
Report of Independent Registered Public Accounting Firm	61
Trustees	62
Officers	64
Schedule of Shareholder Expenses	65
Board Approval of Investment Advisory Agreements	67
Tax Letter	70
Privacy Policy	71

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of any Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objectives, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

NOVEMBER 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of the 12-month reporting

period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 1

A MESSAGE FROM GARY J. MADICH

Global Chief Investment Officer for J.P. Morgan Asset Management’s Global Fixed Income Group

DECEMBER 6, 2010 (Unaudited)

With the recent market turmoil still fresh in the minds of many investors, new assets have poured into bond funds since the market bottomed in March 2009. Investors seem to be drawn to the perception of bonds’ relative safety versus other investments, likely a reaction to the sharp decline in stock prices in 2008 and early 2009 and the general uncertainty prevalent in today’s marketplace. While we believe that bonds play an essential role in any well-diversified portfolio, we would like to take this opportunity to remind you about the risks associated with bond funds and the importance of diversification.

Bond prices generally decrease as interest rates rise and increase as interest rates fall. Currently, interest rates are at very low levels and most fixed income portfolios would be negatively impacted in an environment where interest rates may increase, as the fixed income securities held in the portfolios would likely decrease in value. This is a broad risk that applies to most portfolios of bonds across the spectrum of the fixed income market. Bond portfolios comprised mostly of municipal bonds share this risk and also carry other risks specific to the nature of their asset class.

The ability of states and municipalities to repay their debt could be hindered by unfavorable local economic or political events, a risk that has garnered recent attention as many states have

seen their growing budget deficit challenges become the topic of newspaper headlines. Acknowledging the challenges that are facing many states and municipalities, our municipal and tax free funds have maintained their bias towards bonds with high credit quality and sectors that have historically demonstrated lower volatility.

While we certainly believe that municipal bonds are a valuable tool for many investors, the risks associated with these investments serve as a stark reminder about the importance of a well-diversified portfolio. As an investor, the best way to guard against any type of risk is to proactively build a well-diversified portfolio, a portfolio that is able to withstand and benefit from a variety of future outcomes.

On behalf of the Fund’s fixed income portfolio management team,

Gary J. Madich

2 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

MARKET OVERVIEW

TWELVE MONTHS ENDED OCTOBER 31, 2010

U.S. Stock Market

U.S stocks continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. U.S. stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, U.S. stocks recovered during the third quarter of 2010 and into October 2010 on strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve. In the end, the S&P 500 Index finished the twelve months ended October 31, 2010 with a 16.52% return.

Tax-Free Fixed Income Market

Yields fell to historical lows in the tax-free fixed income market, which experienced large asset inflows and a favorable supply/demand environment. New debt issuance in the tax-free market continued to decline and was significantly lower when viewed without Build America Bonds (BABS), which remained a large portion of new issuance during the reporting period. BABS were created as part of the federal government’s stimulus plan that was passed in early 2009. These are taxable municipal bonds, in which the federal government rebates back 35% of the interest cost to the issuing entity. The more cyclical and lower-rated sectors of the municipal market outperformed the overall tax-free market.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 3

JPMorgan Tax Aware Equity Fund*

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Institutional Class Shares)**		15.64%
S&P 500 Index		16.52%
Net Assets as of 10/31/2010 (In Thousands)	$	472,717

INVESTMENT OBJECTIVE***

The JPMorgan Tax Aware Equity Fund (the “Fund”) seeks to provide high after tax total return from a portfolio of selected equity securities.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Institutional Class Shares) underperformed the S&P 500 Index for the twelve months ended October 31, 2010. The Fund’s stock selection in the systems hardware sector detracted from the Fund’s relative performance, while the Fund’s stock selection in the industrial cyclical sector contributed to the Fund’s relative performance.

Individual detractors from relative performance included the Fund’s overweight positions in Hewlett-Packard Co. and Norfolk Southern. Shares of Hewlett-Packard Co. declined after the resignation of the company’s chief executive officer. Railroad operator Norfolk Southern was hurt as lower freight volumes during the economic downturn and the threat of tighter federal regulation created headwinds for the company towards the end of 2009.

Individual contributors to relative performance included the Fund’s overweight positions in Deere & Co. and Yum! Brands, Inc. Shares of Deere & Co. rose after the construction and agricultural machinery company raised its full year 2010 net profit outlook. Shares of Yum! Brands, Inc. rose after the fast food restaurant operator reaffirmed its full year 2010 earnings outlook, citing strong growth in its China-based restaurants.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. As a result of the Fund’s bottom-up fundamental approach to stock selection, the Fund’s largest overweight was in the media sector and the Fund’s largest underweight was in the utilities sector.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO****
	1.	Apple, Inc.	3.5	%
	2.	Microsoft Corp.	3.5
	3.	Norfolk Southern Corp.	2.4
	4.	Procter & Gamble Co. (The)	2.4
	5.	E.l. du Pont de Nemours & Co.	2.3
	6.	Cisco Systems, Inc.	2.3
	7.	Pfizer, Inc.	2.3
	8.	Exxon Mobil Corp.	2.2
	9.	Time Warner, Inc.	2.2
	10.	International Business Machines Corp.	2.0

PORTFOLIO COMPOSITION BY SECTOR****
Information Technology	21.8	%
Consumer Discretionary	15.0
Financials	13.0
Health Care	11.0
Energy	10.6
Industrials	9.7
Consumer Staples	7.6
Materials	4.7
Telecommunication Services	2.8
Utilities	1.9
U.S. Treasury Obligation	0.2
Short-Term Investment	1.7

* The Fund’s name was changed from JPMorgan Tax Aware Disciplined Equity Fund to JPMorgan Tax Aware Equity Fund on December 10, 2010.

** The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

*** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

**** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

4 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

JPMorgan Tax Aware Equity Fund

FUND COMMENTARY

AS OF OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	1 YEAR											5 YEAR									10 YEAR
	Inception Date of Class		Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares
INSTITUTIONAL CLASS SHARES		1/30/97		15.64	%		15.42	%		10.44	%		2.26	%		2.02	%		1.92	%		0.13	%		(0.13	)%		0.04	%

After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown, and the after-tax returns shown are not relevant to investors who hold their shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.

TEN YEAR FUND PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The graph illustrates comparative performance for $3,000,000 invested in Institutional Class Shares of the JPMorgan Tax Aware Equity Fund, the S&P 500 Index and the Lipper Large-Cap Core Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the S&P 500 Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of the Lipper Large-Cap Core Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The S&P 500 Index is an unmanaged index generally representative of

the performance of large companies in the U.S. stock market. The Lipper Large-Cap Core Funds Index represents the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Institutional Class Shares have a $3,000,000 minimum initial investment and carry no sales charge.

Tax Aware strategies seek to reduce capital gains. There can be no guarantee the strategy will eliminate them.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 5

JPMorgan Tax Aware Real Return Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		4.80%
Barclays Capital 1-10 Year U.S. TIPS Index		7.51%
Barclays Capital Competitive Intermediate Municipal (1-17 Year) Maturities Index		6.80%
Net Assets as of 10/31/2010 (In Thousands)	$	3,190,339

INVESTMENT OBJECTIVE**

The JPMorgan Tax Aware Real Return Fund (the “Fund”) seeks to maximize after-tax inflation protected return.

INVESTMENT APPROACH

The Fund used zero-coupon inflation-swaps in combination with tax-exempt municipal bonds to create a synthetic portfolio of inflation protected securities. The Fund was designed to protect the total return generated by its tax-exempt fixed income holdings from inflation risk. The zero-coupon inflation-linked swaps used by the Fund were based on cumulative percentage movements in the Consumer Price Index for All Urban Consumers (“CPI-U”). The swaps are structured so that one counterparty agrees to pay the cumulative percentage change in the CPI-U over the duration of the swap. The other counterparty (the Fund) pays a compounded fixed rate (zero coupon inflation-swap rate), which is based on the “breakeven inflation rate,” calculated as the yield difference between a nominal U.S. Treasury security and a U.S. Treasury Inflation Protected Security (TIPS) of equal maturity.

HOW DID THE FUND PERFORM?

The Fund (Select Class Shares) underperformed the Barclays Capital 1-10 Year U.S. TIPS Index (the “TIPS Benchmark”) and the Barclays Capital Competitive Intermediate Municipal (1-17 Year) Maturities Index (the “Municipal Bond Benchmark”) for the twelve months ended October 31, 2010.

When comparing the Fund’s performance against the TIPS Benchmark, it is important to think about the Fund’s return on a tax-adjusted basis. Treasury Inflation Protected Securities (“TIPS”) generate income that is fully taxable, whereas the Fund attempts to provide investors with inflation protection that is more tax-efficient. During the reporting period, the Fund’s municipal securities generated a higher after-tax return than similar maturity U.S. Treasury securities because of the municipal market’s higher tax equivalent yield. The taxable equivalent yield is the amount that a taxable investment (such as a U.S. Treasury Note) would have to return in order to generate the same amount of income as a tax-exempt investment of equal maturity. As of October 31, 2010, assuming a 35% tax rate, the taxable equivalent yield for a General Obligation AAA municipal bond with a 7 year maturity was 2.94%. As of October 31, 2010, a U.S. Treasury Note with a 7 year maturity was yielding 1.89%, 105 basis points (1.05%) lower than the

taxable equivalent return of a General Obligation AAA municipal bond with a 7 year maturity.

The Fund’s fixed income investments were allocated primarily among high-quality general obligation bonds, prerefunded bonds (bonds that are secured with U.S. government securities) and essential-service revenue bonds. This allocation hurt the Fund’s relative performance versus the Municipal Bond Benchmark as investors preferred riskier lower-quality municipal bonds during the reporting period.

On an absolute basis and relative to the Municipal Bond Benchmark, duration was a key driver of the Fund’s tax-exempt fixed income investments’ performance during the reporting period. Duration is used to measure the price sensitivity of a bond or a portfolio of bonds to relative changes in interest rates. Generally, bonds with shorter duration will experience a smaller increase/drop in price as interest rates go down/up versus bonds with longer duration. Across most sectors and ratings segments, the Fund’s fixed income securities with longer duration outperformed, while the Fund’s holdings with shorter duration underperformed as interest rates declined.

HOW DID THE FUND’S INFLATION PROTECTION STRATEGY IMPACT PERFORMANCE?

The Fund’s zero-coupon inflation-linked swaps detracted from the Fund’s absolute return. However, as a result of the Fund’s tactical active management of the zero-coupon inflation-swaps, the Fund’s return from zero-coupon inflation-swaps, while negative, was better than the return for zero coupon inflation-swaps as measured by the 5 year Barclays Capital Inflation Swap Zero Coupon USD ERI index for the twelve months ended October 31, 2010.

In addition, the Fund’s zero-coupon inflation-linked swaps detracted from the Fund’s relative performance versus the TIPS Benchmark, as the zero-coupon inflation-swap rate underperformed the TIPS breakeven rate. The zero-coupon inflation-swap rate is used to measure the Fund’s inflation-linked swaps as compared to TIPS. The TIPS breakeven rate is the yield difference between a nominal U.S. Treasury security and a TIPS of equal maturity.

HOW WAS THE FUND POSITIONED?

Among tax-exempt fixed income investments, the Fund maintained its quality bias, as the Fund’s portfolio managers preferred

6 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

higher-quality issuances. For liquidity and to enhance the Fund’s overall credit quality, the Fund purchased prerefunded bonds during the reporting period. The Fund reduced its exposure to the tobacco sector due to concerns about downgrade risks.

The Fund’s portfolio managers also maintained an inflation-overlay hedging strategy, using zero-coupon inflation-linked swaps to purchase protection against inflation along the yield curve. Accordingly, the Fund can have an overweight or underweight exposure to inflation protection on different areas of the yield curve (i.e. if the Fund’s portfolio managers expect low inflation in the short-term, the Fund will have less inflation protection on the short end of the yield curve). The Fund’s portfolio managers continued to actively monitor the Fund’s inflation hedge and made tactical adjustments as appropriate.

PORTFOLIO COMPOSITION***
Municipal Bonds	94.9	%
Short-Term Investment	5.1

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 7

JPMorgan Tax Aware Real Return Fund

FUND COMMENTARY

AS OF OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	1 YEAR											5 YEAR									SINCE INCEPTION
	Inception Date of Class		Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares
CLASS A SHARES		8/31/05
Without Sales Charge				4.69	%		4.69	%		3.87	%		3.10	%		3.10	%		3.06	%		2.98	%		2.98	%		2.96	%
With Sales Charge*				0.80			0.80			1.31			2.31			2.31			2.38			2.22			2.22			2.30
CLASS C SHARES		8/31/05
Without CDSC				3.96			3.96			3.17			2.48			2.48			2.45			2.37			2.37			2.35
With CDSC**				2.96			2.96			2.52			2.48			2.48			2.45			2.37			2.37			2.35
INSTITUTIONAL CLASS SHARES		8/31/05		4.95			4.95			4.12			3.43			3.43			3.38			3.31			3.31			3.27
SELECT CLASS SHARES		8/31/05		4.80			4.80			3.97			3.27			3.27			3.23			3.15			3.15			3.12

* Sales Charge for Class A Shares is 3.75%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown, and the after-tax returns shown are not relevant to investors who hold their shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.

LIFE OF FUND PERFORMANCE (8/31/05 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on August 31, 2005.

This graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan Tax Aware Real Return Fund, the Barclays Capital 1-10 Year U.S. TIPS Index, the Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index, the Tax Aware Real Return Custom Benchmark and the Lipper Intermediate Municipal Debt Funds Index from August 31, 2005 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Barclays Capital 1–10 Year U.S. TIPS Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of

the indices do not reflect the deduction of expenses, such as investment management fees, or a sales charge associated with a mutual fund and have been adjusted to reflect reinvestment of all dividends and capital gains of the securities in the benchmark. The performance of the Lipper Intermediate Municipal Debt Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The Barclays Capital 1–10 Year U.S. TIPS Index measures the performance of intermediate (1–10 Year) U.S. Treasury Inflation Protection Securities. The Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index represents the performance of municipal bonds with maturities from 1 to 17 years. The Tax Aware Real Return Custom Benchmark is determined by adding 75% of the difference between the Barclays Capital 1–10 Year U.S. TIPS Index and the Barclays Capital 1–10 Year U.S. Treasury Index to the Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index. Expressed as a formula, the Composite Benchmark = ((Barclays Capital 1–10 Year U.S. TIPS Index — Barclays Capital 1–10 Year Treasury Index) Barclays Capital X 0.75) + Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index. The Lipper Intermediate Municipal Debt Funds Index represents the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

8 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

Select Class Shares have a minimum investment of $1,000,000 and carry no sales charge. For some investors, income from municipal bonds may be subject to the Alternative Minimum Tax. Capital gains, if any, are federally taxable. Income may be subject to state and local taxes.

Tax Aware strategies seek to reduce capital gains. There can be no guarantee the strategy will eliminate them.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers

and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 9

JPMorgan Tax Aware U.S. Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		14.72%
S&P 500 Index		16.52%
Net Assets as of 10/31/2010 (In Thousands)	$	237,775

INVESTMENT OBJECTIVE**

The JPMorgan Tax Aware U.S. Equity Fund (the “Fund”) seeks to provide high after tax total return from a portfolio of selected equity securities.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) underperformed the S&P 500 Index for the twelve months ended October 31, 2010. The Fund’s stock selection in the systems hardware sector detracted from the Fund’s relative performance, while the Fund’s stock selection in the industrial cyclical sector contributed to the Fund’s relative performance.

Individual detractors from relative performance included the Fund’s overweight positions in Hewlett-Packard Co. and Microsoft Corp. Shares of Hewlett-Packard Co. declined after the resignation of the company’s chief executive officer. Shares of Microsoft Corp. declined as the market continued to debate whether the introduction of tablets will take share from PCs and notebooks or represent incremental demand. In addition, Microsoft Corp.’s lack of a tablet offering caused some investors to question the longer term growth prospects for the company.

Individual contributors to relative performance included the Fund’s overweight positions in Deere & Co. and Yum! Brands, Inc. Shares of Deere & Co. rose after the construction and agricultural machinery company raised its full year 2010 net profit outlook. Shares of Yum! Brands, Inc. rose after the fast food restaurant operator reaffirmed its full year 2010 earnings outlook, citing strong growth in its China-based restaurants.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. As a result of the Fund’s bottom-up fundamental approach to stock selection, the Fund’s largest overweight was in the media sector and the Fund’s largest underweight was in the utilities sector.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Apple, Inc.	3.8	%
	2.	Microsoft Corp.	3.4
	3.	Norfolk Southern Corp.	2.6
	4.	E.l. du Pont de Nemours & Co.	2.6
	5.	Merck & Co., Inc.	2.5
	6.	Cisco Systems, Inc.	2.5
	7.	Pfizer, Inc.	2.4
	8.	Walt Disney Co. (The)	2.4
	9.	Procter & Gamble Co. (The)	2.3
	10.	Goldman Sachs Group, Inc. (The)	2.2

PORTFOLIO COMPOSITION BY SECTOR***
Information Technology	20.6	%
Consumer Discretionary	15.2
Financials	12.9
Health Care	11.1
Industrials	10.9
Energy	9.6
Consumer Staples	8.1
Materials	5.3
Telecommunication Services	2.9
Utilities	1.7
Short-Term Investment	1.7

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

***  Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

10 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
			1 YEAR									5 YEAR									10 YEAR
	Inception Date of Class		Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares			Before Taxes			After Taxes on Distributions			After Taxes on Distributions and Sale of Fund Shares
CLASS A SHARES		4/16/01
Without Sales Charge				14.51	%		14.36	%		9.61	%		1.97	%		1.46	%		1.70	%		(0.78	)%		(1.11	)%		(0.69	)%
With Sales Charge*				8.53			8.39			5.71			0.88			0.38			0.77			(1.32	)		(1.65	)		(1.14	)
CLASS B SHARES		4/16/01
Without CDSC				13.89			13.85			9.08			1.46			1.03			1.27			(1.23	)		(1.50	)		(1.05	)
With CDSC**				8.89			8.85			5.83			1.08			0.64			0.95			(1.23	)		(1.50	)		(1.05	)
CLASS C SHARES		4/16/01
Without CDSC				13.89			13.83			9.11			1.45			1.00			1.26			(1.31	)		(1.58	)		(1.12	)
With CDSC***				12.89			12.83			8.46			1.45			1.00			1.26			(1.31	)		(1.58	)		(1.12	)
INSTITUTIONAL CLASS SHARES		9/15/00		15.06			14.70			10.21			2.42			1.56			2.07			(0.40	)		(0.99	)		(0.42	)
SELECT CLASS SHARES		12/18/96		14.72			14.54			9.78			2.21			1.66			1.90			(0.58	)		(0.94	)		(0.53	)

* Sales Charge for Class A Shares is 5.25%.

** Assumes 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown, and the after-tax returns shown are not relevant to investors who hold their shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.

TEN YEAR FUND PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Returns for Class A, Class B and Class C Shares prior to their inception date are based on the performance of Select Class Shares. The actual returns of Class A, Class B and Class C Shares would have been lower than shown because Class A, Class B and Class C Shares have higher expenses than Select Class Shares.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan Tax Aware U.S. Equity Fund, the S&P 500 Index and the Lipper Large-Cap Core Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the S&P 500 Index does not reflect the deduction of expenses, such as investment management fees, or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of the Lipper Large-Cap Core Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by

the Fund. The S&P 500 Index is an unmanaged broad-based index that is used as a representation of the U.S. stock market. The Lipper Large-Cap Core Funds Index represents the total returns of the funds in the indicated category, as defined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Tax Aware strategies seek to reduce capital gains. There can be no guarantee the strategy will eliminate them.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

Because Class B Shares automatically convert to Class A Shares after eight years, the 10 year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 11

JPMorgan Tax Aware Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 97.7%
		Consumer Discretionary — 14.9%
		Auto Components — 1.9%
	258	Johnson Controls, Inc.		9,059
		Diversified Consumer Services — 0.3%
	44	Apollo Group, Inc., Class A (a)		1,635
		Hotels, Restaurants & Leisure — 2.6%
	79	Carnival Corp.		3,390
	40	Starwood Hotels & Resorts Worldwide, Inc.		2,166
	133	Yum! Brands, Inc.		6,575
				12,131
		Internet & Catalog Retail — 1.3%
	37	Amazon.com, Inc. (a)		6,091
		Media — 4.6%
	123	Comcast Corp., Class A		2,522
	85	Gannett Co., Inc.		1,009
	319	Time Warner, Inc.		10,365
	219	Walt Disney Co. (The)		7,917
				21,813
		Specialty Retail — 2.2%
	48	Advance Auto Parts, Inc.		3,126
	120	Lowe’s Cos., Inc.		2,564
	232	Staples, Inc.		4,740
				10,430
		Textiles, Apparel & Luxury Goods — 2.0%
	67	Coach, Inc.		3,358
	41	NIKE, Inc., Class B		3,356
	31	V.F. Corp.		2,610
				9,324
		Total Consumer Discretionary		70,483
		Consumer Staples — 7.5%
		Beverages — 1.1%
	80	PepsiCo, Inc.		5,241
		Food & Staples Retailing — 1.5%
	167	CVS Caremark Corp.		5,036
	73	Sysco Corp.		2,153
				7,189
		Food Products — 1.3%
	73	Campbell Soup Co.		2,637
	79	General Mills, Inc.		2,973
	11	Kellogg Co.		553
				6,163

SHARES		SECURITY DESCRIPTION	VALUE($)
		Household Products — 3.1%
	44	Colgate-Palmolive Co.		3,406
	175	Procter & Gamble Co. (The)		11,096
				14,502
		Tobacco — 0.5%
	44	Philip Morris International, Inc.		2,545
		Total Consumer Staples		35,640
		Energy — 10.6%
		Energy Equipment & Services — 1.3%
	47	Nabors Industries Ltd., (Bermuda) (a)		993
	72	Schlumberger Ltd.		5,004
				5,997
		Oil, Gas & Consumable Fuels — 9.3%
	80	Apache Corp.		8,081
	108	ConocoPhillips		6,418
	61	Devon Energy Corp.		3,935
	73	EOG Resources, Inc.		6,952
	158	Exxon Mobil Corp.		10,518
	104	Occidental Petroleum Corp.		8,187
				44,091
		Total Energy		50,088
		Financials — 12.9%
		Capital Markets — 3.5%
	44	Goldman Sachs Group, Inc. (The)		7,038
	92	Invesco Ltd.		2,115
	129	Morgan Stanley		3,212
	42	State Street Corp.		1,773
	146	TD AMERITRADE Holding Corp. (a)		2,502
				16,640
		Commercial Banks — 3.1%
	78	BB&T Corp.		1,821
	211	U.S. Bancorp		5,110
	293	Wells Fargo & Co.		7,644
				14,575
		Diversified Financial Services — 3.2%
	540	Bank of America Corp.		6,178
	1,395	Citigroup, Inc. (a)		5,818
	11	CME Group, Inc.		3,093
				15,089
		Insurance — 3.1%
	47	ACE Ltd., (Switzerland)		2,792
	47	Berkshire Hathaway, Inc., Class B (a)		3,768

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Insurance — Continued
	102	MetLife, Inc.		4,103
	78	Prudential Financial, Inc.		4,127
				14,790
		Total Financials		61,094
		Health Care — 11.0%
		Biotechnology — 2.4%
	34	Alexion Pharmaceuticals, Inc. (a)		2,296
	46	Biogen Idec, Inc. (a)		2,866
	98	Celgene Corp. (a)		6,111
				11,273
		Health Care Equipment & Supplies — 0.5%
	55	Covidien plc, (Ireland)		2,191
		Health Care Providers & Services — 2.0%
	78	Aetna, Inc.		2,327
	117	Cardinal Health, Inc.		4,063
	62	WellPoint, Inc. (a)		3,351
				9,741
		Pharmaceuticals — 6.1%
	172	Abbott Laboratories		8,831
	255	Merck & Co., Inc.		9,244
	614	Pfizer, Inc.		10,687
				28,762
		Total Health Care		51,967
		Industrials — 9.7%
		Aerospace & Defense — 3.2%
	120	Honeywell International, Inc.		5,645
	123	United Technologies Corp.		9,220
				14,865
		Industrial Conglomerates — 1.1%
	194	General Electric Co.		3,106
	54	Tyco International Ltd., (Switzerland)		2,060
				5,166
		Machinery — 3.0%
	61	Deere & Co.		4,675
	149	PACCAR, Inc.		7,663
	24	Parker Hannifin Corp.		1,861
				14,199
		Road & Rail — 2.4%
	186	Norfolk Southern Corp.		11,437
		Total Industrials		45,667

SHARES		SECURITY DESCRIPTION	VALUE($)
		Information Technology — 21.7%
		Communications Equipment — 5.1%
	471	Cisco Systems, Inc. (a)		10,755
	159	Juniper Networks, Inc. (a)		5,155
	182	QUALCOMM, Inc.		8,228
				24,138
		Computers & Peripherals — 5.3%
	55	Apple, Inc. (a)		16,423
	148	EMC Corp. (a)		3,100
	133	Hewlett-Packard Co.		5,603
				25,126
		Internet Software & Services — 1.6%
	27	Baidu, Inc., (China), ADR (a)		2,961
	7	Google, Inc., Class A (a)		4,510
				7,471
		IT Services — 3.7%
	67	Cognizant Technology Solutions Corp., Class A (a)		4,354
	67	International Business Machines Corp.		9,560
	14	MasterCard, Inc., Class A		3,272
				17,186
		Semiconductors & Semiconductor Equipment — 1.2%
	131	Marvell Technology Group Ltd., (Bermuda) (a)		2,532
	111	Novellus Systems, Inc. (a)		3,256
				5,788
		Software — 4.8%
	612	Microsoft Corp.		16,306
	222	Oracle Corp.		6,534
				22,840
		Total Information Technology		102,549
		Materials — 4.7%
		Chemicals — 2.9%
	83	Dow Chemical Co. (The)		2,571
	231	E.l. du Pont de Nemours & Co.		10,926
				13,497
		Metals & Mining — 1.8%
	91	Freeport-McMoRan Copper & Gold, Inc.		8,607
		Total Materials		22,104
		Telecommunication Services — 2.8%
		Diversified Telecommunication Services — 2.2%
	113	AT&T, Inc.		3,234
	227	Verizon Communications, Inc.		7,372
				10,606

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 13

JPMorgan Tax Aware Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Wireless Telecommunication Services — 0.6%
	639	Sprint Nextel Corp. (a)		2,634
		Total Telecommunication Services		13,240
		Utilities — 1.9%
		Electric Utilities — 1.5%
	58	NextEra Energy, Inc.		3,186
	102	Southern Co.		3,845
				7,031
		Multi-Utilities — 0.4%
	63	Public Service Enterprise Group, Inc.		2,033
		Total Utilities		9,064
		Total Common Stocks (Cost $389,843)		461,896
PRINCIPAL AMOUNT($)
		U.S. Treasury Obligation — 0.2%
	1,170	U.S. Treasury Note, 1.125%, 06/30/11 (k) (Cost $1,176)		1,177

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 1.7%
		Investment Company — 1.7%
	7,884	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (m) (Cost $7,884)		7,884
		Total Investments — 99.6% (Cost $398,903)		470,957
		Other Assets in Excess of Liabilities — 0.4%		1,760
		NET ASSETS — 100.0%	$	472,717

Percentages indicated are based on net assets.

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	85	E-mini S&P 500		12/17/10	$	5,014	$	79

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION (t)	VALUE($)
	Municipal Bonds — 94.1%
		Alabama — 0.3%
		Education — 0.3%
	8,135	Alabama Public School & College Authority, Capital Improvement, Rev., 5.000%, 12/01/16		9,617
		Arizona — 2.7%
		Certificate of Participation/Lease — 0.0% (g)
	650	Salt River Project Agricultural Improvement & Power District, COP, NATL-RE, 5.000%, 12/01/12		708
		Education — 0.0% (g)
	175	Arizona State University, Rev., AMBAC, 5.000%, 07/01/19		186
		General Obligation — 1.0%
		City of Goodyear,
	1,175	GO, AGM, 6.000%, 07/01/15		1,417
	1,225	GO, AGM, 6.000%, 07/01/16		1,504
	1,300	GO, AGM, 6.000%, 07/01/17		1,611
	1,375	GO, AGM, 6.000%, 07/01/18		1,723
	1,400	GO, AGM, 6.000%, 07/01/19		1,722
	3,450	City of Phoenix, Various Purpose, Series A, GO, 5.000%, 07/01/17		4,126
	725	Maricopa County Unified School District No. 48, Scottsdale, School Improvement, Series A, GO, NATL-RE FGIC, 5.000%, 07/01/15 (p)		849
	275	Maricopa County Unified School District No. 48, Scottsdale, Unrefunded Balance, School Improvement, Series A, GO, NATL-RE FGIC, 5.000%, 07/01/16		316
	6,760	Maricopa County Unified School District No. 4-Mesa, School Improvement Project 2005, Series C, GO, 4.250%, 07/01/14		7,496
	8,130	Maricopa County Unified School District No. 69-Paradise Valley, GO, NATL-RE, FGIC, 5.200%, 07/01/16		9,509
	1,500	Maricopa County Unified School District No. 97-Deer Valley, School Improvement Project 2004, Series B, GO, AGM, 5.000%, 07/01/15		1,740
				32,013
		Hospital — 0.6%
		Arizona Health Facilities Authority, Banner Health,
	2,000	Series D, Rev., 5.000%, 01/01/12		2,084
	5,000	Series D, Rev., 5.000%, 01/01/17		5,562
	2,500	Series D, Rev., 5.000%, 01/01/23		2,599
	3,215	Series D, Rev., 5.000%, 01/01/24		3,361

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Hospital — Continued
	2,500	Arizona Health Facilities Authority, Phoenix Children’s Hospital, Series A, Rev., VAR, 1.280%, 02/02/15		2,265
	2,250	Scottsdale IDA, Series A, Rev., 5.000%, 09/01/14		2,464
				18,335
		Other Revenue — 0.0% (g)
	1,485	Arizona Power Authority, Crossover, Special Obligation, Series A, Rev., 5.250%, 10/01/12		1,618
		Prerefunded — 0.4%
	12,040	Arzona School Facilities Board, State School Trust, Series A, Rev., AMBAC, 5.750%, 07/01/14 (p)		14,173
		Special Tax — 0.4%
	9,000	Glendale Western Loop 101 Public Facilities Corp., Series A, Rev., 7.000%, 07/01/33		9,715
	1,845	Scottsdale Municipal Property Corp., Rev., 5.000%, 07/01/17		2,188
				11,903
		Transportation — 0.2%
	5,475	Arizona State Transportation Board, Series A, Rev., GAN, 5.000%, 07/01/14		6,250
		Utility — 0.1%
	1,500	Salt River Project Agricultural Improvement & Power District, Series A, Rev., 5.000%, 01/01/22		1,711
		Total Arizona		86,897
		Arkansas — 0.5%
		General Obligation — 0.3%
	8,000	State of Arkansas, Federal Highway Grant, Anticipated Tax Revenue, GO, 5.000%, 08/01/12 (p)		8,633
		Special Tax — 0.2%
	5,650	City of Fayetteville, Sales & Use Tax, Series A, Rev., AGM, 4.750%, 11/01/18		6,346
		Water & Sewer — 0.0% (g)
	1,815	City of Fort Smith, Water & Sewer, Rev., AGM, 5.000%, 10/01/22		2,056
		Total Arkansas		17,035
		California — 6.9%
		Education — 0.7%
	2,000	California Educational Facilities Authority, University of Southern California, Series A, Rev., 5.000%, 10/01/39		2,122

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 15

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Education — Continued
		California State Public Works Board, University of California Research Project,
	1,000	Series E, Rev., 5.250%, 10/01/17		1,150
	2,025	Series E, Rev., 5.250%, 10/01/18		2,301
		University of California,
	5,000	Series O, Rev., 5.750%, 05/15/29		5,824
	5,285	Series O, Class O, Rev., 5.750%, 05/15/28		6,178
	6,045	University of California Regents Medical Center, Series A, Rev., NATL-RE, 4.750%, 05/15/22		6,344
				23,919
		General Obligation — 2.5%
		Carlsbad Unified School District,
	465	GO, Zero Coupon, 05/01/14		427
	2,500	GO, Zero Coupon, 05/01/16		2,107
	2,000	GO, Zero Coupon, 05/01/17		1,596
	1,490	GO, Zero Coupon, 05/01/19		1,047
	3,445	Center Unified School District, Election of 1991, Series D, GO, NATL-RE, Zero Coupon, 08/01/26		1,335
	750	El Camino Community College District, Election of 2002, Series B, GO, NATL-RE, FGIC, 4.250%, 08/01/12		795
		Evergreen Elementary School District,
	3,000	Series A, GO, AGM, 6.000%, 08/01/13		3,415
	1,090	Series A, GO, AGM, 6.000%, 08/01/16		1,345
		Grossmont-Cuyamaca Community College District, Capital Appreciation,
	5,640	GO, AGC, Zero Coupon, 08/01/14		5,269
	5,845	GO, AGC, Zero Coupon, 08/01/15		5,149
	250	Los Altos School District, GO, AMBAC, 5.000%, 08/01/21		274
		Los Angeles Unified School District,
	1,000	Series A-1, GO, AGM, 5.000%, 07/01/19		1,142
	2,750	Series B, GO, FGIC, 4.750%, 07/01/21		2,937
	1,500	Placentia-Yorba Linda Unified School District, 2002 Election, Series B, GO, NATL-RE, FGIC, 5.500%, 08/01/27		1,644
	1,220	San Diego Unified School District, Election of 1998, Series F-1, GO, AGM, 5.250%, 07/01/28		1,395
		Santa Monica Community College District, Election of 2007,
	2,500	Series C, GO, NATL-RE, FGIC, Zero Coupon, 08/01/11		2,486
	1,500	Series C, GO, NATL-RE, FGIC, Zero Coupon, 08/01/12		1,477

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — Continued
	2,700	Saugus Union School District, GO, NATL-RE, FGIC, 5.250%, 08/01/20		3,221
	1,000	State of California, GO, 5.000%, 08/01/16		1,147
	6,060	State of California, Economic Recovery, Series A, GO, 5.250%, 07/01/14		6,901
		State of California, Various Purpose,
	1,720	GO, 5.000%, 03/01/16		1,962
	940	GO, 5.000%, 04/01/16		1,073
	3,810	GO, 5.000%, 04/01/17		4,363
	5,000	GO, 5.000%, 04/01/20		5,568
	10,000	GO, 5.500%, 04/01/18		11,786
	5,000	GO, 5.500%, 04/01/21		5,638
	5,000	GO, 5.625%, 04/01/26		5,427
				80,926
		Hospital — 0.2%
		California Health Facilities Financing Authority, Providence Health & Services,
	1,500	Series C, Rev., 6.250%, 10/01/24		1,760
	2,000	Series C, Rev., 6.250%, 10/01/28		2,309
	1,000	University of California, Unrefunded Balance, UCLA Medical Center, Series B, Rev., AMBAC, 5.500%, 05/15/20		1,041
				5,110
		Industrial Development Revenue/Pollution Control Revenue — 0.0% (g)
	200	California Infrastructure & Economic Development Bank, Revolving Fund, Rev., 5.000%, 10/01/24		211
		Other Revenue — 0.2%
	2,475	Golden West Schools Financing Authority, Placentia-Yorba Linda University, Rev., AMBAC, 5.500%, 08/01/20		2,933
	3,110	Simi Valley School Financing Authority, Rev., AGM, 5.000%, 08/01/21		3,515
				6,448
		Prerefunded — 2.1%
		California Infrastructure & Economic Development Bank, Bay Area Toll Bridges, First Lien,
	340	Series A, Rev., AGM, 5.000%, 07/01/22 (p)		416
	2,315	Series A, Rev., FGIC, 5.000%, 07/01/25 (p)		2,847
		California State Department of Water Resources,
	5,000	Series A, Rev., 5.375%, 05/01/12 (p)		5,420
	5,000	Series A, Rev., 5.750%, 05/01/12 (p)		5,448

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Prerefunded — Continued
	13,000	Golden State Tobacco Securitization Corp., Series A-1, Rev., 6.750%, 06/01/13 (p)		15,008
		Golden State Tobacco Securitization Corp., Asset-Backed,
	2,000	Series A-2, Rev., 7.900%, 06/01/13 (p)		2,366
	1,350	Series A-4, Rev., 7.800%, 06/01/13 (p)		1,593
	4,765	Golden State Tobacco Securitization Corp., Enhanced, Asset-Backed, Series B, Rev., AMBAC, 5.000%, 06/01/13 (p)		5,288
		State of California,
	3,775	GO, 5.000%, 02/01/14 (p)		4,288
	18,945	GO, 5.125%, 02/01/14 (p)		21,596
	1,770	State of California, Economic Recovery, Series A, GO, 5.250%, 07/01/14 (p)		2,050
				66,320
		Transportation — 0.5%
	14,450	San Bernardino County Transportation Authority, Series A, Rev., 5.000%, 05/01/12		15,351
		Utility — 0.3%
		California State Department of Water Resources, Power Supply,
	850	Series A, Rev., NATL-RE, 5.250%, 05/01/12		908
	2,070	Series H, Rev., AGM-CR, 5.000%, 05/01/21		2,327
	5,000	Long Beach Bond Finance Authority, Natural Gas, Series A, Rev., 5.250%, 11/15/21		5,254
				8,489
		Water & Sewer — 0.4%
	8,025	California State Department of Water Resources, Water Systems, Unrefunded Balance, Series J-2, Rev., 7.000%, 12/01/11		8,594
	4,750	City of Santa Rosa, Capital Appreciation, Series B, Rev., AGM-CR, AMBAC, Zero Coupon, 09/01/23		2,415
		City of Vallejo, Water Revenue,
	1,370	Rev., NATL-RE, 5.000%, 05/01/16		1,360
	1,690	Rev., NATL-RE, 5.000%, 05/01/21		1,726
				14,095
		Total California		220,869
		Colorado — 2.7%
		Certificate of Participation/Lease — 0.2%
	5,830	Colorado Higher Education, COP, 5.500%, 11/01/27 (p)		6,366

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — 1.7%
	7,230	Arapahoe County School District No. 5 Cherry Creek, Improvement, GO, AGM, 5.000%, 12/15/13		8,189
		Denver City & County, Better Denver & Zoo,
	730	Series A, GO, 4.000%, 08/01/12		775
	1,330	Series A, GO, 4.000%, 08/01/13		1,451
	460	Series A, GO, 4.000%, 08/01/14		512
		Douglas County School District No. Re-1 Douglas & Elbert Counties,
	5,275	GO, 5.250%, 12/15/20		6,446
	6,950	GO, 5.250%, 12/15/23		8,519
	2,345	GO, 5.250%, 12/15/25		2,899
	1,660	Highlands Ranch Metropolitan District, Family & Children’s Fund Bonds, GO, 5.000%, 12/01/10		1,667
		Jefferson County School District R-1,
	10,000	GO, 5.000%, 12/15/22		11,888
	10,000	Series A, GO, AGM, 5.250%, 12/15/12		10,983
				53,329
		Other Revenue — 0.2%
	5,000	Denver City & County, Airport, Series B, Rev., 5.500%, 11/15/13 (p)		5,726
		Prerefunded — 0.5%
	5,000	Colorado Health Facilities Authority, Catholic Health, Series A, Rev., 5.500%, 03/01/12 (p)		5,333
	2,170	Colorado Higher Education, COP, 5.500%, 11/01/18 (p)		2,677
	4,250	Dawson Ridge Metropolitan District No. 1, Series A, GO, Zero Coupon, 10/01/22 (p)		2,858
	5,000	Regional Transportation District, Fastracks Project, Series A, Rev., AMBAC, 5.000%, 11/01/16 (p)		5,993
				16,861
		Transportation — 0.0% (g)
	1,000	Denver City & County, Airport, Series B, Rev., AMT, NATL-RE, FGIC, 5.000%, 11/15/14		1,114
		Utility — 0.1%
	1,225	Platte River Power Authority, Series HH, Rev., 5.000%, 06/01/22		1,406
		Water & Sewer — 0.0% (g)
	1,000	Superior Metropolitan District No. 1, Rev., AMBAC, 5.000%, 12/01/19		1,031
		Total Colorado		85,833

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 17

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Connecticut — 1.6%
		Education — 0.0% (g)
	1,000	Connecticut State Health & Educational Facility Authority, Quinnipiac University, Series I, Rev., NATL-RE, 5.000%, 07/01/26		1,056
		General Obligation — 1.4%
		City of Greenwich,
	325	GO, 4.000%, 06/01/22		351
	200	GO, 5.000%, 06/01/20		236
		City of Hartford,
	1,025	GO, AGC, 5.000%, 11/15/14		1,183
	1,325	GO, AGC, 5.000%, 11/15/15		1,553
	250	GO, AGC, 5.000%, 11/15/16		296
	270	GO, AGC, 5.000%, 11/15/17		322
	595	GO, AGC, 5.000%, 11/15/18		710
		State of Connecticut,
	3,000	GO, 5.000%, 03/15/14		3,406
	3,500	Series B, GO, AMBAC, 5.250%, 06/01/19		4,265
	4,980	Series B, GO, AMBAC, 5.250%, 06/01/20		6,076
	12,990	Series B, GO, NATL-RE, 5.000%, 12/01/12		14,188
	10,235	Series B, GO, NATL-RE, 5.000%, 06/01/14		11,691
	650	Town of Trumbull, GO, 5.000%, 09/15/15		759
				45,036
		Transportation — 0.1%
	1,000	State of Connecticut, Transportation Infrastructure, Special Tax, Series A, Rev., 4.000%, 12/01/15		1,117
		Water & Sewer — 0.1%
		South Central Regional Water Authority, Water System Revenue,
	250	Series A, Rev., NATL-RE, 5.250%, 08/01/19		293
	1,290	Series A, Rev., NATL-RE, 5.250%, 08/01/20		1,520
	2,000	State of Connecticut, Revolving Fund, Series A, Rev., 5.000%, 06/01/13		2,225
				4,038
		Total Connecticut		51,247
		Delaware — 0.5%
		Education — 0.2%
	6,000	University of Delaware, Series A, Rev., VAR, 2.000%, 06/01/11		6,038
		General Obligation — 0.0% (g)
	1,000	State of Delaware, Series C, GO, 5.000%, 03/01/21		1,211

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Other Revenue — 0.2%
		University of Delaware,
	1,000	Series B, Rev., 5.000%, 11/01/15		1,179
	1,000	Series B, Rev., 5.000%, 11/01/18		1,210
	1,000	Series B, Rev., 5.000%, 11/01/21		1,177
		Wilmington Parking Authority,
	1,500	Rev., AGM, 5.250%, 09/15/14		1,710
	500	Rev., AGM, 5.250%, 09/15/15		578
				5,854
		Transportation — 0.1%
	1,675	Delaware Transportation Authority, Motor Fuel Tax Revenue, Unrefunded Balance, Series B, Rev., AMBAC, 5.000%, 07/01/13		1,796
		Total Delaware		14,899
		District of Columbia — 0.6%
		Other Revenue — 0.6%
		District of Columbia, Income Tax,
	3,395	Series A, Rev., 5.000%, 12/01/17		4,041
	5,000	Series A, Rev., 5.000%, 12/01/18		5,959
	6,000	Series A, Rev., 5.000%, 12/01/19		7,128
	2,000	Series A, Rev., 5.000%, 12/01/20		2,378
		Total District of Columbia		19,506
		Florida — 3.0%
		Certificate of Participation/Lease — 0.3%
		Miami-Dade County, School Board,
	2,500	Series A, COP, NATL-RE, FGIC, 5.000%, 05/01/18		2,743
	3,405	Series D, COP, AGM-CR FGIC, 5.000%, 08/01/21		3,501
	3,955	Palm Beach County, School Board, Series D, COP, AGM, 5.250%, 08/01/13		4,233
				10,477
		General Obligation — 0.5%
	15,000	Florida State Board of Education, Public Education, Capital Outlay, Series B, GO, 4.750%, 06/01/21		16,312
	135	State of Florida, Department of Transportation, Right of Way, Series A, GO, 5.000%, 07/01/14		154
				16,466
		Other Revenue — 0.4%
		City of Port St. Lucie, Utilities Systems,
	1,800	Rev., AGC, 5.000%, 09/01/15		2,031
	2,355	Rev., AGC, 5.000%, 09/01/18		2,655
	1,070	Rev., AGC, 5.000%, 09/01/20		1,173

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Other Revenue —Continued
	3,405	Florida State Department of General Services, Facilities Pool, Series A, Rev., AMBAC, 5.000%, 09/01/14		3,862
	2,500	Tampa Bay Water Florida Utility System Revenue, Regional Water Supply Authority, Rev., NATL-RE, FGIC, 5.250%, 10/01/16		2,984
				12,705
		Prerefunded — 0.5%
	4,900	City of Gainesville, Utilities System, Series A, Rev., AGM, 5.000%, 10/01/15 (p)		5,778
	5,000	Highlands County Health Facilities Authority, Adventist Sunbelt, Series A, Rev., 6.000%, 11/15/11 (p)		5,340
	2,560	Miami-Dade County, Health Facilities Authority, Miami Children’s Hospital, Series A, Rev., AMBAC, 5.625%, 08/15/11 (p)		2,695
				13,813
		Special Tax — 0.5%
		Florida State Department of Environmental Protection, Florida Forever,
	7,060	Series A, Rev., NATL-RE, 5.375%, 07/01/16		7,548
	3,140	Series A, Rev., NATL-RE, 5.375%, 07/01/17		3,351
	5,000	Series C, Rev., AMBAC, 5.000%, 07/01/17		5,373
				16,272
		Utility — 0.0% (g)
	110	Lee County, Capital Improvement & Transition, Rev., AMBAC, 5.000%, 10/01/19		120
		Water & Sewer — 0.8%
		Miami-Dade County, Water & Sewer Systems,
	6,000	Series B, Rev., AGM, 5.000%, 10/01/14		6,878
	15,180	Series B, Rev., AGM, 5.000%, 10/01/15		17,719
				24,597
		Total Florida		94,450
		Georgia — 5.2%
		Education — 0.1%
	1,050	Private Colleges & Universities Authority, Emory University, Series B, Rev., 5.000%, 09/01/19		1,255
		General Obligation — 3.4%
	1,660	City of Marietta, School, Series A, GO, 5.000%, 02/01/16		1,954
	5,000	Douglas County School District, GO, AGM, 5.000%, 04/01/26		5,497
	1,025	Fulton County School District, GO, 6.375%, 05/01/12		1,111

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — Continued
	7,500	Gwinnett County School District, GO, 5.000%, 02/01/13		8,245
	2,300	Newton County School District, GO, 5.000%, 04/01/12		2,447
	1,535	Peach County, Sales Tax, GO, 5.000%, 07/01/12		1,646
		State of Georgia,
	5,030	Series A, GO, 5.000%, 09/01/12		5,449
	3,425	Series A, GO, 5.000%, 09/01/15 (p)		4,039
	11,245	Series A-1, GO, 5.000%, 07/01/12		12,100
	1,000	Series B, GO, 5.750%, 08/01/17		1,248
	14,960	Series C, GO, 5.000%, 07/01/17		17,962
	1,120	Series C, GO, 5.500%, 07/01/12		1,215
	10,000	Series C, GO, 5.500%, 07/01/15		11,573
	1,700	Series D, GO, 5.250%, 10/01/11		1,778
	5,000	Series E, GO, 4.000%, 07/01/13		5,446
	3,935	Series E, GO, 5.000%, 08/01/16		4,699
	16,535	Series G, GO, 5.000%, 11/01/13		18,668
	3,000	Series G, GO, 5.000%, 11/01/14		3,478
				108,555
		Prerefunded — 0.2%
	6,440	Gwinnett County Development Authority, Public Schools Project, COP, NATL-RE, 5.250%, 01/01/14 (p)		7,334
		Special Tax — 0.4%
	10,000	Georgia State Road and Tollway Authority, Federal Highway, Grant Anticipation Bonds, Series A, Rev., AGM, 5.000%, 06/01/18		11,902
		Transportation — 0.5%
		Georgia State Road and Tollway Authority, Federal Highway, Grant Anticipation Bonds,
	7,375	Rev., NATL-RE, 5.000%, 06/01/17		8,537
	2,000	Rev., NATL-RE, 5.000%, 06/01/18		2,286
	5,000	Series A, Rev., 5.000%, 06/01/15		5,804
				16,627
		Utility — 0.2%
	5,700	Municipal Electric Authority of Georgia, Series B, Rev., 6.250%, 01/01/17		6,930
		Water & Sewer — 0.4%
	6,895	Cobb County, Water & Sewer, Rev., 5.000%, 07/01/22		8,035
	3,335	Gwinnett County Water & Sewerage Authority, Rev., 5.000%, 08/01/19		3,971
				12,006
		Total Georgia		164,609

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 19

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Hawaii — 2.1%
		General Obligation — 1.2%
		State of Hawaii,
	5,515	Series CY, GO, AGM, 5.750%, 02/01/14		6,360
	2,750	Series D, GO, 5.000%, 06/01/16 (p)		3,279
	10,000	Series DD, GO, NATL-RE, 5.250%, 05/01/22		11,113
	7,500	Series DQ, GO, 5.000%, 06/01/15		8,739
	7,250	Series DR, GO, 5.000%, 06/01/16		8,556
				38,047
		Prerefunded — 0.3%
	9,455	State of Hawaii, Series CZ, GO, AGM, 5.250%, 07/01/12 (p)		10,210
		Transportation — 0.2%
		State of Hawaii,
	1,500	Rev., 5.000%, 01/01/15		1,732
	2,575	Rev., 5.000%, 01/01/19		3,052
				4,784
		Water & Sewer — 0.4%
		City & County of Honolulu, Second Bond Resolution,
	3,740	Series A, Rev., AGM, 5.000%, 07/01/23		4,170
	2,740	Series A, Rev., AGM, 5.000%, 07/01/24		3,027
	4,915	Series A, Rev., AGM, 5.000%, 07/01/25		5,400
				12,597
		Total Hawaii		65,638
		Idaho — 0.7%
		Education — 0.1%
	2,800	University of Idaho, Series A, Rev., VAR, AGM, 4.375%, 04/01/11		2,840
		General Obligation — 0.1%
		Ada & Canyon Counties Joint School District No. 2 Meridian,
	1,000	GO, 5.000%, 07/30/17		1,191
	1,000	GO, 5.000%, 07/30/19		1,194
				2,385
		Hospital — 0.3%
	8,000	Idaho Health Facilities Authority, Trinity Health Group, Series B, Rev., 6.000%, 12/01/23		9,132
		Other Revenue — 0.2%
	6,885	Idaho State Building Authority, Capitol Project, Rev., NATL-RE, FGIC, 5.000%, 09/01/14		7,830
		Total Idaho		22,187

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Illinois — 1.6%
		General Obligation — 0.4%
	5,000	City of Chicago, Emergency Telephone System, GO, NATL-RE, FGIC, 5.250%, 01/01/14		5,570
	140	Du Page & Will Counties Community School District No. 204 Indian Prairie, School Building, Class F, GO, AGM-CR, FGIC, 6.250%, 12/30/21		180
	3,970	State of Illinois, Series A, GO, AGM, 5.000%, 06/01/14		4,339
	1,165	Will County High School District No. 204-Joliet, Series B, GO, NATL-RE, 5.000%, 01/01/13		1,272
				11,361
		Hospital — 0.1%
	2,810	Illinois Health Facilities Authority, Advocate Health Care Network, Series A, Rev., VAR, 4.375%, 07/01/14		2,969
		Prerefunded — 0.3%
	3,200	Chicago Housing Authority, Rev., 5.375%, 07/01/12 (p)		3,464
	2,000	City of Chicago, Lakefront Millenium Parking Facility, GO, NATL-RE, 5.700%, 01/01/12 (p)		2,162
	5,000	City of Chicago, Skyway Toll, Rev., AMBAC, 5.500%, 01/01/11 (p)		5,095
	195	Will County School District No. 122, Series 2004-A, GO, AGM, 6.500%, 11/01/10 (p)		195
				10,916
		Short Term Note — 0.2%
	5,000	State of Illinois, GO, 3.000%, 06/14/11		5,046
		Special Tax — 0.1%
	3,000	City of Chicago, Sales Tax, Rev., AGM, 5.000%, 01/01/18		3,332
	1,160	State of Illinois, Sales Tax, Rev., 5.000%, 06/15/11		1,191
				4,523
		Transportation — 0.5%
	5,000	Chicago O’Hare International Airport, Third Lien, Series A, Rev., AGC-ICC, AMBAC, 5.000%, 01/01/22		5,318
	2,500	Chicago Transit Authority, Federal Transit Administration, Section 5307, Rev., AMBAC, 5.000%, 06/01/18		2,794
	5,000	Illinois State Toll Highway Authority, Series A, Rev., AGM, 5.500%, 01/01/15		5,823
	750	Regional Transportation Authority, Series A, Rev., NATL-RE, 6.000%, 07/01/24		911
				14,846

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Water & Sewer — 0.0% (g)
	1,125	City of Chicago, Wastewater Transmission, Series A, Rev., BHAC, 5.250%, 01/01/30		1,206
		Total Illinois		50,867
		Indiana — 1.2%
		Certificate of Participation/Lease — 0.2%
	1,000	Hamilton Heights School Corp., First Mortgage, Rev., COP, AGM, 5.000%, 01/15/13		1,093
	5,205	Indianapolis Local Public Improvement Bond Bank, Series 2005-E, Rev., COP, AMBAC, 5.000%, 01/01/15		5,955
				7,048
		Education — 0.2%
	3,570	Purdue University, Student Facilities Systems, Series A, Rev., 5.250%, 07/01/20		4,344
	2,920	Southwest Allen Multi School Building Corp., First Mortgage, Series A, Rev., NATL-RE , 5.000%, 07/15/18		3,150
				7,494
		Other Revenue — 0.3%
	2,125	Center Grove 2000 Building Corp., First Mortgage, Rev., NATL-RE, FGIC, 5.250%, 07/10/24		2,292
	160	Indiana Bond Bank, Special Program, Series D, Rev., AGM, 5.000%, 08/01/19		178
	1,900	Indianapolis Local Public Improvement Bond Bank, Series B, Rev., 5.000%, 02/01/15		2,183
		South Bend Community School Corp., First Mortgage,
	1,000	Rev., AGM, 4.000%, 07/05/11		1,025
	1,350	Rev., AGM, 5.000%, 07/05/14		1,537
	855	Rev., AGM, 5.000%, 01/05/16		994
	1,030	Rev., AGM, 5.000%, 07/05/17		1,213
				9,422
		Prerefunded — 0.5%
	3,750	Indiana Transportation Finance Authority, Series A, Rev., FGIC, 5.250%, 06/01/14 (p)		4,309
	10,000	Wayne Township School Building Corp., Series B, Rev., FGIC, 5.250%, 01/15/14 (p)		11,392
				15,701
		Total Indiana		39,665
		Iowa — 0.5%
		General Obligation — 0.2%
		City of Des Moines, Capital Loan Notes,
	1,245	Series C, GO, 5.000%, 06/01/12		1,335

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — Continued
	1,090	Series C, GO, 5.000%, 06/01/13		1,212
	3,150	Series C, GO, 5.000%, 06/01/14		3,600
	1,070	Series C, GO, 5.000%, 06/01/15		1,250
				7,397
		Prerefunded — 0.3%
	7,820	Tobacco Settlement Authority of Iowa, Asset-Backed, Series B, Rev., 5.600%, 06/01/11 (p)		8,137
		Total Iowa		15,534
		Kansas — 2.3%
		General Obligation — 0.2%
		City of Sailna, Internal Improvement,
	2,075	Series A, GO, 5.000%, 10/01/17		2,483
	2,170	Series A, GO, 5.000%, 10/01/18		2,610
				5,093
		Industrial Development Revenue/Pollution Control Revenue — 0.4%
		Kansas Development Finance Authority, Commerce Impact,
	5,815	Rev., 5.000%, 06/01/16		6,822
	6,105	Rev., 5.000%, 06/01/17		7,203
				14,025
		Other Revenue — 0.7%
	1,745	Kansas Development Finance Authority, Kansas Transitional Revolving Fund, Rev., 5.000%, 10/01/16		2,012
		Kansas State Department of Transportation,
	5,000	Series A, Rev., 5.000%, 09/01/13		5,604
	7,000	Series A, Rev., 5.000%, 09/01/16		8,342
	4,800	Series A, Rev., 5.000%, 09/01/18		5,792
				21,750
		Prerefunded — 0.9%
	21,045	City of Olathe & County of Labette, Capital Accumulator, Series A, Rev., Zero Coupon, 02/01/16 (p)		19,109
	9,015	Reno Sedgwick Finney Counties, Capital Accumulator, Rev., NATL-RE, Zero Coupon, 04/01/16 (p)		8,147
				27,256
		Utility — 0.1%
	3,755	Wyandotte County-Kansas City Unified Government, Series 2004, Rev., AMBAC, 5.650%, 09/01/15		4,429
		Total Kansas		72,553

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 21

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Kentucky — 1.3%
		Certificate of Participation/Lease — 0.1%
	4,050	Kentucky Turnpike Authority, Revitalization Project, Series A, Rev., COP, AMBAC, 5.500%, 07/01/12		4,382
		Other Revenue — 0.9%
		Kentucky State Property & Buildings Commission, Project No. 89,
	6,145	Rev., AGM, 5.000%, 11/01/22		6,864
	1,000	Rev., AGM, 5.000%, 11/01/24		1,098
		Louisville & Jefferson County Metro Government Board of Water Works,
	13,225	Series A, Rev., 5.000%, 11/15/14		15,318
	3,955	Series A, Rev., 5.000%, 11/15/18		4,783
				28,063
		Prerefunded — 0.3%
		Kentucky State Property & Buildings Commission, Project No. 79,
	5,000	Rev., NATL-RE, 5.000%, 10/01/13 (p)		5,621
	4,030	Rev., NATL-RE, 5.125%, 10/01/13 (p)		4,545
				10,166
		Total Kentucky		42,611
		Louisiana — 0.3%
		Other Revenue — 0.1%
	5,000	State of Louisiana, Gas & Fuel Tax Revenue, Second Lien, Series A, Rev., VAR, 1.030%, 06/01/13		5,007
		Prerefunded — 0.2%
	4,375	Louisiana Public Facilities Authority, CR, Series B, Rev., Zero Coupon, 12/01/19 (p)		3,334
	3,270	Louisiana Public Facilities Authority, CR, Multi-Family Housing, Series A, Rev., Zero Coupon, 02/01/20 (p)		2,452
				5,786
		Total Louisiana		10,793
		Maryland — 3.8%
		Education — 0.4%
		University System of Maryland, Tuition,
	2,135	Series A, Rev., 5.000%, 04/01/16		2,526
	4,340	Series A, Rev., 5.000%, 04/01/17		5,179
	4,560	Series A, Rev., 5.000%, 04/01/18		5,462
				13,167

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — 2.2%
		Hardford County, Public Improvement,
	5,500	GO, 5.000%, 07/01/15		6,455
	4,060	GO, 5.000%, 12/01/15		4,802
	2,665	Maryland National Capital Park & Planning Commission, Park Acquisition & Development, Series EE-2, GO, 5.000%, 01/15/14		3,019
	5,000	Montgomery County, Public Improvement, Series A, GO, 5.000%, 05/01/17		6,006
	6,635	State of Maryland, Capital Improvement, Series A, GO, 5.250%, 02/15/14		7,591
	20,000	State of Maryland, State & Local Facilities, Series C, GO, 5.000%, 11/01/18		24,308
		State of Maryland, State & Local Facilities Loan, Second Series,
	6,700	GO, 5.000%, 08/01/13 (p)		7,500
	8,000	GO, 5.000%, 08/01/15		9,420
				69,101
		Other Revenue — 0.6%
		Baltimore Board of School Commissioners,
	5,910	Rev., 5.000%, 05/01/14		6,743
	4,625	Rev., 5.000%, 05/01/15		5,399
	4,725	Rev., 5.000%, 05/01/17		5,639
	1,490	Maryland Water Quality Financing Administration Revolving Loan Fund, Rev., 5.000%, 03/01/14		1,687
				19,468
		Prerefunded — 0.0% (g)
	1,000	Maryland State Economic Development Corp., University of Maryland College Park Project, Rev., 6.000%, 06/01/13 (p)		1,137
		Transportation — 0.5%
		Maryland State Department of Transportation,
	4,000	Rev., 4.000%, 03/01/18		4,445
	9,880	Rev., 5.250%, 12/15/17		12,052
				16,497
		Water & Sewer — 0.1%
	1,150	State of Maryland, State & Local Facilities Loan, Capital Improvement, Series A, GO, 5.500%, 08/01/13		1,303
		Total Maryland		120,673
		Massachusetts — 3.9%
		Education — 0.4%
	10,000	Massachusetts Health & Educational Facilities Authority, Massachusetts Institute of Technology, Series A, Rev., 5.000%, 07/01/14		11,486

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		General Obligation — 1.4%
	9,000	Commonwealth of Massachusetts, Series A, GO, 5.250%, 08/01/19		10,904
		Commonwealth of Massachusetts, Consolidated Lien,
	3,050	Series C, GO, AGM, 5.500%, 11/01/10		3,050
	4,100	Series C, GO, NATL-RE, FGIC, 5.500%, 11/01/13		4,679
	10,000	Series C, GO, NATL-RE, FGIC, 5.500%, 11/01/14		11,737
	2,455	Series D, GO, 5.250%, 10/01/13 (p)		2,772
	10,450	Series D, GO, NATL-RE, 5.250%, 11/01/11 (p)		10,952
				44,094
		Other Revenue — 0.1%
		Boston Housing Authority,
	1,790	Rev., AGM, 5.000%, 04/01/15		1,982
	1,770	Rev., AGM, 5.000%, 04/01/17		1,967
				3,949
		Prerefunded — 1.9%
	200	Commonwealth of Massachusetts, Series C, GO, AGM, 5.500%, 12/01/22 (p)		246
		Commonwealth of Massachusetts, Consolidated Lien,
	5,000	Series C, GO, NATL-RE-IBC, 5.500%, 11/01/16 (p)		6,152
	10,000	Series D, GO, NATL-RE, 5.250%, 11/01/11 (p)		10,480
	5,000	Series E, GO, AMBAC, 5.000%, 11/01/16 (p)		6,018
		Commonwealth of Massachusetts, Special Obligation,
	14,900	Rev., FGIC, 5.000%, 01/01/14 (p)		16,746
	4,160	Rev., FGIC, 5.250%, 01/01/14 (p)		4,708
	2,500	Commonwealth of Massachusetts, Water Pollution Abatement, Rev., 5.000%, 08/01/14 (p)		2,876
	11,695	Massachusetts Bay Transportation Authority, Series A, Rev., 5.000%, 07/01/14 (p)		13,432
				60,658
		Special Tax — 0.1%
	3,840	Massachusetts School Building Authority, Series A, Rev., AGM, 5.000%, 08/15/22		4,263
		Total Massachusetts		124,450

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Michigan — 1.7%
		Education — 0.3%
		University of Michigan,
	3,535	Series A, Rev., 5.000%, 04/01/15		4,099
	4,170	Series A, Rev., 5.000%, 04/01/21		4,818
				8,917
		General Obligation — 0.2%
	1,000	Brandon School District, School Building & Site, GO, AGM, Q-SBLF, 5.000%, 05/01/17		1,132
	3,000	State of Michigan, GO, 5.500%, 12/01/13		3,399
	2,025	Ypsilanti School District, GO, AGC, Q-SBLF, 4.000%, 05/01/13		2,157
				6,688
		Hospital — 0.1%
	3,000	Kent Hospital Finance Authority, Spectrum Health, Series A, Rev., VAR, 5.000%, 01/15/12		3,145
		Other Revenue — 0.4%
	10,000	City of Grand Rapids, Sewer System, Series A, Rev., AGM-CR, BHAC-CR, FGIC, 5.500%, 01/01/22		11,816
	1,400	State of Michigan, Trunk Line Fund, Series B, Rev., AGM, 5.000%, 09/01/16		1,589
				13,405
		Prerefunded — 0.5%
	8,000	Detroit City School District, School Building & Site Improvement, Series A, GO, FGIC, Q-SBLF, 5.000%, 05/01/13 (p)		8,839
	5,000	State of Michigan, Environmental Program, Series A, GO, 5.250%, 05/01/13 (p)		5,571
				14,410
		Water & Sewer — 0.2%
	540	City of Detroit, Sewer Systems, Senior Lien, Series C, Rev., NATL-RE, FGIC, 5.250%, 07/01/16		608
	250	City of Detroit, Water Supply System, Second Lien, Series A, Rev., NATL-RE, 5.250%, 07/01/23		262
	5,900	City of Detroit, Water Supply System, Senior Lien, Series B, Rev., NATL-RE, 5.000%, 07/01/13		6,307
				7,177
		Total Michigan		53,742
		Minnesota — 2.0%
		General Obligation — 1.7%
	2,915	City of Minneapolis, Convention Center, Series B, GO, 5.000%, 04/01/12		3,105

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 23

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		General Obligation — Continued
		State of Minnesota,
	5,000	GO, 5.000%, 08/01/16		5,963
	4,900	GO, 5.000%, 11/01/19		5,618
	9,530	GO, 5.250%, 11/01/12 (p)		10,435
	10,000	GO, AGM, 5.000%, 08/01/13 (p)		11,144
	6,760	Series C, GO, 5.000%, 08/01/16		8,061
	8,275	State of Minnesota, Various Purpose, Series F, GO, 5.000%, 08/01/20		10,029
				54,355
		Other Revenue — 0.3%
	8,650	Minnesota Public Facilities Authority, Series B, Rev., 5.000%, 03/01/13		9,533
		Total Minnesota		63,888
		Mississippi — 0.7%
		General Obligation — 0.2%
	5,760	State of Mississippi, Series A, GO, 5.000%, 10/01/14		6,616
		Prerefunded — 0.5%
	15,750	Mississippi Housing Finance Corp., Capital Appreciation, Rev., Zero Coupon, 09/15/16 (p)		14,178
		Total Mississippi		20,794
		Missouri — 3.4%
		General Obligation — 0.1%
	1,000	Cass County Reorganized School District No. R-2, GO, 5.000%, 03/01/20		1,123
	2,260	Missouri Highway & Transportation Commission, Federal Reimbursement, Series A, GO, 5.000%, 05/01/17		2,695
				3,818
		Other Revenue — 1.7%
	14,000	Missouri State Board of Public Buildings, Series A, Rev., 5.000%, 10/15/15		15,523
		Missouri State Environmental Improvement & Energy Resources Authority, Revolving Funds,
	10,805	Series A, Rev., 5.000%, 01/01/19		13,012
	20,915	Series A, Rev., 5.000%, 01/01/21		24,818
				53,353
		Prerefunded — 0.0% (g)
	1,575	Hazelwood School District, GO, 5.250%, 03/01/13 (p)		1,745

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Transportation — 1.6%
		Missouri Highway & Transportation Commission, Federal Reimbursement,
	3,730	Series A, Rev., 5.000%, 05/01/16		4,419
	4,060	Series A, Rev., 5.000%, 05/01/20		4,803
	2,500	Missouri State Highways & Transit Commission, Series A, Rev., 5.000%, 02/01/13		2,639
		Missouri State Highways & Transit Commission, First Lien,
	3,000	Series A, Rev., 5.000%, 05/01/13		3,328
	7,000	Series A, Rev., 5.000%, 05/01/17		8,188
	6,000	Series B, Rev., 5.000%, 05/01/22		6,726
	5,000	Missouri State Highways & Transit Commission, Second Lien, Rev., 5.000%, 05/01/16		5,924
		Missouri State Highways & Transit Commission, Senior Lien,
	5,000	Rev., 5.000%, 02/01/16		5,897
	7,000	Rev., 5.000%, 02/01/21		7,897
				49,821
		Total Missouri		108,737
		Nebraska — 0.6%
		Education — 0.3%
		University of Nebraska Facilities Corp., Deferred Maintenance,
	3,625	Rev., AMBAC, 5.000%, 07/15/18		4,185
	3,715	Rev., AMBAC, 5.000%, 07/15/19		4,266
				8,451
		Utility — 0.3%
	7,000	City of Lincoln, Electrical Systems, Rev., 5.000%, 09/01/12		7,581
		Nebraska Public Power District,
	250	Series B, Rev., AGM, 5.000%, 01/01/17		292
	600	Series B, Rev., AGM, 5.000%, 01/01/18		700
	2,500	Series C, Rev., NATL-RE, FGIC, 5.000%, 01/01/17		2,847
				11,420
		Total Nebraska		19,871
		Nevada — 1.5%
		Education — 0.4%
		Nevada System of Higher Education,
	5,785	Series B, Rev., AMBAC, 5.000%, 07/01/21		6,197
	6,075	Series B, Rev., AMBAC, 5.000%, 07/01/22		6,470
				12,667

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		General Obligation — 0.3%
	5,450	Clark County, Flood Control, GO, 5.000%, 11/01/13		6,070
	5,000	State of Nevada, Projects R9-A-R13-F, Series F, GO, AGM, 5.000%, 12/01/24		5,394
				11,464
		Prerefunded — 0.6%
	3,795	Clark County School District, Series C, GO, AGM, 5.000%, 12/15/15 (p)		4,511
	12,140	Clark County School District, Building, Series D, GO, NATL-RE, 5.000%, 12/15/14 (p)		14,093
				18,604
		Water & Sewer — 0.2%
	5,000	Truckee Meadows Water Authority, Rev., AGM, 5.000%, 07/01/16		5,795
		Total Nevada		48,530
		New Hampshire — 0.2%
		Industrial Development Revenue/Pollution Control Revenue — 0.2%
		New Hampshire Municipal Bond Bank,
	1,025	Series E, Rev., 5.000%, 01/15/23		1,190
	1,035	Series E, Rev., 5.000%, 01/15/24		1,192
	1,195	Series E, Rev., 5.000%, 01/15/26		1,363
	1,250	Series E, Rev., 5.000%, 01/15/27		1,414
		Total New Hampshire		5,159
		New Jersey — 2.0%
		Education — 0.3%
	7,500	New Jersey Higher Education Assistance Authority, Series A, Rev., 5.000%, 06/01/15		8,272
		General Obligation — 0.5%
	1,100	Hunterdon County, General Improvement, GO, 4.000%, 05/01/13		1,195
	1,350	North Brunswick Township Board of Education, GO, 5.000%, 07/15/22		1,581
	2,500	State of New Jersey, GO, 5.250%, 08/01/20		2,991
	1,995	Sussex County Municipal Utilities Authority, Capital Appreciation, Series B, GO, AGM, Zero Coupon, 12/01/20		1,393
		Township of Franklin, Somerset County,
	665	GO, 4.000%, 05/01/16		751
	1,180	GO, 5.000%, 05/01/17		1,402
		Township of Woodbridge,
	1,000	GO, 4.000%, 07/15/15		1,114
	1,720	GO, 4.000%, 07/15/16		1,921

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — Continued
	1,100	GO, 5.000%, 07/15/22		1,272
	1,200	GO, 5.000%, 07/15/23		1,377
				14,997
		Industrial Development Revenue/Pollution Control Revenue — 0.4%
	5,000	New Jersey EDA, Cigarette Tax, Rev., AGC-ICC, 5.375%, 06/15/14		5,340
	7,570	New Jersey Environmental Infrastructure Trust, Series A, Rev., 5.000%, 09/01/16		8,781
				14,121
		Other Revenue — 0.2%
	6,000	Garden State Preservation Trust, 2005, Series A, Rev., AGM, 5.800%, 11/01/17		7,250
		Prerefunded — 0.6%
		Garden State Preservation Trust,
	2,670	Series A, Rev., AGM, 5.250%, 11/01/13 (p)		3,030
		New Jersey Transportation Trust Fund Authority, Transportation System,
	5,000	Series C, Rev., AGM-CR, 5.500%, 06/15/13 (p)		5,630
	1,500	Series D, Rev., 5.000%, 06/15/14 (p)		1,720
	8,120	Tobacco Settlement Financing Corp., Rev., 6.750%, 06/01/13 (p)		9,382
				19,762
		Total New Jersey		64,402
		New Mexico — 1.3%
		General Obligation — 0.2%
	5,000	Albuquerque Municipal School District No. 12, GO, 5.000%, 08/01/14		5,740
		Other Revenue — 0.5%
		New Mexico Finance Authority, Senior Lien,
	1,625	Series B, Rev., 5.000%, 06/01/22		1,832
	1,690	Series B, Rev., 5.000%, 06/01/23		1,892
	1,820	Series B, Rev., 5.000%, 06/01/25		2,021
	1,965	Series B, Rev., 5.000%, 06/01/27		2,157
		New Mexico Finance Authority, State Transportation, Sub Lien,
	1,195	Series A-2, Rev., 4.000%, 12/15/18		1,335
	3,000	Series A-2, Rev., 5.000%, 12/15/19		3,562
	2,245	Series A-2, Rev., 5.000%, 12/15/20		2,668
				15,467

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 25

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Special Tax — 0.6%
	7,000	New Mexico Finance Authority, Senior Lien, Series A, Rev., NATL-RE, 5.250%, 06/15/16		7,897
	10,735	State of New Mexico, Series A-1, Rev., 4.000%, 07/01/14		11,591
				19,488
		Total New Mexico		40,695
		New York — 8.2%
		Certificate of Participation/Lease — 0.5%
	15,000	New York State Urban Development Corp., Service Contract, Series B, Rev., COP, 5.250%, 01/01/25		16,435
		Education — 1.6%
	3,000	Erie County Industrial Development Agency, City of Buffalo School District Project, Series A, Rev., AGM, 5.750%, 05/01/21		3,564
	5,340	New York State Dormitory Authority, Columbia University, Series B, Rev., 5.000%, 07/01/15		6,275
		New York State Dormitory Authority, Education,
	10,000	Series A, Rev., 5.000%, 03/15/21		11,288
	4,000	Series A, Rev., 5.000%, 03/15/23		4,504
	8,000	Series C, Rev., 5.000%, 03/15/14		9,042
	6,500	Series C, Rev., 5.000%, 12/15/21		7,254
		New York State Dormitory Authority, School Districts, Building Finance Program,
	400	Series A, Rev., NATL-RE, 5.000%, 10/01/13		443
	510	Series A, Rev., NATL-RE, 5.000%, 10/01/14		574
	675	Series A, Rev., NATL-RE, 5.000%, 10/01/15		769
	1,360	Series A, Rev., NATL-RE, 5.000%, 10/01/18		1,540
	4,395	New York State Dormitory Authority, University Dormitory Facilities, Series A, Rev., 5.000%, 07/01/22		4,873
				50,126
		General Obligation — 0.1%
		Briarcliff Manor, Public Improvement,
	285	Series A, GO, AGM, 5.000%, 09/01/13		320
	100	Series A, GO, AGM, 5.000%, 09/01/14		116
	2,860	New York City, Unrefunded Balance, Series F, GO, 6.000%, 01/15/21		3,110
				3,546

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Hospital — 0.2%
		New York State Dormitory Authority, Mental Health Services Facilities Improvement,
	3,600	Series D, Rev., AGM, 5.000%, 02/15/14		4,037
	2,220	Series D, Rev., AGM, 5.000%, 08/15/14		2,524
	510	Series D, Rev., AGM, 5.000%, 02/15/18		584
				7,145
		Other Revenue — 1.7%
	1,235	New York City Municipal Water Finance Authority, Fiscal Year 2010, Series BB, Rev., 2.500%, 06/15/13		1,291
	17,835	New York City Municipal Water Finance Authority, Second Generation Resolution, Series FF, Rev., 5.000%, 06/15/24		20,296
	400	New York City Transitional Finance Authority, Fiscal Year 2007, Series S-1, Rev., NATL-RE, FGIC, 5.000%, 07/15/16		460
	395	New York City Transitional Finance Authority, Future Tax Secured, Sub Series A-2, Rev., 5.000%, 11/01/18		453
	10,000	New York State Dormitory Authority, Construction Services Contract, Series A, Rev., 5.000%, 07/01/23		11,034
	7,425	New York State Thruway Authority, Series B, Rev., 5.000%, 04/01/23		8,182
	5,000	New York State Urban Development Corp., Series D, Rev., 5.500%, 01/01/19		6,008
	5,000	Triborough Bridge & Tunnel Authority, General Purpose, Series B, Rev., 5.250%, 11/15/18		5,416
				53,140
		Prerefunded — 0.7%
	5,000	Metropolitan Transportation Authority, Series A, Rev., FGIC, 5.250%, 11/15/11 (p)		5,262
		New York State Thruway Authority,
	5,000	Series A, Rev., 5.500%, 03/15/12 (p)		5,352
	5,000	Series A, Rev., NATL-RE, 5.250%, 04/01/13 (p)		5,560
	5,000	Westchester Tobacco Asset Securitization Corp., Capital Appreciation, Rev., VAR, 6.950%, 07/15/17 (p)		6,597
				22,771
		Special Tax — 1.5%
		New York City Transitional Finance Authority, Future Tax Secured,
	5,000	Series A, Rev., VAR, 5.500%, 11/01/26		5,233
	4,985	Series B, Rev., 5.000%, 11/01/17		5,894
	3,750	Series B, Rev., 5.000%, 11/01/21		4,336

SEE NOTES TO FINANCIAL STATEMENTS.

26 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Special Tax — Continued
	7,875	New York Local Government Assistance Corp., Sub Series A-5/6, Rev., 5.500%, 04/01/19		9,616
	5,805	New York Local Government Assistance Corp., Senior Lien, Rev., 5.500%, 04/01/19		7,088
		New York State Environmental Facilities Corp.,
	1,000	Series A, Rev., 5.000%, 12/15/19		1,144
	2,430	Series A, Rev., 5.250%, 12/15/18		2,924
	5,000	New York State Thruway Authority, Series A, Rev., 5.250%, 03/15/19		5,972
	5,000	Sales Tax Asset Receivables Corp., Series A, Rev., AMBAC, 5.250%, 10/15/27		5,521
				47,728
		Transportation — 1.0%
		Metropolitan Transportation Authority,
	1,000	Series 2008-C, Rev., 6.500%, 11/15/28		1,181
	6,000	Series A, Rev., AMBAC, 5.500%, 11/15/14		6,912
	7,135	Series B, Rev., NATL-RE, 5.000%, 11/15/17		8,323
	7,000	Series B, Rev., NATL-RE, FGIC, 5.250%, 11/15/16		7,748
	2,535	New York State Thruway Authority, Series B, Rev., AMBAC, 5.000%, 04/01/18		2,900
	5,000	Triborough Bridge & Tunnel Authority, General Purpose, Series B, Rev., 5.250%, 11/15/15		5,943
				33,007
		Water & Sewer — 0.9%
	1,550	Erie County Water Authority, Rev., 5.000%, 12/01/16		1,834
		New York City Municipal Water Finance Authority,
	380	Series AA, Rev., 5.000%, 06/15/17		448
	2,500	Series CC, Rev., 5.000%, 06/15/29		2,716
	2,500	New York City Municipal Water Finance Authority, Second Generation Resolution, Series BB, Rev., 5.000%, 06/15/17		2,887
	1,010	New York State Environmental Facilities Corp., Rev., AGM, 5.750%, 06/15/12		1,094
	10,225	New York State Environmental Facilities Corp., New York City Municipal Project, Revolving Funds, Sub Series C, Rev., 5.000%, 06/15/21		11,524
	2,250	New York State Environmental Facilities Corp., New York City Municipal Water Financing Authority, Series A, Rev., 5.000%, 06/15/19		2,563
	5,000	New York State Environmental Facilities Corp., Revolving Funds, Series B, Rev., 5.000%, 06/15/13		5,561
				28,627
		Total New York		262,525

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		North Carolina — 1.9%
		Certificate of Participation/Lease — 0.1%
	1,020	Iredell County, School Project, COP, AMBAC, 5.000%, 06/01/17		1,176
		General Obligation — 1.0%
	200	City of Charlotte, Series B, GO, 5.000%, 06/01/20		239
		Durham County,
	1,000	GO, 5.000%, 04/01/16		1,183
	1,175	GO, 5.000%, 04/01/17		1,402
	2,950	Mecklenburg County, Public Improvement, Series B, GO, 5.000%, 02/01/15		3,429
	1,240	New Hanover County, GO, 5.000%, 12/01/16		1,487
	10,000	State of North Carolina, Public Improvement, Series A, GO, 5.000%, 05/01/15		11,702
		Wake County, Annual Appropriation, Limited Obligation,
	1,205	GO, 5.000%, 06/01/17		1,426
	3,905	GO, 5.000%, 06/01/20		4,564
	5,950	GO, 5.000%, 06/01/21		6,857
				32,289
		Other Revenue — 0.5%
	8,075	City of Charlotte, Equipment Acquisition & Public Facilities, Series A, COP, 5.000%, 06/01/13		8,924
		City of High Point,
	1,000	Rev., AGM, 5.000%, 11/01/25		1,104
	1,170	Rev., AGM, 5.000%, 11/01/26		1,283
	4,155	State of North Carolina, Annual Appropriation, Series A, Rev., 5.000%, 05/01/22		4,726
				16,037
		Transportation — 0.2%
	6,755	State of North Carolina, Rev., NATL-RE, 5.000%, 03/01/12		7,161
		Utility — 0.1%
	2,500	North Carolina Eastern Municipal Power Agency, Series A, Rev., AGC, 5.250%, 01/01/19		2,854
	225	North Carolina Municipal Power Agency No. 1, Catawba Electric, Rev., NATL-RE, 6.000%, 01/01/11		227
				3,081
		Total North Carolina		59,744
		Ohio — 2.6%
		Certificate of Participation/Lease — 0.1%
	2,105	Ohio State Building Authority, Adult Correctional Facilities, Series B, Rev., COP, 5.000%, 10/01/13		2,350

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 27

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Education — 0.1%
	2,700	State of Ohio, Higher Educational Facility, Denison University 2007 Project, Rev., 5.000%, 11/01/20		3,061
		General Obligation — 1.4%
	1,390	City of Cleveland, Series A, GO, AMBAC, 5.000%, 10/01/14		1,584
	7,780	City of Columbus, Limited Tax, Series 2, GO, 5.000%, 07/01/15		8,833
	2,000	City of Columbus, Various Purpose, Series D, GO, 5.000%, 12/15/11		2,106
	5,725	Franklin County, Various Purpose, GO, 5.000%, 12/01/19		6,805
	225	Kettering City School District, School Improvement, GO, AGM, 5.000%, 12/01/22		247
		State of Ohio, Common Schools,
	3,000	Series B, GO, 5.000%, 03/15/14 (p)		3,420
	3,165	Series B, GO, 5.000%, 09/15/15		3,685
	5,335	Series B, GO, 5.000%, 09/15/16		6,274
	5,325	Series D, GO, 5.000%, 09/15/12		5,769
	5,495	State of Ohio, Infrastructure Improvement, Series A, GO, 5.375%, 02/01/15		6,440
				45,163
		Other Revenue — 0.4%
	4,000	Buckeye Tobacco Settlement Financing Authority, Asset-Backed, Turbo, Series A-2, Rev., 5.125%, 06/01/24		3,482
	2,235	Ohio State Building Authority, State Financials Facilities, Adult Correctional, Series B, Rev., 5.000%, 10/01/22		2,500
	7,245	State of Ohio, Infrastructure Project, Major New Street, Series 2010-1, Rev., 5.000%, 06/15/13		8,021
				14,003
		Prerefunded — 0.2%
	200	Greater Cleveland Regional Transit Authority, Capital Improvement, Series A, GO, NATL-RE, 5.625%, 12/01/11 (p)		211
	6,330	Ohio State Water Development Authority, Rev., 5.000%, 06/01/15 (p)		7,418
				7,629
		Transportation — 0.1%
	1,715	City of Cleveland, Rev., AGM, 5.250%, 09/15/18		1,916

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Water & Sewer — 0.3%
		City of Cincinnati, Water System,
	3,805	Series A, Rev., 5.000%, 12/01/17		4,568
	4,650	Series A, Rev., 5.000%, 12/01/18		5,591
				10,159
		Total Ohio		84,281
		Oklahoma — 0.4%
		Education — 0.4%
		Tulsa County Industrial Authority, Jenks Public School,
	1,125	Rev., 5.000%, 09/01/14		1,287
	3,500	Rev., 5.500%, 09/01/15		4,158
	5,210	Rev., 5.500%, 09/01/18		6,356
		Total Oklahoma		11,801
		Oregon — 2.0%
		Certificate of Participation/Lease — 0.5%
		Oregon State Department of Administrative Services,
	3,425	Series A, COP, 5.000%, 05/01/20		3,956
	3,350	Series A, COP, 5.000%, 05/01/21		3,815
	6,965	Series A, COP, 5.000%, 05/01/22		7,861
				15,632
		General Obligation — 0.8%
	1,500	Clackamas County, School District No. 12, GO, AGM, 5.000%, 06/15/18		1,795
	1,500	Deschutes County Administrative School, District No. 1, GO, AGM, 5.000%, 06/15/11		1,545
	100	Marion County, GO, AMBAC, 5.500%, 06/01/23		124
	5,085	Oregon State Department of Administrative Services, Series A, GO, 5.000%, 05/01/14		5,735
		Portland Community College District,
	2,055	GO, 5.000%, 06/15/13		2,284
	4,950	GO, AGM, 5.000%, 06/15/14		5,652
	7,880	Washington County School District No 1 West Union, Hillsboro, GO, NATL-RE, FGIC, 5.000%, 06/15/13		8,747
				25,882
		Other Revenue — 0.4%
	10,060	Oregon State Department of Administrative Services, Rev., AGM, 5.000%, 09/01/12		10,883
	2,715	Oregon State Department of Transportation, Series B, Rev., 5.000%, 11/15/19		3,072
				13,955

SEE NOTES TO FINANCIAL STATEMENTS.

28 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Special Tax — 0.1%
	1,250	Oregon State Department of Transportation, Senior Lien, Series C, Rev., 5.000%, 11/15/17		1,496
		Water & Sewer — 0.2%
	6,560	City of Portland, Sewer Systems, First Lien, Series A, Rev., 5.000%, 06/15/18		7,786
		Total Oregon		64,751
		Pennsylvania — 3.1%
		Education — 0.1%
		Pennsylvania State University,
	1,250	Series A, Rev., 5.000%, 03/01/22		1,441
	2,000	Series A, Rev., 5.000%, 03/01/23		2,288
				3,729
		General Obligation — 2.3%
	9,265	Allegheny County, Series C-57, GO, NATL-RE, FGIC, 5.000%, 11/01/15		10,429
	1,000	Allegheny Valley Joint School District, Series A, GO, NATL-RE, 5.000%, 11/01/19		1,117
	2,165	Central Bucks School District, GO, NATL-RE, FGIC, 5.000%, 05/15/15		2,526
	4,585	Chester County, Unrefunded Balance, GO, 5.000%, 07/15/22		5,163
	9,475	City of Pittsburgh, Series A, GO, AGM, 5.000%, 09/01/12		10,107
	3,000	Commonwealth of Pennsylvania, GO, 5.000%, 07/01/18		3,588
		Commonwealth of Pennsylvania, First Series,
	1,000	GO, 5.000%, 10/01/13		1,124
	14,865	GO, 5.000%, 05/15/18		17,753
	4,000	Commonwealth of Pennsylvania, Second Series, GO, 5.000%, 01/01/22		4,464
	3,925	Commonwealth of Pennsylvania, Third Series, GO, 5.375%, 07/01/21		4,844
	1,315	Haverford Township School District, GO, AGM, 5.250%, 03/15/16		1,551
	1,060	Marple Newtown School District, GO, AGM, 5.000%, 03/01/17		1,217
		Red Lion Area School District,
	1,860	GO, AGM, 5.000%, 05/01/20		2,142
	1,200	GO, AGM, 5.000%, 05/01/21		1,364
	2,365	GO, AGM, 5.000%, 05/01/22		2,666
	2,050	Seneca Valley School District, GO, AGM, 5.000%, 07/01/13		2,274
				72,329

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Hospital — 0.2%
	5,500	Allegheny County Hospital Development Authority, University of Pittsburgh Medical Center, Series A, Rev., 5.000%, 09/01/14		6,186
	3,000	Sayre Health Care Facilities Authority, Guthrie Health, Rev., VAR, 0.979%, 12/01/24		2,303
				8,489
		Other Revenue — 0.1%
	2,500	Northampton County General Purpose Authority, Saint Lukes Hospital Project, Series C, Rev., VAR, 4.500%, 08/15/16		2,570
	1,100	Pennsylvania Turnpike Commission, Series A, Rev., AGM, 5.250%, 07/15/22		1,301
				3,871
		Prerefunded — 0.1%
	2,550	Chester County, GO, 5.000%, 07/15/17 (p)		3,036
		Transportation — 0.1%
	2,070	Pennsylvania Turnpike Commission, Series A, Rev., AGM-CR-AMBAC, 5.000%, 12/01/18		2,347
		Water & Sewer — 0.2%
	5,000	Altoona City Authority, Rev., AGM, 5.250%, 11/01/18		5,997
		Total Pennsylvania		99,798
		Puerto Rico — 0.2%
		Prerefunded — 0.2%
	5,000	Puerto Rico Public Buildings Authority, Rev., CIFG-TCRS, 5.250%, 07/01/12 (p)		5,387
		South Carolina — 1.9%
		Certificate of Participation/Lease — 0.0% (g)
	200	Charleston County, Public Facilities Corp., COP, NATL-RE, 5.000%, 06/01/12		214
		Education — 0.1%
	3,025	Scago Educational Facilities Corp. for Colleton School District, Pickens County Project, Rev., AGM, 5.000%, 12/01/21		3,309
		General Obligation — 0.6%
	10,000	State of South Carolina, Series A, GO, 5.000%, 06/01/19		12,051
		York County School District No. 1,
	2,170	Series A, GO, SCSDE, 5.250%, 03/01/21		2,565
	4,740	Series A, GO, SCSDE, 5.250%, 03/01/22		5,553
				20,169

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 29

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Other Revenue — 0.2%
	7,450	Tobacco Settlement Revenue Management Authority, Rev., 5.000%, 06/01/18		7,457
		Prerefunded — 0.2%
	4,585	Berkeley County School District, GO, AGM, SCSDE, 5.500%, 07/15/12 (p)		4,981
		Utility — 0.7%
		Piedmont Municipal Power Agency,
	13,185	Series A3, Rev., AGC, 5.000%, 01/01/17		15,092
	7,000	Series A3, Rev., AGC, 5.000%, 01/01/18		8,038
				23,130
		Water & Sewer — 0.1%
	2,220	City of Charleston, Waterworks & Sewer System, Series A, Rev., 5.000%, 01/01/22		2,550
		Total South Carolina		61,810
		Tennessee — 1.1%
		Education — 0.3%
	8,190	Metropolitan Government Nashville & Davidson County, Health & Educational Facilities Building, Vanderbilt University, Series A, Rev., 5.000%, 10/01/18		9,839
		General Obligation — 0.3%
	2,325	City of Memphis, General Improvement, GO, NATL-RE, 5.250%, 10/01/18		2,811
		Metropolitan Government Nashville & Davidson County,
	1,000	Series A, GO, NATL-RE, 5.000%, 01/01/16		1,172
	4,050	Series B, GO, 5.000%, 08/01/21		4,512
	1,500	State of Tennessee, Series C, GO, 5.000%, 05/01/16		1,777
				10,272
		Other Revenue — 0.1%
	4,000	City of Memphis, Rev., 5.000%, 12/01/15		4,685
		Prerefunded — 0.2%
	5,000	Memphis-Shelby County Sports Authority, Inc., Memphis Arena Project, Series B, Rev., AMBAC, 5.500%, 11/01/12 (p)		5,492
		Utility — 0.1%
	3,000	Tennessee Energy Acquisition Corp., Series A, Rev., 5.000%, 09/01/13		3,236
		Water & Sewer — 0.1%
	2,070	City of Memphis, Sewer System, Rev., AGM, 5.000%, 05/01/17		2,436
		Total Tennessee		35,960

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Texas — 9.0%
		Certificate of Participation/Lease — 0.1%
	1,550	Texas Public Finance Authority, State Preservation Board Projects, Series B, Rev., COP, AMBAC, 5.000%, 08/01/18		1,697
		Education — 0.8%
		Southwest Higher Education Authority, Southern Methodist University Project,
	1,000	Rev., 5.000%, 10/01/14		1,150
	2,000	Rev., 5.000%, 10/01/20		2,342
	3,000	Rev., 5.000%, 10/01/21		3,460
		Texas State University Systems,
	3,150	Rev., 5.250%, 03/15/27		3,467
	1,000	Series A, Rev., AMBAC, 5.500%, 03/15/17		1,172
		University of North Texas, Financing System,
	1,255	Series A, Rev., 5.000%, 04/15/20		1,462
	2,500	Series A, Rev., 5.000%, 04/15/22		2,850
		University of Texas, Financing System,
	3,000	Series B, Rev., 5.000%, 08/15/16 (p)		3,576
	2,500	Series B, Rev., 5.250%, 08/15/17		3,024
		Waco Educational Finance Corp., Baylor University,
	2,275	Series C, Rev., 5.000%, 03/01/21		2,562
	1,215	Series C, Rev., 5.000%, 03/01/22		1,357
				26,422
		General Obligation — 3.7%
	5,725	Bell County, Unrefunded Balance, Limited Tax Note, GO, 5.000%, 02/15/14		6,028
	1,075	Bexar County, GO, 5.250%, 06/15/22		1,212
	1,890	City of El Paso, GO, 5.000%, 08/15/14		2,161
	2,260	City of Fort Worth, General Purpose, GO, 5.000%, 03/01/18		2,688
	4,485	City of Garland, Series A, GO, 5.000%, 02/15/23		5,029
	3,225	City of Lubbock, Waterworks Systems, GO, AGM, 5.000%, 02/15/16		3,768
	1,000	Clear Creek Independent School District, School Building, GO, 5.250%, 02/15/24		1,118
	185	Collin County, Tax Refund, GO, 5.000%, 02/15/21		202
		Dallas County Community College District,
	3,000	GO, 5.000%, 02/15/14		3,399
	1,400	GO, 5.000%, 02/15/16		1,648
	1,965	GO, 5.000%, 02/15/24		2,231
		Dallas Independent School District, Maintenance Tax Notes,
	3,470	GO, 5.000%, 02/15/13		3,812
	2,085	GO, 5.000%, 02/15/15		2,415

SEE NOTES TO FINANCIAL STATEMENTS.

30 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		General Obligation — Continued
		Deer Park Independent School District, Limited Tax,
	1,000	GO, AGM, 4.000%, 02/15/15		1,111
	1,000	GO, AGM, 5.250%, 02/15/26		1,094
	1,000	GO, AGM, 5.250%, 02/15/27		1,089
	3,680	Edinburg Consolidated Independent School District, School Building, Series A, GO, AGM, 5.000%, 08/15/18		4,309
	1,830	Harlandale Independent School District, GO, AGC, 5.000%, 08/01/27		1,989
	4,800	Harris County Flood Control District, Series A, GO, 5.250%, 10/01/19		5,837
		Harris County, Permanent Improvement,
	2,000	Series B, GO, 4.000%, 10/01/15		2,257
	1,500	Series B, GO, 5.000%, 10/01/15		1,758
	1,605	Series B, GO, 5.000%, 10/01/19		1,918
		Harris County, Road,
	1,225	Series A, GO, 4.000%, 10/01/13		1,342
	2,750	Series A, GO, 5.250%, 10/01/18		3,340
	2,000	Series A, GO, 5.250%, 10/01/19		2,432
	3,500	Katy Independent School District, Series A, GO, PSF-GTD, 5.000%, 02/15/14		3,958
	665	La Joya Independent School District, GO, PSF-GTD, 5.000%, 02/15/17		769
		Longview Independent School District, Capital Appreciation, School Building,
	1,575	GO, PSF-GTD, Zero Coupon, 02/15/14		1,510
	2,210	GO, PSF-GTD, Zero Coupon, 02/15/15		2,066
	3,870	GO, PSF-GTD, Zero Coupon, 02/15/16		3,497
		North East Independent School District, Capital Appreciation, School Building,
	2,500	Series A, GO, PSF-GTD, Zero Coupon, 08/01/12		2,463
	1,430	Series A, GO, PSF-GTD, Zero Coupon, 08/01/13		1,389
	2,730	Series A, GO, PSF-GTD, Zero Coupon, 08/01/15		2,524
	1,025	Pharr San Juan Alamo Independent School District, GO, PSF-GTD, 5.000%, 02/01/12		1,083
		San Jacinto Community College District,
	2,885	GO, 4.000%, 02/15/12		3,014
	4,920	GO, 5.000%, 02/15/18		5,805
	5,000	GO, 5.000%, 02/15/34		5,320
	1,330	GO, AMBAC, 5.000%, 02/15/19		1,515
	390	GO, AMBAC, 5.000%, 02/15/20		439
	8,000	State of Texas, Public Finance Authority, Series A, GO, 5.000%, 10/01/16		9,521

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		General Obligation — Continued
		State of Texas, Water Financial Assistance,
	2,500	Series A, GO, 5.000%, 08/01/20		2,899
	4,340	Series A, GO, 5.000%, 08/01/21		4,971
	1,800	Tarrant County, Limited Tax, GO, 5.000%, 07/15/20		2,092
	500	Travis County, GO, 5.000%, 03/01/12		530
				119,552
		Hospital — 0.2%
	5,120	Harris County Health Facilities Development Corp., Hermann Memorial Healthcare System, Series B, Rev., 7.200%, 12/01/28		5,575
	1,350	Tarrant County Cultural Education Facilities Finance Corp., Texas Health Resources, Series A, Rev., 5.000%, 02/15/15		1,492
				7,067
		Other Revenue — 0.2%
	5,150	City of Houston, Junior Lien, Series A, Rev., AGM, 5.125%, 12/01/12 (p)		5,633
		Prerefunded — 1.0%
	6,975	Bell County, Limited Tax Note, GO, 5.000%, 02/15/12 (p)		7,388
		City of Houston, Junior Lien,
	5,550	Series A, Rev., AGM, 5.750%, 12/01/32 (p)		7,158
	5,000	Series B, Rev., AMBAC, 5.750%, 12/01/12 (p)		5,533
	8,935	Dallas Area Rapid Transit, Senior Lien, Rev., AMBAC, 5.000%, 12/01/11 (p)		9,390
	1,000	North Texas Tollway Authority, Series A, Rev., AGM, 5.000%, 01/01/15 (p)		1,152
	1,200	University of Texas, Financing System, Series B, Rev., 5.250%, 08/15/13 (p)		1,351
				31,972
		Special Tax — 0.3%
		Carroll Independent School District,
	1,000	Series C, GO, 5.000%, 02/15/20		1,155
	945	Series C, GO, 5.000%, 02/15/22		1,071
	325	Series C, GO, 5.000%, 02/15/23		366
	5,000	Texas State Transportation Commission, First Tier, Series A, Rev., 5.000%, 04/01/18		5,758
				8,350
		Transportation — 1.0%
	200	City of Laredo, International Toll Bridge, Series B, Rev., AGM, 5.000%, 10/01/13		222
		Dallas Area Rapid Transit, Senior Lien,
	4,620	Rev., 5.000%, 12/01/21		5,295

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 31

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Transportation — Continued
	3,000	Rev., 5.250%, 12/01/48		3,183
	10,000	Series A, Rev., 5.000%, 12/01/16		11,879
	7,660	Series A, Rev., 5.000%, 12/01/21		8,841
		Dallas-Fort Worth International Airport Facilities Improvement Corp.,
	1,000	Series A, Rev., 5.000%, 11/01/19		1,149
	2,000	Series A, Rev., 5.000%, 11/01/21		2,193
	600	Texas State Transportation Commission, First Tier, Series A, Rev., 5.250%, 04/01/14		687
				33,449
		Utility — 0.1%
	4,000	City of San Antonio, Electric & Gas, Series B, Rev., 5.000%, 02/01/13		4,389
		Water & Sewer — 1.6%
	200	City of Dallas, Waterworks & Sewer System Improvements, Rev., AGM, 5.375%, 10/01/12		219
	3,880	City of Dallas, Waterworks & Sewer Systems, Rev., AMBAC, 5.000%, 10/01/17		4,648
	6,020	Colorado River Municipal Water District, Water System, Rev., AMBAC, 5.375%, 01/01/15		6,537
		North Texas Municipal Water District,
	2,030	Rev., 5.000%, 06/01/15		2,351
	2,130	Rev., 5.000%, 06/01/16		2,492
	2,230	Rev., 5.000%, 06/01/17		2,622
	2,340	Rev., 5.000%, 06/01/18		2,758
	2,695	Rev., 5.000%, 06/01/21		3,057
	2,955	Rev., 5.000%, 06/01/23		3,301
	3,405	Rev., 5.000%, 06/01/26		3,724
		Texas Water Development Board, State Revolving Fund,
	3,200	Sub Series A-1, Rev., 5.000%, 07/15/17		3,823
	3,820	Sub Series A-1, Rev., 5.000%, 07/15/20		4,509
	8,780	Trinity River Authority, Texas Regional Water, Rev., 5.000%, 08/01/12		9,455
				49,496
		Total Texas		288,027
		Utah — 1.3%
		Education — 0.2%
		Utah State University of Agriculture & Applied Science,
	1,000	Rev., 5.000%, 12/01/19		1,175
	1,050	Rev., 5.000%, 12/01/20		1,217
	1,100	Rev., 5.000%, 12/01/21		1,258
	1,150	Rev., 5.000%, 12/01/22		1,304
				4,954

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Industrial Development Revenue/Pollution Control Revenue — 0.1%
		Salt Lake County Municipal Building Authority,
	1,125	Series A, Rev., 5.000%, 12/01/15		1,316
	1,375	Series A, Rev., 5.000%, 12/01/16		1,626
	1,000	Series A, Rev., 5.000%, 12/01/17		1,188
				4,130
		Prerefunded — 0.6%
		Utah Transit Authority,
	10,000	Series A, Rev., AGM, 5.000%, 12/15/12 (p)		10,942
	7,525	Series B, Rev., AGM, 4.750%, 12/15/15 (p)		8,830
				19,772
		Utility — 0.1%
	1,680	Utah Municipal Power Agency, Electrical Systems, Series A, Rev., AMBAC, 5.000%, 07/01/16		1,939
		Water & Sewer — 0.3%
	7,455	Metropolitan Water District of Salt Lake & Sandy, Series A, Rev., 5.000%, 07/01/26		8,344
	2,110	Utah Water Finance Agency, Series A, Rev., AMBAC, 5.000%, 07/01/15		2,332
				10,676
		Total Utah		41,471
		Vermont — 0.2%
		Other Revenue — 0.2%
		University of Vermont & State Agricultural College,
	4,230	Rev., AMBAC, 5.000%, 10/01/21		4,660
	2,355	Rev., AMBAC, 5.000%, 10/01/22		2,571
		Total Vermont		7,231
		Virginia — 5.4%
		Education — 1.6%
		Virginia College Building Authority, Public Higher Education Financing Program,
	7,700	Series A, Rev., 5.250%, 09/01/12 (p)		8,358
	5,165	Series B, Rev., 5.000%, 09/01/12		5,590
	9,080	Series B, Rev., 5.000%, 09/01/17		10,834
	10,050	Series B, Rev., 5.000%, 09/01/19		12,011
	5,135	Virginia Public School Authority, Series A, Rev., 5.000%, 08/01/14		5,893
		Virginia Public School Authority, School Financing, 1997 Resolution,
	3,000	Series A, Rev., 5.000%, 08/01/11		3,106

SEE NOTES TO FINANCIAL STATEMENTS.

32 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Education — Continued
	1,900	Series A, Rev., 5.000%, 08/01/14		2,181
	3,000	Series B, Rev., 5.000%, 08/01/13		3,353
				51,326
		General Obligation — 2.0%
	5,180	Arlington County, Public Improvement, GO, 5.000%, 01/15/16		6,140
	3,575	Chesterfield County, Public Improvement, Series A, GO, 5.000%, 01/01/16		4,225
		Commonwealth of Virginia,
	4,000	Series A, GO, 5.000%, 06/01/13		4,450
	2,725	Series A, GO, 5.000%, 06/01/14		3,122
	17,575	Series D, GO, 5.000%, 06/01/20		21,001
		Fairfax County, Public Improvement,
	6,495	Series A, GO, 5.000%, 04/01/21		7,515
	16,685	Series B, GO, 5.000%, 10/01/12		18,136
				64,589
		Industrial Development Revenue/Pollution Control Revenue — 0.1%
	1,130	Virginia Public Building Authority, Series B, Rev., 5.000%, 08/01/17		1,352
		Other Revenue — 0.8%
		Virginia Public Building Authority,
	5,330	Series A, Rev., 5.000%, 08/01/14		6,117
	3,005	Series B, Rev., 4.000%, 08/01/12		3,190
	5,620	Series C, Rev., 5.000%, 08/01/21		6,308
	5,225	Series D, Rev., 5.000%, 08/01/17		6,250
	3,320	Virginia Public School Authority, School Financing, 1997 Resolution, Series B, Rev., 5.250%, 08/01/17		4,024
				25,889
		Prerefunded — 0.5%
	1,500	Arlington County, Public Improvement, GO, 5.250%, 05/15/14 (p)		1,732
	3,720	Fairfax County, Public Improvement, Series A, GO, 5.000%, 04/01/14 (p)		4,248
	7,000	Tobacco Settlement Financing Corp., Asset-Backed, Rev., 5.625%, 06/01/15 (p)		8,341
				14,321
		Resource Recovery — 0.1%
	2,295	Virginia Resources Authority, Pooled Resources, Series A, Rev., 5.000%, 11/01/23		2,672

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Transportation — 0.3%
		Fairfax County EDA, Route 28 Project, Special Tax,
	1,500	5.000%, 04/01/15		1,742
	1,005	5.000%, 04/01/16		1,183
	1,935	5.000%, 04/01/17		2,296
	1,655	5.000%, 04/01/18		1,971
	2,900	Virginia Commonwealth Transportation Board, Series A, Rev., 5.000%, 05/15/14		3,308
				10,500
		Total Virginia		170,649
		Washington — 1.3%
		General Obligation — 1.2%
		Benton County School District No. 17,
	3,220	GO, 5.000%, 12/01/13		3,622
	4,300	GO, 5.000%, 12/01/14		4,949
	2,000	City of Tacoma, Series B, GO, NATL-RE, Zero Coupon, 12/01/16		1,691
	5,000	King County School District No. 414, Lake Washington, GO, AGM, 5.000%, 12/01/20		5,691
		State of Washington, Various Purpose,
	1,000	Series C, GO, 5.000%, 01/01/18		1,185
	12,400	Series R-2010A, GO, 5.000%, 01/01/22		14,147
	1,800	Whitman County School District No. 267 Pullman, GO, 5.000%, 12/01/18		2,151
	4,690	Yakima County School District No. 7, GO, 5.500%, 12/01/23		5,516
				38,952
		Hospital — 0.1%
	1,225	Washington Health Care Facilities Authority, Multicare Health Care System, Series A, Rev., AGM, 5.250%, 08/15/23		1,343
		Utility — 0.0% (g)
	200	Energy Northwest, Project 1, Series A, Rev., NATL-RE, 5.250%, 07/01/13		224
		Total Washington		40,519
		Wisconsin — 0.4%
		General Obligation — 0.4%
	700	Milwaukee County, Series A, GO, NATL-RE, 5.000%, 10/01/11		729
		State of Wisconsin,
	5,000	Series 3, GO, NATL-RE, 5.000%, 05/01/14		5,681
	5,000	Series E, GO, NATL-RE, FGIC, 5.000%, 05/01/15		5,815
		Total Wisconsin		12,225

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 33

JPMorgan Tax Aware Real Return Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Wyoming — 0.0% (g)
		Other Revenue — 0.0% (g)
	150	Wyoming State Loan & Investment Board, Capital Facilities, Rev., 5.000%, 10/01/22		160
		Total Municipal Bonds (Cost $2,834,429)		3,002,090

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 7.4%
		Investment Company — 7.4%
	237,180	JPMorgan Tax Free Money Market Fund, Institutional Class Shares, 0.150% † (b) (l) (m) (Cost $237,180)		237,180
		Total Investments — 101.5% (Cost $3,071,609)		3,239,270
		Liabilities in Excess of Other Assets — (1.5)%		(48,931	)
		NET ASSETS — 100.0%	$	3,190,339

Percentages indicated are based on net assets.

Inflation Linked Swaps
	RATE TYPE (r)
SWAP COUNTERPARTY	PAYMENTS MADE BY THE FUND	PAYMENTS RECEIVED BY THE FUND	TERMINATION DATE	NOTIONAL AMOUNT		VALUE			UPFRONT PREMIUMS (PAID)/ RECEIVED [1]
Barclays Bank plc	2.988% at termination	CPI-U at termination	01/15/11	$	25,000	$	(1,491	)	$	—
Barclays Bank plc	2.817% at termination	CPI-U at termination	02/13/11		500		(22	)		—
Barclays Bank plc	2.960% at termination	CPI-U at termination	04/15/11		20,000		(1,372	)		—
Barclays Bank plc	2.970% at termination	CPI-U at termination	06/14/11		2,000		(126	)		—
Barclays Bank plc	2.940% at termination	CPI-U at termination	06/15/11		3,000		(184	)		—
Barclays Bank plc	2.890% at termination	CPI-U at termination	08/25/11		25,000		(1,675	)		—
Barclays Bank plc	2.490% at termination	CPI-U at termination	10/12/11		50,000		(2,231	)		—
Barclays Bank plc	2.030% at termination	CPI-U at termination	09/16/12		100,000		(6,489	)		—
Barclays Bank plc	2.760% at termination	CPI-U at termination	09/16/12		1,500		(95	)		—
Barclays Bank plc	3.003% at termination	CPI-U at termination	01/15/13		20,000		(2,065	)		—
Barclays Bank plc	2.855% at termination	CPI-U at termination	02/13/13		500		(41	)		—
Barclays Bank plc	2.540% at termination	CPI-U at termination	03/19/13		50,000		(3,498	)		—
Barclays Bank plc	2.950% at termination	CPI-U at termination	06/14/13		2,000		(195	)		—
Barclays Bank plc	2.923% at termination	CPI-U at termination	06/15/13		3,000		(286	)		—
Barclays Bank plc	2.573% at termination	CPI-U at termination	07/15/13		25,000		(1,833	)		—
Barclays Bank plc	2.895% at termination	CPI-U at termination	08/25/13		25,000		(2,487	)		—
Barclays Bank plc	2.573% at termination	CPI-U at termination	01/15/14		50,000		(3,967	)		—
Barclays Bank plc	2.993% at termination	CPI-U at termination	01/15/14		25,000		(2,841	)		—
Barclays Bank plc	2.920% at termination	CPI-U at termination	01/15/15		25,000		(2,928	)		—
Barclays Bank plc	3.007% at termination	CPI-U at termination	01/15/15		20,000		(2,525	)		—
Barclays Bank plc	2.610% at termination	CPI-U at termination	03/19/15		50,000		(4,221	)		—
Barclays Bank plc	2.675% at termination	CPI-U at termination	10/12/15		50,000		(4,212	)		—
Barclays Bank plc	2.998% at termination	CPI-U at termination	01/15/16		25,000		(3,161	)		—
Barclays Bank plc	2.095% at termination	CPI-U at termination	05/24/16		50,000		(907	)		—
Barclays Bank plc	2.943% at termination	CPI-U at termination	06/14/16		5,000		(577	)		—
Barclays Bank plc	2.930% at termination	CPI-U at termination	06/15/16		3,000		(342	)		—
Barclays Bank plc	2.680% at termination	CPI-U at termination	07/15/16		25,000		(2,243	)		—
Barclays Bank plc	2.718% at termination	CPI-U at termination	01/15/17		50,000		(4,646	)		—
Barclays Bank plc	2.095% at termination	CPI-U at termination	07/06/17		50,000		(308	)		—
Barclays Bank plc	2.812% at termination	CPI-U at termination	10/12/19		50,000		(4,021	)		—
Barclays Bank plc	2.285% at termination	CPI-U at termination	07/09/20		50,000		576			—
BNP Paribas	1.910% at termination	CPI-U at termination	06/18/15		50,000		(685	)		—
BNP Paribas	2.220% at termination	CPI-U at termination	05/24/17		50,000		(899	)		—
BNP Paribas	2.350% at termination	CPI-U at termination	07/06/20		50,000		257			—

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 34

Inflation Linked Swaps
	RATE TYPE (r)
SWAP COUNTERPARTY	PAYMENTS MADE BY THE FUND	PAYMENTS RECEIVED BY THE FUND	TERMINATION DATE	NOTIONAL AMOUNT		VALUE			UPFRONT PREMIUMS (PAID)/ RECEIVED [1]
BNP Paribas	2.290% at termination	CPI-U at termination	07/09/20	$	50,000	$	553		$	—
BNP Paribas	2.745% at termination	CPI-U at termination	05/01/28		25,000		(458	)		—
Citibank, N.A.	2.285% at termination	CPI-U at termination	06/30/18		50,000		(564	)		—
Citibank, N.A.	2.280% at termination	CPI-U at termination	07/01/18		50,000		(534	)		—
Citibank, N.A.	2.420% at termination	CPI-U at termination	05/24/20		25,000		(124	)		—
Citibank, N.A.	2.420% at termination	CPI-U at termination	06/30/20		50,000		(101	)		—
Citibank, N.A.	2.410% at termination	CPI-U at termination	07/01/20		50,000		(48	)		—
Citibank, N.A.	2.330% at termination	CPI-U at termination	07/06/20		50,000		352			—
Citibank, N.A.	2.470% at termination	CPI-U at termination	07/02/22		50,000		577			—
Deutsche Bank AG, New York	1.990% at termination	CPI-U at termination	06/08/15		40,000		(741	)		—
Deutsche Bank AG, New York	2.135% at termination	CPI-U at termination	08/03/16		100,000		(2,073	)		—
Deutsche Bank AG, New York	2.410% at termination	CPI-U at termination	06/30/20		100,000		(106	)		—
Morgan Stanley Capital Services	2.220% at termination	CPI-U at termination	08/16/20		100,000		2,330			—
Royal Bank of Scotland	2.140% at termination	CPI-U at termination	09/15/13		100,000		(7,417	)		—
Royal Bank of Scotland	2.430% at termination	CPI-U at termination	06/28/20		25,000		(77	)		—
Royal Bank of Scotland	2.423% at termination	CPI-U at termination	06/30/20		75,000		(175	)		—
Royal Bank of Scotland	2.630% at termination	CPI-U at termination	06/24/25		50,000		688			—
Royal Bank of Scotland	2.610% at termination	CPI-U at termination	06/28/25		25,000		421			—
Royal Bank of Scotland	2.620% at termination	CPI-U at termination	06/28/25		25,000		388			—
Royal Bank of Scotland	0.036% at termination	CPI-U at termination	07/31/29		100,000		(13,472	)		—
Union Bank of Switzerland AG	2.275% at termination	CPI-U at termination	07/02/18		50,000		(512	)		—
Union Bank of Switzerland AG	2.220% at termination	CPI-U at termination	07/06/18		50,000		(282	)		—
Union Bank of Switzerland AG	2.140% at termination	CPI-U at termination	07/09/18		50,000		41			—
Union Bank of Switzerland AG	2.480% at termination	CPI-U at termination	07/01/22		50,000		514			—
						$	(82,560	)	$	—

[1] Upfront premiums generally relate to payments made or received at the initiation of the agreement to compensate the differences between the stated terms of the swap agreement and current market conditions (credit spreads, interest rates and other relevant factors).

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 35

JPMorgan Tax Aware U.S. Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 99.9%
		Consumer Discretionary — 15.4%
		Auto Components — 2.0%
	133	Johnson Controls, Inc.		4,677
		Hotels, Restaurants & Leisure — 3.1%
	55	Royal Caribbean Cruises Ltd. (a)		2,182
	23	Starwood Hotels & Resorts Worldwide, Inc.		1,235
	82	Yum! Brands, Inc.		4,043
				7,460
		Internet & Catalog Retail — 1.4%
	20	Amazon.com, Inc. (a)		3,283
		Media — 5.3%
	67	Comcast Corp., Class A		1,382
	164	Time Warner, Inc.		5,325
	162	Walt Disney Co. (The)		5,861
				12,568
		Specialty Retail — 1.5%
	27	Advance Auto Parts, Inc.		1,742
	97	Staples, Inc.		1,976
				3,718
		Textiles, Apparel & Luxury Goods — 2.1%
	33	Coach, Inc.		1,649
	23	NIKE, Inc., Class B		1,903
	17	V.F. Corp.		1,430
				4,982
		Total Consumer Discretionary		36,688
		Consumer Staples — 8.2%
		Beverages — 1.7%
	62	PepsiCo, Inc.		4,019
		Food & Staples Retailing — 1.5%
	77	CVS Caremark Corp.		2,309
	39	Sysco Corp.		1,163
				3,472
		Food Products — 1.2%
	22	Campbell Soup Co.		800
	54	General Mills, Inc.		2,020
				2,820
		Household Products — 3.0%
	23	Colgate-Palmolive Co.		1,752
	86	Procter & Gamble Co. (The)		5,482
				7,234
		Tobacco — 0.8%
	33	Philip Morris International, Inc.		1,928
		Total Consumer Staples		19,473

SHARES		SECURITY DESCRIPTION	VALUE($)
		Energy — 9.8%
		Energy Equipment & Services — 1.4%
	12	Baker Hughes, Inc.		551
	39	Schlumberger Ltd.		2,748
				3,299
		Oil, Gas & Consumable Fuels — 8.4%
	36	Apache Corp.		3,656
	71	ConocoPhillips		4,217
	19	Devon Energy Corp.		1,215
	27	EOG Resources, Inc.		2,557
	58	Exxon Mobil Corp.		3,868
	56	Occidental Petroleum Corp.		4,380
				19,893
		Total Energy		23,192
		Financials — 13.1%
		Capital Markets — 4.9%
	33	Goldman Sachs Group, Inc. (The)		5,331
	74	Invesco Ltd.		1,698
	71	Morgan Stanley		1,774
	35	State Street Corp.		1,454
	80	TD AMERITRADE Holding Corp. (a)		1,364
				11,621
		Commercial Banks — 2.8%
	64	BB&T Corp.		1,493
	53	U.S. Bancorp		1,282
	147	Wells Fargo & Co.		3,831
				6,606
		Diversified Financial Services — 1.9%
	158	Bank of America Corp.		1,805
	693	Citigroup, Inc. (a)		2,891
				4,696
		Insurance — 3.5%
	26	ACE Ltd., (Switzerland)		1,530
	27	Berkshire Hathaway, Inc., Class B (a)		2,131
	15	Lincoln National Corp.		374
	37	MetLife, Inc.		1,497
	53	Prudential Financial, Inc.		2,776
				8,308
		Total Financials		31,231
		Health Care — 11.3%
		Biotechnology — 1.9%
	20	Alexion Pharmaceuticals, Inc. (a)		1,384
	10	Biogen Idec, Inc. (a)		623
	39	Celgene Corp. (a)		2,426
				4,433

SEE NOTES TO FINANCIAL STATEMENTS.

36 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Health Care Equipment & Supplies — 0.5%
	30	Covidien plc, (Ireland)		1,203
		Health Care Providers & Services — 1.9%
	74	Aetna, Inc.		2,202
	47	Cardinal Health, Inc.		1,626
	11	WellPoint, Inc. (a)		593
				4,421
		Pharmaceuticals — 7.0%
	93	Abbott Laboratories		4,768
	167	Merck & Co., Inc.		6,071
	338	Pfizer, Inc.		5,881
				16,720
		Total Health Care		26,777
		Industrials — 11.1%
		Aerospace & Defense — 2.8%
	38	Honeywell International, Inc.		1,810
	65	United Technologies Corp.		4,827
				6,637
		Industrial Conglomerates — 1.2%
	108	General Electric Co.		1,725
	30	Tyco International Ltd., (Switzerland)		1,131
				2,856
		Machinery — 4.4%
	52	Deere & Co.		4,016
	95	PACCAR, Inc.		4,873
	23	Parker Hannifin Corp.		1,728
				10,617
		Road & Rail — 2.7%
	103	Norfolk Southern Corp.		6,359
		Total Industrials		26,469
		Information Technology — 20.9%
		Communications Equipment — 5.5%
	264	Cisco Systems, Inc. (a)		6,034
	88	Juniper Networks, Inc. (a)		2,837
	95	QUALCOMM, Inc.		4,307
				13,178
		Computers & Peripherals — 5.7%
	30	Apple, Inc. (a)		9,070
	33	EMC Corp. (a)		699
	90	Hewlett-Packard Co.		3,786
				13,555

SHARES		SECURITY DESCRIPTION	VALUE($)
		Internet Software & Services — 1.0%
	4	Google, Inc., Class A (a)		2,432
		IT Services — 3.1%
	37	Cognizant Technology Solutions Corp., Class A (a)		2,407
	24	International Business Machines Corp.		3,450
	6	MasterCard, Inc., Class A		1,559
				7,416
		Semiconductors & Semiconductor Equipment — 1.0%
	26	Broadcom Corp., Class A		1,059
	42	Novellus Systems, Inc. (a)		1,223
				2,282
		Software — 4.6%
	306	Microsoft Corp.		8,148
	95	Oracle Corp.		2,790
				10,938
		Total Information Technology		49,801
		Materials — 5.4%
		Chemicals — 3.3%
	24	Dow Chemical Co. (The)		731
	131	E.l. du Pont de Nemours & Co.		6,177
	14	Monsanto Co.		852
				7,760
		Metals & Mining — 2.1%
	53	Freeport-McMoRan Copper & Gold, Inc.		5,028
		Total Materials		12,788
		Telecommunication Services — 3.0%
		Diversified Telecommunication Services — 2.4%
	60	AT&T, Inc.		1,714
	120	Verizon Communications, Inc.		3,907
				5,621
		Wireless Telecommunication Services — 0.6%
	344	Sprint Nextel Corp. (a)		1,416
		Total Telecommunication Services		7,037
		Utilities — 1.7%
		Electric Utilities — 1.7%
	32	NextEra Energy, Inc.		1,774
	60	Southern Co.		2,260
		Total Utilities		4,034
		Total Common Stocks (Cost $165,825)		237,490

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 37

JPMorgan Tax Aware U.S. Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 1.7%
		Investment Company — 1.7%
	4,184	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (m) (Cost $4,184)		4,184
		Total Investments — 101.6% (Cost $170,009)		241,674
		Liabilities in Excess of Other Assets — (1.6)%		(3,899	)
		NET ASSETS — 100.0%	$	237,775

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

38 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

JPMorgan Tax Aware Funds

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

ADR	—  American Depositary Receipt
AGC	—  Insured by Assured Guaranty Corp.
AGM	—  Insured by Assured Guaranty Municipal Corp.
AMBAC	—  Insured by American Municipal Bond Assurance Corp.
AMT	—  Alternative Minimum Tax
BHAC	—  Insured by Berkshire Hathaway Assurance Corp.
CIFG	—  Insured by CDC IXIS Financial Guaranty
COP	—  Certificate of Participation
CR	—  Custodial Receipts
EDA	—  Economic Development Authority
FGIC	—  Insured by Financial Guaranty Insurance Co.
GAN	—  Grant Anticipation Notes
GO	—  General Obligation
GTD	—  Guaranteed
IBC	—  Insured Bond Certificates
ICC	—  Insured Custody Certificates
IDA	—  Industrial Development Authority
NATL	—  Insured by National Public Finance Guarantee Corp.
PSF	—  Permanent School Fund
Q-SBLF	—  Qualified School Bond Loan Fund
RE	—  Reinsured
Rev.	—  Revenue
SCSDE	—  South Carolina School District Enhancement
TCRS	—  Transferable Custodial Receipts

VAR	—  Variable Rate Security. The interest rate shown is the rate in effect as of October 31, 2010.
(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(g)	—  Amount rounds to less than 0.1%.
(k)	—  All or a portion of this security is deposited with the broker as collateral for futures or with brokers as initial margin for futures contracts.
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
(p)	—  Security is prerefunded or escrowed to maturity.
(r)	—  Rates shown are per annum and payments are as described.
(t)	—  The date shown represents the earliest of the prerefunded date, next put date or final maturity date.
†	—  Approximately $77,020,000 of this investment is restricted as collateral for swaps to various brokers.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 39

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Tax Aware Equity Fund		Tax Aware Real Return Fund		Tax Aware U.S. Equity Fund
ASSETS:
Investments in non-affiliates, at value	$	463,073	$	3,002,090	$	237,490
Investments in affiliates, at value		7,884		160,160		4,184
Investment in affiliates — restricted, at value		—		77,020		—
Total investment securities, at value		470,957		3,239,270		241,674
Cash		—		10		—
Receivables:
Investment securities sold		2,050		—		—
Fund shares sold		454		4,142		19
Interest and dividends		700		42,554		351
Variation margin on futures contracts		2		—		—
Outstanding swap contracts, at value		—		6,697		—
Total Assets		474,163		3,292,673		242,044
LIABILITIES:
Payables:
Dividends		—		5,012		—
Investment securities purchased		921		—		3,933
Fund shares redeemed		246		6,210		128
Outstanding swap contracts, at value		—		89,257		—
Accrued liabilities:
Investment advisory fees		136		939		74
Administration fees		39		253		21
Shareholder servicing fees		19		331		45
Distribution fees		—		109		2
Custodian and accounting fees		17		1		8
Trustees’ and Chief Compliance Officer’s fees		1		15		—	(a)
Other		67		207		58
Total Liabilities		1,446		102,334		4,269
Net Assets	$	472,717	$	3,190,339	$	237,775

SEE NOTES TO FINANCIAL STATEMENTS.

40 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

	Tax Aware Equity Fund			Tax Aware Real Return Fund			Tax Aware U.S. Equity Fund
NET ASSETS:
Paid in capital	$	543,602		$	3,146,482		$	177,532
Accumulated undistributed net investment income		533			161			129
Accumulated net realized gains (losses)		(143,551	)		(41,405	)		(11,551	)
Net unrealized appreciation (depreciation)		72,133			85,101			71,665
Total Net Assets	$	472,717		$	3,190,339		$	237,775
Net Assets:
Class A	$	—		$	185,970		$	4,207
Class B		—			—			389
Class C		—			107,844			1,125
Institutional Class		472,717			672,006			24,805
Select Class		—			2,224,519			207,249
Total	$	472,717		$	3,190,339		$	237,775
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		—			18,467			273
Class B		—			—			25
Class C		—			10,736			74
Institutional Class		28,296			66,637			2,522
Select Class		—			220,843			13,416
Net Asset Value:
Class A — Redemption price per share	$	—		$	10.07		$	15.43
Class B — Offering price per share(b)		—			—			15.26
Class C — Offering price per share(b)		—			10.04			15.17
Institutional Class — Offering and redemption price per share		16.71			10.08			9.84
Select Class — Offering and redemption price per share		—			10.07			15.45
Class A maximum sales charge		—			3.75	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	—		$	10.46		$	16.28
Cost of investments in non-affiliates	$	391,019		$	2,834,429		$	165,825
Cost of investments in affiliates		7,884			237,180			4,184

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class B and Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 41

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Tax Aware Equity Fund			Tax Aware Real Return Fund			Tax Aware U.S. Equity Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	6		$	102,186		$	1
Dividend income from non-affiliates		8,012			—			4,636
Dividend income from affiliates		12			249			1
Total investment income		8,030			102,435			4,638
EXPENSES:
Investment advisory fees		1,547			11,823			1,158
Administration fees		411			3,140			240
Distribution fees:
Class A		—			478			6
Class B		—			—			5
Class C		—			812			7
Shareholder servicing fees:
Class A		—			478			6
Class B		—			—			2
Class C		—			271			2
Institutional Class		442			673			22
Select Class		—			6,013			577
Custodian and accounting fees		52			259			44
Collateral management fees		—			20			—
Interest expense to affiliates		—	(a)		—			—	(a)
Professional fees		50			101			53
Trustees’ and Chief Compliance Officer’s fees		5			36			4
Printing and mailing costs		35			168			17
Registration and filing fees		18			156			45
Transfer agent fees		9			388			16
Other		11			28			9
Total expenses		2,580			24,844			2,213
Less amounts waived		(168	)		(3,372	)		(196	)
Less earnings credits		—	(a)		—	(a)		—	(a)
Net expenses		2,412			21,472			2,017
Net investment income (loss)		5,618			80,963			2,621
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		49,684			7,008			17,154
Futures		846			—			156
Swaps		—			(10,239	)		—
Net realized gain (loss)		50,530			(3,231	)		17,310
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		6,201			89,936			15,791
Futures		594			—			363
Swaps		—			(14,974	)		—
Change in net unrealized appreciation (depreciation)		6,795			74,962			16,154
Net realized/unrealized gains (losses)		57,325			71,731			33,464
Change in net assets resulting from operations	$	62,943		$	152,694		$	36,085

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

42 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Tax Aware Equity Fund						Tax Aware Real Return Fund						Tax Aware U.S. Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	5,618		$	5,406		$	80,963		$	67,186		$	2,621		$	3,993
Net realized gain (loss)		50,530			(53,501	)		(3,231	)		(33,949	)		17,310			(27,930	)
Change in net unrealized appreciation (depreciation)		6,795			82,809			74,962			195,762			16,154			66,605
Change in net assets resulting from operations		62,943			34,714			152,694			228,999			36,085			42,668
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		—			—			(4,380	)		(3,334	)		(21	)		(18	)
From net realized gains		—			—			—			—			—			(11	)
Class B
From net investment income		—			—			—			—			(2	)		(6	)
From net realized gains		—			—			—			—			—			(6	)
Class C
From net investment income		—			—			(1,818	)		(1,256	)		(4	)		(4	)
From net realized gains		—			—			—			—			—			(3	)
Institutional Class
From net investment income		(5,693	)		(5,370	)		(17,054	)		(14,266	)		(461	)		(458	)
From net realized gains		—			—			—			—			—			(97	)
Select Class
From net investment income		—			—			(57,055	)		(48,713	)		(2,372	)		(3,361	)
From net realized gains		—			—			—			—			—			(1,090	)
Total distributions to shareholders		(5,693	)		(5,370	)		(80,307	)		(67,569	)		(2,860	)		(5,054	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		29,828			(62,652	)		89,603			1,043,956			(75,198	)		56,641
NET ASSETS:
Change in net assets		87,078			(33,308	)		161,990			1,205,386			(41,973	)		94,255
Beginning of period		385,639			418,947			3,028,349			1,822,963			279,748			185,493
End of period	$	472,717		$	385,639		$	3,190,339		$	3,028,349		$	237,775		$	279,748
Accumulated undistributed (distributions in excess of) net investment income	$	533		$	593		$	161		$	(495	)	$	129		$	346

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 43

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Tax Aware Equity Fund						Tax Aware Real Return Fund						Tax Aware U.S. Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	—		$	—		$	105,475		$	130,504		$	2,659		$	398
Dividends and distributions reinvested		—			—			3,608			2,097			20			26
Cost of shares redeemed		—			—			(83,054	)		(119,692	)		(555	)		(984	)
Change in net assets from capital transactions	$	—		$	—		$	26,029		$	12,909		$	2,124		$	(560	)
Class B
Proceeds from shares issued	$	—		$	—		$	—		$	—		$	2		$	18
Dividends and distributions reinvested		—			—			—			—			2			11
Cost of shares redeemed		—			—			—			—			(620	)		(425	)
Change in net assets from capital transactions	$	—		$	—		$	—		$	—		$	(616	)	$	(396	)
Class C
Proceeds from shares issued	$	—		$	—		$	43,126		$	57,287		$	428		$	376
Dividends and distributions reinvested		—			—			1,285			894			2			5
Cost of shares redeemed		—			—			(28,104	)		(14,962	)		(129	)		(254	)
Change in net assets from capital transactions	$	—		$	—		$	16,307		$	43,219		$	301		$	127
Institutional Class
Proceeds from shares issued	$	189,228		$	210,129		$	286,719		$	358,170		$	3,127		$	25,990
Dividends and distributions reinvested		264			498			5,145			3,373			1			6
Cost of shares redeemed		(159,664	)		(273,279	)		(247,124	)		(154,161	)		(1,143	)		(17,699	)
Change in net assets from capital transactions	$	29,828		$	(62,652	)	$	44,740		$	207,382		$	1,985		$	8,297
Select Class
Proceeds from shares issued	$	—		$	—		$	896,158		$	1,155,510		$	15,393		$	175,316
Dividends and distributions reinvested		—			—			3,332			2,720			93			150
Cost of shares redeemed		—			—			(896,963	)		(377,784	)		(94,478	)		(126,293	)
Change in net assets from capital transactions	$	—		$	—		$	2,527		$	780,446		$	(78,992	)	$	49,173
Total change in net assets from capital transactions	$	29,828		$	(62,652	)	$	89,603		$	1,043,956		$	(75,198	)	$	56,641

SEE NOTES TO FINANCIAL STATEMENTS.

44 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

	Tax Aware Equity Fund						Tax Aware Real Return Fund						Tax Aware U.S. Equity Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		—			—			10,573			13,550			189			34
Reinvested		—			—			362			219			1			2
Redeemed		—			—			(8,325	)		(12,692	)		(38	)		(90	)
Change in Shares		—			—			2,610			1,077			152			(54	)
Class B
Issued		—			—			—			—			—	(a)		1
Reinvested		—			—			—			—			—	(a)		1
Redeemed		—			—			—			—			(42	)		(38	)
Change in Shares		—			—			—			—			(42	)		(36	)
Class C
Issued		—			—			4,336			5,916			29			29
Reinvested		—			—			129			94			—	(a)		—	(a)
Redeemed		—			—			(2,822	)		(1,587	)		(9	)		(20	)
Change in Shares		—			—			1,643			4,423			20			9
Institutional Class
Issued		12,062			16,336			28,628			37,020			340			3,559
Reinvested		17			41			516			351			—	(a)		1
Redeemed		(10,130	)		(22,025	)		(24,727	)		(16,220	)		(123	)		(2,767	)
Change in Shares		1,949			(5,648	)		4,417			21,151			217			793
Select Class
Issued		—			—			89,851			119,902			1,046			15,906
Reinvested		—			—			334			285			7			13
Redeemed		—			—			(89,904	)		(39,630	)		(6,473	)		(11,075	)
Change in Shares		—			—			281			80,557			(5,420	)		4,844

(a) Amount rounds to less than 1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 45

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

Institutional Class
	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net asset value, end of period
Tax Aware Equity Fund
Year Ended October 31, 2010	$	14.64	$	0.20		$	2.07		$	2.27		$	(0.20	)	$	16.71
Year Ended October 31, 2009		13.09		0.24	(c)		1.55	(c)		1.79			(0.24	)		14.64
Year Ended October 31, 2008		20.82		0.33			(7.74	)		(7.41	)		(0.32	)		13.09
Year Ended October 31, 2007		18.58		0.28			2.23			2.51			(0.27	)		20.82
Year Ended October 31, 2006		16.16		0.23			2.42			2.65			(0.23	)		18.58

(a) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(b) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(c) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net investment income (loss) per share would have been $0.22, the net realized and unrealized gains (losses) on investments per share would have been $1.54, the total return would have been 13.87%, and the net investment income (loss) ratio would have been 1.73%.

SEE NOTES TO FINANCIAL STATEMENTS.

46 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

Ratios/Supplemental data
					Ratios to average net assets
Total return (a)			Net assets, end of period (000’s)		Net expenses (b)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate
	15.64	%	$	472,717		0.55	%		1.27	%		0.58	%		65	%
	14.03	(c)		385,639		0.55			1.79	(c)		0.61			84
	(35.95	)		418,947		0.55			1.83			0.59			65
	13.61			723,980		0.55			1.41			0.59			30
	16.54			621,508		0.55			1.40			0.59			26

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 47

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net asset value, end of period
Tax Aware Real Return Fund
Class A
Year Ended October 31, 2010	$	9.84	$	0.23		$	0.23		$	0.46		$	(0.23	)	$	10.07
Year Ended October 31, 2009		9.08		0.28			0.75			1.03			(0.27	)		9.84
Year Ended October 31, 2008		9.91		0.30			(0.83	)		(0.53	)		(0.30	)		9.08
Year Ended October 31, 2007		10.01		0.31	(c)		(0.10	)		0.21			(0.31	)		9.91
Year Ended October 31, 2006		9.95		0.31			0.03	(d)		0.34			(0.28	)		10.01
Class C
Year Ended October 31, 2010		9.82		0.16			0.23			0.39			(0.17	)		10.04
Year Ended October 31, 2009		9.07		0.21			0.75			0.96			(0.21	)		9.82
Year Ended October 31, 2008		9.90		0.24			(0.82	)		(0.58	)		(0.25	)		9.07
Year Ended October 31, 2007		10.01		0.26	(c)		(0.11	)		0.15			(0.26	)		9.90
Year Ended October 31, 2006		9.95		0.25			0.04	(d)		0.29			(0.23	)		10.01
Institutional Class
Year Ended October 31, 2010		9.85		0.25			0.23			0.48			(0.25	)		10.08
Year Ended October 31, 2009		9.10		0.30			0.75			1.05			(0.30	)		9.85
Year Ended October 31, 2008		9.92		0.34			(0.83	)		(0.49	)		(0.33	)		9.10
Year Ended October 31, 2007		10.02		0.35	(c)		(0.11	)		0.24			(0.34	)		9.92
Year Ended October 31, 2006		9.95		0.32			0.07	(d)		0.39			(0.32	)		10.02
Select Class
Year Ended October 31, 2010		9.84		0.24			0.23			0.47			(0.24	)		10.07
Year Ended October 31, 2009		9.09		0.28			0.75			1.03			(0.28	)		9.84
Year Ended October 31, 2008		9.91		0.31			(0.82	)		(0.51	)		(0.31	)		9.09
Year Ended October 31, 2007		10.01		0.33	(c)		(0.10	)		0.23			(0.33	)		9.91
Year Ended October 31, 2006		9.95		0.30			0.06	(d)		0.36			(0.30	)		10.01

(a) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(b) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(c) Calculated based upon average shares outstanding.

(d) The amount shown at the Net realized and unrealized gains (losses) on investments caption is the balancing figure derived from the other amounts in the statement. The amount shown at this caption for a share outstanding throughout the year may not agree with the change in the aggregate gains or losses in the portfolio securities for the year because of the timing of sales and repurchases of the Fund’s shares in relation to the fluctuating market value for the Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

48 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

Ratios/Supplemental data
					Ratios to average net assets
Total return (excludes sales charge) (a)			Net assets, end of period (000’s)		Net expenses (b)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate
	4.69	%	$	185,970		0.74	%		2.30	%		0.98	%		16	%
	11.51			155,982		0.74			2.90			1.00			9
	(5.54	)		134,277		0.76			3.13			1.00			7
	2.13			6,447		0.90			3.15			1.00			26
	3.45			752		0.90			2.99			3.22			1
	3.96			107,844		1.39			1.65			1.48			16
	10.73			89,259		1.39			2.16			1.50			9
	(6.03	)		42,365		1.40			2.49			1.50			7
	1.50			1,477		1.40			2.63			1.50			26
	2.95			521		1.40			2.47			4.08			1
	4.95			672,006		0.49			2.55			0.58			16
	11.66			612,933		0.49			3.09			0.60			9
	(5.20	)		373,697		0.50			3.39			0.60			7
	2.49			213,792		0.50			3.54			0.60			26
	3.94			29,263		0.50			3.45			1.45			1
	4.80			2,224,519		0.64			2.40			0.73			16
	11.53			2,170,175		0.64			2.95			0.75			9
	(5.32	)		1,272,624		0.65			3.24			0.75			7
	2.32			551,307		0.65			3.39			0.75			26
	3.72			407,100		0.65			3.33			0.89			1

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 49

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions
Tax Aware U.S. Equity Fund
Class A
Year Ended October 31, 2010	$	13.60	$	0.10	(c)	$	1.86		$	1.96		$	(0.13	)	$	—		$	(0.13	)
Year Ended October 31, 2009		12.11		0.16	(c)(d)		1.53	(d)		1.69			(0.13	)		(0.07	)		(0.20	)
Year Ended October 31, 2008		21.24		0.19	(c)		(6.92	)		(6.73	)		(0.15	)		(2.25	)		(2.40	)
Year Ended October 31, 2007		19.18		0.16	(c)		2.04			2.20			(0.14	)		—			(0.14	)
Year Ended October 31, 2006		16.65		0.14	(c)		2.56			2.70			(0.17	)		—			(0.17	)
Class B
Year Ended October 31, 2010		13.44		0.04	(c)		1.82			1.86			(0.04	)		—			(0.04	)
Year Ended October 31, 2009		11.96		0.10	(c)(d)		1.53	(d)		1.63			(0.08	)		(0.07	)		(0.15	)
Year Ended October 31, 2008		21.03		0.11	(c)		(6.85	)		(6.74	)		(0.08	)		(2.25	)		(2.33	)
Year Ended October 31, 2007		18.99		0.06	(c)		2.02			2.08			(0.04	)		—			(0.04	)
Year Ended October 31, 2006		16.49		0.05	(c)		2.53			2.58			(0.08	)		—			(0.08	)
Class C
Year Ended October 31, 2010		13.37		0.03	(c)		1.82			1.85			(0.05	)		—			(0.05	)
Year Ended October 31, 2009		11.92		0.09	(c)(d)		1.52	(d)		1.61			(0.09	)		(0.07	)		(0.16	)
Year Ended October 31, 2008		20.97		0.11	(c)		(6.83	)		(6.72	)		(0.08	)		(2.25	)		(2.33	)
Year Ended October 31, 2007		18.95		0.05	(c)		2.02			2.07			(0.05	)		—			(0.05	)
Year Ended October 31, 2006		16.46		0.05	(c)		2.52			2.57			(0.08	)		—			(0.08	)
Institutional Class
Year Ended October 31, 2010		8.73		0.12	(c)		1.18			1.30			(0.19	)		—			(0.19	)
Year Ended October 31, 2009		7.87		0.14	(c)(d)		0.99	(d)		1.13			(0.20	)		(0.07	)		(0.27	)
Year Ended October 31, 2008		14.77		0.19	(c)		(4.61	)		(4.42	)		(0.23	)		(2.25	)		(2.48	)
Year Ended October 31, 2007		13.41		0.17	(c)		1.42			1.59			(0.23	)		—			(0.23	)
Year Ended October 31, 2006		11.71		0.15	(c)		1.79			1.94			(0.24	)		—			(0.24	)
Select Class
Year Ended October 31, 2010		13.61		0.15	(c)		1.84			1.99			(0.15	)		—			(0.15	)
Year Ended October 31, 2009		12.13		0.18	(c)(d)		1.54	(d)		1.72			(0.17	)		(0.07	)		(0.24	)
Year Ended October 31, 2008		21.29		0.23	(c)		(6.93	)		(6.70	)		(0.21	)		(2.25	)		(2.46	)
Year Ended October 31, 2007		19.22		0.21	(c)		2.05			2.26			(0.19	)		—			(0.19	)
Year Ended October 31, 2006		16.68		0.20	(c)		2.54			2.74			(0.20	)		—			(0.20	)

(a) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(b) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(c) Calculated based upon average shares outstanding.

(d) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net investment income (loss) per share would have been $0.15, $0.09, $0.08, $0.13 and $0.17, and the net realized and unrealized gains (losses) on investments per share would have been $1.53, $1.52, $1.51, $0.99 and $1.53, the total return would have been 14.23%, 13.67%, 13.60%, 14.82% and 14.38%, and the net investment income (loss) ratio would have been 1.31%, 0.79%, 0.72%, 1.74% and 1.48% for Class A, Class B, Class C, Institutional Class and Select Class Shares, respectively.

SEE NOTES TO FINANCIAL STATEMENTS.

50 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets
Net asset value, end of period		Total return (excludes sales charge) (a)			Net assets, end of period (000’s)		Net expenses (b)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate
$	15.43		14.44	%	$	4,207		1.05	%		0.69	%		1.12	%		44	%
	13.60		14.31	(d)		1,645		1.05			1.39	(d)		1.14			76
	12.11		(35.03	)		2,122		1.10			1.16			1.18			116
	21.24		11.50			7,747		1.10			0.78			1.13			34
	19.18		16.29			7,581		1.10			0.80			1.13			32
	15.26		13.81			389		1.55			0.27			1.61			44
	13.44		13.84	(d)		904		1.55			0.87	(d)		1.64			76
	11.96		(35.39	)		1,227		1.60			0.67			1.68			116
	21.03		10.98			2,169		1.60			0.28			1.63			34
	18.99		15.68			2,370		1.60			0.30			1.63			32
	15.17		13.89			1,125		1.55			0.23			1.62			44
	13.37		13.77	(d)		718		1.55			0.80	(d)		1.63			76
	11.92		(35.38	)		539		1.60			0.69			1.68			116
	20.97		10.95			765		1.60			0.24			1.63			34
	18.95		15.67			572		1.60			0.29			1.63			32
	9.84		15.06			24,805		0.55			1.24			0.72			44
	8.73		14.95	(d)		20,123		0.56			1.82	(d)		0.74			76
	7.87		(34.81	)		11,903		0.70			1.66			0.77			116
	14.77		11.94			59,168		0.70			1.19			0.73			34
	13.41		16.75			75,507		0.70			1.24			0.72			32
	15.45		14.72			207,249		0.80			1.01			0.87			44
	13.61		14.55	(d)		256,358		0.80			1.55	(d)		0.88			76
	12.13		(34.87	)		169,702		0.84			1.43			0.93			116
	21.29		11.83			227,477		0.84			1.05			0.88			34
	19.22		16.56			288,494		0.84			1.12			0.87			32

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 51

SEE NOTES TO FINANCIAL STATEMENTS.

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following are 3 separate funds of the Trust (collectively, the “Funds”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Tax Aware Equity Fund	Institutional Class	Diversified
Tax Aware Real Return Fund	Class A, Class C, Institutional Class and Select Class	Diversified
Tax Aware U.S. Equity Fund	Class A, Class B, Class C, Institutional Class and Select Class	Diversified

Effective December 10, 2010, Tax Aware Disciplined Equity Fund was renamed Tax Aware Equity Fund with the approval of the Board of Trustees.

Effective November 1, 2009, Class B Shares of the Tax Aware U.S. Equity Fund may not be purchased or acquired by new or existing shareholders, except through exchanges from Class B Shares of another J.P. Morgan Fund and dividend reinvestments. Shareholders who have invested in Class B Shares prior to November 1, 2009 may continue to hold their Class B Shares until they convert automatically to Class A Shares.

Class A Shares generally provide for a front-end sales charge while Class B and Class C Shares provide for a contingent deferred sales charge (“CDSC”). Class B Shares automatically convert to Class A Shares after eight years. No sales charges are assessed with respect to the Institutional Class and Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Funds’ prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share. Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

52 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following tables represent each valuation input by sector as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

	Level 1 Quoted prices		Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Tax Aware Equity Fund
Total Investments in Securities #	$	469,780	$	1,177		$	—	$	470,957
Appreciation in Other Financial Instruments
Futures Contracts	$	79	$	—		$	—	$	79
Tax Aware Real Return Fund
Total Investments in Securities ##	$	237,180	$	3,002,090		$	—	$	3,239,270
Appreciation in Other Financial Instruments
Inflation-Linked Swaps	$	—	$	6,697		$	—	$	6,697
Depreciation in Other Financial Instruments
Inflation-Linked Swaps	$	—	$	(89,257	)	$	—	$	(89,257	)
Tax Aware U.S. Equity Fund
Total Investments in Securities ###	$	241,674	$	—		$	—	$	241,674

# Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 2 consists of a U.S. Treasury Note that is held for futures collateral. Please refer to the SOI for industry specifics of the portfolio holdings.

## Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a money market mutual fund that is held for daily investments of cash. Please refer to the SOI for industry specifics of the portfolio holdings.

### All portfolio holdings designated as Level 1 are disclosed individually in the SOI. Please refer to the SOI for industry specifics of the portfolio holdings.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Restricted and Illiquid Securities — Certain securities held by the Funds may be subject to legal or contractual restrictions on resale or are illiquid. Restricted securities generally may be resold in transactions exempt from registration. An illiquid security is a security which cannot be disposed of promptly (within seven days) and in the usual course of business at approximately its fair value and includes, but is not limited to, repurchase agreements maturing in excess of seven days, time deposits with a withdrawal penalty, non-negotiable instruments and instruments for which no market exists. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at the current valuation may be difficult.

C. Futures Contracts — The Tax Aware Equity Fund and Tax Aware U.S. Equity Fund use index futures contracts to gain or reduce exposure to the stock market, maintain liquidity and minimize transaction costs. The Funds buy futures contracts to immediately invest incoming cash in the market or sell futures in response to cash outflows, thereby simulating an invested position in the underlying index while maintaining a cash balance for liquidity. The use of futures contracts exposes the Funds to equity price risk.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Funds are required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Funds periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Funds may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Funds to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 53

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

notional amount of the futures contracts. Use of short futures contracts subjects the Funds to unlimited risk of loss. The Funds may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Funds’ credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

As of October 31, 2010, the Tax Aware U.S. Equity Fund had no future contracts outstanding.

The table below discloses the volume of the Funds' derivatives activities as of October 31, 2010 (amounts in thousands):

	Tax Aware Equity Fund		Tax Aware U.S. Equity Fund
Futures Contracts:
Average Notional Balance Long	$	7,438	$	2,855
Ending Notional Balance Long		5,014		—

D. Swaps — The Tax Aware Real Return Fund uses inflation-linked swaps to provide inflation protection within its portfolio. These transactions are negotiated contracts between the Fund and a counterparty to exchange cash flows at specified, future intervals. The notional value of these swaps increased during the period, with the increase in the Fund’s net assets as follows (amounts in thousands):

Interest Rate-Related Swaps (Inflation-Linked Swaps)
Average Notional Balance — Pays Fixed Rate	$	1,699,500
Ending Notional Balance — Pays Fixed Rate	$	2,370,500

The use of swaps exposes the Fund to interest rate risk. The Fund also may be subject to various risks from the use of swaps including: (i) the risk that changes in the value of the swap may not correlate perfectly with the underlying rate (ii) counterparty credit risk related to the failure, by the counterparty to the swap, to perform under the terms of the contract; (iii) liquidity risk related to the lack of a liquid market for these contracts allowing the fund to close out its position(s); and (iv) documentation risk relating to disagreement over contract terms.

Counterparty credit risk may be mitigated to the extent a counterparty posts collateral for mark to market gains to the Fund.

The value of a swap agreement is recorded as either an asset or a liability on the Statements of Assets and Liabilities at the beginning of the measurement period. The change in value of swaps, including accruals of periodic amounts of interest to be paid or received on swaps, is recognized as unrealized appreciation or depreciation in the Statements of Operations. A realized gain or loss is recorded upon payment or receipt of a periodic payment or payment made upon termination of a swap agreement.

The Fund may be required to post or receive collateral based on the net value of the Fund’s outstanding swap contracts with the counterparty in the form of cash or securities. These amounts are held in segregated accounts with the fund’s or counterparty’s custodial bank, as applicable.

Daily movement of collateral is subject to minimum threshold amounts.

Collateral posted by the Fund is invested in an affiliated money market fund (See Note 3.F.) and is reported on the Statement of Assets and Liabilities as Investments in affiliates — restricted.

The Fund’s swap contracts at net value and collateral posted or received by counterparty as of October 31, 2010 is as follows (amounts in thousands):

Counterparty		Value of swap contracts			Collateral Amount
Barclays Bank plc	Collateral Posted	$	(60,413	)	$	55,450
BNP Paribas			(1,232	)		470
Deutsche Bank, AG			(2,920	)		1,650
Royal Bank of Scotland			(19,644	)		19,450
Morgan Stanley Capital Services	Collateral Received		2,330			(2,768	)

54 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

E. Summary of Derivative Information

The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statements of Assets and Liabilities (amounts in thousands):

Tax Aware Equity Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)
Equity contracts	Receivables, Net Assets — Unrealized Appreciation	$	79
Total		$	79

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the SOI. The Statement of Assets and Liabilities only reflects the current day variation margin receivable/payable to brokers.

Tax Aware Real Return Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Swaps
Interest rate contracts	Receivables	$	6,697
Total		$	6,697
Liabilities:
Interest rate contracts	Payables	$	(89,257	)
Total		$	(89,257	)

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Tax Aware Equity Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	846	$	846
Total	$	846	$	846
Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	594	$	594
Total	$	594	$	594

Tax Aware Real Return Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Swaps			Total
Interest rate contracts	$	(10,239	)	$	(10,239	)
Total	$	(10,239	)	$	(10,239	)

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Swaps			Total
Interest rate contracts	$	(14,974	)	$	(14,974	)
Total	$	(14,974	)	$	(14,974	)

Tax Aware U.S. Equity Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	156	$	156
Total	$	156	$	156

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 55

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	363	$	363
Total	$	363	$	363

The Funds’ derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

F. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

G. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to its Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

H. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

I. Dividends and Distributions to Shareholders — Tax Aware Real Return Fund declares and pays dividends from net investment income monthly. Tax Aware Equity Fund and Tax Aware U.S. Equity Fund declare and pay dividends from net investment income quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital			Accumulated Undistributed/ (Overdistributied) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
Tax Aware Equity Fund	$	(5,670	)	$	15	$	5,655
Tax Aware U.S. Equity Fund		—			22		(22	)

The reclassification for the Funds relate primarily to expiration of capital loss carryforwards (Tax Aware Equity Fund) and distributions from litigation recovery (Tax Aware U.S. Equity Fund).

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Funds. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of each respective Fund and for such services is paid a fee. The fee is accrued daily and paid monthly based on each Fund’s respective average daily net assets. The annual fee rate for each Fund is as follows:

Tax Aware Equity Fund	0.35	%
Tax Aware Real Return Fund	0.35
Tax Aware U.S. Equity Fund	0.45

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.G.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a

56 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of each Fund’s average daily net assets.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of each Fund’s shares. The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A, Class B and Class C Shares of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that each Fund shall pay distribution fees, including payments to the Distributor, at annual rates of the average daily net assets as shown in the table below:

	Class A			Class B			Class C
Tax Aware Real Return Fund		0.25	%		n/a			0.75	%
Tax Aware U.S. Equity Fund		0.25			0.75	%		0.75

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class B and Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

	Front-End Sales Charge		CDSC
Tax Aware Real Return Fund	$	—	$	14
Tax Aware U.S. Equity Fund		1		1

D. Shareholder Servicing Fees — The Trust, on behalf of the Funds, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

	Class A			Class B			Class C			Institutional Class			Select Class
Tax Aware Equity Fund		n/a			n/a			n/a			0.10	%		n/a
Tax Aware Real Return Fund		0.25	%		n/a			0.25	%		0.10			0.25	%
Tax Aware U.S. Equity Fund		0.25			0.25	%		0.25			0.10			0.25

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services. The Distributor waived Shareholder Servicing fees as outlined in Note 3.G.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. The custodian fees may be reduced by credits earned by each Fund, based on uninvested cash balances held by the custodian. Such earnings credits are presented separately in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

F. Collateral Management Fees — JPMCB provides derivatives collateral management services for the Fund. The amounts paid directly to JPMCB by the Fund for these services are included in Collateral Management fees on the Statement of Operations.

G. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Funds to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Funds’ respective average daily net assets as shown in the table below:

	Class A			Class B			Class C			Institutional Class			Select Class
Tax Aware Equity Fund		n/a			n/a			n/a			0.55	%		n/a
Tax Aware Real Return Fund		0.75	%		n/a			1.40	%		0.50			0.65	%
Tax Aware U.S. Equity Fund		1.05			1.55	%		1.55			0.55			0.80

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 57

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

For the year ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for each of the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and/or reimbursed expenses in future years.

	Contractual Waivers
	Investment Advisory		Shareholder Servicing		Total
Tax Aware Equity Fund	$	—	$	148	$	148
Tax Aware Real Return Fund		—		2,893		2,893
Tax Aware U.S. Equity Fund		169		22		191

Additionally, the Funds may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Funds’ investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amounts of waivers resulting from investments in the money market funds for the year ended October 31, 2010 was as follows (amounts in thousands):

	Direct Investment		Cash Collateral Investment
Tax Aware Equity Fund	$	20	$	—
Tax Aware Real Return Fund		—		479
Tax Aware U.S. Equity Fund		5		—

H. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to accordance with the Plan performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, certain Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the year ended October 31, 2010, the Funds did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission (“SEC”) has granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)		Purchases of U.S. Government		Sales of U.S. Government
Tax Aware Equity Fund	$	312,763	$	278,133	$	725	$	355
Tax Aware Real Return Fund		698,750		491,605		—		—
Tax Aware U.S. Equity Fund		110,174		176,462		403		1

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
Tax Aware Equity Fund	$	407,661	$	69,023	$	5,727	$	63,296
Tax Aware Real Return Fund		3,071,609		170,149		2,488		167,661
Tax Aware U.S. Equity Fund		179,674		62,081		81		62,000

58 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

For the Funds, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributed to wash sale loss deferrals (Tax Aware Equity Fund and Tax Aware U.S. Equity Fund).

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Total Distributions Paid From:				Total Distributions Paid
	Ordinary Income		Tax-Exempt Income
Tax Aware Equity Fund	$	5,693	$	—	$	5,693
Tax Aware Real Return Fund		—		80,307		80,307
Tax Aware U.S. Equity Fund		2,860		—		2,860

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

	Total Distributions Paid From:
	Ordinary Income		Tax-Exempt Income		Net Long Term Capital Gains		Total Distributions Paid
Tax Aware Equity Fund	$	5,370	$	—	$	—	$	5,370
Tax Aware Real Return Fund		—		67,569		—		67,569
Tax Aware U.S. Equity Fund		3,847		—		1,207		5,054

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Tax-Exempt Income		Current Distributable Long-Term Capital-Gain or (Tax Basis Loss Carryover)			Unrealized Appreciation (Depreciation)
Tax Aware Equity Fund	$	545	$	—	$	(134,713	)	$	63,296
Tax Aware Real Return Fund		—		5,184		(41,404	)		85,101
Tax Aware U.S. Equity Fund		150		—		(1,885	)		62,000

For the Funds, the cumulative timing differences primarily consist of trustee deferred compensation, wash sale loss deferrals (Tax Aware Equity Fund and Tax Aware U.S. Equity Fund) and distributions payable (Tax Aware Real Return Fund).

As of October 31, 2010, the following Funds had net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2011		2014		2015		2016		2017		2018		Total
Tax Aware Equity Fund	$	15,933	$	—	$	—	$	77,647	$	41,133	$	—	$	134,713
Tax Aware Real Return Fund		—		16		3,040		1,090		33,949		3,309		41,404
Tax Aware U.S. Equity Fund		—		—		—		—		1,885		—		1,885

During the year ended October 31, 2010, the Funds utilized capital loss carryforwards as follows (amounts in thousands):

Tax Aware Equity Fund	$	45,263
Tax Aware U.S. Equity Fund		14,851

During the year ended October 31, 2010, the Funds had expired capital loss carryforwards as follows (amounts in thousands):

Tax Aware Equity Fund $ 5,670

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Funds because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 59

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010. Average borrowings from the Facility for the year ended October 31, 2010, were as follows (amounts in thousands):

	Average Borrowings		Number of Days Used		Interest Paid
Tax Aware U.S. Equity Fund	$	8,249		3	$	—	(a)

(a) Amount rounds to less than $1,000.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

One or more affiliate of the Advisor have investment discretion with respect to their clients’ holdings in the Funds, which collectively represent a significant portion of the Funds’ assets. Significant shareholder transactions, if any, may impact the Funds’ performance.

Tax Aware Real Return Fund invests substantially all of its assets in a diversified portfolio of debt obligations issued by states, territories and possessions of the United States and by the District of Columbia, and by their political subdivisions and duly constituted authorities. An issuer’s ability to meet its payment obligations may be affected by economic or political developments in a specific state or region. These debt obligations may be insured by private insurers who guarantee the payment of principal and interest in the event of issuer default. The value of these investments may be impacted by changes to bond insurers’ ratings and a fund’s ability to collect principal and interest, in the event of an issuer’s default, may be limited if the private insurer does not have the wherewithal to satisfy its obligation.

Tax Aware Real Return Fund is party to various derivative contracts governed by International Swaps and Derivatives Association Master Agreements (“ISDA agreements”). The Fund’s ISDA agreements, which are separately negotiated with each dealer counterparty, may contain provisions allowing, absent other considerations, a counterparty to exercise rights, to the extent not otherwise waived, against the Fund in the event the Fund’s net assets decline over time by a pre-determined percentage or fall below a pre-determined floor. The ISDA agreements also contain provisions, absent other conditions, the Fund to exercise rights, to the extent not otherwise waived, against the counterparties (i.e. decline in a counterparty’s credit rating below a specified level). Such rights for both the counterparty and Fund often include the ability to terminate (i.e. close out) open contracts at prices which may favor the counterparty, which could have an adverse effect on the Fund. The ISDA agreements with certain counterparties allow the Fund and counterparty to offset certain derivatives instruments’ payables or receivables with collateral posted to a segregated custody account as described in Note 2.D.

8. Subsequent Event

On November 18, 2010, the Board of Trustees of the Trust approved the merger of the JPMorgan Tax Aware U.S. Equity Fund into the JPMorgan Tax Aware Equity Fund. Completion of the merger is subject to a number of conditions, including approval by the shareholders of the JPMorgan Tax Aware U.S. Equity Fund. This approval will be sought at a shareholder meeting to be held on or about March 16, 2011. If approved by shareholders, the merger is expected to occur on or about March 25, 2011.

60 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan Tax Aware Equity Fund, JPMorgan Tax Aware Real Return Fund and JPMorgan Tax Aware U.S. Equity Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan Tax Aware Equity Fund, JPMorgan Tax Aware Real Return Fund and JPMorgan Tax Aware U.S. Equity Fund (each a separate Fund of JPMorgan Trust I) (hereafter collectively referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion

PricewaterhouseCoopers LLP

New York, New York

December 21, 2010

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 61

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000–2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972–2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974–present).		141	Director, Cardinal Health, Inc. (CAH) (1994–present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007–present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999–present); President, Adelphi University (New York) (1998–1999).		141	Director, New Plan Excel (NXL) (1999–2005); Director, National Financial Partners (NFP) (2003–2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002–present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003–2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971–2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000–2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000–2002); President, DCI Marketing, Inc. (1992–2000).		141	Director, Center for Deaf and Hard of Hearing (1990–present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985–present).		141	Trustee, Carleton College (2003–present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001–2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985–2001).		141	Director, Radio Shack Corp. (1987–2008); Trustee, Stratton Mountain School (2001–present).

62 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002–2010); President, Kenyon College (1995–2002).		141	Trustee, American University in Cairo (1999–present); Trustee, Carleton College (2002–2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987. Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003–present); Chairman and Chief Executive Officer, Lumelite Corporation (1985–2002). Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000–2009); Chief Investment Officer, Wabash College (2004–present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988–1999).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992–present). Trustee, Wabash College (1988–present); Chairman, Indianapolis Symphony Orchestra Foundation (1994–present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968–1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993–present).		141	Trustee, The Victory Portfolios (2000–2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989–1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990–1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990–1998).		141	Director, Glenview Trust Company, LLC (2001–present); Trustee, St. Catharine College (1998–present); Trustee, Bellarmine University (2000–present); Director, Springfield-Washington County Economic Development Authority (1997–present); Trustee, Catholic Education Foundation (2005–present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 63

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004.
	Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

64 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of each Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Tax Aware Equity Fund
Institutional Class
Actual	$	1,000.00	$	1,005.10	$	2.78		0.55	%
Hypothetical		1,000.00		1,022.43		2.80		0.55
Tax Aware Real Return Fund
Class A
Actual		1,000.00		1,020.80		3.77		0.74
Hypothetical		1,000.00		1,021.48		3.77		0.74
Class C
Actual		1,000.00		1,016.70		7.07		1.39
Hypothetical		1,000.00		1,018.20		7.07		1.39
Institutional Class
Actual		1,000.00		1,022.10		2.50		0.49
Hypothetical		1,000.00		1,022.74		2.50		0.49
Select Class
Actual		1,000.00		1,021.30		3.26		0.64
Hypothetical		1,000.00		1,021.98		3.26		0.64
Tax Aware U.S. Equity Fund
Class A
Actual		1,000.00		998.60		5.29		1.05
Hypothetical		1,000.00		1,019.91		5.35		1.05
Class B
Actual		1,000.00		996.20		7.80		1.55
Hypothetical		1,000.00		1,017.39		7.88		1.55
Class C
Actual		1,000.00		995.80		7.80		1.55
Hypothetical		1,000.00		1,017.39		7.88		1.55

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 65

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited) (continued)

Hypothetical $1,000 Investment

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Tax Aware U.S. Equity Fund (continued)
Institutional Class
Actual	$	1,000.00	$	1,001.20	$	2.77		0.55	%
Hypothetical		1,000.00		1,022.43		2.80		0.55
Select Class
Actual		1,000.00		999.40		4.03		0.80
Hypothetical		1,000.00		1,021.17		4.08		0.80

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

66 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of each of the investment advisory agreements for the Funds whose annual report is contained herein (each an “Advisory Agreement” and collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreements or any of their affiliates, approved the continuation of each Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Funds’ performance compared to the performance of the Funds’ peers and benchmarks and analyses by the Advisor of the Funds’ performance. In addition, the Trustees have engaged an independent consultant to report on the performance of each of the Funds at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Funds’ expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreements with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees

discussing the legal standards for their consideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve each Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from each Fund under the applicable Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of each Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to each Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to each Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of each Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of each Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of each of the Funds. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Funds gained from their experience as Trustees of the Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the Advisor’s integrity and the Advisor’s

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 67

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

responsiveness to concerns raised by them, including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to each Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Funds by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to each of the Funds. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Funds, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of each of the Advisory Agreements was not unreasonable in light of the services and benefits provided to each Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Funds. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for Funds that do not primarily invest in U.S. equities.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Funds for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. For the Tax Aware Real Return Fund and Tax Aware U.S. Equity Fund, the Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Funds’ distributor and that these fees are in turn generally paid to financial intermediaries that sell the Funds, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for each Fund does not contain breakpoints. The Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Funds’ Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Tax Aware Equity Fund, Tax Aware Real Return Fund and Tax Aware U.S. Equity Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreements.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of each Fund. The Trustees also considered the complexity of investment management for the Funds relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to each Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in each Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative

68 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed each Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and also considered the special analysis that was done by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to each Fund’s performance for certain representative classes are summarized below:

The Trustees noted that the Tax Aware Equity Fund’s performance was in the second, second and third quintiles for Institutional Class shares for the one-, three- and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Tax Aware Real Return Fund’s performance was in the first and fourth quintiles for Class A and in the first and fifth quintiles for Select Class shares for the one- and three-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable. However, they requested the Fund’s Advisor provide additional performance information to be reviewed with members of the fixed income subcommittee at each of their regular meetings over the course of the next year.

The Trustees noted that the Tax Aware U.S. Equity Fund’s performance was in the second, third and third quintiles for Class A and in the second, second and third quintiles for Select Class shares for the one-, three- and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by each Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as each Fund. The Trustees recognized that Lipper reported each Fund’s management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for each Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for each Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of each Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Tax Aware Equity Fund’s net advisory fee for Institutional Class shares was in the second quintile and that the actual total expenses were in the first quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Tax Aware Real Return Fund’s net advisory fee for Class A and Select Class shares were in the third and fourth quintiles, respectively, and that the actual total expenses for Class A and Select Class Shares were in the second and fourth quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Tax Aware U.S. Equity Fund’s net advisory fee for both Class A and Select Class shares were in the second quintile and that the actual total expenses for Class A and Select Class Shares were in the first and second quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 69

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Funds’ income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Dividends Received Deductions (DRD)

The following represents the percentage of ordinary income distributions eligible for the 70% dividends received deduction for corporate rate shareholders for the fiscal year ended October 31, 2010:

	Dividends Received Deduction
Tax Aware Equity Fund		100	%
Tax Aware U.S. Equity Fund		100	%

Qualified Dividend Income (QDI)

For the fiscal year ended October 31, 2010, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%. The following represents the amount of ordinary income distributions treated as qualified dividends (amounts in thousands):

	Qualified Dividend Income
Tax Aware Equity Fund	$	5,693
Tax Aware U.S. Equity Fund	$	2,860

Tax-Exempt Income

The following represents the percentage of distributions paid from net investment income that are exempt from federal income tax for the fiscal year ended October 31, 2010:

	Exempt Distributions Paid
Tax Aware Real Return Fund		100	%

70 J.P. MORGAN TAX AWARE FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 J.P. MORGAN TAX AWARE FUNDS 71

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-TA-1010

Annual Report

J.P. Morgan Country/Region Funds

October 31, 2010

JPMorgan Asia Equity Fund

JPMorgan China Region Fund

JPMorgan India Fund

JPMorgan Intrepid European Fund

JPMorgan Latin America Fund

JPMorgan Russia Fund

CONTENTS

CEO’s Letter	1
Market Overview	2
Fund Commentaries:
JPMorgan Asia Equity Fund	3
JPMorgan China Region Fund	6
JPMorgan India Fund	8
JPMorgan Intrepid European Fund	10
JPMorgan Latin America Fund	14
JPMorgan Russia Fund	16
Schedules of Portfolio Investments	18
Financial Statements	32
Financial Highlights	44
Notes to Financial Statements	56
Report of Independent Registered Public Accounting Firm	69
Trustees	70
Officers	72
Schedule of Shareholder Expenses	73
Board Approval of Investment Advisory Agreements	75
Tax Letter	79
Privacy Policy	80

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of any Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objectives, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund includ- ing management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

November 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of

the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 1

J.P. Morgan Country/Region Funds

MARKET OVERVIEW

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010, as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered during the third quarter of 2010 and into October on strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve and the Bank of Japan. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries. Emerging market stocks were bolstered by strong gross domestic product (GDP) growth in most developing countries, as the Morgan Stanley Capital International (“MSCI”) Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period, outperforming the MSCI Europe, Australasia and Far East (“EAFE”) Index’s 8.36% gain and the S&P 500 Index’s 16.52% return.

Asia ex-Japan and Greater China

The MSCI All Country Asia ex-Japan Index finished the reporting period with a 23.27% gain amid strong economic data, supported by infrastructure development and consumption growth in China and India. The Thailand stock market performed particularly well as investor fears about the country’s political unrest appeared to abate and they turned their focus to the country’s strong corporate profitability. Indonesian stocks were also strong, while export-oriented countries like South Korea and Taiwan lagged.

Meanwhile, investors appeared to be concerned that the Chinese government would be forced to take additional measures to clamp down on the surging Chinese economy and ward off inflation, potentially causing a sharp pullback in economic activity (also known as a “hard landing”). However, concerns about a hard landing in China failed to materialize and the Chinese stock market rallied, with the MSCI Golden Dragon Index gaining 16.14% for the reporting period.

India

The MSCI India Index gained 34.93% for the reporting period, supported by strong corporate earnings and robust flows from foreign investors into the Indian market. In addition, the country’s monetary policy tightening was in line with investor expectations, creating optimism among investors that the Reserve Bank of India was attempting to maintain continued economic growth as it took measures to control inflation.

Europe

European stocks lagged stocks in other parts of the world, as the MSCI Europe Index returned 8.33% for the reporting period. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity of European leaders, as well as the austerity measures being taken by weaker European countries to lower their deficits.

Latin America and Russia

The MSCI Emerging Market (EM) Latin America Index returned 23.51% for the reporting period. Brazil had strong GDP growth, and the country’s central bank responded by raising interest rates. Mexico saw its GDP recover from low levels in 2009, the Mexican central bank held interest rates steady. Meanwhile, the MSCI Russia Index returned 13.38%, supported by increasing demand for commodities. In contrast to currencies of many other emerging market countries, which appreciated versus the U.S. dollar during the reporting period, the Russian ruble was essentially flat.

2 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

JPMorgan Asia Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		26.31%
Morgan Stanley Capital International (“MSCI”) All Country (“AC”) Asia ex-Japan Index		23.27%
Net Assets as of 10/31/2010 (In Thousands)	$	1,809,038

INVESTMENT OBJECTIVE**

The JPMorgan Asia Equity Fund (the “Fund”) will seek total return from long-term capital growth. Total return consists of capital growth and current income.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the MSCI AC Asia ex-Japan Index (the “Benchmark”) for the twelve months ended October 31, 2010, helped by strong stock selection. The Fund’s stock selection was strongest in Singapore, while the Fund’s stock selection in Taiwan detracted from relative performance. From a country allocation standpoint, strength from the Fund’s overweight positions in Thailand and Indonesia more than offset relative weakness from not owning outperforming Malaysian equities and the Fund’s underweight position in Hong Kong.

Individual contributors to relative performance included the Fund’s overweight positions in Banpu PCL, a Thailand-based coal producer, Samsung Engineering Co., Ltd., a Korea-based construction company and Siam Cement PCL, a chemicals and cement provider based in Thailand. Each of these companies benefited from infrastructure development and increasing economic growth in Asia’s developing economies.

Individual detractors from relative performance included the Fund’s overweight positions in Richtek Technology Corp. and Yanlord Land Group Ltd. Shares of Taiwan-based Richtek Technology Corp. declined on concerns that an oversupplied

transistor-liquid crystal display (TFT-LCD) panel and screen market would lower demand for the TFT-LCD parts that the company manufacturers. Yanlord Land Group Ltd. is a real estate development company tied to the Chinese real estate market. Property stocks in the greater China region declined broadly on investor concerns about the Chinese government’s measures to cool its surging property market, such as raising the installment requirement for second-home purchases and raising the mortgage rates applied to these purchases. The Fund’s overweight position in KB Financial Group, Inc. also detracted from relative performance.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. As a result of this process, the Fund was overweight in China, Singapore, Thailand and India. The Fund was underweight in export-driven economies such as South Korea and Taiwan.

The Fund’s portfolio managers remained optimistic about domestic consumption and infrastructure spending across most countries in Asia. The Fund invested in companies that the Fund’s portfolio managers believed were well positioned to take advantage of Asia’s consumption growth and improving environment for consumer lending, as well as those companies that appeared poised to benefit from continued spending on infrastructure development.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 3

JPMorgan Asia Equity Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	China Construction Bank Corp., Class H (China)	3.4	%
	2.	Ping An Insurance Group Co. of China Ltd., Class H (China)	3.3
	3.	Samsung Electronics Co., Ltd. (South Korea)	3.3
	4.	Siam Cement PCL, NVDR (Thailand)	2.6
	5.	United Tractors Tbk PT (Indonesia)	2.5
	6.	Hyundai Heavy Industries Co., Ltd. (South Korea)	2.4
	7.	Olam International Ltd. (Singapore)	2.4
	8.	Samsung Engineering Co., Ltd. (South Korea)	2.4
	9.	Agricultural Bank of China Ltd., Class H (China)	2.3
	10	Maruti Suzuki India Ltd. (India)	2.3

PORTFOLIO COMPOSITION BY COUNTRY***
China	31.6	%
India	16.5
South Korea	14.7
Singapore	11.0
Taiwan	6.8
Hong Kong	6.2
Thailand	5.4
Indonesia	4.1
Short-Term Investment	3.7

* The return shown is based on net asset value calculated for share-holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles gen- erally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

4 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			SINCE INCEPTION
CLASS A SHARES		11/1/01
Without Sales Charge				26.31	%		13.74	%		12.13	%
With Sales Charge*				19.67			12.52			11.46
INSTITUTIONAL CLASS SHARES		6/28/02		26.81			14.21			12.55
SELECT CLASS SHARES		6/28/02		26.62			14.03			12.39

* Sales Charge for Class A Shares is 5.25%.

LIFE OF FUND PERFORMANCE (11/1/01 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on November 1, 2001.

Returns for the Select Class and Institutional Class Shares prior to their inception date are based on the performance of the Class A Shares. The actual returns of Select Class and Institutional Class Shares would have been different than shown because Select Class and Institutional Class Shares have different expenses than Class A Shares.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Asia Equity Fund, the MSCI All Country Asia ex-Japan Index and the Lipper Pacific ex Japan Funds Index from November 1, 2001 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the indices reflects an initial investment at the end of the month closest to the Fund’s inception. The performance of the MSCI All Country Asia ex-Japan Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to nonresident individual investors who do not benefit from double taxation trea-

ties. The performance of the Lipper Pacific ex Japan Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI All Country Asia ex Japan Index is a free float-adjusted market capitalization index that is designed to measure the equity market performance in Asia, excluding Japan. The Lipper Pacific ex Japan Funds Index represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 5

JPMorgan China Region Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		19.08%
Morgan Stanley Capital International (“MSCI”) Golden Dragon Index		16.14%
Net Assets as of 10/31/2010 (In Thousands)	$	13,756

INVESTMENT OBJECTIVE**

The JPMorgan China Region Fund (the “Fund”) will seek long-term capital growth.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the MSCI Golden Dragon Index (the “Benchmark”) for the twelve months ended October 31, 2010, as strong stock selection in China more than offset negative stock selection in Taiwan.

The largest individual contributor to relative performance was the Fund’s overweight position in China Yurun Food Group Ltd., a chicken and pork supplier. Other individual contributors included the Fund’s overweight positions in Industrial & Commercial Bank of China and retail company Intime Department Store Group Co., Ltd., both of which were not held in the Benchmark. All three of these companies benefited from the continued growth of China’s economy and consumption growth driven by the country’s emerging middle class.

Individual detractors included Chimei Innolux Corp. and China Resources Land Ltd. Taiwan-based Chimei Innolux Corp., which produces transistor-liquid crystal display (TFT-LCD) panel modules and LCD monitors, declined on concerns about an oversupply of LCD panels and monitors. China Resources Land Ltd. is a real estate development company tied to the Chinese real estate market. Property stocks in the greater China region declined broadly on investor concerns about the Chinese government’s measures to cool its surging property market, such as raising the installment requirement for second-home purchases and raising the mortgage rates applied to these purchases. Not owning HTC Corp., a Taiwan-based handheld phone manufacturer, also hurt the Fund’s relative performance as the stock was a strong performer in the Benchmark during the reporting period.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential

for future earnings growth. As a result of this process, the Fund was overweight China, focusing on companies tied to the stabilization of China’s economy and consumption growth driven by the country’s emerging middle class. While the Fund’s portfolio managers selectively added to Taiwanese technology companies, they still believed that the country was unattractive on a relative basis because of its economy’s large dependence on exports.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	CNOOC Ltd. (China)	4.8	%
	2.	China Construction Bank Corp., Class H (China)	4.8
	3.	Hon Hai Precision Industry Co., Ltd. (Taiwan)	3.3
	4.	China Mobile Ltd. (China)	3.3
	5.	Cheung Kong Holdings Ltd. (Hong Kong)	3.2
	6.	Taiwan Semiconductor Manufacturing Co., Ltd. (Taiwan)	3.1
	7.	Bank of China Ltd., Class H (China)	3.0
	8.	Industrial & Commercial Bank of China, Class H (China)	2.9
	9.	Ping An Insurance Group Co. of China Ltd., Class H (China)	2.9
	10.	Tencent Holdings Ltd. (China)	2.7

PORTFOLIO COMPOSITION BY COUNTRY***
China	55.8	%
Taiwan	24.8
Hong Kong	18.3
Macau	1.1

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

6 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		2/28/07
Without Sales Charge				18.76	%		(8.68	)%		8.13	%
With Sales Charge*				12.55			(10.30	)		6.55
CLASS C SHARES		2/28/07
Without CDSC				18.16			(9.12	)		7.60
With CDSC**				17.16			(9.12	)		7.60
SELECT CLASS SHARES		2/28/07		19.08			(8.44	)		8.40

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (2/28/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on February 28, 2007.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan China Region Fund, the MSCI Golden Dragon Index and the Lipper China Region Funds Average from February 28, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI Golden Dragon Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the maximum possible dividend reinvestment of the securities included in the benchmark. The amount reinvested is the entire dividend distributed to individuals resident in the country of the company, but does not include tax credits. The performance of the Lipper China Region Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI Golden Dragon Index is a free float-adjusted market capital-

ization index that is designed to measure equity market performance in the China region. The Lipper China Region Funds Average represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 7

JPMorgan India Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		43.48%
Morgan Stanley Capital International (“MSCI”) India Index		34.93%
Net Assets as of 10/31/2010 (In Thousands)	$	25,313

INVESTMENT OBJECTIVE**

The JPMorgan India Fund (the “Fund”) will seek long-term capital growth.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the MSCI India Index (the “Benchmark”) for the twelve months ended October 31, 2010, largely driven by strong stock selection and, to a lesser extent, the Fund’s sector allocation.

Several of the Fund’s largest individual contributors to relative performance were in the financial sector. These contributors included the Fund’s overweight positions in IndusInd Bank Ltd. and HDFC Bank Ltd, which benefited from continued signs of improvement in India’s consumer lending environment. Somewhat offsetting these relative gains were the Fund’s modest underweight positions in ICICI Bank Ltd. and Axis Bank Ltd., two Indian financial stocks held by the Benchmark that performed strongly, hurting the Fund’s relative performance.

Several of the Fund’s holdings in the auto sector contributed to relative performance, including the Fund’s overweight positions in Tata Motors Ltd. and Bajaj Auto Ltd. Both of these car manufacturers were beneficiaries of India’s consumption growth. In addition, Tata Motors Ltd. benefited from a positive outlook for the company’s Jaguar unit. Not owning car manufacturer Mahindra & Mahindra Ltd. somewhat offset these relative gains as the stock was a strong performer in the Benchmark.

Another individual detractor was the Fund’s overweight position in Tata Power Co., Ltd., as the utility company underperformed.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed bottom-up fundamental research, rigorously researching companies to

determine their underlying value and potential for future earnings growth. They continued to focus on well-managed, leading blue-chip companies with strong and visible earnings profiles.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Reliance Industries Ltd.	10.9	%
	2.	Infosys Technologies Ltd.	9.0
	3.	HDFC Bank Ltd.	6.1
	4.	Housing Development Finance Corp., Ltd.	4.8
	5.	Tata Consultancy Services Ltd.	4.1
	6.	ICICI Bank Ltd.	3.9
	7.	Bharat Heavy Electricals Ltd.	3.8
	8.	Tata Motors Ltd.	3.5
	9.	ITC Ltd.	3.0
	10.	Larsen & Toubro Ltd.	2.9

PORTFOLIO COMPOSITION BY SECTOR***
Financials	26.6	%
Industrials	16.9
Information Technology	14.9
Materials	13.3
Energy	11.6
Consumer Discretionary	5.5
Health Care	4.0
Consumer Staples	3.0
Utilities	2.9
Telecommunication Services	1.3

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

8 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		5/01/07
Without Sales Charge				43.48	%		(5.13	)%		5.04	%
With Sales Charge*				35.93			(6.83	)		3.44
CLASS C SHARES		5/01/07
Without CDSC				42.79			(5.59	)		4.54
With CDSC**				41.79			(5.59	)		4.54
SELECT CLASS SHARES		5/01/07		43.88			(4.91	)		5.29

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (5/1/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on May 1, 2007.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan India Fund, the MSCI India Index and the Lipper Emerging Markets Funds Index from May 1, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the MSCI India Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident individual investors who do not benefit from double taxation treaties. The performance of the Lipper Emerging Markets Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI India Index is a free float-adjusted market capitalization index that is designed to

measure equity market performance in India. The Lipper Emerging Markets Funds Index represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically or economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 9

JPMorgan Intrepid European Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		9.65%
Morgan Stanley Capital International (“MSCI”) Europe Index		8.33%
Net Assets as of 10/31/2010 (In Thousands)	$	152,714

INVESTMENT OBJECTIVE**

The JPMorgan Intrepid European Fund (the “Fund”) seeks total return from long-term capital growth. Total return consists of capital growth and current income.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the MSCI Europe Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s overweight position in the outperforming consumer discretionary sector and positive stock selection in the industrials sector more than offset relative weakness from the Fund’s stock selection in the energy and health care sectors.

Individual contributors to the Fund’s relative performance included holdings in Bekaert S.A. and Lanxess AG, both of which were not held in the Benchmark. Bekaert S.A., a Belgium-based producer of steel cord used in tires, reported better-than-expected profit for the first half of 2010. The company also raised its earnings forecasts, citing the growth of its operations in China. Shares of German-based Lanxess AG, a specialty chemical provider, benefited from the company’s disciplined cost-cutting measures and recovering demand in its end markets.

Individual detractors from the Fund’s relative performance included integrated energy company BP plc. Shares of BP plc declined amid investor uncertainty over the costs of an oil spill from one of the company’s rigs in the Gulf of Mexico. Other

individual detractors included the Fund’s position in Lloyds Banking Group plc. The Fund was underweight Lloyds Banking Group plc when it reported better-than-expected first quarter results, which led the Fund’s portfolio managers to purchase the stock and establish an overweight position. However, later in the reporting period, Lloyds Banking Group plc reported disappointing results that caused its share price decline and the Fund’s portfolio managers to trim the portfolio’s position. Overall, the Fund’s positioning in the stock detracted from relative performance.

HOW WAS THE FUND POSITIONED?

During the reporting period, the Fund’s portfolio managers selected stocks using a rigorous and disciplined investment process that focused on fundamentally sound attractively valued stocks and fast-growing stocks with strong earnings growth that were supported by positive news. Therefore, portfolio positions continued to flow from bottom-up stock selection rather than top-down asset allocation decisions. As a result of this investment process, the Fund’s largest overweights versus the Benchmark on average during the reporting period were in the industrials and consumer discretionary sectors. The Fund’s largest underweights versus the Benchmark were in the consumer staples and financials sectors. From a country perspective, the Fund’s largest overweights versus the Benchmark were Germany and Norway and the Fund’s largest underweights versus the Benchmark were France and the United Kingdom. In addition, the Fund employed futures to help manage cash flows.

10 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Telefonica S.A. (Spain)	4.1	%
	2.	Rio Tinto plc (United Kingdom)	3.8
	3.	Deutsche Lufthansa AG (Germany)	2.6
	4.	Clariant AG (Switzerland)	2.3
	5.	BNP Paribas (France)	2.1
	6.	Axel Springer AG (Germany)	2.1
	7.	Vodafone Group plc (United Kingdom)	2.1
	8.	Lanxess AG (Germany)	2.1
	9.	Bayerische Motoren Werke AG (Germany)	2.0
	10.	Swatch Group AG (The) (Switzerland)	2.0

PORTFOLIOS COMPOSITION BY COUNTRY***
United Kingdom	25.2	%
Germany	24.3
France	13.3
Switzerland	11.1
Spain	6.7
Sweden	5.2
Finland	3.8
Belgium	2.0
United States	1.8
Norway	1.7
Denmark	1.2
Egypt	1.0
Netherlands	0.9
Short-Term Investment	1.8

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments (excluding Investments of Cash Collateral for Securities on Loan) as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 11

JPMorgan Intrepid European Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			5 YEAR			10 YEAR
CLASS A SHARES		11/2/95
Without Sales Charge				9.65	%		3.84	%		6.36	%
With Sales Charge*				3.91			2.73			5.79
CLASS B SHARES		11/3/95
Without CDSC				9.05			3.31			5.86
With CDSC**				4.05			2.96			5.86
CLASS C SHARES		11/1/98
Without CDSC				9.10			3.32			5.76
With CDSC***				8.10			3.32			5.76
INSTITUTIONAL CLASS SHARES		9/10/01		10.16			4.31			6.90
SELECT CLASS SHARES		9/10/01		9.96			4.11			6.61

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 5% CDSC (contingent deferred sales charge) for the one year period, 2% CDSC for the five year period and 0% CDSC thereafter.

*** Assumes a 1% CDSC for the one year period and 0% CDSC thereafter.

TEN YEAR PERFORMANCE (10/31/00 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

Returns for the Select Class and Institutional Class Shares prior to their inception date are based on the performance of Class A Shares. The actual returns of Select Class and Institutional Class Shares would have been different than those shown because Select Class and Institutional Class Shares have different expenses than Class A Shares.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Intrepid European Fund, MSCI Europe Index, and Lipper European Region Funds Index from October 31, 2000 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the MSCI Europe Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident individual investors who do not benefit from double taxation

treaties. The performance of the Lipper European Region Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI Europe Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of the developed markets in Europe. The Lipper European Region Funds Index represents the total returns of the funds in the indicated category defined by Lipper, Inc. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

12 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

Because Class B Shares automatically convert to Class A Shares after 8 years, the 10 Year average annual total return shown above for Class B reflects Class A performance for the period after conversion.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 13

JPMorgan Latin America Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		37.51%
Morgan Stanley Capital International (“MSCI”) Emerging Markets (“EM”) Latin America Index		23.51%
Net Assets as of 10/31/2010 (In Thousands)	$	57,792

INVESTMENT OBJECTIVE**

The JPMorgan Latin America Fund (the “Fund”) will seek long-term capital growth.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) significantly outperformed the MSCI EM Latin America Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s stock selection in the energy sector and overweight in the industrials sector contributed to the Fund’s relative performance. The Fund’s stock selection in the materials and utilities sectors detracted from the Fund’s relative performance.

The largest individual contributor to relative performance was the Fund’s underweight position in Brazilian energy company Petroleo Brasileiro S.A. (“Petrobras”), which constituted roughly 14% of the Benchmark. Shares of Petrobras declined during the reporting period on concerns regarding the structure of an offering that allowed the Brazilian government to purchase shares of the company. The Fund’s overweight positions in Pacific Rubiales Energy Corp. and Gol Linhas Aereas Inteligentes S.A. (“Gol Airlines”) also contributed to relative performance. Pacific Rubiales Energy Corp. is an oil exploration and production company. Shares of the company rose due to its increasing oil production. Shares of PetroGol Airlines benefited from a strong rebound in domestic travel.

Individual detractors from the Fund’s relative performance included the Fund’s overweight positions in Tam S.A. (Tam Airlines) and Gerdau S.A. Investor concerns that Tam Airlines would acquire another airline for a higher price than the market expected weighed on the stock during the reporting period. Shares of Gerdau S.A., a Brazil-based producer of long rolled steel, declined as the appreciating Brazil Real caused steel imports to rise, hurting the steel industry in Brazil.

The Fund’s relative performance was also hurt by not owning Companhia De Bebidas Das Americas Ads, a Brazil-based alcoholic beverage provider that was a strong performer in the Benchmark.

HOW WAS THE FUND POSITIONED?

During the reporting period, the Fund employed an active, concentrated strategy in which portfolio construction was focused on the highest-conviction ideas found at the stock level. The Fund’s portfolio managers used bottom-fundamental

research to determine the Fund’s security weightings against the Benchmark, rigorously researching companies to determine their underlying value and potential for future growth. As a result of this process, the Fund’s largest overweight was in the industrials sector and the Fund’s largest underweight was in the energy sector. From a country perspective, the Fund was overweight in Argentina, which is not represented in the Benchmark. The Fund was underweight in Brazil, where the Fund’s portfolio managers sold strongly performing holdings during the reporting period.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	America Movil S.A.B. de C.V., Series L, ADR (Mexico)	5.1	%
	2.	OGX Petroleo e Gas Participacoes S.A. (Brazil)	4.9
	3.	Cia de Bebidas das Americas, ADR (Brazil) (Preferred Stock)	3.6
	4.	Gol Linhas Aereas Inteligentes S.A., ADR (Brazil)	2.9
	5.	Banco do Estado do Rio Grande do Sul (Brazil) (Preferred Stock)	2.5
	6.	NII Holdings, Inc. (Mexico)	2.4
	7.	Pacific Rubiales Energy Corp. (Canada)	2.4
	8.	Marisa Lojas S.A.(Brazil)	2.2
	9.	Totvs S.A. (Brazil)	2.1
	10.	PDG Realty S.A. Empreendimentos e Participacoes (Brazil)	2.1

PORTFOLIO COMPOSITION BY COUNTRY***
Brazil	64.8	%
Mexico	16.6
Argentina	4.1
United Kingdom	3.5
Canada	2.8
Peru	2.3
United States	1.3
Others (each less than 1.0%)	1.4
Short-Term Investment	3.2

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

14 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		2/28/07
Without Sales Charge				37.51	%		0.94	%		13.30	%
With Sales Charge*				30.29			(0.86	)		11.65
CLASS C SHARES		2/28/07
Without CDSC				36.87			0.44			12.74
With CDSC**				35.87			0.44			12.74
SELECT CLASS SHARES		2/28/07		37.93			1.18			13.58

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (2/28/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on February 28, 2007.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Latin America Fund, the MSCI EM Latin America Index and the Lipper Latin American Funds Average from February 28, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the MSCI EM Latin America Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident individual investors who do not benefit from double taxation treaties. The performance of the Lipper Latin American Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EM Latin America Index is a free float-

adjusted market capitalization index that is designed to measure equity market performance of emerging markets in Latin America. The Lipper Latin American Funds Average represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 15

JPMorgan Russia Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		34.79%
Morgan Stanley Capital International (“MSCI”) Russia Index		13.38%
Net Assets as of 10/31/2010 (In Thousands)	$	24,792

INVESTMENT OBJECTIVE**

The JPMorgan Russia Fund (the “Fund”) will seek long-term capital growth.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) significantly outperformed the MSCI Russia Index (the “Benchmark”) for the twelve months ended October 31, 2010. The Fund’s stock selection and overweight in the consumer staples sector contributed to the Fund’s relative performance, as did the Fund’s underweight in the energy sector. The Fund’s stock selection in the financials and materials sectors detracted from the Fund’s relative performance.

The largest individual contributor to relative performance was the Fund’s underweight position in Russian energy company Gazprom OAO, which constituted roughly 27% of the Benchmark. The Fund’s overweight position in Magnit OJSC also contributed to relative performance. Shares of Magnit OJSC rose as the grocery-store operator benefited from signs that it is taking market share from smaller locally operated grocery stores, which represent the majority in the Russian grocery-store industry.

In the financials sector, the contribution from the Fund’s overweight position in Sberbank of Russia more than offset the drag on the Fund’s relative performance from not owning VTB Bank, a strong performing stock in the Benchmark.

Individual detractors from relative performance included KazMunaiGas Exploration Production, an oil and gas exploration company based in Kazakhstan. Shares of the company were hurt by the Kazakhstan government’s decision in August 2010 to increase the country’s oil export tax. Additionally, not owning Novatek, a gas producer, hurt the Fund’s relative performance, as the stock was a strong performer in the Benchmark.

HOW WAS THE FUND POSITIONED?

The Fund employed an active, concentrated strategy in which portfolio construction was focused on the highest-conviction

ideas found at the stock level. The Fund’s portfolio managers used bottom-fundamental research to determine the Fund’s security weightings relative to the Benchmark, rigorously researching companies to determine their underlying value and potential for future growth. As a result of this process, the Fund’s largest overweight was in the consumer staples sector and the Fund’s largest underweight was in the energy sector.

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Sberbank of Russia	14.8	%
	2.	Mobile Telesystems OJSC, ADR	8.6
	3.	Dragon Oil plc, (Ireland)	5.8
	4.	CTC Media, Inc.	5.5
	5.	Magnit OJSC	5.3
	6.	Magnit OJSC, GDR	4.9
	7.	MMC Norilsk Nickel, ADR	4.8
	8.	Magnit OJSC, Reg. S, GDR	4.2
	9.	Sistema JSFC, Reg. S, GDR	3.6
	10.	Magnitogorsk Iron & Steel Works, Reg. S, GDR	3.5

PORTFOLIO COMPOSITION BY SECTOR***
Consumer Staples	22.7	%
Financials	21.8
Energy	18.8
Materials	11.7
Telecommunication Services	9.9
Consumer Discretionary	6.9
Utilities	2.9
Short-Term Investment	4.3
Others (each less than 1.0%)	1.0

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

16 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		2/28/07
Without Sales Charge				34.79	%		(11.65	)%		(3.07	)%
With Sales Charge*				27.74			(13.22	)		(4.48	)
CLASS C SHARES		2/28/07
Without CDSC				34.18			(12.09	)		(3.54	)
With CDSC**				33.18			(12.09	)		(3.54	)
SELECT CLASS SHARES		2/28/07		35.20			(11.41	)		(2.80	)

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (2/28/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on February 28, 2007.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Russia Fund, the MSCI Russia Index and the Lipper Emerging Markets Funds Index from February 28, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the MSCI Russia Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident individual investors who do not benefit from double taxation treaties. The performance of the Lipper Emerging Markets Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI Russia Index is a free float-adjusted market capitalization weighted index

that is designed to measure the equity market performance in Russia. The Lipper Emerging Markets Funds Index represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carry a 5.25% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 17

JPMorgan Asia Equity Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 94.4%
		China — 31.5%
	80,000	Agricultural Bank of China Ltd., Class H (a)		42,213
	13,000	AMVIG Holdings Ltd.		10,550
	17,000	BBMG Corp., Class H		24,174
	65,000	China Construction Bank Corp., Class H		62,140
	30,000	China Eastern Airlines Corp., Ltd., Class H (a)		19,012
	13,500	China Merchants Bank Co., Ltd., Class H		38,468
	232	China National Building Material Co., Ltd., Class H		568
	50,000	China Resources Cement Holdings Ltd. (a)		35,411
	6,000	China Shenhua Energy Co., Ltd., Class H		26,786
	303	China Shineway Pharmaceutical Group Ltd.		1,033
	8,000	China Yurun Food Group Ltd.		31,222
	12,000	Jiangxi Copper Co., Ltd., Class H		33,588
	35,000	Maanshan Iron & Steel, Class H		20,121
	23,000	Nine Dragons Paper Holdings Ltd.		37,212
	5,500	Ping An Insurance Group Co. of China Ltd., Class H		59,464
	30,000	Poly Hong Kong Investments Ltd.		30,932
	2,300	Weichai Power Co., Ltd., Class H		30,348
	8,300	Xinjiang Goldwind Science & Technology Co., Ltd., Class H (a)		21,470
	9,000	Yanzhou Coal Mining Co., Ltd., Class H		26,039
	20,000	Zijin Mining Group Co., Ltd., Class H		18,906
				569,657
		Hong Kong — 6.2%
	11,500	BOC Hong Kong Holdings Ltd.		36,170
	5,000	Kerry Properties Ltd.		27,777
	3,200	Orient Overseas International Ltd.		28,122
	3,000	Wharf Holdings Ltd.		19,753
				111,822
		India — 14.9%
	9,000	Ambuja Cements Ltd.		28,448
	500	Bharat Heavy Electricals Ltd.		27,583
	550	HDFC Bank Ltd.		28,287
	8,000	Infrastructure Development Finance Co., Ltd.		36,204
	750	JSW Steel Ltd.		22,721
	700	Larsen & Toubro Ltd., GDR		31,818
	1,200	Maruti Suzuki India Ltd.		42,082
	6,000	Mundra Port and Special Economic Zone Ltd.		20,562
	1,200	Tata Motors Ltd.		31,434
				269,139
		Indonesia — 4.1%
	39,775	Bank Danamon Indonesia Tbk PT		29,914

SHARES		SECURITY DESCRIPTION	VALUE($)
		Indonesia — Continued
	18,000	United Tractors Tbk PT		44,865
				74,779
		Singapore — 11.0%
	6,300	Fraser and Neave Ltd.		30,444
	12,000	Global Logistic Properties Ltd. (a)		21,510
	29,000	Midas Holdings Ltd.		22,039
	17,000	Neptune Orient Lines Ltd. (a)		28,257
	18,000	Olam International Ltd.		43,753
	9,928	Overseas Union Enterprise Ltd.		25,197
	5,500	Wilmar International Ltd.		27,329
				198,529
		South Korea — 14.7%
	36	Amorepacific Corp.		33,272
	670	Daewoo Shipbuilding & Marine Engineering Co., Ltd.		17,832
	135	Hyundai Heavy Industries Co., Ltd.		44,037
	600	KB Financial Group, Inc.		26,715
	380	Lock & Lock Co., Ltd.		12,575
	89	Samsung Electronics Co., Ltd.		58,713
	273	Samsung Engineering Co., Ltd.		43,601
	305	Samsung Techwin Co., Ltd.		28,513
				265,258
		Taiwan — 6.7%
	10,000	Acer, Inc.		29,121
	35,000	Advanced Semiconductor Engineering, Inc.		30,457
	18,000	Chimei Innolux Corp. (a)		24,154
	6,500	Hon Hai Precision Industry Co., Ltd.		24,583
	32,000	Taishin Financial Holding Co., Ltd. (a)		13,996
				122,311
		Thailand — 5.3%
	1,200	Banpu PCL, Foreign Shares		31,289
	32,000	Krung Thai Bank PCL, Foreign Shares		18,044
	4,500	Siam Cement PCL, NVDR		47,561
				96,894
		Total Common Stocks (Cost $1,268,223)		1,708,389
	Participation Note — 1.6%
		India — 1.6%
	6,000	Hindalco Industries Ltd., expiring 12/11/12 (issued through Deutsche Bank AG) (a) (Cost $16,805)		28,424

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 3.8%
		Investment Company — 3.8%
	67,992	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $67,992)		67,992
		Total Investments — 99.8% (Cost $1,353,020)		1,804,805
		Other Assets in Excess of Liabilities — 0.2%		4,233
		NET ASSETS — 100.0%	$	1,809,038

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		16.4	%
Machinery		9.3
Metals & Mining		8.1
Construction Materials		7.5
Real Estate Management & Development		5.5
Semiconductors & Semiconductor Equipment		5.0
Oil, Gas & Consumable Fuels		4.7
Construction & Engineering		4.2
Insurance		3.3
Industrial Conglomerates		3.3
Food Products		3.2
Marine		3.1
Electrical Equipment		2.7
Electronic Equipment, Instruments & Components		2.7
Food & Staples Retailing		2.4
Automobiles		2.3
Paper & Forest Products		2.1
Diversified Financial Services		2.0
Personal Products		1.8
Computers & Peripherals		1.6
Hotels, Restaurants & Leisure		1.4
Containers & Packaging		1.3
Transportation Infrastructure		1.1
Airlines		1.1
Pharmaceuticals		0.1
Short-Term Investment		3.8

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 19

JPMorgan China Region Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 98.5%
		China — 54.9%
	82	Agile Property Holdings Ltd.		108
	290	Agricultural Bank of China Ltd., Class H (a)		153
	58	Anta Sports Products Ltd.		120
	677	Bank of China Ltd., Class H		407
	107	BBMG Corp., Class H		152
	25	Beijing Jingkelong Co., Ltd., Class H		30
	680	China Construction Bank Corp., Class H		650
	66	China Life Insurance Co., Ltd., Class H		290
	46	China Merchants Bank Co., Ltd., Class H		130
	33	China Merchants Property Development Co., Ltd., Class B		67
	43	China Mobile Ltd.		442
	80	China National Building Material Co., Ltd., Class H		196
	90	China Oilfield Services Ltd., Class H		146
	234	China Petroleum & Chemical Corp., Class H		223
	37	China Shineway Pharmaceutical Group Ltd.		126
	195	China Suntien Green Energy Corp., Ltd., Class H (a)		66
	154	China Vanadium Titano - Magnetite Mining Co., Ltd. (a)		80
	118	China Vanke Co., Ltd., Class B		169
	55	China Yurun Food Group Ltd.		215
	313	CNOOC Ltd.		653
	21	Dongfang Electric Corp., Ltd., Class H		101
	17	Evergreen International Holdings Ltd. (a)		10
	180	Hidili Industry International Development Ltd.		193
	489	Industrial & Commercial Bank of China, Class H		395
	123	International Mining Machinery Holdings Ltd. (a)		107
	125	Intime Department Store Group Co., Ltd.		192
	48	Jiangxi Copper Co., Ltd., Class H		134
	26	Lianhua Supermarket Holdings Co., Ltd., Class H		111
	71	Microport Scientific Corp. (a)		72
	86	Parkson Retail Group Ltd.		155
	37	Ping An Insurance Group Co. of China Ltd., Class H		395
	129	Poly Hong Kong Investments Ltd.		133
	66	Sany Heavy Equipment International Holdings Co., Ltd.		95
	17	Sihuan Pharmaceutical Holdings Group Ltd. (a)		12
	64	Springland International Holdings Ltd. (a)		54
	16	Tencent Holdings Ltd.		370
	52	Tingyi Cayman Islands Holding Corp.		142
	84	Yanzhou Coal Mining Co., Ltd., Class H		243
	230	Zijin Mining Group Co., Ltd., Class H		217
				7,554

SHARES		SECURITY DESCRIPTION	VALUE($)
		Hong Kong — 18.0%
	38	AIA Group Ltd. (a)		112
	63	BOC Hong Kong Holdings Ltd.		198
	29	Cheung Kong Holdings Ltd.		437
	58	China Resources Gas Group Ltd.		86
	60	China Resources Land Ltd.		119
	78	COSCO Pacific Ltd.		122
	50	Hang Lung Properties Ltd.		245
	132	Hengdeli Holdings Ltd.		73
	11	Hutchison Whampoa Ltd.		109
	3	Jardine Matheson Holdings Ltd.		149
	27	Kerry Properties Ltd.		147
	22	Li & Fung Ltd.		117
	15	Orient Overseas International Ltd.		132
	57	Pacific Basin Shipping Ltd.		42
	6	Sun Hung Kai Properties Ltd.		103
	42	Wharf Holdings Ltd.		277
	1	Wing Hang Bank Ltd.		12
				2,480
		Macau — 1.1%
	70	Sands China Ltd. (a)		154
		Taiwan — 24.5%
	70	Acer, Inc.		205
	259	Advanced Semiconductor Engineering, Inc.		226
	110	Cathay Financial Holding Co., Ltd.		167
	97	Coretronic Corp.		148
	34	Delta Electronics, Inc.		140
	59	Formosa Chemicals & Fibre Corp.		169
	134	Fubon Financial Holding Co., Ltd.		164
	118	Hon Hai Precision Industry Co., Ltd.		446
	50	Huaku Development Co., Ltd.		138
	38	Kinsus Interconnect Technology Corp.		103
	3	Largan Precision Co., Ltd.		62
	16	MediaTek, Inc.		205
	45	Pou Chen Corp.		43
	48	Powertech Technology, Inc.		159
	24	President Chain Store Corp.		95
	260	Taishin Financial Holding Co., Ltd. (a)		114
	112	Taiwan Cement Corp.		119
	207	Taiwan Semiconductor Manufacturing Co., Ltd.		426
	41	TSRC Corp.		74
	7	TXC Corp.		13
	87	Unimicron Technology Corp.		148
				3,364

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Total Investments — 98.5% (Cost $9,519)		13,552
		Other Assets in Excess of Liabilities — 1.5%		204
		NET ASSETS — 100.0%	$	13,756

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		15.2	%
Real Estate Management & Development		14.3
Oil, Gas & Consumable Fuels		8.7
Semiconductors & Semiconductor Equipment		8.3
Electronic Equipment, Instruments & Components		7.1
Insurance		6.3
Metals & Mining		4.6
Construction Materials		3.4
Wireless Telecommunication Services		3.3
Multiline Retail		3.0
Internet Software & Services		2.7
Food Products		2.6
Industrial Conglomerates		1.9
Chemicals		1.8
Food & Staples Retailing		1.7
Computers & Peripherals		1.5
Machinery		1.5
Marine		1.3
Diversified Financial Services		1.2
Textiles, Apparel & Luxury Goods		1.2
Hotels, Restaurants & Leisure		1.1
Energy Equipment & Services		1.1
Pharmaceuticals		1.0
Others (each less than 1.0%)		5.2

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 21

JPMorgan India Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 92.6%
		Consumer Discretionary — 5.1%
		Auto Components — 0.5%
	39	Exide Industries Ltd.		138
		Automobiles — 4.3%
	9	Bajaj Auto Ltd.		298
	6	Hero Honda Motors Ltd.		240
	15	Maruti Suzuki India Ltd.		526
				1,064
		Textiles, Apparel & Luxury Goods — 0.3%
	15	Bombay Rayon Fashions Ltd.		77
		Total Consumer Discretionary		1,279
		Consumer Staples — 2.8%
		Tobacco — 2.8%
	182	ITC Ltd.		703
		Energy — 10.7%
		Oil, Gas & Consumable Fuels — 10.7%
	10	Bharat Petroleum Corp., Ltd.		164
	104	Reliance Industries Ltd.		2,556
		Total Energy		2,720
		Financials — 24.7%
		Commercial Banks — 14.0%
	18	Axis Bank Ltd.		584
	25	Dhanlaxmi Bank Ltd.		105
	28	HDFC Bank Ltd.		1,440
	35	ICICI Bank Ltd.		922
	48	IndusInd Bank Ltd.		284
	24	Union Bank of India		205
				3,540
		Consumer Finance — 0.3%
	3	SKS Microfinance Ltd. (a)		69
		Diversified Financial Services — 6.0%
	123	Infrastructure Development Finance Co., Ltd.		557
	44	Kotak Mahindra Bank Ltd.		461
	28	Power Finance Corp., Ltd.		228
	32	Rural Electrification Corp. Ltd.		267
				1,513
		Thrifts & Mortgage Finance — 4.4%
	72	Housing Development Finance Corp., Ltd.		1,116
		Total Financials		6,238
		Health Care — 3.7%
		Health Care Equipment & Supplies — 0.5%
	20	Opto Circuits India Ltd.		130

SHARES		SECURITY DESCRIPTION	VALUE($)
		Life Sciences Tools & Services — 0.6%
	10	Divi’s Laboratories Ltd.		156
		Pharmaceuticals — 2.6%
	6	Dr Reddy’s Laboratories Ltd.		213
	2	GlaxoSmithKline Pharmaceuticals Ltd.		120
	17	Glenmark Pharmaceuticals Ltd.		130
	4	Sun Pharmaceutical Industries Ltd.		199
				662
		Total Health Care		948
		Industrials — 15.7%
		Building Products — 0.8%
	46	Sintex Industries Ltd.		212
		Construction & Engineering — 4.3%
	31	IRB Infrastructure Developers Ltd.		182
	15	Larsen & Toubro Ltd.		681
	4	Sadbhav Engineering Ltd.		141
	13	Voltas Ltd.		72
				1,076
		Electrical Equipment — 3.6%
	16	Bharat Heavy Electricals Ltd.		899
		Machinery — 5.8%
	150	Action Construction Equipment Ltd.		205
	4	BEML Ltd.		101
	14	Cummins India Ltd.		242
	31	Tata Motors Ltd.		813
	7	Tata Motors Ltd., Class A		123
				1,484
		Transportation Infrastructure — 1.2%
	85	Mundra Port and Special Economic Zone Ltd.		291
		Total Industrials		3,962
		Information Technology — 13.8%
		IT Services — 13.8%
	32	Infosys Technologies Ltd.		2,113
	6	Infosys Technologies Ltd., ADR		436
	40	Tata Consultancy Services Ltd.		950
		Total Information Technology		3,499
		Materials — 12.3%
		Chemicals — 2.5%
	47	Godrej Industries Ltd.		226
	5	Grasim Industries Ltd.		264
	12	Himadri Chemicals & Industries		134
				624

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Construction Materials — 2.1%
	11	ACC Ltd.		238
	96	Ambuja Cements Ltd.		304
				542
		Containers & Packaging — 0.2%
	8	Hindustan National Glass & Industries Ltd.		48
		Metals & Mining — 7.5%
	121	Hindalco Industries Ltd.		575
	34	Jindal Steel & Power Ltd.		535
	11	JSW Steel Ltd.		333
	17	Sesa Goa Ltd.		124
	90	Sterlite Industries India Ltd.		344
				1,911
		Total Materials		3,125
		Telecommunication Services — 1.2%
		Wireless Telecommunication Services — 1.2%
	25	Bharti Airtel Ltd.		180
	30	Reliance Communications Ltd.		122
		Total Telecommunication Services		302

SHARES		SECURITY DESCRIPTION	VALUE($)
		Utilities — 2.6%
		Electric Utilities — 1.7%
	4	Reliance Infrastructure Ltd.		87
	11	Tata Power Co., Ltd.		347
				434
		Independent Power Producers & Energy Traders — 0.9%
	53	NTPC Ltd.		233
		Total Utilities		667
		Total Investments — 92.6% (Cost $19,352)		23,443
		Other Assets in Excess of Liabilities — 7.4%		1,870
		NET ASSETS — 100.0%	$	25,313

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 23

JPMorgan Intrepid European Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 94.0%
		Belgium — 2.0%
	57	AGFA-Gevaert N.V. (a) (c)		333
	5	Bekaert S.A. (m)		1,500
	2	D’ieteren S.A. (m)		1,234
				3,067
		Denmark — 1.2%
	17	Carlsberg A/S, Class B (m)		1,812
		Egypt— 1.0%
	564	Centamin Egypt Ltd. (a) (m)		1,564
		Finland — 3.7%
	41	Nokia OYJ (m)		442
	84	Sampo OYJ, Class A (m)		2,347
	182	Stora Enso OYJ, Class R		1,805
	63	UPM-Kymmene OYJ (m)		1,051
				5,645
		France — 13.1%
	126	Air France-KLM (a) (m)		2,305
	29	Arkema S.A. (m)		1,851
	44	BNP Paribas (m)		3,224
	11	Christian Dior S.A. (m)		1,598
	83	France Telecom S.A. (m)		1,982
	1	Hermes International (m)		264
	23	IPSOS (m)		1,111
	12	LVMH Moet Hennessy Louis Vuitton S.A. (m)		1,815
	49	Rhodia S.A. (m)		1,362
	16	Sanofi-Aventis S.A. (m)		1,155
	11	SEB S.A. (m)		1,051
	29	Valeo S.A. (a) (c)		1,550
	25	Vivendi S.A. (m)		704
				19,972
		Germany — 21.1%
	22	Allianz SE (m)		2,738
	14	Asian Bamboo AG (m)		715
	21	Axel Springer AG (m)		3,189
	21	BASF SE		1,525
	43	Bayerische Motoren Werke AG (m)		3,086
	25	Brenntag AG (a) (m)		2,349
	9	Continental AG (a) (m)		775
	46	Daimler AG (a) (m)		3,048
	17	Demag Cranes AG (a) (m)		845
	29	Deutsche Bank AG (m)		1,679
	180	Deutsche Lufthansa AG (a) (m)		3,846
	372	Infineon Technologies AG (a) (m)		2,925
	11	K+S AG		771
	45	Lanxess AG (m)		3,146

SHARES		SECURITY DESCRIPTION	VALUE($)
		Germany — Continued
	7	MAN SE (m)		746
	9	SAP AG (m)		454
	15	Symrise AG (m)		450
				32,287
		Netherlands — 0.9%
	33	Brit Insurance Holdings N.V. (a) (m)		545
	36	Draka Holding N.V. (a) (m)		772
				1,317
		Norway — 1.7%
	174	Morpol ASA (a) (m)		632
	162	Statoil Fuel & Retail ASA (a) (m)		1,145
	15	Yara International ASA (m)		812
				2,589
		Spain — 6.6%
	22	Antena 3 de Television S.A. (m)		228
	117	Banco Santander S.A. (m)		1,503
	17	Inditex S.A. (c)		1,429
	28	Repsol YPF S.A. (m)		773
	226	Telefonica S.A. (c)		6,110
				10,043
		Sweden — 5.1%
	11	Autoliv, Inc. (m)		794
	24	Byggmax Group AB (a) (c)		194
	163	Swedbank AB, Class A (a) (m)		2,286
	115	Tele2 AB, Class B (m)		2,528
	33	Trelleborg AB, Class B, GDR, (m)		314
	128	Volvo AB, Class B (a) (m)		1,731
				7,847
		Switzerland — 11.0%
	46	Cie Financiere Richemont S.A., Class A (m)		2,302
	207	Clariant AG (a) (m)		3,495
	3	Forbo Holding AG (m)		1,399
	71	GAM Holding AG (a) (m)		1,123
	46	Novartis AG (m)		2,674
	224	STMicroelectronics N.V. (m)		1,968
	8	Swatch Group AG (The) (m)		3,061
	43	UBS AG (a) (m)		731
				16,753
		United Kingdom — 24.9%
	107	ARM Holdings plc (m)		624
	59	AstraZeneca plc (m)		2,983
	803	Blinkx plc (a) (m)		1,125
	659	BowLeven plc (a) (m)		1,782

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		United Kingdom — Continued
	228	BP plc (m)		1,550
	512	British Airways plc (a)		2,218
	47	Burberry Group plc (m)		761
	298	Centrica plc (m)		1,584
	416	Chariot Oil & Gas Ltd. (a) (m)		1,328
	64	Croda International plc (m)		1,463
	548	GKN plc (m)		1,556
	113	IMI plc (m)		1,435
	2,487	ITV plc (a) (m)		2,724
	71	J Sainsbury plc (m)		444
	804	Legal & General Group plc (m)		1,292
	40	Next plc (m)		1,452
	730	Old Mutual plc (m)		1,519
	337	Premier Farnell plc (m)		1,467
	88	Rio Tinto plc (m)		5,702
	8	SSL International plc (m)		148
	1,155	Vodafone Group plc (m)		3,158
	68	Weir Group plc (The) (m)		1,707
				38,022
		United States — 1.7%
	66	Royal Caribbean Cruises Ltd. (a) (m)		2,631
		Total Common Stocks (Cost $127,563)		143,549
	Preferred Stocks — 2.8%
		Germany — 2.8%
	5	Draegerwerk AG & Co. KGaA (m)		393
	58	ProSiebenSat.1 Media AG (m)		1,516

SHARES		SECURITY DESCRIPTION	VALUE($)
		Germany — Continued
	16	Volkswagen AG (m)		2,473
		Total Preferred Stocks (Cost $3,209)		4,382
NUMBER OF RIGHTS
	Rights — 0.0% (g)
		Belgium — 0.0% (g)
	57	AGFA-Gevaert N.V., expiring 11/05/10 (a) (m) (Cost $—)		19
SHARES
	Short-Term Investment — 1.8%
		Investment Company — 1.8%
	2,700	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $2,700)		2,700
	Investment of Cash Collateral for Securities on Loan — 2.0%
		Investment Company — 2.0%
	3,042	JPMorgan Prime Money Market Fund, Capital Shares, 0.120% (b) (l) (Cost $3,042)		3,042
		Total Investments — 100.6% (Cost $136,514)		153,692
		Liabilities in Excess of Other Assets — (0.6)%		(978	)
		NET ASSETS — 100.0%	$	152,714

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 25

JPMorgan Intrepid European Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments

(excluding Investments of Cash Collateral for Securities on Loan):

INDUSTRY	PERCENTAGE
Chemicals		9.9	%
Diversified Telecommunication Services		7.0
Textiles, Apparel & Luxury Goods		6.5
Media		6.3
Automobiles		5.7
Insurance		5.6
Airlines		5.6
Metals & Mining		4.8
Commercial Banks		4.7
Pharmaceuticals		4.5
Machinery		4.5
Semiconductors & Semiconductor Equipment		3.7
Oil, Gas & Consumable Fuels		3.6
Auto Components		3.1

INDUSTRY	PERCENTAGE
Capital Markets		2.3	%
Wireless Telecommunication Services		2.1
Paper & Forest Products		1.9
Specialty Retail		1.8
Hotels, Restaurants & Leisure		1.7
Household Durables		1.6
Trading Companies & Distributors		1.6
Electrical Equipment		1.5
Beverages		1.2
Multi-Utilities		1.1
Electronic Equipment, Instruments & Components		1.0
Multiline Retail		1.0
Short-Term Investment		1.8
Others (each less than 1.0%)		3.9

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	78	Dow Jones Euro STOXX 50 Index		12/17/10	$	3,082	$	7
	17	FTSE 100 Index		12/17/10		1,542		2
							$	9

SEE NOTES TO FINANCIAL STATEMENTS.

26 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

JPMorgan Latin America Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 81.0%
		Argentina — 4.1%
	8	Banco Macro S.A., ADR (m)		414
	36	Telecom Argentina S.A., ADR (m)		847
	19	Tenaris S.A., ADR (m)		767
	10	Ternium S.A., ADR (m)		346
				2,374
		Brazil — 49.0%
	107	All America Latina Logistica S.A. (m)		1,007
	49	BM&FBovespa S.A. (m)		407
	102	BR Malls Participacoes S.A. (m)		956
	174	Brasil Brokers Participacoes S.A. (m)		959
	44	BRF - Brasil Foods S.A. (m)		641
	38	BRF - Brasil Foods S.A., ADR (m)		562
	57	Cia Siderurgica Nacional S.A., ADR (m)		967
	104	Duratex S.A. (m)		1,194
	74	EcoRodovias Infraestrutura e Logistica S.A. (a) (m)		562
	12	EDP - Energias do Brasil S.A. (m)		257
	40	Estacio Participacoes S.A. (m)		601
	66	Fibria Celulose S.A. (a) (m)		1,174
	123	Gafisa S.A. (m)		1,012
	95	Gol Linhas Aereas Inteligentes S.A., ADR (m)		1,669
	32	Hypermarcas S.A. (a) (m)		525
	5	Itau Unibanco Holding S.A. (m)		94
	47	Itau Unibanco Holding S.A., ADR (m)		1,159
	62	Localiza Rent A Car S.A. (m)		1,029
	18	Lojas Renner S.A. (m)		721
	10	M Dias Branco S.A. (m)		251
	78	Marisa Lojas S.A. (m)		1,255
	134	MMX Mineracao e Metalicos S.A. (a) (m)		1,076
	126	MRV Engenharia e Participacoes S.A. (m)		1,226
	14	Natura Cosmeticos S.A. (m)		389
	48	Odontoprev S.A. (m)		698
	218	OGX Petroleo e Gas Participacoes S.A. (a) (m)		2,848
	100	PDG Realty S.A. Empreendimentos e Participacoes (m)		1,232
	20	Souza Cruz S.A. (m)		1,056
	49	Sul America S.A. (m)		579
	14	Totvs S.A. (m)		1,236
	50	Weg S.A. (m)		656
	17	Wilson Sons Ltd. BDR (m)		284
				28,282
		Canada — 2.8%
	43	Pacific Rubiales Energy Corp. (a) (m)		1,382
	23	Yamana Gold, Inc. (m)		251
				1,633

SHARES		SECURITY DESCRIPTION	VALUE($)
		Chile — 0.5%
	26	Cia Cervecerias Unidas S.A. (m)		291
		Mexico — 16.6%
	51	America Movil S.A.B. de C.V., Series L, ADR (m)		2,940
	130	Banco Compartamos S.A. de C.V. (m)		914
	75	Cemex S.A.B. de C.V., ADR (a) (m)		655
	10	Fomento Economico Mexicano S.A.B. de C.V., ADR (m)		555
	12	Grupo Aeroportuario del Sureste S.A.B de C.V., ADR (m)		611
	166	Grupo Financiero Banorte S.A.B. de C.V., Class O (m)		711
	246	Grupo Mexico S.A.B. de C.V., Class B (m)		809
	314	Mexichem S.A.B. de C.V. (m)		992
	33	NII Holdings, Inc. (a) (m)		1,399
				9,586
		Panama — 0.9%
	11	Copa Holdings S.A., Class A (m)		542
		Peru — 2.3%
	2	Credicorp Ltd. (m)		214
	35	Intergroup Financial Services Corp. (m)		1,135
				1,349
		United Kingdom — 3.5%
	45	Antofagasta plc (m)		953
	90	Wellstream Holdings plc (m)		1,069
				2,022
		United States — 1.3%
	25	First Cash Financial Services, Inc. (a) (m)		736
		Total Common Stocks (Cost $40,706)		46,815
	Preferred Stocks — 15.9%
		Brazil — 15.9%
	107	Banco ABC Brasil S.A. (m)		985
	135	Banco do Estado do Rio Grande do Sul (m)		1,472
	76	Banco Industrial e Comercial S.A. (m)		702
	34	Bradespar S.A. (m)		857
	15	Cia de Bebidas das Americas, ADR (m)		2,087
	13	Cia de Transmissao de Energia Electrica Paulista (m)		404
	63	Gerdau S.A., ADR (m)		818
	43	Itau Unibanco Holding S.A. (m)		1,051
	96	Randon Participacoes S.A. (m)		804
		Total Preferred Stocks (Cost $7,847)		9,180

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 27

JPMorgan Latin America Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 3.2%
		Investment Company — 3.2%
	1,850	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $1,850)		1,850
		Total Investments — 100.1% (Cost $50,403)		57,845
		Liabilities in Excess of Other Assets — (0.1)%		(53	)
		NET ASSETS — 100.0%	$	57,792

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Metals & Mining		10.5	%
Commercial Banks		10.1
Wireless Telecommunication Services		7.5
Oil, Gas & Consumable Fuels		7.3
Household Durables		6.0
Beverages		5.1
Diversified Financial Services		4.4
Paper & Forest Products		4.1
Airlines		3.8
Road & Rail		3.5
Multiline Retail		3.4
Real Estate Management & Development		3.3
Energy Equipment & Services		3.2
Consumer Finance		2.9
Machinery		2.5
Transportation Infrastructure		2.5
Food Products		2.5
Software		2.1
Tobacco		1.8
Chemicals		1.7
Personal Products		1.6
Diversified Telecommunication Services		1.5
Health Care Providers & Services		1.2
Electric Utilities		1.2
Construction Materials		1.1
Diversified Consumer Services		1.0
Insurance		1.0
Short-Term Investment		3.2

SEE NOTES TO FINANCIAL STATEMENTS.

28 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

JPMorgan Russia Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 93.1%
			Consumer Discretionary — 6.7%
			Automobiles — 1.2%
	18		Sollers OJSC (a) (m)		300
			Media — 5.5%
	56		CTC Media, Inc. (m)		1,328
	24		RBC Information Systems (a) (m)		27
	1		RBC Information Systems, ADR (a) (f) (i) (m)		6
					1,361
			Total Consumer Discretionary		1,661
			Consumer Staples — 22.1%
			Food & Staples Retailing — 17.4%
	32		DIXY Group OJSC (a) (m)		418
	11		Magnit OJSC (m)		1,281
	44		Magnit OJSC, GDR (e) (m)		1,179
	—	(h)	Magnit OJSC, Reg. S, GDR		1
	38		Magnit OJSC, Reg. S, GDR (m)		1,003
	10		X5 Retail Group N.V., Reg. S, GDR (a) (m)		424
					4,306
			Food Products — 2.3%
	27		Cherkizovo Group OJSC, Reg. S, GDR (a) (m)		572
			Personal Products — 2.4%
	10		Oriflame Cosmetics S.A., (Luxembourg) (m)		588
			Total Consumer Staples		5,466
			Energy — 18.3%
			Energy Equipment & Services — 1.1%
	10		Eurasia Drilling Co., Ltd., Reg. S, (Cyprus), GDR (m)		261
			Oil, Gas & Consumable Fuels — 17.2%
	11		BMB Munai, Inc., (Kazakhstan) (a) (m)		9
	196		Dragon Oil plc, (Ireland) (a) (m)		1,390
	25		Gazprom OAO, ADR (m)		554
	33		KazMunaiGas Exploration Production, (Kazakhstan), GDR (m)		570
	8		Lukoil OAO, ADR (m)		429
	21		Surgutneftegas OJSC, ADR (m)		201
	26		Tatneft, ADR (m)		828
	43		Urals Energy plc, (Cyprus) (a) (m)		9
	27		Zhaikmunai LP, Reg. S, (Kazakhstan), GDR (a) (m)		288
					4,278
			Total Energy		4,539
			Financials — 21.2%
			Commercial Banks — 17.3%
	45		Bank St. Petersburg OJSC (m)		215
	52		Halyk Savings Bank of Kazakhstan JSC, Reg. S, (Kazakhstan), GDR (a) (m)		485

SHARES			SECURITY DESCRIPTION	VALUE($)
			Commercial Banks — Continued
	6		Kazkommertsbank, Reg. S, (Kazakhstan), GDR (a) (m)		37
	1,086		Sberbank of Russia (m)		3,569
					4,306
			Diversified Financial Services — 3.5%
	34		Sistema JSFC, Reg. S, GDR (m)		866
			Real Estate Management & Development — 0.4%
	—	(h)	Open Investments JSC (a) (m)		8
	61		Sistema-Hals, Reg. S, GDR (a) (m)		79
	8		XXI Century Investments Public Ltd., (Cyprus) (a) (f) (i) (m)		—
					87
			Total Financials		5,259
			Health Care — 0.9%
			Pharmaceuticals — 0.9%
	5		Veropharm (a) (m)		219
			Information Technology — 0.2%
			Communications Equipment — 0.2%
	50		Sitronics, Reg. S, GDR (a) (m)		39
			Materials — 11.3%
			Construction Materials — 0.1%
	29		Steppe Cement Ltd., (Malaysia) (a) (m)		19
			Metals & Mining — 11.2%
	20		Chelyabinsk Zinc Plant, GDR (a) (m)		83
	3		KazakhGold Group Ltd., Reg. S., (Kazakhstan), GDR (a) (m)		12
	67		Magnitogorsk Iron & Steel Works, Reg. S, GDR (m)		835
	63		MMC Norilsk Nickel, ADR (m)		1,167
	20		Novolipetsk Steel OJSC, Reg. S, GDR (m)		683
	23		Orsu Metals Corp., (United Kingdom) (a) (m)		6
					2,786
			Paper & Forest Products — 0.0% (g)
	15		Kazakhstan Kagazy plc, (Kazakhstan), GDR (a) (e) (f) (i) (m)		2
	32		Kazakhstan Kagazy plc, Reg. S, (Kazakhstan), GDR (a) (f) (i) (m)		5
					7
			Total Materials		2,812
			Telecommunication Services — 9.6%
			Diversified Telecommunication Services — 1.3%
	49		Comstar United Telesystems OJSC, Reg. S, GDR (m)		316

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 29

JPMorgan Russia Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		Wireless Telecommunication Services — 8.3%
	96	Mobile Telesystems OJSC, ADR (m)		2,069
		Total Telecommunication Services		2,385
		Utilities — 2.8%
		Electric Utilities — 2.8%
	3,158	IDGC Holding JSC (a) (m)		547
	160	Lenenergo OAO (a) (m)		141
		Total Utilities		688
		Total Common Stocks (Cost $15,202)		23,068

SHARES		SECURITY DESCRIPTION	VALUE($)
	Short-Term Investment — 4.2%
		Investment Company — 4.2%
	1,050	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $1,050)		1,050
		Total Investments — 97.3% (Cost $16,252)		24,118
		Other Assets in Excess of Liabilities — 2.7%		674
		NET ASSETS — 100.0%	$	24,792

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

30 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

J.P. Morgan Country/Region Funds

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS:

AS OF OCTOBER 31, 2010

ADR	—  American Depositary Receipt
BDR	—  British Depositary Receipt
GDR	—  Global Depositary Receipt
NVDR	—  Non Voting Depositary Receipt
Reg. S	—  Security was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration.
(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(c)	—  Security, or a portion of the security, has been delivered to a counterparty as part of a security lending transaction.
(e)	—  Security is exempt from registration under Rule 144A of the Securities Act of 1933. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.
(f)	—  Security is fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. The following approximates the value and percentage of these investments based on total investments (amounts in thousands):

Fund	Value	Percentage
Russia Fund	$13	0.1%

(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(i)	—  Security has been deemed illiquid pursuant to procedures approved by the Board of Trustees and may be difficult to sell.
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
	The value and percentage, based on total investments, (excluding Investments of Cash Collateral for Securities on Loan) of the investments that apply the fair valuation policy for the international investments as described in Note 2.A. are as follows (amounts in thousands):

Fund	Value		Percentage
Asia Equity Fund		$1,708,389		94.7	%
China Region Fund		13,542		99.9
India Fund		23,007		98.1
Intrepid European Fund		147,950		98.2
Latin America Fund		2,022		3.5
Russia Fund		17,808		73.8

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 31

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Asia Equity Fund		China Region Fund			India Fund
ASSETS:
Investments in non-affiliates, at value	$	1,736,813	$	13,552		$	23,443
Investments in affiliates, at value		67,992		—			—
Total investment securities, at value		1,804,805		13,552			23,443
Cash		1		70			1,603
Foreign currency, at value		14,690		5			—
Receivables:
Investment securities sold		42,828		278			23
Fund shares sold		1,789		43			369
Interest and dividends		473		6			1
Due from Advisor		—		16			3
Total Assets		1,864,586		13,970			25,442
LIABILITIES:
Payables:
Investment securities purchased		48,622		99			—
Fund shares redeemed		554		—			12
Accrued liabilities:
Investment advisory fees		1,520		—			—
Administration fees		124		—	(a)		—	(a)
Shareholder servicing fees		348		2			4
Distribution fees		4		2			7
Custodian and accounting fees		626		37			24
Trustees’ and Chief Compliance Officer’s fees		6		—	(a)		—	(a)
Deferred India capital gains tax		3,475		—			—
Transfer agent fees		111		8			7
Audit fees		48		46			51
Registration fees		12		17			19
Other		98		3			5
Total Liabilities		55,548		214			129
Net Assets	$	1,809,038	$	13,756		$	25,313

SEE NOTES TO FINANCIAL STATEMENTS.

32 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Asia Equity Fund			China Region Fund			India Fund
NET ASSETS:
Paid in capital	$	1,599,993		$	24,021		$	41,997
Accumulated undistributed (distributions in excess of) net investment income		(885	)		36			(1	)
Accumulated net realized gains (losses)		(238,553	)		(14,334	)		(20,775	)
Net unrealized appreciation (depreciation)		448,483			4,033			4,092
Total Net Assets	$	1,809,038		$	13,756		$	25,313
Net Assets:
Class A	$	18,575		$	4,479		$	13,882
Class C		—			2,293			7,200
Institutional Class		263,090			—			—
Select Class		1,527,373			6,984			4,231
Total	$	1,809,038		$	13,756		$	25,313
Outstanding units of beneficial interest (shares)
($0.0001 par value; unlimited number of shares authorized):
Class A		504			227			779
Class C		—			118			411
Institutional Class		7,033			—			—
Select Class		41,014			352			235
Net Asset Value:
Class A — Redemption price per share	$	36.87		$	19.73		$	17.82
Class C — Offering price per share (b)		—			19.41			17.52
Institutional Class — Offering and redemption price per share		37.41			—			—
Select Class — Offering and redemption price per share		37.24			19.87			17.97
Class A maximum sales charge		5.25	%		5.25	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	38.91		$	20.82		$	18.81
Cost of investments in non-affiliates	$	1,285,028		$	9,519		$	19,352
Cost of investments in affiliates		67,992			—			—
Cost of foreign currency		14,601			5			—

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 33

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except per share amounts)

	Intrepid European Fund			Latin America Fund			Russia Fund
ASSETS:
Investments in non-affiliates, at value	$	147,950		$	55,995		$	23,068
Investments in affiliates, at value		5,742			1,850			1,050
Total investment securities, at value		153,692			57,845			24,118
Cash		116			22			137
Foreign currency, at value		139			289			124
Receivables:
Investment securities sold		18,592			—			—
Fund shares sold		58			218			354
Interest and dividends		57			27			195
Tax reclaims		146			—			—
Securities lending income		4			—			—
Variation margin on futures contracts		9			—			—
Total Assets		172,813			58,401			24,928
LIABILITIES:
Payables:
Investment securities purchased		16,395			414			—
Collateral for securities lending program		3,042			—			—
Fund shares redeemed		206			43			30
Accrued liabilities:
Investment advisory fees		84			35			6
Administration fees		16			3			—	(a)
Shareholder servicing fees		30			11			4
Distribution fees		37			5			7
Custodian and accounting fees		46			27			15
Trustees’ and Chief Compliance Officer’s fees		—	(a)		—	(a)		—	(a)
Transfer agent fees		168			7			9
Audit fees		45			45			46
Registration fees		2			16			16
Other		28			3			3
Total Liabilities		20,099			609			136
Net Assets	$	152,714		$	57,792		$	24,792

SEE NOTES TO FINANCIAL STATEMENTS.

34 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Intrepid European Fund			Latin America Fund			Russia Fund
NET ASSETS:
Paid in capital	$	360,580		$	54,937		$	20,527
Accumulated undistributed (distributions in excess of) net investment income		1,247			(532	)		(44	)
Accumulated net realized gains (losses)		(226,313	)		(4,055	)		(3,557	)
Net unrealized appreciation (depreciation)		17,200			7,442			7,866
Total Net Assets	$	152,714		$	57,792		$	24,792
NET ASSETS:
Class A	$	88,859		$	12,218		$	11,831
Class B		9,917			—			—
Class C		17,873			4,053			7,117
Institutional Class		13,271			—			—
Select Class		22,794			41,521			5,844
Total	$	152,714		$	57,792		$	24,792
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		4,861			570			914
Class B		596			—			—
Class C		1,081			190			560
Institutional Class		708			—			—
Select Class		1,230			1,933			447
Net Asset Value:
Class A — Redemption price per share	$	18.28		$	21.43		$	12.94
Class B — Offering price per share (b)		16.63			—			—
Class C — Offering price per share (b)		16.53			21.35			12.72
Institutional Class — Offering and redemption price per share		18.75			—			—
Select Class — Offering and redemption price per share		18.54			21.48			13.06
Class A maximum sales charge		5.25	%		5.25	%		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	19.29		$	22.62		$	13.66
Cost of investments in non-affiliates	$	130,772		$	48,553		$	15,202
Cost of investments in affiliates		5,742			1,850			1,050
Cost of foreign currency		139			289			124
Value of securities on loan		2,912			—			—

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class B and Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 35

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Asia Equity Fund			China Region Fund			India Fund
INVESTMENT INCOME:
Dividend income from non-affiliates	$	27,670		$	360		$	222
Interest income from affiliates		14			—	(a)		—	(a)
Dividend income from affiliates		11			—			—
Foreign taxes withheld		(2,102	)		(38	)		—
Total investment income		25,593			322			222
EXPENSES:
Investment advisory fees		17,823			180			219
Administration fees		1,659			13			16
Distribution fees:
Class A		43			12			23
Class C		—			22			36
Shareholder servicing fees:
Class A		43			12			23
Class C		—			7			12
Class R5 (c)		—			—	(a)		—	(a)
Institutional Class		285			—			—
Select Class		3,701			17			9
Custodian and accounting fees		2,708			148			101
Interest expense to affiliates		5			1			—	(a)
Professional fees		91			68			120
Trustees’ and Chief Compliance Officer’s fees		17			—	(a)		—	(a)
Printing and mailing costs		178			3			7
Registration and filing fees		47			43			45
Transfer agent fees		148			25			27
Other		29			7			7
Total expenses		26,777			558			645
Less amounts waived		(435	)		(200	)		(230	)
Less expense reimbursements		—			(71	)		(49	)
Net expenses		26,342			287			366
Net investment income (loss)		(749	)		35			(144	)
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		189,079			1,048			74
Foreign currency transactions		(129	)		1			(7	)
Net realized gain (loss)		188,950			1,049			67
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		216,275	(b)		1,119			5,985
Foreign currency translations		198			—	(a)		—	(a)
Change in net unrealized appreciation (depreciation)		216,473			1,119			5,985
Net realized/unrealized gains (losses)		405,423			2,168			6,052
Change in net assets resulting from operations	$	404,674		$	2,203		$	5,908

(a) Amount rounds to less than $1,000.

(b) Net of the change in deferred India Capital Gains Tax of approximately $(2,528,000).

(c) Class R5 Shares liquidated on June 14, 2010 for China Region Fund and India Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

36 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Intrepid European Fund			Latin America Fund			Russia Fund
INVESTMENT INCOME:
Dividend income from non-affiliates	$	4,945		$	329		$	379
Interest income from affiliates		—	(a)		—	(a)		1
Dividend income from affiliates		5			—	(a)		—	(a)
Income from securities lending (net)		324			—			—
Foreign taxes withheld		(499	)		(3	)		(3	)
Total investment income		4,775			326			377
EXPENSES:
Investment advisory fees		1,209			198			306
Administration fees		173			18			23
Distribution fees:
Class A		244			23			30
Class B		84			—			—
Class C		147			22			49
Shareholder servicing fees:
Class A		244			23			30
Class B		28			—			—
Class C		49			7			16
Class R5 (b)		—			—	(a)		—	(a)
Institutional Class		25			—			—
Select Class		81			19			15
Custodian and accounting fees		216			90			113
Interest expense to affiliates		5			1			3
Professional fees		67			64			64
Trustees’ and Chief Compliance Officer’s fees		3			—	(a)		—	(a)
Printing and mailing costs		34			2			5
Registration and filing fees		48			43			49
Transfer agent fees		403			34			36
Other		9			6			7
Total expenses		3,069			550			746
Less amounts waived		(339	)		(170	)		(232	)
Less expense reimbursements		—			(19	)		(5	)
Net expenses		2,730			361			509
Net investment income (loss)		2,045			(35	)		(132	)
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		14,208			1,478			1,107
Futures		874			—			—
Foreign currency transactions		(276	)		(514	)		—	(a)
Net realized gain (loss)		14,806			964			1,107
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		(4,739	)		4,858			4,871
Futures		9			—			—
Foreign currency translations		59			(5	)		—	(a)
Change in net unrealized appreciation (depreciation)		(4,671	)		4,853			4,871
Net realized/unrealized gains (losses)		10,135			5,817			5,978
Change in net assets resulting from operations	$	12,180		$	5,782		$	5,846

(a) Amount rounds to less than $1,000.

(b) Class R5 Shares liquidated on June 14, 2010 for Latin America Fund and Russia Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 37

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Asia Equity Fund						China Region Fund						India Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	(749	)	$	2,218		$	35		$	79		$	(144	)	$	(77	)
Net realized gain (loss)		188,950			(285,543	)		1,049			(2,051	)		67			(7,037	)
Change in net unrealized appreciation (depreciation)		216,473			810,496			1,119			6,254			5,985			10,954
Change in net assets resulting from operations		404,674			527,171			2,203			4,282			5,908			3,840
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		—			(8	)		(21	)		—			—			—
Class C
From net investment income		—			—			(12	)		—			—			—
Class R5 (a)
From net investment income		—			—			(1	)		—			—			—
Institutional Class
From net investment income		—			(860	)		—			—			—			—
Select Class
From net investment income		—			(4,124	)		(40	)		—			—			—
Total distributions to shareholders		—			(4,992	)		(74	)		—			—			—
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		(436,872	)		568,080			(3,393	)		3,729			5,922			(1,416	)
NET ASSETS:
Change in net assets		(32,198	)		1,090,259			(1,264	)		8,011			11,830			2,424
Beginning of period		1,841,236			750,977			15,020			7,009			13,483			11,059
End of period	$	1,809,038		$	1,841,236		$	13,756		$	15,020		$	25,313		$	13,483
Accumulated undistributed (distributions in excess of) net investment income	$	(885	)	$	(7	)	$	36		$	74		$	(1	)	$	(1	)

(a) Class R5 Shares liquidated on June 14, 2010 for China Region Fund and India Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

38 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Intrepid European Fund						Latin America Fund						Russia Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	2,045		$	5,233		$	(35	)	$	44		$	(132	)	$	(123	)
Net realized gain (loss)		14,806			(84,602	)		964			(2,276	)		1,107			(3,050	)
Change in net unrealized appreciation (depreciation)		(4,671	)		114,288			4,853			5,887			4,871			10,750
Change in net assets resulting from operations		12,180			34,919			5,782			3,655			5,846			7,577
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(2,370	)		(8,453	)		(231	)		(87	)		—			—
Class B
From net investment income		(236	)		(939	)		—			—			—			—
Class C
From net investment income		(417	)		(1,676	)		(65	)		(29	)		—			—
Class R5 (b)
From net investment income		—			—			(4	)		(3	)		—			—	(a)
Institutional Class
From net investment income		(1,089	)		(3,306	)		—			—			—			—
Select Class
From net investment income		(840	)		(2,677	)		(122	)		(73	)		—			(4	)
Total distributions to shareholders		(4,952	)		(17,051	)		(422	)		(192	)		—			(4	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		(77,693	)		(75,439	)		39,549			4,118			(3,923	)		10,611
NET ASSETS:
Change in net assets		(70,465	)		(57,571	)		44,909			7,581			1,923			18,184
Beginning of period		223,179			280,750			12,883			5,302			22,869			4,685
End of period	$	152,714		$	223,179		$	57,792		$	12,883		$	24,792		$	22,869
Accumulated undistributed (distributions in excess of) net investment income	$	1,247		$	4,407		$	(532	)	$	19		$	(44	)	$	—	(a)

(a) Amount rounds to less than $1,000.

(b) Class R5 Shares liquidated on June 14, 2010 for Latin America Fund and Russia Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 39

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Asia Equity Fund						China Region Fund						India Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	3,370		$	8,978		$	1,672		$	2,924		$	8,657		$	2,241
Dividends and distributions reinvested		—			5			19			—			—			—
Cost of shares redeemed		(6,845	)		(9,826	)		(2,845	)		(1,858	)		(4,386	)		(2,004	)
Redemption fees		—	(a)		—	(a)		3			1			5			2
Change in net assets from Class A capital transactions	$	(3,475	)	$	(843	)	$	(1,151	)	$	1,067		$	4,276		$	239
Class C
Proceeds from shares issued	$	—		$	—		$	1,349		$	2,105		$	3,937		$	1,898
Dividends and distributions reinvested		—			—			10			—			—			—
Cost of shares redeemed		—			—			(2,472	)		(444	)		(2,119	)		(978	)
Redemption fees		—			—			2			—	(a)		3			1
Change in net assets from Class C capital transactions	$	—		$	—		$	(1,111	)	$	1,661		$	1,821		$	921
Class R5 (b)
Dividends and distributions reinvested	$	—		$	—		$	1		$	—		$	—		$	—
Cost of shares redeemed		—			—			(111	)		—			(96	)		—
Redemption fees		—			—			—	(a)		—	(a)		—	(a)		—	(a)
Change in net assets from Class R5 capital transactions	$	—		$	—		$	(110	)	$	—	(a)	$	(96	)	$	—	(a)
Institutional Class
Proceeds from shares issued	$	64,280		$	213,413		$	—		$	—		$	—		$	—
Dividends and distributions reinvested		—			—	(a)		—			—			—			—
Cost of shares redeemed		(149,604	)		(91,062	)		—			—			—			—
Redemption fees		1			5			—			—			—			—
Change in net assets from Institutional Class capital transactions	$	(85,323	)	$	122,356		$	—		$	—		$	—		$	—
Select Class
Proceeds from shares issued	$	265,294		$	1,046,312		$	1,678		$	4,904		$	2,978		$	1,306
Dividends and distributions reinvested		—			16			4			—			—			—
Cost of shares redeemed		(613,374	)		(599,789	)		(2,706	)		(3,904	)		(3,059	)		(3,883	)
Redemption fees		6			28			3			1			2			1
Change in net assets from Select Class capital transactions	$	(348,074	)	$	446,567		$	(1,021	)	$	1,001		$	(79	)	$	(2,576	)
Total change in net assets from capital transactions	$	(436,872	)	$	568,080		$	(3,393	)	$	3,729		$	5,922		$	(1,416	)

SEE NOTES TO FINANCIAL STATEMENTS.

40 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Asia Equity Fund						China Region Fund						India Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		107			360			95			203			555			204
Reinvested		—			—	(a)		1			—			—			—
Redeemed		(220	)		(413	)		(166	)		(126	)		(309	)		(233	)
Change in Class A Shares		(113	)		(53	)		(70	)		77			246			(29	)
Class C
Issued		—			—			78			145			259			161
Reinvested		—			—			—	(a)		—			—			—
Redeemed		—			—			(147	)		(28	)		(153	)		(106	)
Change in Class C Shares		—			—			(69	)		117			106			55
Class R5 (b)
Reinvested		—			—			—	(a)		—			—			—
Redeemed		—			—			(7	)		—			(7	)		—
Change in Class R5 Shares		—			—			(7	)		—			(7	)		—
Institutional Class
Issued		1,956			8,648			—			—			—			—
Reinvested		—			—	(a)		—			—			—			—
Redeemed		(4,883	)		(4,177	)		—			—			—			—
Change in Institutional Class Shares		(2,927	)		4,471			—			—			—			—
Select Class
Issued		8,610			43,778			101			332			200			116
Reinvested		—			1			—	(a)		—			—			—
Redeemed		(19,614	)		(27,915	)		(159	)		(294	)		(209	)		(453	)
Change in Select Class Shares		(11,004	)		15,864			(58	)		38			(9	)		(337	)

(a) Amount rounds to less than 1,000 (shares or dollars).

(b) Class R5 Shares liquidated on June 14, 2010 for China Region Fund and India Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 41

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Intrepid European Fund						Latin America Fund						Russia Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	8,839		$	14,689		$	12,854		$	4,312		$	10,050		$	9,772
Dividends and distributions reinvested		2,211			7,718			197			71			—			—
Cost of shares redeemed		(43,698	)		(53,879	)		(9,497	)		(1,628	)		(11,633	)		(2,620	)
Redemption fees		6			15			13			2			14			7
Change in net assets from Class A capital transactions	$	(32,642	)	$	(31,457	)	$	3,567		$	2,757		$	(1,569	)	$	7,159
Class B
Proceeds from shares issued	$	106		$	542		$	—		$	—		$	—		$	—
Dividends and distributions reinvested		206			823			—			—			—			—
Cost of shares redeemed		(4,243	)		(4,778	)		—			—			—			—
Redemption fees		1			1			—			—			—			—
Change in net assets from Class B capital transactions	$	(3,930	)	$	(3,412	)	$	—		$	—		$	—		$	—
Class C
Proceeds from shares issued	$	887		$	1,172		$	2,620		$	1,082		$	3,454		$	3,240
Dividends and distributions reinvested		327			1,315			56			25			—			—
Cost of shares redeemed		(7,720	)		(9,846	)		(2,056	)		(273	)		(3,102	)		(1,037	)
Redemption fees		1			3			4			1			8			5
Change in net assets from Class C capital transactions	$	(6,505	)	$	(7,356	)	$	624		$	835		$	360		$	2,208
Class R5 (a)
Proceeds from shares issued	$	—		$	—		$	—		$	—		$	—		$	—	(a)
Dividends and distributions reinvested		—			—			4			3			—			—	(a)
Cost of shares redeemed		—			—			(128	)		—			(73	)		(1	)
Redemption fees		—			—			—	(a)		—	(a)		—	(a)		—	(a)
Change in net assets from Class R5 capital transactions	$	—		$	—		$	(124	)	$	3		$	(73	)	$	(1	)
Institutional Class
Proceeds from shares issued	$	9,708		$	2,787		$	—		$	—		$	—		$	—
Dividends and distributions reinvested		581			728			—			—			—			—
Cost of shares redeemed		(30,125	)		(21,609	)		—			—			—			—
Redemption fees		1			5			—			—			—			—
Change in net assets from Institutional Class capital transactions	$	(19,835	)	$	(18,089	)	$	—		$	—		$	—		$	—
Select Class
Proceeds from shares issued	$	7,277		$	10,605		$	39,996		$	580		$	3,282		$	3,267
Dividends and distributions reinvested		162			394			98			71			—			2
Cost of shares redeemed		(22,222	)		(26,129	)		(4,619	)		(130	)		(5,930	)		(2,031	)
Redemption fees		2			5			7			2			7			7
Change in net assets from Select Class capital transactions	$	(14,781	)	$	(15,125	)	$	35,482		$	523		$	(2,641	)	$	1,245
Total change in net assets from capital transactions	$	(77,693	)	$	(75,439	)	$	39,549		$	4,118		$	(3,923	)	$	10,611

SEE NOTES TO FINANCIAL STATEMENTS.

42 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

	Intrepid European Fund						Latin America Fund						Russia Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		515			1,037			686			296			882			1,333
Reinvested		129			574			11			8			—			—
Redeemed		(2,604	)		(3,947	)		(542	)		(144	)		(1,117	)		(376	)
Change in Class A Shares		(1,960	)		(2,336	)		155			160			(235	)		957
Class B
Issued		7			42			—			—			—			—
Reinvested		12			67			—			—			—			—
Redeemed		(277	)		(382	)		—			—			—			—
Change in Class B Shares		(258	)		(273	)		—			—			—			—
Class C
Issued		56			90			140			77			311			476
Reinvested		21			107			3			3			—			—
Redeemed		(505	)		(781	)		(114	)		(25	)		(296	)		(172	)
Change in Class C Shares		(428	)		(584	)		29			55			15			304
Class R5 (a)
Issued		—			—			—			—			—			—	(a)
Reinvested		—			—			—	(a)		—	(a)		—			—	(a)
Redeemed		—			—			(7	)		—			(7	)		—	(a)
Change in Class R5 Shares		—			—			(7	)		—	(a)		(7	)		—	(a)
Institutional Class
Issued		520			180			—			—			—			—
Reinvested		34			53			—			—			—			—
Redeemed		(1,798	)		(1,367	)		—			—			—			—
Change in Institutional Class Shares		(1,244	)		(1,134	)		—			—			—			—
Select Class
Issued		432			772			1,937			42			286			575
Reinvested		9			29			6			8			—			1
Redeemed		(1,320	)		(1,860	)		(230	)		(11	)		(523	)		(321	)
Change in Select Class Shares		(879	)		(1,059	)		1,713			39			(237	)		255

(a) Class R5 Shares liquidated on June 14, 2010 for Latin America Fund and Russia Fund.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 43

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
Asia Equity Fund
Class A
Year Ended October 31, 2010	$	29.19	$	(0.10	)(c)	$	7.78		$	7.68		$	—		$	—		$	—		$	—	(d)
Year Ended October 31, 2009		17.56		0.01	(c)		11.63			11.64			(0.01	)		—			(0.01	)		—	(d)
Year Ended October 31, 2008		48.39		(0.04	)(c)		(28.75	)		(28.79	)		(0.04	)		(2.00	)		(2.04	)		—	(d)
Year Ended October 31, 2007		26.43		0.02	(c)		22.49			22.51			(0.06	)		(0.49	)		(0.55	)		—	(d)
Year Ended October 31, 2006		21.68		0.10	(c)		5.59			5.69			(0.12	)		(0.82	)		(0.94	)		—	(d)
Institutional Class
Year Ended October 31, 2010		29.49		0.03	(c)		7.89			7.92			—			—			—			—	(d)
Year Ended October 31, 2009		17.81		0.08	(c)		11.76			11.84			(0.16	)		—			(0.16	)		—	(d)
Year Ended October 31, 2008		48.96		0.11	(c)		(29.12	)		(29.01	)		(0.14	)		(2.00	)		(2.14	)		—	(d)
Year Ended October 31, 2007		26.72		0.14	(c)		22.74			22.88			(0.15	)		(0.49	)		(0.64	)		—	(d)
Year Ended October 31, 2006		21.84		0.22	(c)		5.62			5.84			(0.14	)		(0.82	)		(0.96	)		—	(d)
Select Class
Year Ended October 31, 2010		29.40		(0.02	)(c)		7.86			7.84			—			—			—			—	(d)
Year Ended October 31, 2009		17.74		0.04	(c)		11.74			11.78			(0.12	)		—			(0.12	)		—	(d)
Year Ended October 31, 2008		48.82		0.07	(c)		(29.05	)		(28.98	)		(0.10	)		(2.00	)		(2.10	)		—	(d)
Year Ended October 31, 2007		26.64		0.09	(c)		22.68			22.77			(0.10	)		(0.49	)		(0.59	)		—	(d)
Year Ended October 31, 2006		21.82		0.18	(c)		5.61			5.79			(0.15	)		(0.82	)		(0.97	)		—	(d)

(a) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(b) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(c) Calculated based upon average shares outstanding.

(d) Amount rounds to less than $0.01.

(e) Affiliates of JPMorgan Chase & Co. reimbursed the Fund for losses incurred from an operational error. Had these losses not been reimbursed, the total return for Class A, Institutional Class and Select Class would have been 86.43%, 87.16% and 86.90%, respectively.

SEE NOTES TO FINANCIAL STATEMENTS.

44 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets
Net asset value, end of period		Total return (excludes sales charge) (a)			Net assets, end of period (000’s)		Net expenses (b)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate
$	36.87		26.31	%	$	18,575		1.75	%		(0.32	)%		1.77	%		109	%
	29.19		66.35			18,004		1.71			0.04			1.74			211
	17.56		(61.76	)		11,763		1.73			(0.11	)		1.75			115
	48.39		86.62	(e)		31,985		1.74			0.07			1.77			78
	26.43		26.95			7,360		1.75			0.43			1.85			99
	37.41		26.86			263,090		1.35			0.08			1.37			109
	29.49		67.01			293,745		1.30			0.34			1.32			211
	17.81		(61.60	)		97,763		1.33			0.31			1.35			115
	48.96		87.31	(e)		256,615		1.34			0.40			1.36			78
	26.72		27.52			20,140		1.35			0.90			1.45			99
	37.24		26.67			1,527,373		1.50			(0.06	)		1.52			109
	29.40		66.77			1,529,487		1.46			0.16			1.48			211
	17.74		(61.67	)		641,451		1.48			0.20			1.51			115
	48.82		87.05	(e)		1,466,109		1.48			0.25			1.51			78
	26.64		27.30			270,131		1.50			0.73			1.60			99

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 45

SEE NOTES TO FINANCIAL STATEMENTS.

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
China Region Fund
Class A
Year Ended October 31, 2010	$	16.68	$	0.04	(e)	$	3.07		$	3.11		$	(0.07	)	$	—		$	(0.07	)	$	0.01
Year Ended October 31, 2009		10.46		0.10	(e)		6.12	(f)		6.22			—			—			—			—	(g)
Year Ended October 31, 2008		26.24		0.05	(e)		(15.65	)		(15.60	)		(0.08	)		(0.11	)		(0.19	)		0.01
February 28, 2007 (i) through October 31, 2007		15.00		—	(g)		11.21			11.21			—			—			—			0.03
Class C
Year Ended October 31, 2010		16.48		(0.07	)(e)		3.04			2.97			(0.05	)		—			(0.05	)		0.01
Year Ended October 31, 2009		10.38		0.04	(e)		6.06	(f)		6.10			—			—			—			—	(g)
Year Ended October 31, 2008		26.15		(0.03	)(e)		(15.59	)		(15.62	)		(0.05	)		(0.11	)		(0.16	)		0.01
February 28, 2007 (i) through October 31, 2007		15.00		(0.02	)		11.14			11.12			—			—			—			0.03
Select Class
Year Ended October 31, 2010		16.78		0.10	(e)		3.08			3.18			(0.10	)		—			(0.10	)		0.01
Year Ended October 31, 2009		10.50		0.13	(e)		6.15	(f)		6.28			—			—			—			—	(g)
Year Ended October 31, 2008		26.28		(0.03	)(e)		(15.56	)		(15.59	)		(0.09	)		(0.11	)		(0.20	)		0.01
February 28, 2007 (i) through October 31, 2007		15.00		(0.01	)		11.25			11.24			—			—			—			0.04

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) The Advisor reimbursed the Fund for losses incurred from an operational error. There was no impact to net realized and unrealized gain (losses) on investments per share or total return.

(g) Amount rounds to less than $0.01.

(h) Includes interest expense of 0.05%

(i) Commencement of operations.

(j) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

(k) Includes interest expense of 0.06%.

SEE NOTES TO FINANCIAL STATEMENTS.

46 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	19.73		18.76	%	$	4,479		2.00	%		0.22	%		3.89	%		79	%
	16.68		59.46	(f)		4,951		2.00			0.78			5.31			102
	10.46		(59.78	)		2,305		2.05	(h)		0.30			3.13			122
	26.24		74.93			5,728		2.00			0.09			9.26	(j)		50
	19.41		18.16			2,293		2.50			(0.39	)		4.36			79
	16.48		58.77	(f)		3,078		2.50			0.32			5.51			102
	10.38		(59.99	)		728		2.56	(k)		(0.15	)		3.67			122
	26.15		74.33			1,815		2.50			(0.39	)		10.03	(j)		50
	19.87		19.08			6,984		1.75			0.55			3.65			79
	16.78		59.81	(f)		6,877		1.75			1.00			4.93			102
	10.50		(59.67	)		3,905		1.80	(h)		(0.14	)		2.65			122
	26.28		75.20			49,230		1.75			(0.33	)		7.96	(j)		50

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 47

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Redemption fees
India Fund
Class A
Year Ended October 31, 2010	$	12.42	$	(0.11	)(e)	$	5.50		$	5.39		$	0.01
Year Ended October 31, 2009		7.90		(0.07	)(e)		4.59			4.52			—	(f)
Year Ended October 31, 2008		20.84		(0.17	)(e)		(12.78	)		(12.95	)		0.01
May 1, 2007 (h) through October 31, 2007		15.00		(0.03	)		5.86			5.83			0.01
Class C
Year Ended October 31, 2010		12.27		(0.18	)(e)		5.42			5.24			0.01
Year Ended October 31, 2009		7.84		(0.12	)(e)		4.55			4.43			—	(f)
Year Ended October 31, 2008		20.79		(0.25	)(e)		(12.71	)		(12.96	)		0.01
May 1, 2007 (h) through October 31, 2007		15.00		(0.05	)		5.83			5.78			0.01
Select Class
Year Ended October 31, 2010		12.49		(0.08	)(e)		5.55			5.47			0.01
Year Ended October 31, 2009		7.93		(0.05	)(e)		4.61			4.56			—	(f)
Year Ended October 31, 2008		20.87		(0.18	)(e)		(12.77	)		(12.95	)		0.01
May 1, 2007 (h) through October 31, 2007		15.00		(0.02	)		5.87			5.85			0.02

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Includes interest expense of 0.03%

(h) Commencement of operations.

(i) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

(j) Includes interest expense of 0.02%

SEE NOTES TO FINANCIAL STATEMENTS.

48 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	17.82		43.48	%	$	13,882		2.00	%		(0.71	)%		3.59	%		45	%
	12.42		57.22			6,613		2.00			(0.72	)		4.17			45
	7.90		(62.09	)		4,438		2.03	(g)		(1.17	)		2.40			80
	20.84		38.93			4,177		2.00			(1.31	)		10.08	(i)		17
	17.52		42.79			7,200		2.50			(1.24	)		4.07			45
	12.27		56.51			3,740		2.50			(1.23	)		4.59			45
	7.84		(62.29	)		1,960		2.53	(g)		(1.67	)		2.89			80
	20.79		38.60			2,372		2.50			(1.61	)		11.11	(i)		17
	17.97		43.88			4,231		1.75			(0.51	)		3.33			45
	12.49		57.50			3,046		1.75			(0.51	)		4.00			45
	7.93		(62.00	)		4,608		1.77	(j)		(1.04	)		1.99			80
	20.87		39.13			50,575		1.75			(1.17	)		9.71	(i)		17

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 49

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
Intrepid European Fund
Class A
Year Ended October 31, 2010	$	17.03	$	0.18	(c)	$	1.43		$	1.61		$	(0.36	)	$	—		$	(0.36	)	$	—	(d)
Year Ended October 31, 2009		15.20		0.33	(c)(e)		2.49	(e)(f)		2.82			(0.99	)		—			(0.99	)		—	(d)
Year Ended October 31, 2008		34.64		0.70	(c)		(16.27	)		(15.57	)		(0.41	)		(3.46	)		(3.87	)		—	(d)
Year Ended October 31, 2007		27.98		0.43	(c)		7.85			8.28			(0.21	)		(1.41	)		(1.62	)		—	(d)
Year Ended October 31, 2006		23.12		0.31	(c)		7.85			8.16			(0.14	)		(3.16	)		(3.30	)		—	(d)
Class B
8Year Ended October 31, 2010		15.54		0.09	(c)		1.29			1.38			(0.29	)		—			(0.29	)		—	(d)
Year Ended October 31, 2009		13.92		0.23	(c)(e)		2.27	(e)(f)		2.50			(0.88	)		—			(0.88	)		—	(d)
Year Ended October 31, 2008		32.09		0.53	(c)		(14.95	)		(14.42	)		(0.29	)		(3.46	)		(3.75	)		—	(d)
Year Ended October 31, 2007		26.04		0.24	(c)		7.31			7.55			(0.09	)		(1.41	)		(1.50	)		—	(d)
Year Ended October 31, 2006		21.74		0.17	(c)		7.33			7.50			(0.04	)		(3.16	)		(3.20	)		—	(d)
Class C
Year Ended October 31, 2010		15.43		0.09	(c)		1.30			1.39			(0.29	)		—			(0.29	)		—	(d)
Year Ended October 31, 2009		13.81		0.24	(c)(e)		2.24	(e)(f)		2.48			(0.86	)		—			(0.86	)		—	(d)
Year Ended October 31, 2008		31.91		0.52	(c)		(14.84	)		(14.32	)		(0.32	)		(3.46	)		(3.78	)		—	(d)
Year Ended October 31, 2007		25.97		0.24	(c)		7.28			7.52			(0.17	)		(1.41	)		(1.58	)		—	(d)
Year Ended October 31, 2006		21.72		0.18	(c)		7.30			7.48			(0.07	)		(3.16	)		(3.23	)		—	(d)
Institutional Class
Year Ended October 31, 2010		17.46		0.27	(c)		1.46			1.73			(0.44	)		—			(0.44	)		—	(d)
Year Ended October 31, 2009		15.63		0.42	(c)(e)		2.53	(e)(f)		2.95			(1.12	)		—			(1.12	)		—	(d)
Year Ended October 31, 2008		35.44		0.74	(c)		(16.59	)		(15.85	)		(0.50	)		(3.46	)		(3.96	)		—	(d)
Year Ended October 31, 2007		28.54		0.56	(c)		8.03			8.59			(0.28	)		(1.41	)		(1.69	)		—	(d)
Year Ended October 31, 2006		23.53		0.44	(c)		7.97			8.41			(0.24	)		(3.16	)		(3.40	)		—	(d)
Select Class
Year Ended October 31, 2010		17.26		0.23	(c)		1.45			1.68			(0.40	)		—			(0.40	)		—	(d)
Year Ended October 31, 2009		15.39		0.37	(c)(e)		2.51	(e)(f)		2.88			(1.01	)		—			(1.01	)		—	(d)
Year Ended October 31, 2008		34.98		0.69	(c)		(16.37	)		(15.68	)		(0.45	)		(3.46	)		(3.91	)		—	(d)
Year Ended October 31, 2007		28.18		0.50	(c)		7.94			8.44			(0.23	)		(1.41	)		(1.64	)		—	(d)
Year Ended October 31, 2006		23.28		0.40	(c)		7.87			8.27			(0.21	)		(3.16	)		(3.37	)		—	(d)

(a) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(b) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(c) Calculated based upon average shares outstanding.

(d) Amount rounds to less than $0.01.

(e) Includes gains resulting from litigation payments on securities owned in a prior year. Without these gains, the net realized and unrealized gains (losses) on investments per share would have been $2.48, $2.26, $2.52 and $2.50 and total return would have been 20.19%, 19.52%, 20.73% and 20.43% for Class A, Class B, Institutional Class and Select Class Shares, respectively. The impact on net investment income (loss) per share and the net investment income (loss) ratio was less than $0.01 and 0.01%, respectively for Class A, Class B, Institutional Class and Select Class Shares. The impact on net investment income (loss) per share, net realized and unrealized gains (losses) on investments per share, total return and the net investment income (loss) ratio was less than $0.01, $0.01, 0.01% and 0.01%, respectively, for Class C Shares.

(f) The Advisor reimbursed the Fund for losses incurred from an operational error. There was no impact to net realized and unrealized gain (losses) on investments per share or total return.

(g) Includes interest expense of 0.01%.

SEE NOTES TO FINANCIAL STATEMENTS.

50 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets
Net asset value, end of period		Total return (excludes sales charge) (a)			Net assets, end of period (000’s)		Net expenses (b)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate
$	18.28		9.58	%	$	88,859		1.49	%		1.05	%		1.66	%		381	%
	17.03		20.26	(e)(f)		116,135		1.51			2.29	(e)		1.78			433
	15.20		(49.91	)		139,208		1.46			2.77			1.46			235
	34.64		30.94			394,416		1.42			1.39			1.42			171
	27.98		39.68			147,422		1.44			1.22			1.44			97
	16.63		8.98			9,917		1.99			0.57			2.16			381
	15.54		19.59	(e)(f)		13,262		2.01			1.77	(e)		2.28			433
	13.92		(50.14	)		15,678		1.96			2.28			1.96			235
	32.09		30.31			42,374		1.91			0.84			1.92			171
	26.04		38.97			22,621		1.94			0.72			1.95			97
	16.53		9.10			17,873		1.99			0.56			2.16			381
	15.43		19.60	(e)(f)		23,291		2.01			1.81	(e)		2.28			433
	13.81		(50.15	)		28,904		1.96			2.27			1.96			235
	31.91		30.31			81,982		1.92			0.85			1.92			171
	25.97		38.94			24,316		1.93			0.78			1.94			97
	18.75		10.10			13,271		1.00			1.57			1.27			381
	17.46		20.80	(e)(f)		34,082		1.01	(g)		2.88	(e)		1.39			433
	15.63		(49.65	)		48,219		1.01	(g)		2.77			1.05			235
	35.44		31.48			315,180		0.99			1.77			1.02			171
	28.54		40.27			144,301		1.00			1.75			1.05			97
	18.54		9.90			22,794		1.25			1.38			1.42			381
	17.26		20.50	(e)(f)		36,409		1.26			2.54	(e)		1.53			433
	15.39		(49.76	)		48,741		1.20			2.63			1.20			235
	34.98		31.29			328,183		1.16			1.61			1.17			171
	28.18		40.01			236,203		1.19			1.60			1.20			97

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 51

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
Latin America Fund
Class A
Year Ended October 31, 2010	$	16.05	$	(0.02	)(e)	$	5.87		$	5.85		$	(0.50	)	$	—		$	(0.50	)	$	0.03
Year Ended October 31, 2009		9.66		0.07	(e)		6.67			6.74			(0.36	)		—			(0.36	)		0.01
Year Ended October 31, 2008		23.07		0.26	(e)		(13.08	)		(12.82	)		(0.18	)		(0.46	)		(0.64	)		0.05
February 28, 2007 (g) through October 31, 2007		15.00		(0.01	)		8.07			8.06			—			—			—			0.01
Class C
Year Ended October 31, 2010		16.01		(0.09	)(e)		5.84			5.75			(0.44	)		—			(0.44	)		0.03
Year Ended October 31, 2009		9.61		0.02	(e)		6.66			6.68			(0.29	)		—			(0.29	)		0.01
Year Ended October 31, 2008		22.99		0.17	(e)		(13.02	)		(12.85	)		(0.13	)		(0.46	)		(0.59	)		0.06
February 28, 2007 (g) through October 31, 2007		15.00		(0.04	)		8.02			7.98			—			—			—			0.01
Select Class
Year Ended October 31, 2010		16.06		(0.03	)(e)		5.95			5.92			(0.52	)		—			(0.52	)		0.02
Year Ended October 31, 2009		9.70		0.12	(e)		6.64			6.76			(0.41	)		—			(0.41	)		0.01
Year Ended October 31, 2008		23.11		0.30	(e)		(13.12	)		(12.82	)		(0.18	)		(0.46	)		(0.64	)		0.05
February 28, 2007 (g) through October 31, 2007		15.00		0.05			8.05			8.10			—			—			—			0.01

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Includes interest expense of 0.02%

(g) Commencement of operations.

(h) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

SEE NOTES TO FINANCIAL STATEMENTS.

52 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	21.43		37.51	%	$	12,218		1.88	%		(0.10	)%		2.93	%		85	%
	16.05		73.15			6,654		1.90			0.63			5.31			96
	9.66		(56.81	)		2,462		1.92	(f)		1.31			3.61			134
	23.07		53.80			2,775		1.90			(0.14	)		7.28	(h)		39
	21.35		36.80			4,053		2.38			(0.51	)		3.44			85
	16.01		72.12			2,577		2.40			0.14			5.86			96
	9.61		(56.98	)		1,017		2.42	(f)		0.88			4.18			134
	22.99		53.27			1,716		2.40			(0.61	)		8.11	(h)		39
	21.48		37.87			41,521		1.55			(0.14	)		2.33			85
	16.06		73.46			3,536		1.65			1.02			5.26			96
	9.70		(56.70	)		1,756		1.67	(f)		1.46			3.49			134
	23.11		54.07			4,639		1.65			0.40			8.63	(h)		39

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 53

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions			Redemption fees
Russia Fund
Class A
Year Ended October 31, 2010	$	9.60	$	(0.06	)(e)	$	3.39		$	3.33		$	—		$	—		$	—		$	0.01
Year Ended October 31, 2009		5.39		(0.09	)(e)		4.29			4.20			—			—			—			0.01
Year Ended October 31, 2008		19.43		(0.12	)(e)		(13.33	)		(13.45	)		(0.02	)		(0.60	)		(0.62	)		0.03
February 28, 2007 (h) through October 31, 2007		15.00		(0.01	)		4.19			4.18			—			—			—			0.25
Class C
Year Ended October 31, 2010		9.48		(0.08	)(e)		3.31			3.23			—			—			—			0.01
Year Ended October 31, 2009		5.35		(0.11	)(e)		4.23			4.12			—			—			—			0.01
Year Ended October 31, 2008		19.36		(0.18	)(e)		(13.26	)		(13.44	)		—	(k)		(0.60	)		(0.60	)		0.03
February 28, 2007 (h) through October 31, 2007		15.00		(0.03	)		4.13			4.10			—			—			—			0.26
Select Class
Year Ended October 31, 2010		9.66		(0.04	)(e)		3.43			3.39			—			—			—			0.01
Year Ended October 31, 2009		5.42		(0.06	)(e)		4.30			4.24			(0.01	)		—			(0.01	)		0.01
Year Ended October 31, 2008		19.53		(0.09	)(e)		(13.44	)		(13.53	)		(0.01	)		(0.60	)		(0.61	)		0.03
February 28, 2007 (h) through October 31, 2007		15.00		0.05			4.36			4.41			—			—			—			0.12

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Affiliates of JPMorgan Chase & Co. reimbursed the Fund for losses incurred from an operational error. There was no impact to the total return.

(g) Includes interest expense of 0.02%

(h) Commencement of operations.

(i) Includes interest expense of 0.01%.

(j) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

(k) Amount rounds to less than $0.01.

SEE NOTES TO FINANCIAL STATEMENTS.

54 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	12.94		34.79	%	$	11,831		2.01	%(i)		(0.52	)%		2.96	%		58	%
	9.60		78.11			11,027		1.99			(1.27	)		3.97			66
	5.39		(71.32	)(f)		1,034		2.02	(g)		(0.70	)		3.57			76
	19.43		29.53			2,106		2.01	(i)		(0.09	)		8.75	(j)		68
	12.72		34.18			7,117		2.51	(i)		(0.77	)		3.50			58
	9.48		77.20			5,169		2.49			(1.66	)		4.84			66
	5.35		(71.45	)(f)		1,288		2.52	(g)		(1.09	)		4.02			76
	19.36		29.07			2,272		2.51	(i)		(0.67	)		9.04	(j)		68
	13.06		35.20			5,844		1.76	(i)		(0.32	)		2.72			58
	9.66		78.55			6,606		1.75			(0.86	)		4.61			66
	5.42		(71.33	)(f)		2,325		1.77	(g)		(0.56	)		3.39			76
	19.53		30.20			3,442		1.76	(i)		0.39			9.67	(j)		68

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 55

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following are 6 separate funds of the Trust (collectively, the “Funds”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Asia Equity Fund	Class A, Institutional Class and Select Class	Diversified
China Region Fund	Class A, Class C and Select Class	Non-Diversified
India Fund	Class A, Class C and Select Class	Non-Diversified
Intrepid European Fund	Class A, Class B, Class C, Institutional Class and Select Class	Diversified
Latin America Fund	Class A, Class C and Select Class	Non-Diversified
Russia Fund	Class A, Class C and Select Class	Non-Diversified

Effective November 1, 2009, Class B Shares of Intrepid European Fund may not be purchased or acquired by new or existing shareholders, except through exchanges from Class B Shares of another J.P. Morgan Fund and dividend reinvestments. Shareholders who have invested in Class B Shares prior to November 1, 2009 may continue to hold their Class B Shares until they convert automatically to Class A Shares.

The outstanding Class R5 Shares of China Region Fund, India Fund, Latin America Fund and Russia Fund were redeemed on June 14, 2010 and the share class was closed.

Class A Shares generally provide for a front-end sales charge while Class B and Class C Shares provide for a contingent deferred sales charge (“CDSC”). Class B Shares automatically convert to Class A Shares after eight years. No sales charges are assessed with respect to the Institutional Class and Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Funds’ prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset values.

56 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following tables represent each valuation input by country or sector as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

Asia Equity Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities #	$	96,416	$	1,708,389	$	—	$	1,804,805

China Region Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities ##	$	10	$	13,542	$	—	$	13,552

India Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities ###	$	—	$	23,443	$	—	$	23,443

Intrepid European Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities ####	$	5,742	$	147,950	$	—	$	153,692
Appreciation in Other Financial Instruments Futures Contracts	$	9	$	—	$	—	$	9

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 57

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Latin America Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Argentina	$	414	$	1,960	$	—	$	2,374
Brazil		23,925		4,357		—		28,282
Canada		1,633		—		—		1,633
Chile		291		—		—		291
Mexico		4,825		4,761		—		9,586
Panama		542		—		—		542
Peru		1,349		—		—		1,349
United Kingdom		—		2,022		—		2,022
United States		736		—		—		736
Total Common Stocks		33,715		13,100		—		46,815
Preferred Stocks
Brazil		5,290		3,890		—		9,180
Total Preferred Stocks		5,290		3,890		—		9,180
Short-Term Investments
Investment Companies		1,850		—		—		1,850
Total Investments in Securities	$	40,855	$	16,990	$	—	$	57,845

Russia Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs			Total
Investments in Securities
Common Stocks
Consumer Discretionary	$	1,328	$	327	$	6		$	1,661
Consumer Staples		1,180		4,286		—			5,466
Energy		9		4,530		—			4,539
Financials		215		5,044		—	(a)		5,259
Health Care		—		219		—			219
Information Technology		—		39		—			39
Materials		89		2,716		7			2,812
Telecommunication Services		—		2,385		—			2,385
Utilities		—		688		—			688
Total Common Stocks		2,821		20,234		13			23,068
Short-Term Investments
Investment Companies		1,050		—		—			1,050
Total Investments in Securities	$	3,871	$	20,234	$	13		$	24,118

    (a) Security has a zero value.

      # Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a participation note and a money market mutual fund that is held for daily investments of cash. Please refer to the SOI for industry specifics of the portfolio holdings.

    ## Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a common stock. Please refer to the SOI for industry specifics of the portfolio holdings.

  ### Portfolio holdings designated as Level 2 are disclosed individually in the SOI. Please refer to the SOI for industry specifics of the portfolio holdings.

#### Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a money market mutual fund that is held for daily investments of cash and as an investment of cash collateral for securities on loan. Please refer to the SOI for industry specifics of the portfolio holdings.

58 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

The following is a summary of investments for which unobservable inputs (Level 3) were used in determining fair value (amounts in thousands):

JPM Russia Fund

	Balance as of 10/31/09			Realized gain (loss)		Change in unrealized appreciation (depreciation)			Net amortization (accretion)		Net purchases (sales)		Transfers into Level 3		Transfers out of Level 3			Balance as of 10/31/10
Investments in Securities
Common Stocks — Consumer Discretionary	$	—		$	—	$	(1	)	$	—	$	—	$	7	$	—		$	6
Common Stocks — Energy		—	(a)		—		—			—		—		—		—	(a)		—
Common Stocks — Financials		—	(a)		—		—			—		—		—		—			—	(a)
Common Stocks — Materials		—			—		(6	)		—		—		13		—			7
Total	$	—	(a)	$	—	$	(7	)	$	—	$	—	$	20	$	—	(a)	$	13

(a) Security has zero value.

Transfers into, and out of, Level 3 are valued utilizing values as of the beginning of the period.

Transfers from Level 2 to Level 3 or from Level 3 to Level 2 are due to a decline or an increase in market activity (e.g. frequency of trades), which resulted in a lack of or increase in available market inputs to determine price.

The change in unrealized appreciation (depreciation) attributable to securities owned at October 31, 2010, which were valued using significant unobservable inputs (Level 3) was as follows (amounts in thousands):

Russia Fund $ (7 ) 

These amounts are included in Change in net unrealized appreciation (depreciation) of investments in non-affiliates on the Statements of Operations.

B. Restricted and Illiquid Securities — Certain securities held by the Funds may be subject to legal or contractual restrictions on resale or are illiquid. Restricted securities generally may be resold in transactions exempt from registration. An illiquid security is a security which cannot be disposed of promptly (within seven days) and in the usual course of business at approximately its fair value and includes, but is not limited to, repurchase agreements maturing in excess of seven days, time deposits with a withdrawal penalty, non-negotiable instruments and instruments for which no market exists. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at the current valuation may be difficult.

The following is the value and percentage of net assets of illiquid securities as of October 31, 2010 (amounts in thousands):

	Value		Percentage
Russia Fund	$	13		0.1	%

C. Futures Contracts — The Intrepid European Fund uses index futures contracts to gain or reduce exposure to the stock market, maintain liquidity and minimize transaction costs. The Fund buys futures contracts to immediately invest incoming cash in the market or sell futures in response to cash outflows, thereby simulating an invested position in the underlying index while maintaining a cash balance for liquidity. The use of futures contracts exposes the Fund to equity price risk.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Intrepid European Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 59

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

D. Forward Foreign Currency Exchange Contracts — The Intrepid European Fund may be exposed to foreign currency risks associated with portfolio investments and therefore uses forward foreign currency exchange contracts to hedge or manage these exposures. Forward foreign currency exchange contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into. Non-deliverable forward foreign currency exchange contract are settled with the counterparty in cash without the delivery of foreign currency.

The values of the forward foreign currency exchange contracts are adjusted daily based on the applicable exchange rate of the underlying currency. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation until the contract settlement date. When the forward contract is closed, the Funds record a realized gain or loss equal to the difference between the value at the time the contract was opened and the value at the time it was closed.

E. Summary of Derivatives Information

The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statements of Assets and Liabilities (amounts in thousands):

Value of Derivative Instruments as of October 31, 2010

Intrepid European Fund

Derivative Contract	Statements of Assets and Liabilities Location
Assets:		Futures Contracts (a)
Equity contracts	Receivables, Net Assets — Unrealized Appreciation	$	9
Total		$	9

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the SOIs. The Statements of Assets and Liabilities only reflect the current day variation margin receivable/payable to brokers.

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Forward Foreign Currency Exchange Contracts		Total
Equity contracts	$	874	$	3	$	877
Total	$	874	$	3	$	877

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	9	$	9
Total	$	9	$	9

The Fund’s derivative contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

Derivatives Volume:

The table below discloses the volume of the Intrepid European Fund’s futures contracts activities as of October 31, 2010 (amounts in thousands):

Futures Contracts:	Intrepid European Fund
Average Notional Balance Long	$	4,540
Ending Notional Balance Long	$	4,624

The Intrepid European Fund had activity in forward foreign currency exchange contracts, with an average settlement value of approximately $552,000 for the period April 1, 2010 through April 30, 2010. At October 31, 2010, the Intrepid European Fund no longer held positions in these investments.

60 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

F. Foreign Currency Translation — The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Funds are presented at the foreign exchange rates and market values at the close of the period, the Funds do not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on each Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

G. Securities Lending — The Funds may lend securities to brokers approved by J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) in order to generate additional income. JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, serves as lending agent for the Funds pursuant to an Amended and Restated Securities Lending Agreement effective February 9, 2010 (“Securities Lending Agreement”). Securities loaned are collateralized by cash, which is invested in Capital Shares of the JPMorgan Prime Money Market Fund. Upon termination of a loan, the Funds are required to return to the borrower the posted cash collateral. Loans are subject to termination by the Funds or the borrower at any time.

Securities lending income is comprised of income earned on cash collateral investments (“Collateral Investments”), net of a rebate received from or paid to borrowers for use of cash collateral and lending agent fees. This amount is recorded as Income from securities lending (net) on the Statements of Operations. The Funds also receive payments from the borrower during the period of the loan, equivalent to dividends and interest earned on the securities loaned, which are recorded as Dividend or Interest income, respectively, on the Statements of Operations.

For the year ended October 31, 2010, the Intrepid European Fund earned approximately $14,000 from the investment of cash collateral, prior to rebates or fees, from an investment in an affiliated fund as described below.

At the inception of a loan, securities are exchanged for cash collateral equal to at least 102% of the value of loaned U.S. dollar-denominated securities plus accrued interest and 105% of the value of loaned non-dollar-denominate securities, plus accrued interest. The Securities Lending Agreement requires that the loaned securities be marked to market on a daily basis and additional cash collateral is requested from borrowers when the cash received from borrowers becomes less than 102% and 105% of the value of loaned U.S. dollar denominated and non-dollar denominated securities, respectively, subject to certain de minimis guidelines.

The value of the cash collateral received is recorded as a liability on the Statements of Assets and Liabilities and details of Collateral Investments are disclosed in the SOIs. At October 31, 2010, the value of outstanding securities on loan and the value of Collateral Investments were as follows (amount in thousands):

	Value of Securities on Loan		Cash Collateral Posted by Borrower		Total Value of Collateral Investments
Intrepid European Fund	$	2,912	$	3,042	$	3,042

The Funds bear the risk of loss associated with the Collateral Investments and are not entitled to additional collateral from the borrower to cover any such losses. To the extent that the value of the Collateral Investments decline below the amount owed to a borrower, a Fund may incur losses that exceed the amount it earned on lending the security. Upon termination of a loan, a Fund may use leverage (borrow money) to repay the borrower for cash collateral posted if the Advisor does not believe that it is prudent to sell the Collateral Investments to fund the payment of this liability.

Securities lending also involves counterparty risks, including the risk that the loaned securities may not be returned in a timely manner or at all. Subject to certain conditions, JPMCB has agreed to indemnify the Funds from losses resulting from a borrower’s failure to return a loaned security.

The Advisor of the Funds waived fees of approximately $9,000 associated with the Intrepid European Fund’s investment in JPMorgan Prime Money Market Fund.

These amounts offset the administration fees and shareholder servicing fees incurred by JPMorgan Prime Money Market Fund related to the Funds’ investment in such fund. A portion of the waiver is voluntary.

Under the Securities Lending Agreement, JPMCB is entitled to a fee, paid monthly in arrears equal to (i) 0.03% of the average dollar value of the loans of U.S. dollar-denominated securities outstanding during a given month; and (ii) 0.09% of the average dollar value of loans of non-dollar-denominated securities outstanding during a given month.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 61

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The Intrepid European Fund incurred lending agent fees to JPMCB of approximately $9,000 for the year ended October 31, 2010.

H. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

I. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to its Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

J. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

K. Foreign Taxes — The Funds may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon their current interpretation of tax rules and regulations that exist in the markets in which they invest.

L. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid at least annually. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital			Accumulated Undistributed/ (Overdistributed) Net Investment Income			Accumulated Net Realized Gain (Loss) on Investments
Asia Equity Fund	$	—		$	(129	)	$	129
China Region Fund		—			1			(1	)
India Fund		(150	)		144			6
Intrepid European Fund		—			(253	)		253
Latin America Fund		(108	)		(94	)		202
Russia Fund		(88	)		88			—	(a)

(a) Amount rounds to less than $1,000.

The reclassifications for the Funds relate primarily to passive foreign investment company (PFIC) gains and losses (China Region Fund and Latin America Fund), net operating loss (India Fund, Latin America Fund and Russia Fund), foreign futures contracts (Intrepid European Fund) and foreign currency gains or losses (Asia Equity Fund, China Region Fund, Intrepid European Fund and Latin America Fund).

M. Redemption Fees — Generally, shares of the Funds held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the applicable Fund and are credited to paid in capital.

62 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, JPMIM acts as the investment advisor to the Funds. JPMIM is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of each respective Fund and for such services is paid a fee. The fee is accrued daily and paid monthly based on each Fund’s respective average daily net assets. The annual fee rate for each Fund is as follows:

Asia Equity Fund	1.00	%
China Region Fund	1.25
India Fund	1.25
Intrepid European Fund	0.65
Latin America Fund	1.00
Russia Fund	1.25

The Advisor, on behalf of Asia Equity Fund, China Region Fund and India Fund, has entered into an investment sub-advisory agreement with JF International Management, Inc. (“JFIMI”), a wholly-owned subsidiary of JPMorgan Asset Management (Asia) Inc., which is wholly-owned by J.P. Morgan Asset Management Holdings Inc. For its services as sub-advisor, JFIMI receives a portion of the fees payable to the Advisor.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of average daily net assets for the Funds.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of each Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A, Class B and Class C Shares of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that each Fund shall pay distribution fees, including payments to the Distributor, at annual rates of the average daily net assets as shown in the table below:

	Class A			Class B			Class C
Asia Equity Fund		0.25	%		n/a			n/a
China Region Fund		0.25			n/a			0.75	%
India Fund		0.25			n/a			0.75
Intrepid European Fund		0.25			0.75	%		0.75
Latin America Fund		0.25			n/a			0.75
Russia Fund		0.25			n/a			0.75

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class B and Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

	Front-End Sales Charge		CDSC
Asia Equity Fund	$	6	$	1
China Region Fund		3		1
India Fund		17		1
Intrepid European Fund		8		21
Latin America Fund		11		3
Russia Fund		8		12

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 63

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

D. Shareholder Servicing Fees — The Trust, on behalf of the Funds, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R5*			Institutional Class			Select Class
Asia Equity Fund		0.25	%		n/a			n/a			n/a			0.10	%		0.25	%
China Region Fund		0.25			n/a			0.25	%		0.05	%		n/a			0.25
India Fund		0.25			n/a			0.25			0.05			n/a			0.25
Intrepid European Fund		0.25			0.25	%		0.25			n/a			0.10			0.25
Latin America Fund		0.25			n/a			0.25			0.05			n/a			0.25
Russia Fund		0.25			n/a			0.25			0.05			n/a			0.25

* Class R5 Shares were liquidated June 14, 2010.

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMCB provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. The Funds earn interest on uninvested cash balances held by the custodian. Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Funds to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Funds’ respective average daily net assets as shown in the table below:

	Class A			Class B			Class C			Class R5*			Institutional Class			Select Class
Asia Equity Fund		1.75	%		n/a			n/a			n/a			1.35	%		1.50	%
China Region Fund		2.00			n/a			2.50	%		1.55	%		n/a			1.75
India Fund		2.00			n/a			2.50			1.55			n/a			1.75
Intrepid European Fund		1.75			2.50	%		2.50			n/a			1.00			1.50
Latin America Fund		1.90			n/a			2.40			1.45			n/a			1.65
Russia Fund		2.00			n/a			2.50			1.55			n/a			1.75

* Class R5 Shares were liquidated June 14, 2010.

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011. In addition, the Funds’ service providers have voluntarily waived fees during the year ended October 31, 2010. However, the Funds’ service providers are under no obligation to do so and may discontinue such voluntary waivers at any time.

For the year ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for each of the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and reimbursed expenses in future years.

	Contractual Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
Asia Equity Fund	$	—	$	420	$	—	$	420	$	—
China Region Fund		179		14		7		200		71
India Fund		209		12		9		230		49
Intrepid European Fund		34		11		25		70		—
Latin America Fund		146		15		8		169		19
Russia Fund		199		20		12		231		5

	Voluntary Waivers
	Investment Advisory		Administration		Total
Intrepid European Fund	$	188	$	72	$	260

64 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

Additionally, the Funds may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Funds’ investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amounts of these waivers resulting from investments in the money market funds for the year ended October 31, 2010 were as follows (excluding the reimbursement disclosed in Note 2.G. regarding cash collateral for securities lending invested in JPMorgan Prime Money Market Fund) (amounts in thousands):

Asia Equity Fund	$	15
Intrepid European Fund		9
Latin America Fund		1
Russia Fund		1

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, certain Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the year ended October 31, 2010, the following Funds incurred brokerage commissions with broker/dealers affiliated with the Advisor (amounts in thousands):

Asia Equity Fund	$	42
India Fund		1
Intrepid European Fund		2
Latin America Fund		1

The Securities and Exchange Commission has granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
Asia Equity Fund	$	1,877,441	$	2,338,040
China Region Fund		11,299		15,154
India Fund		11,919		7,755
Intrepid European Fund		674,877		757,402
Latin America Fund		54,373		16,251
Russia Fund		13,611		18,724

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
Asia Equity Fund	$	1,374,795	$	444,298	$	14,288	$	430,010
China Region Fund		10,169		3,395		12		3,383
India Fund		19,684		4,466		707		3,759
Intrepid European Fund		140,168		14,053		529		13,524
Latin America Fund		51,260		6,756		171		6,585
Russia Fund		17,828		8,732		2,442		6,290

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 65

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

For all of the Funds, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to mark to market of passive foreign investment companies (“PFICs”) (Asia Equity Fund, Intrepid European Fund and Latin America Fund) and wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Ordinary Income		Net Long Term Capital Gains		Total Distributions Paid
China Region Fund	$	74	$	—	$	74
Intrepid European Fund		4,952		—		4,952
Latin America Fund		422		—		422

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

	Ordinary Income		Net Long Term Capital Gains		Total Distributions Paid
Asia Equity Fund	$	4,992	$	—	$	4,992
Intrepid European Fund		17,051		—		17,051
Latin America Fund		192		—		192
Russia Fund		4		—		4

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Long-Term Capital-Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
Asia Equity Fund	$	1,726	$	(219,380	)	$	426,708
China Region Fund		36		(13,683	)		3,383
India Fund		—		(20,442	)		3,759
Intrepid European Fund		1,957		(223,359	)		13,544
Latin America Fund		—		(3,730	)		6,585
Russia Fund		—		(2,025	)		6,290

For the Funds, the cumulative timing differences primarily consist of mark to market of PFICs (Asia Equity Fund, Intrepid European Fund and Latin America Fund) and wash sale loss deferrals.

As of October 31, 2010, the following Funds had net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2015		2016		2017		2018		Total
Asia Equity Fund	$	—	$	—	$	219,380	$	—	$	219,380
China Region Fund		—		11,710		1,973		—		13,683
India Fund		33		13,292		7,113		4		20,442
Intrepid European Fund		—		124,451		98,908		—		223,359
Latin America Fund		—		1,453		2,277		—		3,730
Russia Fund		—		195		1,830		—		2,025

During the year ended October 31, 2010, the following Funds utilized capital loss carryforwards as follows (amounts in thousands):

Asia Equity Fund	$	184,160
China Region Fund		596
Intrepid European Fund		8,906
Latin America Fund		782
Russia Fund		895

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. The Interfund

66 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Funds because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

One or more affiliates of the Advisor have investment discretion with respect to their clients’ holdings in the Funds, which collectively represent a significant portion of the Funds’ assets for Asia Equity Fund and China Region Fund. Additionally, Russia Fund has a shareholder, which is an account maintained by a financial intermediary on behalf of its clients, that owns a significant portion of the Fund’s outstanding shares.

In addition, the J.P. Morgan Investor Funds, which are affiliated funds of funds, own, in the aggregate more than 10% of the net assets of the Funds as follows:

	J.P. Morgan Investor Funds
Latin America Fund		60.8	%

Significant shareholder transactions, if any, may impact the Funds’ performance.

The Funds may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year depending on the Fund. Such concentrations may subject the Funds to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the Funds’ net assets consisted of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of and investment income from such securities.

As of October 31, 2010, the Asia Equity Fund invested approximately 31.6% of its total investments in China.

As of October 31, 2010, the Intrepid European Fund invested approximately 25.2% and 24.3% of its total investments (excluding Investments of Cash Collateral for Securities on Loan) in the United Kingdom and Germany, respectively.

China Region Fund

Investing in securities of “China Region companies” may include certain risks and considerations not typically associated with investing in U.S. securities. In general, China Region companies are those that are organized under the laws of, or have a principal office in, the People’s Republic of China (including Hong Kong and Macau) (“China”), or Taiwan; the principal securities market for which is China or Taiwan; that derives at least 50% of its total revenues or profits from goods or services that are produced or sold, investments made, or services performed in China or Taiwan; or at least 50% of the assets of which are located in China or Taiwan. Such risks include fluctuating currency values and changing local and regional economic, political and social conditions, which may result in greater market volatility. In addition, these securities may not be as liquid as U.S. securities. At October 31, 2010, the Fund had 55.8% and 24.8% of its total investments invested in China and Taiwan, respectively.

India Fund

Investing in securities of Indian companies may include certain risks typically not associated with investing in countries with more developed securities markets, such as political, economic and legal uncertainties, delays in settling portfolio transactions and the risk of loss from India’s undeveloped systems of securities and transfer.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 67

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Latin America Fund

Investing in securities of foreign countries may include certain risks and considerations not typically associated with investing in U.S. securities. These risks include revaluation of currencies, high rates of inflation, repatriation restrictions on income and currencies, and future and adverse political, social and economic developments. At October 31, 2010, the Fund had 64.8% of its total investments invested in Brazil.

Russia Fund

Investing in securities of Russian companies may include certain risks typically not associated with investing in countries with more developed securities markets, such as political, economic and legal uncertainties, delays in settling portfolio transactions and the risk of loss from Russia’s undeveloped systems of securities and transfer.

68 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan Asia Equity Fund, JPMorgan China Region Fund, JPMorgan India Fund, JPMorgan Intrepid European Fund, JPMorgan Latin America Fund and JPMorgan Russia Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan Asia Equity Fund, JPMorgan China Region Fund, JPMorgan India Fund, JPMorgan Intrepid European Fund, JPMorgan Latin America Fund and JPMorgan Russia Fund (each a separate Fund of JPMorgan Trust I) (hereafter collectively referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 21, 2010

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 69

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000–2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972–2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974–present).		141	Director, Cardinal Health, Inc. (CAH) (1994–present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007–present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999–present); President, Adelphi University (New York) (1998–1999).		141	Director, New Plan Excel (NXL) (1999–2005); Director, National Financial Partners (NFP) (2003–2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002–present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003–2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971–2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000–2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000–2002); President, DCI Marketing, Inc. (1992–2000).		141	Director, Center for Deaf and Hard of Hearing (1990–present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985–present).		141	Trustee, Carleton College (2003–present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001–2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985–2001).		141	Director, Radio Shack Corp. (1987–2008); Trustee, Stratton Mountain School (2001–present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002–2010); President, Kenyon College (1995–2002).		141	Trustee, American University in Cairo (1999–present); Trustee, Carleton College (2002–2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003–present); Chairman and Chief Executive Officer, Lumelite Corporation (1985–2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992–present).

70 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000–2009); Chief Investment Officer, Wabash College (2004–present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988–1999).		141	Trustee, Wabash College (1988–present); Chairman, Indianapolis Symphony Orchestra Foundation (1994–present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968–1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993–present).		141	Trustee, The Victory Portfolios (2000–2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989–1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990–1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990–1998).		141	Director, Glenview Trust Company, LLC (2001–present); Trustee, St. Catharine College (1998–present); Trustee, Bellarmine University (2000–present); Director, Springfield-Washington County Economic Development Authority (1997–present); Trustee, Catholic Education Foundation (2005–present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 71

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

72 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of each Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Asia Equity Fund
Class A
Actual	$	1,000.00	$	1,160.20	$	9.53		1.75	%
Hypothetical		1,000.00		1,016.38		8.89		1.75
Institutional Class
Actual		1,000.00		1,162.50		7.36		1.35
Hypothetical		1,000.00		1,018.40		6.87		1.35
Select Class
Actual		1,000.00		1,161.60		8.17		1.50
Hypothetical		1,000.00		1,017.64		7.63		1.50
China Region Fund
Class A
Actual		1,000.00		1,144.40		10.86		2.01
Hypothetical		1,000.00		1,015.07		10.21		2.01
Class C
Actual		1,000.00		1,141.80		13.55		2.51
Hypothetical		1,000.00		1,012.55		12.73		2.51
Select Class
Actual		1,000.00		1,146.60		9.47		1.75
Hypothetical		1,000.00		1,016.38		8.89		1.75
India Fund
Class A
Actual		1,000.00		1,165.50		10.92		2.00
Hypothetical		1,000.00		1,015.12		10.16		2.00
Class C
Actual		1,000.00		1,162.60		13.63		2.50
Hypothetical		1,000.00		1,012.60		12.68		2.50

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 73

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited) (continued)

Hypothetical $1,000 Investment

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
India Fund (continued)
Select Class
Actual	$	1,000.00	$	1,166.90	$	9.56		1.75	%
Hypothetical		1,000.00		1,016.38		8.89		1.75
Intrepid European Fund
Class A
Actual		1,000.00		1,067.10		7.76		1.49
Hypothetical		1,000.00		1,017.69		7.58		1.49
Class B
Actual		1,000.00		1,063.30		10.35		1.99
Hypothetical		1,000.00		1,015.17		10.11		1.99
Class C
Actual		1,000.00		1,064.40		10.35		1.99
Hypothetical		1,000.00		1,015.17		10.11		1.99
Institutional Class
Actual		1,000.00		1,069.60		5.22		1.00
Hypothetical		1,000.00		1,020.16		5.09		1.00
Select Class
Actual		1,000.00		1,068.60		6.47		1.24
Hypothetical		1,000.00		1,018.95		6.31		1.24
Latin America Fund
Class A
Actual		1,000.00		1,164.70		10.09		1.85
Hypothetical		1,000.00		1,015.88		9.40		1.85
Class C
Actual		1,000.00		1,161.60		12.80		2.35
Hypothetical		1,000.00		1,013.36		11.93		2.35
Select Class
Actual		1,000.00		1,165.50		8.24		1.51
Hypothetical		1,000.00		1,017.59		7.68		1.51
Russia Fund
Class A
Actual		1,000.00		1,119.40		10.79		2.02
Hypothetical		1,000.00		1,015.02		10.26		2.02
Class C
Actual		1,000.00		1,117.80		13.45		2.52
Hypothetical		1,000.00		1,012.50		12.78		2.52
Select Class
Actual		1,000.00		1,121.00		9.46		1.77
Hypothetical		1,000.00		1,016.28		9.00		1.77

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

74 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of each of the investment advisory agreements for the Funds and sub-advisory agreements for the Asia Equity Fund, China Region Fund and India Fund, whose annual report is contained herein (each an “Advisory Agreement” and collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreements or any of their affiliates, approved the continuation of each Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Funds’ performance compared to the performance of the Funds’ peers and benchmarks and analyses by the Advisor of the Funds’ performance. In addition, the Trustees have engaged an independent consultant to report on the performance of each of the Funds at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Funds’ expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreements with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a

memorandum from independent counsel to the Trustees discussing the legal standards for their consideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve each Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from each Fund under the applicable Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of each Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to each Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to each Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of each Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of each Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of each of the Funds. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Funds gained from their experience as Trustees of the Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 75

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to concerns raised by them, including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to each Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Funds by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to each of the Funds. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Funds, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of each of the Advisory Agreements was not unreasonable in light of the services and benefits provided to each Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Funds. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for these Funds.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Funds for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Funds’ distributor and that these fees are in turn generally paid to financial intermediaries that sell the Funds, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, securities lending and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for each Fund does not contain breakpoints. The Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Funds’ Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Asia Equity Fund, China Region Fund, India Fund, Intrepid European Fund, Latin America Fund and Russia Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreements.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of each Fund. The Trustees also considered the complexity of investment management for the Funds relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to each Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in each Fund’s Universe Group. The Lipper materials provided to the Trustees

76 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed each Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and also considered the special analysis that was done by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to each Fund’s performance for certain representative classes are summarized below:

The Trustees noted that the Asia Equity Fund’s performance was in the fourth quintile for both Class A and Select Class shares for the one-, three-, and five-year periods ended December 31, 2009, and that the independent consultant indicated that the overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and concluded that they were satisfied with the Advisor’s analysis of the Fund’s performance, however, they requested that the Fund’s Advisor provide additional Fund performance information to be reviewed with members of the equity subcommittee at each of their regular meetings over the course of the next year.

The Trustees noted that the China Region Fund’s performance was in the third quintile for both Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the India Fund’s performance was in the second quintile for both Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Intrepid European Fund’s performance was in the fourth, fourth and second quintiles for both Class A and Select Class shares for the one-, three-, and five-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and concluded that they were satisfied with the Advisor’s analysis of the Fund’s performance, however, they requested that the Fund’s Advisor provide additional Fund performance information to be reviewed with members of the equity subcommittee at each of their regular meetings over the course of the next year.

The Trustees noted that the Latin America Fund’s performance was in the third quintile for the Class A shares and in the second quintile for the Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Russia Fund’s performance was in the first quintile for both Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by each Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as each Fund. The Trustees recognized that Lipper reported each Fund’s management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for each Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for each Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of each Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Asia Equity Fund’s net advisory fee for both Class A and Select Class shares were in the fifth quintile, and that the actual total expenses for both Class A and Select Class shares were in the third quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the China Region Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for both Class A and Select Class shares were in the fourth quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 77

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

The Trustees noted that the India Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for both Class A and Select Class shares were in the fourth quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Intrepid European Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for both Class A and Select Class shares were in the second quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Latin America Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile and that the actual total expenses for Class A and Select Class shares were in the third and fourth quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Russia Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile, and that the actual total expenses for both Class A and Select Class shares were in the fourth quintile of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

78 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Funds’ income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Qualified Dividend Income (QDI)

For the fiscal year ended October 31, 2010, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%. The following represents the amount of ordinary income distributions treated as qualified dividends (amounts in thousands):

	Qualified Dividend Income
China Region Fund	$	59
Intrepid European Fund		3,751
Latin America Fund		112

Foreign Source Income and Foreign Tax Credit Pass Through

For the fiscal year ended October 31, 2010, the Funds intend to elect to pass through to shareholders the income tax credit for taxes paid to foreign countries. Gross income and foreign tax expenses are as follows (amounts in thousands):

	Gross Income		Foreign Tax Pass Through
Asia Equity Fund	$	27,670	$	2,088
China Region Fund		322		38
India Fund		222		—
Intrepid European Fund		4,949		497
Latin America Fund		330		3
Russia Fund		256		3

The pass-through of the foreign tax credit will only affect those persons who are shareholders on the dividend record date in December 2010. These shareholders will receive more detailed information along with 2010 Form 1099-DIV.

OCTOBER 31, 2010 J.P. MORGAN COUNTRY/REGION FUNDS 79

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

80 J.P. MORGAN COUNTRY/REGION FUNDS OCTOBER 31, 2010

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-INTEQ-CO-1010

Annual Report

J.P. Morgan SMA Funds

October 31, 2010

JPMorgan International Value SMA Fund

JPMorgan Tax Aware Real Return SMA Fund

CONTENTS

CEO’s Letter	1
A Message from Gary J. Madich	2
Fund Commentaries:
JPMorgan International Value SMA Fund	3
JPMorgan Tax Aware Real Return SMA Fund	6
Schedules of Portfolio Investments	9
Financial Statements	18
Financial Highlights	22
Notes to Financial Statements	26
Report of Independent Registered Public Accounting Firm	34
Trustees	35
Officers	37
Schedule of Shareholder Expenses	38
Board Approval of Investment Advisory Agreements	39
Tax Letter	42
Privacy Policy	43

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of any Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

November 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe

and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 1

A MESSAGE FROM GARY J. MADICH

Global Chief Investment Officer for J.P. Morgan Asset Management’s Global Fixed Income Group

DECEMBER 6, 2010 (Unaudited)

With the recent market turmoil still fresh in the minds of many investors, new assets have poured into bond funds since the market bottomed in March 2009. Investors seem to be drawn to the perception of bonds’ relative safety versus other investments, likely a reaction to the sharp decline in stock prices in 2008 and early 2009 and the general uncertainty prevalent in today’s marketplace. While we believe that bonds play an essential role in any well-diversified portfolio, we would like to take this opportunity to remind you about the risks associated with bond funds and the importance of diversification.

Bond prices generally decrease as interest rates rise and increase as interest rates fall. Currently, interest rates are at very low levels and most fixed income portfolios would be negatively impacted in an environment where interest rates may increase, as the fixed income securities held in the portfolios would likely decrease in value. This is a broad risk that applies to most portfolios of bonds across the spectrum of the fixed income market. Bond portfolios comprised mostly of municipal bonds share this risk and also carry other risks specific to the nature of their asset class.

The ability of states and municipalities to repay their debt could be hindered by unfavorable local economic or political events, a risk that has garnered recent attention as many states have

seen their growing budget deficit challenges become the topic of newspaper headlines. Acknowledging the challenges that are facing many states and municipalities, our municipal and tax free funds have maintained their bias towards bonds with high credit quality and sectors that have historically demonstrated lower volatility.

While we certainly believe that municipal bonds are a valuable tool for many investors, the risks associated with these investments serve as a stark reminder about the importance of a well-diversified portfolio. As an investor, the best way to guard against any type of risk is to proactively build a well-diversified portfolio, a portfolio that is able to withstand and benefit from a variety of future outcomes.

On behalf of the Fund’s fixed income portfolio management team,

Gary J. Madich

2 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

JPMorgan International Value SMA Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund*		15.56%
Morgan Stanley Capital International (“MSCI”) EAFE Value Index		4.63%
Net Assets as of 10/31/2010 (In Thousands)	$	187,569

INVESTMENT OBJECTIVE

The JPMorgan International Value SMA Fund (the “Fund”) seeks to provide high total return from a portfolio of foreign company equity securities**.

The Fund was established to implement the International Value Strategy, and to hold common shares of companies that were deemed attractive but were not accessible as American Depository Receipts (ADRs).

HOW DID THE MARKET PERFORM?

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered in the third quarter of 2010 and into October amid strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve and the Bank of Japan. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries.

International stocks, as measured by the MSCI EAFE Index, gained 8.36%, underperforming emerging markets and U.S. stocks. The relative weakness of the MSCI EAFE Index was driven primarily by lagging European stocks. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity among European leaders and the impact that austerity measures would have on growth in the region.

Emerging markets stocks were bolstered by strong GDP growth in developing countries, as the MSCI Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period. The greater China region lagged other emerging markets. Investors were concerned that the Chinese government would be forced to take measures to clamp down on the surging Chinese economy in an effort to ward off inflation, potentially causing a sharp pullback in economic activity (also known as a “hard landing”). However, concerns about a hard landing in China failed to materialize and the Chinese stock market performed well toward the end of the reporting period.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund outperformed the MSCI EAFE Value Index (the “Benchmark”) for the twelve months ended October 31, 2010.

Individual contributors to relative performance included the Fund’s overweight positions in German-based Lanxess AG and France-based Rhodia S.A., specialty chemical providers not held in the Benchmark. Both companies’ earnings received a boost from their managements’ disciplined cost-cutting measures and recovering demand in their end markets.

Another contributor to relative performance was the Fund’s overweight position in Cairn Energy plc., an independent oil and gas exploration and production company not held in the Benchmark. The stock rose as the company ramped up production following the completion of its pipeline project. In addition, Vedanta Resources announced plans to buy a controlling stake in Cairn Energy plc.’s Indian operations.

Individual detractors included the Fund’s overweight position in Lafarge S.A., a France-based building materials company that was hurt by continued weakness in European construction activity. Not owning chemical company BASF also detracted from the Fund’s relative performance as the stock was a strong performer in the Benchmark. The Fund’s position in Sidenor Steel Products Manufacturing Co. S.A., which was not held in the Benchmark, also detracted from relative performance. The Greek steel stock declined with other Greek stocks on concerns about the country’s debt crisis.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, rigorously researching companies to determine their underlying value and potential for future earnings growth. They used a proprietary dividend discount model and worked closely with analysts to identify the most attractive value stocks in each sector. In addition, the Fund’s portfolio managers employed futures to help manage cash flows.

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 3

JPMorgan International Value SMA Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO*
	1.	Volkswagen AG (Germany)	4.7	%
	2.	DnB NOR ASA (Norway)	3.9
	3.	Rhodia S.A. (France)	3.8
	4.	QBE Insurance Group Ltd. (Australia)	3.8
	5.	Mitsui & Co., Ltd. (Japan)	3.7
	6.	Unilever N.V. CVA (Netherlands)	3.6
	7.	Lanxess AG (Germany)	3.6
	8.	EDP—Energias de Portugal S.A. (Portugal)	3.3
	9.	First Quantum Minerals Ltd. (Canada)	3.3
	10.	KBC Groep N.V. (Belgium)	3.2

PORTFOLIO COMPOSITION BY COUNTRY*
Japan	28.6	%
France	11.1
Germany	9.6
Norway	6.8
United Kingdom	6.4
Australia	3.8
Netherlands	3.6
Portugal	3.3
Canada	3.3
Belgium	3.2
Italy	2.8
China	2.7
Singapore	2.6
Austria	2.6
South Korea	2.5
South Africa	2.3
Taiwan	1.7
Finland	0.1
Short-Term Investment	3.0

* Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

4 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
INTERNATIONAL VALUE SMA FUND		8/17/07		15.56	%		(7.85	)%		(4.64	)%

LIFE OF FUND PERFORMANCE (8/17/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on August 17, 2007.

The graph illustrates comparative performance for $10,000 invested in the JPMorgan International Value SMA Fund, the MSCI EAFE Value Index and the Lipper International Large-Cap Value Funds Average from August 17, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Lipper International Large-Cap Value Funds Average reflects an initial investment at the end of the month closest to the Fund’s inception. The performance of the MSCI EAFE Value Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to nonresident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper International Large-Cap Value Funds Average includes expenses associated

with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Value Index is a free float-adjusted market capitalization weighted index that is designed to measure the performance of value-oriented stocks in the world’s equity markets, excluding the U.S. and Canada. The Lipper International Large-Cap Value Funds Average represents the total returns of the funds in the indicated category as defined by Lipper, Inc. Investors cannot invest directly in an index.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 5

JPMorgan Tax Aware Real Return SMA Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund*		4.77%
Barclays Capital 1-10 Year U.S. TIPS Index		7.51%
Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index		6.80%
Net Assets as of 10/31/2010 (In Thousands)	$	15,915

INVESTMENT OBJECTIVE**

The JPMorgan Tax Aware Real Return SMA Fund (the “Fund”) seeks to maximize after-tax inflation protected return.

INVESTMENT APPROACH

The Fund was established to implement the Tax Aware Real Return SMA Strategy. The Fund used zero-coupon inflation-swaps in combination with tax-exempt municipal bonds to create a synthetic portfolio of inflation protected securities. The Fund was designed to protect the total return generated by its tax-exempt fixed income holdings from inflation risk. The zero-coupon inflation-linked swaps used by the Fund were based on cumulative percentage movements in the Consumer Price Index for All Urban Consumers (“CPI-U”). The swaps are structured so that one counterparty agrees to pay the cumulative percentage change in the CPI-U over the duration of the swap. The other counterparty (the Fund) pays a compounded fixed rate (zero coupon inflation-swap rate), which is based on the “breakeven inflation rate,” calculated as the yield difference between a nominal U.S. Treasury security and a U.S. Treasury Inflation Protected Security (TIPS) of equal maturity.

HOW DID THE MARKET PERFORM?

Yields fell to historical lows in the tax-free fixed income market, which experienced large asset inflows and a favorable supply/demand environment. New debt issuance in the tax-free market continued to decline and was significantly lower when viewed without Build America Bonds (BABS), which remained a large portion of new issuance during the reporting period. BABS were created in the federal government’s stimulus plan that was passed in early 2009. These are taxable municipal bonds, in which the federal government rebates back 35% of the interest cost to the issuing entity. The more cyclical and lower-rated sectors of the municipal market outperformed the overall tax-free market.

HOW DID THE FUND PERFORM?

The Fund underperformed the Barclays Capital 1-10 Year U.S. TIPS Index (the “TIPS Benchmark”) and the Barclays Capital Competitive Intermediate Municipal (1-17 Year) Maturities Index (the “Municipal Bond Benchmark”) for the twelve months ended October 31, 2010.

When comparing the Fund’s performance against the TIPS Benchmark, it is important to think about the Fund’s return on

a tax-adjusted basis. Treasury Inflation Protected Securities (“TIPS”) generate income that is fully taxable, whereas the Fund, which invested predominantly in high quality municipal bonds, attempts to provide investors with inflation protection that is more tax-efficient. During the reporting period, the Fund’s municipal securities generated a higher after-tax return than U.S. Treasury securities with similar maturities because of the municipal market’s higher tax equivalent yield. The taxable equivalent yield is the amount that a taxable investment (such as a U.S. Treasury Note) would have to return in order to generate the same amount of income as a tax-exempt investment of equal maturity. As of October 31, 2010, assuming a 35% tax rate, the taxable equivalent yield for a General Obligation AAA municipal bond with a 7 year maturity was 2.94%. As of October 31, 2010, a U.S. Treasury Note with a 7 year maturity was yielding 1.89%, 105 basis points (1.05%) lower than the taxable equivalent return of a General Obligation AAA municipal bond with a 7 year maturity.

The Fund’s fixed income investments were allocated primarily among high-quality general obligation bonds, prerefunded bonds (bonds that are secured with U.S. government securities) and essential-service revenue bonds. This allocation hurt the Fund’s relative performance versus the Municipal Bond Benchmark as investors preferred riskier, lower-quality municipal bonds during the reporting period.

On an absolute basis and relative to the Municipal Bond Benchmark, duration was a key driver of the Fund’s tax-exempt fixed income investments’ performance during the reporting period. Duration is used to measure the price sensitivity of a bond or a portfolio of bonds to relative changes in interest rates. Generally, bonds with shorter duration will experience a smaller increase/drop in price as interest rates go down/up versus bonds with longer duration. Across most sectors and ratings segments, the Fund’s fixed income securities with longer duration outperformed, while the Fund’s holdings with shorter duration underperformed as interest rates declined during the reporting period.

HOW DID THE FUND’S INFLATION PROTECTION STRATEGY IMPACT PERFORMANCE?

The Fund’s zero-coupon inflation-linked swaps detracted from the Fund’s absolute return. However, as a result of the Fund’s tactical active management of the zero-coupon inflation-swaps, the Fund’s return from these swaps, while negative, was better

6 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

than the return for zero coupon inflation-linked swaps as measured by the 5 year Barclays Capital Inflation Swap Zero Coupon USD ERI index for the twelve months ended October 31, 2010.

In addition, the Fund’s zero-coupon inflation-linked swaps detracted from the Fund’s relative performance versus the TIPS Benchmark, as the zero-coupon inflation-linked swap rate underperformed the TIPS breakeven rate. The zero-coupon inflation-linked swap rate is used to measure the Fund’s inflation-linked swaps as compared to TIPS. The TIPS breakeven rate is the yield difference between a nominal U.S. Treasury security and a TIPS of equal maturity.

HOW WAS THE FUND POSITIONED?

Among tax-exempt fixed income investments, the Fund maintained its quality bias, as the Fund’s portfolio managers preferred higher-quality issuances. For liquidity and to enhance the Fund’s overall credit quality, the Fund purchased prerefunded bonds during the reporting period. The Fund reduced its exposure to the tobacco sector due to concerns about downgrade risks.

The Fund’s portfolio managers also maintained an inflation-overlay hedging strategy, using zero-coupon inflation-linked

swaps to purchase protection against inflation along the yield curve. Accordingly, the Fund can have an overweight or underweight exposure to inflation protection on different areas of the yield curve (i.e. if the Fund’s portfolio managers expect low inflation in the short-term, the Fund will have less inflation protection on the short end of the yield curve). The Fund’s portfolio managers continued to actively monitor the Fund’s inflation hedge and made tactical adjustments as appropriate.

PORTFOLIO COMPOSITION***
Municipal Bonds	91.6	%
Short-Term Investment	8.4

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 7

JPMorgan Tax Aware Real Return SMA Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
TAX AWARE REAL RETURN SMA FUND		5/31/07
Before Taxes				4.77	%		4.81	%		5.14	%
After Taxes on Distributions				4.75			4.81			5.13
After Taxes on Distributions and Sale of Fund Shares				4.21			4.63			4.92

After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown, and the after-tax returns shown are not relevant to investors who hold their shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.

LIFE OF FUND PERFORMANCE (5/31/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on May 31, 2007.

The graph illustrates comparative performance for $10,000 invested in the JPMorgan Tax Aware Real Return SMA Fund, the Barclays Capital 1–10 Year U.S. TIPS Index, the Barclays Capital Competitive Intermediate (1–17 Year) Maturities Index, the Tax Aware Real Return Custom Benchmark and the Lipper Intermediate Municipal Debt Funds Index from May 31, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Barclays Capital 1–10 Year U.S. TIPS Index, Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index and Tax Aware Real Return Custom Benchmark does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmarks. The performance of the Lipper Intermediate Municipal Debt Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The Barclays Capital 1–10 Year U.S. TIPS Index measures the performance of intermediate (1–10 Year) U.S. Treasury Inflation Protection Securities. The Barclays Capital Competitive Intermediate Municipal (1–17 Year)

Maturities Index represents the performance of municipal bonds with maturities from 1 to 17 years. The Tax Aware Real Return Custom Benchmark is determined by adding 75% of the difference between the Barclays Capital 1–10 Year U.S. TIPS Index and the Barclays Capital 1–10 Year U.S. Treasury Index to the Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index. Expressed as a formula, the Composite Benchmark = [(Barclays Capital 1–10 Year U.S. TIPS Index—Barclays Capital 1–10 Year Treasury Index) X 0.75] + Barclays Capital Competitive Intermediate Municipal (1–17 Year) Maturities Index. The Lipper Intermediate Municipal Debt Funds Index is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

For some investors, income from municipal bonds may be subject to the Alternative Minimum Tax. Capital gains, if any, are federally taxable. Income may be subject to state and local taxes.

Tax Aware strategies seek to reduce capital gains. There can be no guarantee the strategy will eliminate them.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally in the United States of America.

8 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

JPMorgan International Value SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 92.6%
		Australia — 3.8%
	420	QBE Insurance Group Ltd.		7,067
		Austria — 2.6%
	108	Erste Group Bank AG (m)		4,888
		Belgium — 3.2%
	139	KBC Groep N.V. (a)		6,069
		Canada — 3.3%
	71	First Quantum Minerals Ltd.		6,177
		China — 2.8%
	1,816	China Merchants Bank Co., Ltd., Class H (m)		5,173
		Finland — 0.1%
	90	Ruukki Group OYJ (a)		224
		France — 11.1%
	46	Compagnie Generale des Etablissements Michelin, Class B		3,681
	28	PPR (m)		4,683
	256	Rhodia S.A. (m)		7,145
	81	Sodexo (m)		5,295
				20,804
		Germany — 4.9%
	57	Hamburger Hafen und Logistik AG		2,491
	96	Lanxess AG (m)		6,684
				9,175
		Italy — 2.8%
	957	Snam Rete Gas S.p.A. (m)		5,190
		Japan — 28.7%
	89	Aisin Seiki Co., Ltd. (m)		2,773
	80	East Japan Railway Co. (m)		4,940
	825	Fujitsu Ltd. (m)		5,628
	1	Japan Tobacco, Inc. (m)		2,296
	924	JX Holdings, Inc. (m)		5,446
	772	Marubeni Corp. (m)		4,850
	625	Mitsubishi Electric Corp. (m)		5,858
	445	Mitsui & Co., Ltd. (m)		7,000
	924	Nippon Express Co., Ltd. (m)		3,671
	852	Nippon Sheet Glass Co., Ltd. (m)		1,870
	418	Ricoh Co., Ltd. (m)		5,847
	173	Shiseido Co., Ltd. (m)		3,620
				53,799
		Netherlands — 3.6%
	229	Unilever N.V. CVA (m)		6,796

SHARES		SECURITY DESCRIPTION	VALUE($)
		Norway — 6.8%
	538	DnB NOR ASA (m)		7,385
	557	Orkla ASA (m)		5,403
				12,788
		Portugal — 3.3%
	1,632	EDP - Energias de Portugal S.A. (m)		6,244
		Singapore — 2.6%
	2,042	Singapore Telecommunications Ltd. (m)		4,893
		South Africa — 2.3%
	835	African Bank Investments Ltd. (m)		4,278
		South Korea — 2.6%
	54	LG Electronics, Inc. (m)		4,783
		Taiwan — 1.7%
	423	Hon Hai Precision Industry Co., Ltd., GDR (m)		3,234
		United Kingdom — 6.4%
	400	Cairn Energy plc (a) (m)		2,470
	445	Cookson Group plc (a) (m)		3,675
	1,335	GKN plc (m)		3,793
	134	Petropavlovsk plc (m)		2,081
				12,019
		Total Common Stocks (Cost $146,321)		173,601
	Preferred Stock — 4.7%
		Germany — 4.7%
	59	Volkswagen AG (m) (Cost $5,440)		8,912
	Short-Term Investment — 3.0%
		Investment Company — 3.0%
	5,700	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $5,700)		5,700
		Total Investments — 100.3% (Cost $157,461)		188,213
		Liabilities in Excess of Other Assets — (0.3)%		(644	)
		NET ASSETS — 100.0%	$	187,569

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 9

JPMorgan International Value SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Commercial Banks		12.5	%
Chemicals		7.4
Trading Companies & Distributors		6.3
Auto Components		5.5
Industrial Conglomerates		4.9
Automobiles		4.7
Road & Rail		4.6
Metals & Mining		4.4
Oil, Gas & Consumable Fuels		4.2
Insurance		3.8
Food Products		3.6
Electric Utilities		3.3
Electrical Equipment		3.1
Office Electronics		3.1

INDUSTRY	PERCENTAGE
Computers & Peripherals		3.0	%
Hotels, Restaurants & Leisure		2.8
Gas Utilities		2.8
Diversified Telecommunication Services		2.6
Household Durables		2.5
Multiline Retail		2.5
Diversified Financial Services		2.3
Personal Products		1.9
Electronic Equipment, Instruments & Components		1.7
Transportation Infrastructure		1.3
Tobacco		1.2
Building Products		1.0
Short-Term Investment		3.0

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	37	Dow Jones Euro STOXX 50 Index		12/17/10	$	1,462	$	(6	)
	13	FTSE 100 Index		12/17/10		1,179		(4	)
							$	(10	)

SEE NOTES TO FINANCIAL STATEMENTS.

10 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

JPMorgan Tax Aware Real Return SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION (t)	VALUE($)
	Municipal Bonds — 93.4%
		Alaska — 0.7%
		General Obligation — 0.7%
	100	Matanuska-Susitna Borough School Board, Series A, GO, NATL-RE, 5.250%, 04/01/16		115
		Arizona — 4.8%
		General Obligation — 0.6%
	85	Maricopa County Elementary, School District No. 38, Madison Elementary School Improvement Project of 2004, Series B, GO, NATL-RE, 5.000%, 07/01/16		99
		Transportation — 0.6%
	90	Arizona State Transportation Board, Series B, Rev., 5.000%, 07/01/13		100
		Utility — 3.6%
	500	Salt River Project Agricultural Improvement & Power District, Series A, Rev., 5.000%, 01/01/22		570
		Total Arizona		769
		California — 7.4%
		Education — 0.8%
	60	California Educational Facilities Authority, Pomona College, Series A, Rev., 5.000%, 01/01/18		72
	50	University of California, Series C, Rev., NATL-RE, 4.750%, 05/15/15		54
				126
		General Obligation — 1.2%
	175	San Ramon Valley Unified School District, 2002 Election, GO, AGM, 5.250%, 08/01/15		199
		Other Revenue — 1.4%
	100	California State Public Works Board, Various University of California Projects, Series D, Rev., 5.000%, 05/01/11		102
	75	Golden West Schools Financing Authority, Series A, Rev., NATL-RE, 5.800%, 02/01/20		90
	25	Golden West Schools Financing Authority, Beverly Hills Unified School District, Rev., NATL-RE, FGIC, 5.250%, 08/01/23		30
				222
		Prerefunded — 4.0%
	30	El Monte Union High School District, 2002 Election, Series B, GO, NATL- RE, 5.000%, 03/01/15 (p)		35
	80	Golden State Tobacco Securitization Corp., Series A-1, Rev., 6.750%, 06/01/13 (p)		92

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Prerefunded — Continued
	30	Pasadena Unified School District, Election 1997, Series D, GO, NATL- RE, 4.500%, 05/01/13 (p)		33
	50	San Francisco City & County Airports Commission, Second Series Issue 28B, Rev., NATL-RE, 4.750%, 05/01/12 (p)		53
	175	State of California, Economic Recovery, Series A, GO, NATL-RE, 5.000%, 07/01/12 (p)		188
	215	Twin Rivers Unified School District, GO, AGM, 5.250%, 08/01/12 (p)		235
				636
		Total California		1,183
		Colorado — 3.0%
		General Obligation — 2.3%
	305	Jefferson County School District R-1, GO, 5.000%, 12/15/22		362
		Special Tax — 0.7%
	100	City of Grand Junction, Rev., 5.000%, 03/01/13		110
		Total Colorado		472
		Connecticut — 4.5%
		General Obligation — 4.5%
	150	City of New Britain, GO, AGM, 5.000%, 04/15/17		179
	250	State of Connecticut, Series E, GO, 5.000%, 12/15/16		299
	200	Town of Trumbull, GO, 5.000%, 09/15/16		237
		Total Connecticut		715
		District of Columbia — 0.9%
		Education — 0.7%
	100	District of Columbia, Georgetown University, Series A, Rev., AMBAC, 5.000%, 04/01/16		115
		General Obligation — 0.2%
	20	District of Columbia, Series C, GO, AGM, 5.000%, 06/01/15		23
		Total District of Columbia		138
		Florida — 3.2%
		Other Revenue — 1.8%
	185	Florida State Department of Transportation, Series A, Rev., 4.000%, 07/01/18		206
	80	Polk County, Public Facilities Authority, Rev., NATL-RE, 5.000%, 12/01/18		88
				294

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 11

JPMorgan Tax Aware Real Return SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE ($)
	Municipal Bonds — Continued
		Transportation — 1.2%
	125	Florida State Turnpike Authority, Series C, Rev., 5.000%, 07/01/14		139
	50	Florida State Turnpike Authority, Department of Transportation, Series B, Rev., AMBAC, 5.000%, 07/01/11		52
				191
		Water & Sewer — 0.2%
	25	Seminole County, Water & Sewer, Rev., 5.000%, 10/01/18		28
		Total Florida		513
		Georgia — 4.4%
		Certificate of Participation/Lease — 1.5%
	225	Metropolitan Atlanta Rapid Transit Authority, Second Indenture Series, COP, NATL-RE, 5.000%, 01/01/13 (p)		246
		General Obligation — 2.5%
		State of Georgia,
	155	Series B, GO, 5.000%, 07/01/11 (p)		160
	50	Series D, GO, 4.000%, 08/01/11		51
	150	Series D, GO, 5.250%, 10/01/15		179
				390
		Water & Sewer — 0.4%
	60	Jackson County Water & Sewer Authority, Series A, Rev., XLCA, 5.250%, 09/01/21		64
		Total Georgia		700
		Hawaii — 1.3%
		Prerefunded — 1.3%
	200	City & County of Honolulu, Series A, GO, 6.000%, 01/01/12 (p)		213
		Idaho — 0.4%
		Water & Sewer — 0.4%
	50	Idaho Board Bank Authority, Series B, Rev., NATL-RE, 5.000%, 09/15/15		59
		Illinois — 2.0%
		General Obligation — 0.8%
	60	City of Chicago, Series A, GO, AGM, 5.500%, 01/01/19		71
	60	Cook-Kane Lake & McHenry Counties Community College District No. 512, William Rainey Harper College, GO, 5.000%, 12/01/11		63
				134

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE ($)
		Prerefunded — 1.2%
	150	Metropolitan Pier & Exposition Authority, Series A-2002, Rev., FGIC, 5.500%, 06/15/18 (p)		184
		Total Illinois		318
		Indiana — 0.8%
		Education — 0.8%
	100	Purdue University, Student Fees, Series U, Rev., 5.250%, 07/01/21		122
		Iowa — 0.5%
		Water & Sewer — 0.5%
	65	City of Des Moines, Sewer System, Series H, Rev., AGM, 5.000%, 06/01/14		74
		Kansas — 1.9%
		General Obligation — 1.9%
	265	Sedgwick County Unified School District No. 265 Goddard, Series 2, GO, AGM, 5.000%, 10/01/15		308
		Louisiana — 1.4%
		Industrial Development Revenue/Pollution Control Revenue — 1.4%
	200	Terrebonne Parish, Series ST, Rev., 5.875%, 03/01/26		230
		Maryland — 1.8%
		General Obligation — 1.1%
	100	Montgomery County, Public Improvement, Series A, GO, 5.000%, 05/01/17 (p)		120
	50	Prince Georges County, Public Improvement, Series A, GO, 5.000%, 10/01/13		56
				176
		Transportation — 0.7%
	100	Maryland State Department of Transportation County, Second Issue, Rev., 4.000%, 09/01/16		114
		Total Maryland		290
		Massachusetts — 1.7%
		Education — 0.7%
	100	University of Massachusetts Building Authority, Senior Series 1, Rev., AMBAC, 5.250%, 11/01/13 (p)		114
		General Obligation — 0.3%
	35	Commonwealth of Massachusetts, Consolidated Loan, Series A, GO, 5.000%, 05/01/13		39

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Prerefunded — 0.7%
	100	Commonwealth of Massachusetts, Special Obligation, Rev., FGIC, 5.000%, 01/01/14 (p)		112
		Total Massachusetts		265
		Michigan — 1.1%
		Education — 0.5%
	75	Western Michigan University, Rev., NATL-RE, FGIC, 5.000%, 11/15/15		84
		Prerefunded — 0.6%
	85	Ovid Elsie Area Schools, School Building & Site, GO, NATL-RE, Q- SBLF, 5.000%, 11/01/12 (p)		93
		Total Michigan		177
		Minnesota — 1.5%
		Other Revenue — 1.5%
	200	Minnesota Public Facilities Authority, Series A, Rev., 5.000%, 03/01/16		236
		Mississippi — 0.6%
		Prerefunded — 0.6%
	100	Mississippi Housing Finance Corp., Short Term Appreciation, Rev., Zero Coupon, 06/01/15 (p)		93
		Missouri — 4.3%
		General Obligation — 3.1%
	175	North Kansas City School District No. 74, Direct Deposit Program, GO, 5.000%, 03/01/20		203
	250	St. Louis County Reorganized School District No. R-6, GO, AGM, 5.000%, 02/01/14		283
				486
		Transportation — 0.7%
	100	Missouri State Highways & Transit Commission, First Lien, Series B, Rev., 5.000%, 05/01/22		112
		Water & Sewer — 0.5%
	75	Missouri State Environmental Improvement & Energy Resources Authority, State Revolving Funding Program, Series B, Rev., 5.500%, 07/01/14		87
		Total Missouri		685
		New Jersey — 1.0%
		Transportation — 1.0%
		New Jersey Transportation Trust Fund Authority,
	80	Series A, Rev., 5.250%, 12/15/20		92
	60	Series A, Rev., 5.500%, 12/15/21		70
		Total New Jersey		162

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		New Mexico — 1.7%
		Other Revenue — 1.7%
	200	New Mexico Finance Authority, State Transportation, Sub Lien, Series A-2, Rev., 5.000%, 12/15/20		238
	30	New Mexico Finance Authority, Sub Lien Public Project Revolving Fund, Series B, Rev., NATL-RE, 5.000%, 06/15/17		35
		Total New Mexico		273
		New York — 10.3%
		Education — 0.7%
	100	New York State Dormitory Authority, Series B, Rev., 4.000%, 03/15/14		110
		General Obligation — 3.7%
	50	Ardsley Union Free School District, Series B, GO, AGM, 4.000%, 06/15/15		55
	195	Briarcliff Manor, Public Improvement, Series A, GO, AGM, 5.000%, 09/01/14		225
	75	City of White Plains, Public Improvement, Series A, GO, 4.400%, 05/15/15 (p)		77
	75	Suffolk County, Public Improvement, Series B, GO, NATL-RE, 4.250%, 11/01/14		84
	100	Syosset Central School District, GO, AGM, 4.250%, 12/15/13		111
	35	Valhalla Union Free School District, GO, AGM, 5.000%, 03/15/16 (p)		36
				588
		Industrial Development Revenue/Pollution Control Revenue — 2.1%
	280	City of New York, Series E-1, GO, 6.250%, 10/15/28		333
		Other Revenue — 1.8%
	50	New York State Environmental Facilities Corp., Revolving Funds, New York City Municipal Projects, Sub Series E, Rev., 5.000%, 06/15/12		54
	100	New York State Urban Development Corp., Service Contract, Series A, Rev., 5.000%, 01/01/16		115
	100	Triborough Bridge & Tunnel Authority, Sub Series D, Rev., 5.000%, 11/15/18		118
				287
		Special Tax — 0.7%
	100	Sales Tax Asset Receivable Corp., Series A, Rev., NATL-RE, 5.000%, 10/15/17		113

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 13

JPMorgan Tax Aware Real Return SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Water & Sewer — 1.3%
	175	New York City Municipal Water Finance Authority, Series AA, Rev., 5.000%, 06/15/17		206
		Total New York		1,637
		North Carolina — 3.5%
		Certificate Of Participation/Lease — 0.4%
	65	Cabarrus County, COP, 5.250%, 02/01/14		71
		Transportation — 3.1%
		State of North Carolina,
	150	Rev., NATL-RE, 5.000%, 03/01/12		159
	300	Rev., NATL-RE, 5.000%, 03/01/13		330
				489
		Total North Carolina		560
		Ohio — 1.5%
		General Obligation — 1.5%
	100	Cincinnati City School District, Classroom Construction & Improvement, GO, NATL-RE, FGIC, 5.250%, 12/01/19		120
	100	Franklin County, Various Purpose, GO, 5.000%, 12/01/19		119
		Total Ohio		239
		Oklahoma — 2.1%
		Education — 2.1%
	300	Oklahoma Capital Improvement Authority, Higher Education Projects, Series F, Rev., AMBAC, 5.000%, 07/01/13		333
		Oregon — 1.3%
		Other Revenue — 1.3%
	175	Oregon State Department of Administrative Services, Series A, Rev., 5.000%, 04/01/21		202
		Pennsylvania — 4.4%
		Education — 1.3%
	190	Delaware County Authority, Villanova University, Rev., AMBAC, 5.000%, 08/01/23		204
		General Obligation — 1.8%
	50	Allegheny County, Series C-57, GO, NATL-RE, FGIC, 5.250%, 11/01/12		54
	200	Commonwealth of Pennsylvania, Second Series, GO, 5.000%, 01/01/16 (p)		236
				290
		Other Revenue — 0.7%
	100	Bucks County Water & Sewer Authority, Series A, Rev., AMBAC, 5.000%, 06/01/12 (p)		107

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Water & Sewer — 0.6%
	100	City of Philadelphia, Water & Wastewater, Series A, Rev., NATL- RE, FGIC, 5.500%, 11/01/11		105
		Total Pennsylvania		706
		Tennessee — 2.2%
		General Obligation — 0.3%
	50	Metropolitan Government of Nashville & Davidson County, GO, 5.000%, 01/01/20		58
		Other Revenue — 1.9%
	250	City of Memphis, Rev., 5.000%, 12/01/17		297
		Total Tennessee		355
		Texas — 7.8%
		Education — 1.2%
	85	Texas A&M University, Financing System, Series B, Rev., 5.375%, 05/15/11		88
	100	University of Texas, Financing System, Series C, Rev., 5.000%, 08/15/12		108
				196
		General Obligation — 0.5%
	75	City of El Paso, Series A, GO, NATL-RE, 4.750%, 08/15/23		81
		Other Revenue — 2.5%
	210	Harris County, Series C, Rev., 5.000%, 08/15/22		238
	150	Texas State Public Finance Authority, Criminal Projects, Rev., AMBAC, 4.000%, 02/01/14		164
				402
		Prerefunded — 1.1%
	75	Liberty Independent School District, GO, PSF-GTD, 5.500%, 02/15/12 (p)		80
	75	University of Texas, Series A, Rev., 6.250%, 01/01/13 (p)		84
				164
		Transportation — 0.3%
	50	Harris County, Senior Lien, Toll Road, Rev., AGM, 5.375%, 08/15/11		52
		Utility — 0.4%
	50	City of Garland, Electric System, Rev., NATL-RE, 5.625%, 03/01/15		58
		Water & Sewer — 1.8%
	50	City of Houston, Utilities System, First Lien, Series A, Rev., AGM, 5.000%, 11/15/15		58
	25	City of San Antonio, Water Authority, Rev., NATL-RE, FGIC, 5.500%, 05/15/15		30

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Municipal Bonds — Continued
		Water & Sewer — Continued
	70	Mesquite Waterworks & Sewer System, Rev., AGM, 5.000%, 03/01/20		79
	100	Trinity River Authority, Rev., 5.000%, 08/01/14		114
				281
		Total Texas		1,234
		Utah — 0.5%
		Other Revenue — 0.5%
	75	Utah State Building Ownership Authority, State Facilities Master Lease Program, Series C, Rev., AGM, 5.500%, 05/15/14 (p)		86
		Vermont — 0.3%
		Utility — 0.3%
	35	Vermont Public Power Supply Authority, McNeil Project, Series E, Rev., NATL-RE, 5.250%, 07/01/14		40
		Virginia — 1.5%
		General Obligation — 1.1%
	150	Loudoun County, Public Improvement, Series A, GO, 5.000%, 07/01/16		179
		Other Revenue — 0.4%
	50	Virginia College Building Authority, 21st Century College, Rev., 5.000%, 02/01/23		59
		Total Virginia		238
		Washington — 2.6%
		General Obligation — 2.3%
	25	Snohomish County School District No. 2 Everett, GO, NATL-RE, FGIC, 5.000%, 12/01/16		30
	280	State of Washington, Various Purpose, Series 2010A, GO, 5.000%, 08/01/19		334
				364

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		Transportation — 0.2%
	25	Port of Seattle, Intermediate Lien, Series A, Rev., NATL-RE, 5.000%, 03/01/15		28
		Utility — 0.1%
	20	Energy Northwest, Project 1, Series D, Rev., 5.000%, 07/01/16		24
		Total Washington		416
		Wisconsin — 4.5%
		General Obligation — 2.4%
	50	Northland Pines School District, GO, AGM, 5.000%, 04/01/12		53
	300	State of Wisconsin, Series 1, GO, 4.000%, 11/01/13		329
				382
		Other Revenue — 2.1%
	300	State of Wisconsin, Series A, Rev., 5.000%, 07/01/26		331
		Total Wisconsin		713
		Total Municipal Bonds (Cost $14,155)		14,869
SHARES
	Short-Term Investment — 8.6%
		Investment Company — 8.6%
	1,362	JPMorgan Tax Free Money Market Fund, Institutional Class Shares, 0.150% (b) (l) (m) (Cost $1,362)		1,362
		Total Investments — 102.0% (Cost $15,517)		16,231
		Liabilities in Excess of Other Assets — (2.0)%		(316	)
		NET ASSETS — 100.0%	$	15,915

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 15

JPMorgan Tax Aware Real Return SMA Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

Inflation-Linked Swaps
	RATE TYPE (r)
SWAP COUNTERPARTY	PAYMENTS MADE BY THE FUND	PAYMENTS RECEIVED BY THE FUND	TERMINATION DATE		NOTIONAL AMOUNT		VALUE			UPFRONT PREMIUMS (PAID)/ RECEIVED [1]
Barclays Bank plc	2.573% at termination	CPI-U at termination		01/15/14	$	1,000	$	(79	)	$	—
Barclays Bank plc	2.610% at termination	CPI-U at termination		03/19/15		1,500		(127	)		—
Barclays Bank plc	2.675% at termination	CPI-U at termination		10/12/15		500		(42	)		—
Barclays Bank plc	2.095% at termination	CPI-U at termination		05/24/16		5,000		(91	)		—
Citibank, N.A.	1.470% at termination	CPI-U at termination		08/26/15		1,000		14			—
Royal Bank of Scotland	2.740% at termination	CPI-U at termination		07/31/13		1,000		(96	)		—
Royal Bank of Scotland	2.620% at termination	CPI-U at termination		06/28/25		1,000		15			—
							$	(406	)	$	—

[1] Upfront premiums generally relate to payments made or received at the initiation of the agreement to compensate the differences between the stated terms of the swap agreement and current market conditions (credit spreads, interest rates and other relevant factors).

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

J.P. Morgan SMA Funds

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

AGM	—  Insured by Assured Guaranty Municipal Corp.
AMBAC	—  Insured by American Municipal Bond Assurance Corp.
COP	—  Certificate of Participation
CVA	—  Dutch Certification
FGIC	—  Insured by Financial Guaranty Insurance Co.
GDR	—  Global Depositary Receipt
GO	—  General Obligation
GTD	—  Guaranteed
NATL	—  Insured by National Public Finance Guarantee Corp.
PSF	—  Permanent School Fund
Q-SBLF	—  Qualified School Bond Loan Fund
RE	—  Reinsured
Rev.	—  Revenue
XLCA	—  Insured by XL Capital Assurance
(a)	Non-income producing security.
(b)	Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
For the JPMorgan International Value SMA Fund, the value and percentage, based on total investments, of the investments that apply the fair valuation policy for the international investments as described in Note 2.A, are approximately $176,336,000 and 93.7%, respectively.

(l)	The rate shown is the current yield as of October 31, 2010.
(m)	All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
(p)	Security is prerefunded or escrowed to maturity.
(r)	Rates shown are per annum and payments are as described.
(t)	The date shown represents the earliest of the prerefunded date, next put date or final maturity date.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 17

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	International Value SMA Fund			Tax Aware Real Return SMA Fund
ASSETS:
Investments in non-affiliates, at value	$	182,513		$	14,869
Investments in affiliates, at value		5,700			1,362
Total investment securities, at value		188,213			16,231
Cash		10			—
Foreign currency, at value		7			—
Receivables:
Investment securities sold		1,635			—
Fund shares sold		562			—
Interest and dividends		609			189
Tax reclaims		54			—
Outstanding swap contracts, at value		—			29
Due from Advisor		34			17
Total Assets		191,124			16,466
LIABILITIES:
Payables:
Dividends		—			38
Investment securities purchased		3,386			—
Fund shares redeemed		71			5
Variation margin on futures contracts		10			—
Outstanding swap contracts, at value		—			435
Accrued liabilities:
Custodian and accounting fees		26			1
Trustees’ and Chief Compliance Officer’s fees		1			—	(a)
Professional fees		46			45
Other		15			27
Total Liabilities		3,555			551
Net Assets	$	187,569		$	15,915
NET ASSETS:
Paid in capital	$	186,074		$	15,659
Accumulated undistributed net investment income		3,383			—	(a)
Accumulated net realized gains (losses)		(32,653	)		(52	)
Net unrealized appreciation (depreciation)		30,765			308
Total Net Assets	$	187,569		$	15,915
Outstanding units of beneficial interest (shares)
($0.0001 par value; unlimited number of shares authorized):		15,249			1,516
Net asset value, offering and redemption price per share	$	12.30		$	10.50
Cost of investments in non-affiliates	$	151,761		$	14,155
Cost of investments in affiliates		5,700			1,362
Cost of foreign currency		7			—

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	International Value SMA Fund			Tax Aware Real Return SMA Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	—		$	390
Dividend income from non-affiliates		3,928			—
Dividend income from affiliates		7			1
Foreign taxes withheld		(392	)		—
Total investment income		3,543			391
EXPENSES:
Administration fees		174			12
Custodian and accounting fees		117			33
Collateral management fees		—			2
Interest expense to affiliates		—	(a)		—
Professional fees		65			69
Trustees’ and Chief Compliance Officer’s fees		2			—	(a)
Printing and mailing costs		15			44
Registration and filing fees		41			20
Transfer agent fees		34			1
Other		5			5
Total expenses		453			186
Less amounts waived		(174	)		(12	)
Less earnings credits		—			—	(a)
Less expense reimbursements		(279	)		(174	)
Net expenses		—			—
Net investment income (loss)		3,543			391
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		6,737			(8	)
Futures		185			—
Foreign currency transactions		66			—
Swaps		—			(45	)
Net realized gain (loss)		6,988			(53	)
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		14,670			356
Futures		104			—
Foreign currency translations		(13	)		—
Swaps		—			(135	)
Change in net unrealized appreciation (depreciation)		14,761			221
Net realized/unrealized gains (losses)		21,749			168
Change in net assets resulting from operations	$	25,292		$	559

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 19

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	International Value SMA Fund						Tax Aware Real Return SMA Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	3,543		$	2,785		$	391		$	293
Net realized gain (loss)		6,988			(23,243	)		(53	)		10
Change in net unrealized appreciation (depreciation)		14,761			51,344			221			592
Change in net assets resulting from operations		25,292			30,886			559			895
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		(2,805	)		(2,173	)		(392	)		(292	)
From net realized gains		—			—			(8	)		—
Total distributions to shareholders		(2,805	)		(2,173	)		(400	)		(292	)
CAPITAL TRANSACTIONS:
Proceeds from shares issued		91,032			126,833			6,270			4,474
Dividends and distributions reinvested		955			294			—			—
Cost of shares redeemed		(96,610	)		(54,293	)		(816	)		(2,115	)
Change in net assets from capital transactions		(4,623	)		72,834			5,454			2,359
NET ASSETS:
Change in net assets		17,864			101,547			5,613			2,962
Beginning of period		169,705			68,158			10,302			7,340
End of period	$	187,569		$	169,705		$	15,915		$	10,302
Accumulated undistributed net investment income	$	3,383		$	2,579		$	—	(a)	$	1
SHARE TRANSACTIONS:
Issued		8,187			14,113			597			439
Reinvested		87			36			—			—
Redeemed		(8,736	)		(6,555	)		(77	)		(217	)
Change in Shares		(462	)		7,594			520			222

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 21

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income
International Value SMA Fund
Year Ended October 31, 2010	$	10.80	$	0.22		$	1.45		$	1.67		$	(0.17	)
Year Ended October 31, 2009		8.40		0.26	(f)		2.38			2.64			(0.24	)
Year Ended October 31, 2008		16.47		0.29			(8.33	)		(8.04	)		(0.03	)
August 17, 2007 (g) through October 31, 2007		15.00		—	(h)		1.47			1.47			—

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Reflects the fact that no fees or expenses are incurred. The Funds are an integral part of “separately managed accounts” programs sponsored by investment advisors and/or broker-dealers unaffiliated with the Funds and the Investment Advisor. Participants in these programs pay a fee to the sponsor of the program.

(e) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(f) Calculated based upon average shares outstanding.

(g) Commencement of operations.

(h) Amount rounds to less than $0.01.

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (b)(c)			Net assets, end of period (000’s)		Net expenses (d)(e)			Net investment income (loss) (d)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	12.30		15.67	%	$	187,569		—	%		1.89	%		0.24	%		85	%
	10.80		32.28			169,705		—			2.86			0.35			119
	8.40		(48.89	)		68,158		—			3.03			0.33			115
	16.47		9.80			24,810		—			0.26			14.79			10

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 23

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

	Per share operating performance
			Investment operations								Distributions
	Net asset value, beginning of period		Net investment income (loss)		Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Net realized gain			Total distributions
Tax Aware Real Return SMA Fund
Year Ended October 31, 2010	$	10.34	$	0.32	$	0.17		$	0.49		$	(0.32	)	$	(0.01	)	$	(0.33	)
Year Ended October 31, 2009		9.49		0.38		0.85			1.23			(0.38	)		—			(0.38	)
Year Ended October 31, 2008		10.14		0.38		(0.65	)		(0.27	)		(0.38	)		—	(f)		(0.38	)
May 31, 2007 (g) through October 31, 2007		10.00		0.16		0.14			0.30			(0.16	)		—			(0.16	)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Reflects the fact that no fees or expenses are incurred. The Funds are an integral part of “separately managed accounts” programs sponsored by investment advisors and/or broker-dealers unaffiliated with the Funds and the Investment Advisor. Participants in these programs pay a fee to the sponsor of the program.

(e) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(f) Amount rounds to less than $0.01.

(g) Commencement of operations.

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
					Ratios to average net assets (a)
Net asset value, end of period		Total return (b)(c)			Net assets end of period (000’s)		Net expenses (d)(e)			Net investment income (loss) (d)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	10.50		4.77	%	$	15,915		—	%		3.08	%		1.46	%		4	%
	10.34		13.15			10,302		—			3.76			1.50			32
	9.49		(2.86	)		7,340		—			3.83			2.84			37
	10.14		3.06			2,911		—			4.03			21.57			12

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 25

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following are 2 separate funds of the Trust (collectively, the “Funds”) covered by this report:

	Diversified/Non-Diversified
International Value SMA Fund	Non-Diversified
Tax Aware Real Return SMA Fund	Diversified

Effective February 28, 2010, the Tax Aware Real Return SMA Fund changed from non-diversified to diversified.

Shares of the Funds may be purchased only by or on behalf of separately managed accounts where J.P. Morgan Investment Management Inc. serves as the investment advisor or subadvisor to the account with the separately managed account sponsor or directly with the client. Fund shares may not be purchased directly by individuals.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

26 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

The following tables represent each valuation input by sector as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
International Value SMA Fund
Total Investments in Securities #	$	11,877		$	176,336		$	—	$	188,213
Depreciation in Other Financial Instruments
Futures Contracts	$	(10	)	$	—		$	—	$	(10	)
Tax Aware Real Return SMA Fund
Total Investments in Securities ##	$	1,362		$	14,869		$	—	$	16,231
Appreciation in Other Financial Instruments
Inflation-Linked Swaps	$	—		$	29		$	—	$	29
Depreciation in Other Financial Instruments
Inflation-Linked Swaps	$	—		$	(435	)	$	—	$	(435	)

# Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a common stock held in Canada and a money market mutual fund that is held for daily investments of cash. Please refer to the SOI for country specifics of the portfolio holdings.

## Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a money market mutual fund that is held for daily investments of cash. Please refer to the SOI for industry specifics of the portfolio holdings.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Futures Contracts — The International Value SMA Fund uses index futures contracts to gain or reduce exposure to the stock market, maintain liquidity and minimize transaction costs. The Fund buys futures contracts to immediately invest incoming cash in the market or sell futures in response to cash outflows, thereby simulating an invested position in the underlying index while maintaining a cash balance for liquidity. The use of futures contracts exposes the Fund to equity price risk.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

The table below discloses the volume of the Fund’s derivatives activities as of October 31, 2010 (amounts in thousands):

	International Value SMA Fund
Futures Contracts:
Average Notional Balance Long	$	2,512
Ending Notional Balance Long		2,641

C. Swaps — The Tax Aware Real Return SMA Fund uses inflation-linked swaps to provide inflation protection within its portfolio. These transactions are negotiated contracts between the Fund and a counterparty to exchange cash flows at specified, future intervals.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 27

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The notional value of these swaps increased during the period, with the increase in the Fund’s net assets as follows (amounts in thousands):

Interest Rate-Related Swaps (Inflation-Linked Swaps):
Average Notional Balance — Pays Fixed Rate	$	7,692
Ending Notional Balance — Pays Fixed Rate	$	11,000

The use of swaps exposes the Fund to interest rate risk. The Fund also may be subject to various risks from the use of swaps including: (i) the risk that changes in the value of the swap may not correlate perfectly with the underlying rate; (ii) counterparty credit risk related to the failure, by the counterparty to the swap, to perform under the terms of the contract; (iii) liquidity risk related to the lack of a liquid market for these contracts allowing the fund to close out its position(s); and, (iv) documentation risk relating to disagreement over contract terms.

Counterparty credit risk may be mitigated to the extent a counterparty posts collateral for mark to market gains to the Fund.

The value of a swap agreement is recorded as either an asset or a liability on the Statements of Assets and Liabilities at the beginning of the measurement period. The change in value of swaps, including accruals of periodic amounts of interest to be paid or received on swaps, is recognized as unrealized appreciation or depreciation in the Statements of Operations. A realized gain or loss is recorded upon payment or receipt of a periodic payment or payment made upon termination of a swap agreement.

The Fund may be required to post collateral in the form of cash or securities which is held in segregated accounts with a fund’s custodian bank.

Daily movement of collateral is subject to minimum threshold amounts.

D. Summary of Derivative Information

The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statements of Assets and Liabilities (amounts in thousands):

International Value SMA Fund

Derivative Contract	Statement of Assets and Liabilities Location
Liabilities:		Futures Contracts (a)
Equity contracts	Payables, Net Assets — Unrealized Depreciation	$	(10	)
Total		$	(10	)

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the SOI. The Statement of Assets and Liabilities only reflects the current day variation margin receivable/payable to brokers.

Tax Aware Real Return SMA Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Swaps
Interest rate contracts	Receivables	$	29
Total		$	29
Liabilities:
Interest rate contracts	Payables	$	(435	)
Total		$	(435	)

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

International Value SMA Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Forward Foreign Currency Exchange Contracts			Total
Foreign exchange contracts	$	—	$	—	(b)	$	—	(b)
Equity contracts		185		—			185
Total	$	185	$	—	(b)	$	185

(b) Amounts rounds to less than $1,000.

28 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts		Total
Equity contracts	$	104	$	104
Total	$	104	$	104

Tax Aware Real Return SMA Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Swaps			Total
Interest rate contracts	$	(45	)	$	(45	)
Total	$	(45	)	$	(45	)

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Swaps			Total
Interest rate contracts	$	(135	)	$	(135	)
Total	$	(135	)	$	(135	)

The Funds’ derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

E. Foreign Currency Translation — The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Funds are presented at the foreign exchange rates and market values at the close of the period, the Funds do not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on each Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

F. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

G. Allocation of Expenses — Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds.

H. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years remains subject to examination by the Internal Revenue Service.

I. Foreign Taxes — The Funds may be subject to foreign taxes on income, gains on investments or currency repatriation, a portion of which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon their current interpretation of tax rules and regulations that exist in the markets in which they invest.

J. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid annually for International Value SMA Fund and monthly for Tax Aware Real Return SMA Fund. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 29

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital		Accumulated Undistributed/ (Overdistributed) Net Investment Income			Accumulated Net Realized Gain (Loss) on Investments
International Value SMA Fund	$	—	$	66		$	(66	)
Tax Aware Real Return SMA Fund		—		—	(a)		—	(a)

(a) Amounts rounds to less than $1,000.

The reclassifications for the International Value SMA Fund relate primarily to foreign currency gains or losses.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Funds. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor does not charge an advisory fee to the Funds. It should be understood, however, that the Funds are an integral part of separately managed account programs. Participants in these programs pay a fee to the sponsor of the program. The Advisor will be compensated directly or indirectly by the separately managed account sponsors.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of each Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Funds’ shares. The Distributor receives no compensation in its capacity as the Funds’ underwriter.

D. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. International Value SMA Fund earns interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statements of Operations. For Tax Aware Real Return SMA Fund, the custodian fees may be reduced by credits earned by the Fund, based on uninvested cash balances held by the custodian. Such earnings credits are presented separately in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

E. Collateral Management Fees — JPMCB provides derivatives collateral management services for Tax Aware Real Return SMA Fund. The amounts paid directly to JPMCB by the Fund for these services are included in Collateral Management fees on the Statement of Operations.

F. Waivers and Reimbursements — No expenses or fees (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes and extraordinary expenses) are borne by the Funds pursuant to contractual arrangements with the Advisor through February 28, 2011.

For the year ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for each of the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and reimbursed expenses in future years.

	Contractual Waivers				Contractual Reimbursements
	Administration		Total
International Value SMA Fund	$	174	$	174	$	279
Tax Aware Real Return SMA Fund		12		12		174

G. Other — The Funds may invest in one or more Money Market Funds advised by the Advisor or its affiliates.

Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

30 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to accordance with the Plan performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, certain Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the year ended October 31, 2010, the Funds did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has (“SEC”) granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
International Value SMA Fund	$	152,562	$	150,718
Tax Aware Real Return SMA Fund		5,083		472

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
International Value SMA Fund	$	159,770	$	31,914	$	3,471	$	28,443
Tax Aware Real Return SMA Fund		15,517		736		22		714

For International Value SMA Fund, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Total Distributions Paid From:				Net Long-Term Capital Gains		Total Distributions Paid
	Ordinary Income		Tax-Exempt Distributions
International Value SMA Fund	$	2,805	$	—	$	—	$	2,805
Tax Aware Real Return SMA Fund		—		392		8		400

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

	Total Distributions Paid From:				Total Distributions Paid
	Ordinary Income		Tax-Exempt Distributions
International Value SMA Fund	$	2,173	$	—	$	2,173
Tax Aware Real Return SMA Fund		—		292		292

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 31

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Tax-Exempt Income		Current Distributable Long-Term Capital Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
International Value SMA Fund	$	3,382	$	—	$	(30,349	)	$	28,461
Tax Aware Real Return SMA Fund		—		38		(53	)		308

For the Funds, the cumulative timing differences primarily consist of wash sale loss deferrals (for International Value SMA Fund) and distributions payable (for Tax Aware Real Return SMA Fund).

As of October 31, 2010, the Funds had net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2016		2017		2018		Total
International Value SMA Fund	$	7,551	$	22,798	$	—	$	30,349
Tax Aware Real Return SMA Fund		—		—		53		53

During the year ended October 31, 2010, International Value SMA Fund utilized approximately $6,085,000 of capital loss carryforwards.

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Funds because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

International Value SMA Fund may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year depending on the Fund. Such concentrations may subject the Fund to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the International Value SMA Fund’s net assets consist of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of, and investment income, from such securities.

As of October 31, 2010, International Value SMA Fund invested approximately 28.6% of its total investments in Japan.

The Funds each have several shareholders, which are accounts maintained by financial intermediaries on behalf of their clients, that own significant portions of the Funds’ outstanding shares. Significant shareholder transactions, if any, may impact the Funds’ performance.

Tax Aware Real Return SMA Fund invests substantially all of its assets in a diversified portfolio of debt obligations issued by states, territories and possessions of the United States and by the District of Columbia, and by their political subdivisions and duly constituted authorities. An issuer’s ability to meet its payment obligations may be affected by economic or political developments in a specific state or region. These debt obligations may

32 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

be insured by private insurers who guarantee the payment of principal and interest in the event of issuer default. The value of these investments may be impacted by changes to bond insurers’ ratings and a fund’s ability to collect principal and interest, in the event of an issuer’s default, may be limited if the private insurer does not have the wherewithal to satisfy its obligation.

Tax Aware Real Return SMA Fund is party to various derivative contracts governed by International Swaps and Derivatives Association Master Agreements (“ISDA agreements”). The Fund’s ISDA agreements, which are separately negotiated with each dealer counterparty, may contain provisions allowing, absent other considerations, a counterparty to exercise rights, to the extent not otherwise waived, against the Fund in the event the Fund’s net assets decline over time by a pre-determined percentage or fall below a pre-determined floor. The ISDA agreements also contain provisions, absent other conditions, the Fund to exercise rights, to the extent not otherwise waived, against the counterparties (i.e. decline in a counterparty’s credit rating below a specified level). Such rights for both the counterparty and Fund often include the ability to terminate (i.e. close out) open contracts at prices which may favor the counterparty, which could have an adverse effect on the Fund.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 33

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of the JPMorgan International Value SMA Fund and JPMorgan Tax Aware Real Return SMA Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan International Value SMA Fund and JPMorgan Tax Aware Real Return SMA Fund (each a separate Fund of JPMorgan Trust I) (hereafter collectively referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 20, 2010

34 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll-Rand Company (manufacturer of industrial equipment) (1972-2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985-present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).		141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).		141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).		141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).		141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).		141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).		141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 35

TRUSTEES

(Unaudited) (continued)

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000-present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

36 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003-2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 37

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs and (2) ongoing costs, including administration fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Fund at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Fund under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Fund in the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Fund in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010†*		Annualized Expense Ratio†
International Value SMA Fund
Actual	$	1,000.00	$	1,064.90	$	0.00		0.00	%
Hypothetical		1,000.00		1,025.21		0.00		0.00
Tax Aware Real Return SMA Fund
Actual		1,000.00		1,018.00		0.00		0.00
Hypothetical		1,000.00		1,025.21		0.00		0.00

† Reflects the fact that no fees or expenses are borne by the Funds. The Funds are an integral part of “separately managed accounts” programs sponsored by investment advisors and/or broker-dealers unaffiliated with the Funds and the Investment Advisor. Participants in these programs pay a fee to the sponsor of the program.

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

38 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of each of the investment advisory agreements for the Funds whose annual report is contained herein (each an “Advisory Agreement” and collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreements or any of their affiliates, approved the continuation of each Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Funds’ performance compared to the performance of the Funds’ peers and benchmarks and analyses by the Advisor of the Funds’ performance. In addition, the Trustees have engaged an independent consultant to report on the performance of each of the Funds at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Funds’ expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreements with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees

discussing the legal standards for their consideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve each Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that to the overall arrangement between the Funds and the Advisor, as provided in each Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of each Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to each Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to each Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of each Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of each Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of each of the Funds. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Funds gained from their experience as Trustees of the Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the Advisor’s integrity and the Advisor’s

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 39

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

responsiveness to concerns raised by them, including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to each Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Funds by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees noted that there was no advisory fee charged to the Funds. The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to each of the Funds. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Funds, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of each of the Advisory Agreements was not unreasonable in light of the services and benefits provided to each Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Funds. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for these Funds.

The Trustees also considered that JPMFM earns fees from the Funds for providing administrative services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services. In addition, the Trustees considered that the Advisor receives fees from sponsors of separately managed accounts that are invested in the Funds.

Economies of Scale

The Trustees noted that there was not an investment advisory fee charged to the Funds. The Trustees considered whether it

would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Funds’ Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the International Value SMA Fund and Tax Aware Real Return SMA Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the Advisory Agreement or management fees including administrative fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreements.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of each Fund. The Trustees also considered the complexity of investment management for the Funds relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees further noted that the overall fee structure of the Funds as compared to the Advisor’s other clients was reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in each Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed each Fund’s performance

40 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and also considered the special analysis that was done by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to each Fund’s performance for certain representative classes are summarized below:

The Trustees noted that the International Value SMA Fund’s performance was in the second quintile for the one-year period ended December 31, 2009. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Tax Aware Real Return SMA Fund’s performance was in the first quintile for the one-year period ended December 31, 2009. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Funds are not charged a separate investment advisory fee by the Advisors. The Trustees considered the contractual advisory fee rate paid by each Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper

category as each Fund. The Trustees recognized that Lipper reported each Fund’s management fee rate as the combined contractual advisory fee (which is 0.00%) and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for each Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for each Fund and considered the expense of the Fund after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of expense ratios because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of each Fund’s expense ratios for certain representative classes are summarized below:

The Trustees noted that the International Value SMA Fund’s contractual advisory fee was 0.00% and that the actual total expenses were in the first quintile, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Tax Aware Real Return SMA Fund’s contractual advisory fee was 0.00% and that the actual total expenses were in the first quintile, of its Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 41

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Funds’ income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Long Term Capital Gain Designation — 15%

Each Fund hereby designates the following amount as long-term capital gain distributions for the purpose of the dividend paid deduction on its respective tax return for the fiscal year ended October 31, 2010 (amounts in thousands):

	Long-Term Capital Gain Distribution
Tax Aware Real Return SMA Fund	$	8

Qualified Dividend Income (QDI)

For the fiscal year ended October 31, 2010, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%. The following represents the amount of ordinary income distributions treated as qualified dividends (amounts in thousands):

	Qualified Dividend Income
International Value SMA Fund	$	3,033

Tax-Exempt Income

The following represents the percentage of distributions paid from net investment income that are exempt from federal income tax for the fiscal year ended October 31, 2010:

	Exempt Distributions Paid
Tax Aware Real Return SMA Fund		100	%

42 J.P. MORGAN SMA FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 J.P. MORGAN SMA FUNDS 43

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-SMA-1010

Annual Report

J.P. Morgan Specialty Funds

October 31, 2010

JPMorgan International Realty Fund

JPMorgan Strategic Preservation Fund

CONTENTS

CEO’s Letter	1
Fund Commentaries:
JPMorgan International Realty Fund	2
JPMorgan Strategic Preservation Fund	6
Schedules of Portfolio Investments	9
Financial Statements	18
Financial Highlights	24
Notes to Financial Statements	28
Report of Independent Registered Public Accounting Firm	38
Trustees	39
Officers	41
Schedule of Shareholder Expenses	42
Board Approval of Investment Advisory Agreements	43
Tax Letter	46
Privacy Policy	47

Investments in a Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of a Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Funds’ prospectus for a discussion of the Funds’ investment objectives, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about a Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

NOVEMBER 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe

and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE₂ promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 1

JPMorgan International Realty Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class R5 Shares, without a sales charge)*	18.37%
Morgan Stanley Capital International (“MSCI”) Europe, Australasia, and Far East (“EAFE”) Index	8.36%
FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance	15.49%
Net Assets as of 10/31/2010 (In Thousands)	$72,562

INVESTMENT OBJECTIVE**

The JPMorgan International Realty Fund (the “Fund”) will seek to provide long-term capital growth.

HOW DID THE REAL ESTATE SECURITIES MARKET PERFORM?

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Risk aversion returned in April 2010 amid concerns about the threat of systemic fallout from Europe’s debt crisis, causing stock prices to decline before better-than-expected economic data and the U.S. Federal Reserve’s accommodative policy fueled a rally in September and October. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation between regions and countries.

The international real estate securities market, while finishing the reporting period higher, also saw a wide divergence in returns across regions. European real estate securities underperformed amid investors’ concerns that European banks exposed to sovereign default risk would reign in lending. Real estate securities are more tied to the conditions in credit markets than other investments because they are required to pay out a significant amount of their retained earnings in dividends and need access to affordable credit to refinance their debt. Accordingly, real estate securities outperformed in Japan as the country’s credit market, which had lagged the rest of the world’s recovery, showed signs of improvement during the reporting period. Canadian real estate securities were also strong, helped by the country’s economic strength.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class R5 Shares, without a sales charge) outperformed the MSCI EAFE Index and the FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance Index for the twelve months ended October 31, 2010.

On April 1, 2010, the Fund’s secondary benchmark changed from the GPR 250 Global (ex United States) Index to the FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance Index (the “Real Estate Securities Benchmark”).

Strong security selection in Japan was the main driver of the Fund’s outperformance versus the Real Estate Securities Benchmark. This positive contribution was partially offset by the Fund’s underweight position in Canada.

In Japan, investors’ optimism about the country’s improving credit markets benefited many of the Fund’s holdings, including Kenedix Realty Investment Corp. and Tokyu REIT, Inc., which were among the Fund’s largest individual contributors to relative performance. In addition, Tokyu REIT, Inc. raised its forecast for operating income.

The Fund’s overweight position in Singapore-based CapitaCommercial Trust also contributed to the Fund’s relative performance, as the commercial real estate investment trust benefited from strong economic growth in Singapore.

On the negative side, the Fund’s underweight position in Brookfield Properties Corp. was among the largest detractors from relative performance. Brookfield Properties is a Canada-based real estate company that owns several office buildings in downtown Manhattan and benefited from the rebound in New York City’s commercial real estate market. Not owning Canada-based H&R Real Estate Investment Trust also hurt the Fund’s relative performance as it was a strong performer in the Real Estate Securities Benchmark. The Fund’s overweight position in London-based Segro plc also detracted from relative performance. Segro plc provides flexible business space in Europe and declined on concerns surrounding the potential fallout from Europe’s debt crisis.

HOW WAS THE FUND POSITIONED?

During the reporting period, the Fund’s portfolio managers utilized J.P. Morgan’s network of real estate securities specialists, global economists, equity and fixed income research analysts, and real estate investors to develop a sustainable information advantage. They projected long-term cash flow for each company and valued real estate securities using a proprietary dividend discount model. As a result of this process, the Fund’s largest country overweights relative to the Real Estate Securities Benchmark were in the Netherlands and Japan. The Fund’s largest country underweights relative to the Real Estate Securities Benchmark were in Canada and Switzerland.

2 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

TOP TEN EQUITY HOLDINGS OF THE PORTFOLIO***
	1.	Sun Hung Kai Properties Ltd. (Hong Kong)	8.6	%
	2.	Westfield Group (Australia)	6.3
	3.	Unibail-Rodamco SE (France)	5.4
	4.	Mitsui Fudosan Co., Ltd. (Japan)	4.2
	5.	Hongkong Land Holdings Ltd. (Hong Kong)	3.6
	6.	CapitaLand Ltd. (Singapore)	3.4
	7.	Sino Land Co., Ltd. (Hong Kong)	3.2
	8.	China Overseas Land & Investment Ltd. (Hong Kong)	3.0
	9.	Hang Lung Properties Ltd. (Hong Kong)	2.9
	10.	British Land Co. plc (United Kingdom)	2.6

PORTFOLIO COMPOSITION BY COUNTRY***
Hong Kong	27.8	%
Japan	17.8
Australia	14.1
United Kingdom	8.5
France	7.8
Singapore	6.8
Canada	6.3
Netherlands	4.9
Finland	1.6
Belgium	1.5
Sweden	1.3
Others (each less than 1.0%)	1.6

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 3

JPMorgan International Realty Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		11/30/06
Without Sales Charge				17.90	%		(10.71	)%		(5.09	)%
With Sales Charge*				11.70			(12.30	)		(6.39	)
CLASS C SHARES		11/30/06
Without CDSC				17.20			(11.16	)		(5.57	)
With CDSC**				16.20			(11.16	)		(5.57	)
CLASS R5 SHARES		11/30/06		18.37			(10.29	)		(4.65	)
SELECT CLASS SHARES		11/30/06		18.16			(10.49	)		(4.86	)

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (11/30/06 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on November 30, 2006.

The graph illustrates comparative performance for $10,000 invested in Class R5 Shares of the JPMorgan International Realty Fund, MSCI EAFE Index, FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance, GPR 250 Global (ex United States) Index and Lipper International Real Estate Funds Average from November 30, 2006 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the MSCI EAFE Index does not reflect the deduction of expenses or sales charges associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The performance of the FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance and GPR 250 Global (ex United States) Index does not reflect the deduction of expenses or sales charges associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmarks. The performance of the Lipper International Real Estate Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of

developed markets, excluding the U.S. and Canada. The FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance is a subset of the FTSE EPRA/NAREIT Developed Index, where the FTSE EPRA/NAREIT Developed Index is designed to track the performance of listed real estate companies and REITS worldwide, and the FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance excludes all US companies and is net of withholding tax from the perspective of a U.S. investor. All index constituents are fully free float adjusted in accordance with FTSE’s index rules, to reflect the actual availability of stock in the market for public investment. Each FTSE constituent weighting is adjusted to reflect restricted shareholdings and foreign ownership to ensure an accurate representation of investable market capitalization. The GPR 250 Global (ex United States) Index is a subset of the GPR 250 Property Securities Index, where the GPR 250 Property Securities Index consists of the 250 most liquid property companies worldwide and uses the tradeable market capitalizations of these companies as index weights and the GPR 250 Global (ex United States) Index excludes all US companies. The GPR 250 Global (ex United States) Index returns are calculated net of withholding tax. The Fund’s secondary benchmark changed from the GPR 250 Global (ex United States) Index to the FTSE EPRA/NAREIT Developed ex US Net of Tax US Tax Stance because the Advisor believes the new benchmark more accurately reflects the Fund’s investment strategy. The Lipper International Real Estate Funds Average is an index based on the total returns of certain mutual funds within the Fund’s designated category as determined by Lipper Inc. Investors cannot invest directly in an index.

Class R5 Shares have no minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

4 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 5

JPMorgan Strategic Preservation Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		5.58%
BofA Merrill Lynch 3-Month U.S. Treasury Bill Index		0.12%
Net Assets as of 10/31/2010 (In Thousands)	$	121,111

INVESTMENT OBJECTIVE**

The JPMorgan Strategic Preservation Fund (the “Fund”) seeks to provide a total return from a diversified portfolio of stocks and bonds.

HOW DID THE MARKET PERFORM?

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered in the third quarter of 2010 and into October 2010 amid strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve and the Bank of Japan. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries. Emerging markets stocks were bolstered by strong gross domestic product (GDP) growth in most developing countries, as the Morgan Stanley Capital International (“MSCI”) Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period, outperforming the MSCI Europe, Australasia, and Far East (“EAFE”) Index’s 8.36% gain and the S&P 500 Index’s 16.52% return.

In fixed income markets, yields for U.S. Treasuries fell, sending their prices higher (generally, bond prices increase when yields decline). Meanwhile, the supply/demand backdrop continued to be favorable in the non-agency mortgage-backed security market, outweighing concerns about the fundamentals of the housing market. Supply for non-agency mortgage-backed securities continued to decline, while demand was strong due to the sector’s high yield relative to other areas of the fixed income market. This favorable environment helped support the non-agency mortgage market.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the BofA Merrill Lynch 3-Month U.S. Treasury Bill

Index (the “Benchmark”) for the twelve months ended October 31, 2010. While the majority of the Fund was invested in U.S. Treasury securities and sovereign debt, the Fund’s outperformance versus the Benchmark was largely due to the tactical adjustments to the Fund’s allocations to convertible bonds and equities (“equity exposure”). At the beginning of the reporting period, the Fund’s equity exposure was approximately 10%. The Fund’s portfolio managers began to increase this exposure as volatility stabilized, with the Fund’s equity exposure reaching nearly 30% in early March. As volatility returned to the market, the Fund’s portfolio managers decreased the Fund’s equity exposure, bringing it down to as low as 7% in May 2010 when investor fears surrounding the European debt crisis escalated. The Fund’s portfolio managers gradually increased the Fund’s equity exposure as market volatility stabilized and investor fears began to abate. The Fund’s equity exposure finished the reporting period at 18%.

The Fund also held a portion of its assets in cash, approximately 30% as of the end of the reporting period. This was a drag on the Fund’s return as yields from this short-term instrument were low during the reporting period.

HOW WAS THE FUND POSITIONED?

The Fund invested in global stocks, convertible bonds, fixed income instruments, cash and cash equivalents (which were made up mainly of U.S. Treasury Obligations). In terms of the Fund’s convertible bonds, extensive research was conducted to identify companies with solid underlying fundamentals whose bonds were deemed by the Fund’s portfolio managers to be attractively valued and mispriced by the market. The Fund’s portfolio managers increased the Fund’s exposure to convertible bonds, as attractive investment opportunities materialized during the reporting period. In addition, the Fund used currency forwards for the purposes of both currency hedging and taking active currency positions, the most recent example of the latter being a long position in the Norwegian krone versus a short U.S. dollar trade.

6 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

TOP TEN HOLDINGS OF THE PORTFOLIO***
	1.	U.S. Treasury Note, 2.375%, 02/28/15	6.2	%
	2.	Kreditanstalt fuer Wiederaufbau, Series DTE, 3.250%, 06/27/13 (Germany)	4.6
	3.	Inter-American Development Bank, 2.375%, 08/15/17 (Supranational)	4.5
	4.	International Bank for Reconstruction & Development, 1.125%, 08/25/14 (Supranational)	4.2
	5.	U.S. Treasury Note, 3.875%, 05/15/18	3.8
	6.	Finland Government Bond, 1.250%, 10/19/15 (Finland)	3.8
	7.	European Investment Bank, 2.750%, 03/23/15 (Supranational)	3.5
	8.	U.S. Treasury Bond, 7.500%, 11/15/16	3.0
	9.	Australia Government Bond, 5.791%, 08/20/20 (Australia)	3.0
	10.	U.S. Treasury Bond, 8.750%, 05/15/17	3.0

PORTFOLIO COMPOSITION BY COUNTRY***
United States	43.1	%
Supranational	12.2
Germany	7.1
Australia	5.5
France	4.8
Netherlands	4.8
United Kingdom	3.9
Finland	3.7
Switzerland	3.6
Canada	3.5
Hong Kong	1.9
Luxembourg	1.0
Others (each less than 1.0%)	4.9

* The return shown is based on net asset value calculated for share- holder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 7

JPMorgan Strategic Preservation Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		3/30/07
Without Sales Charge				5.58	%		0.04	%		1.51	%
With Sales Charge*				1.59			(1.24	)		0.44
CLASS C SHARES		3/30/07
Without CDSC				5.05			(0.46	)		1.00
With CDSC**				4.05			(0.46	)		1.00
CLASS R5 SHARES		3/30/07		6.04			0.48			1.95
SELECT CLASS SHARES		3/30/07		5.85			0.28			1.75

* Sales Charge for Class A Shares is 3.75%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (3/30/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on March 30, 2007.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Strategic Preservation Fund, the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index, the Strategic Preservation Composite Benchmark and the Lipper Global Flexible Portfolio Funds Index from March 30, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the BofA Merrill Lynch 3-Month U.S. Treasury Bill Index and the Strategic Preservation Composite Benchmark does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of the securities included in the benchmark. The performance of the Lipper Global Flexible Portfolio Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The BofA Merrill Lynch 3-Month U.S. Treasury Bill Index is comprised of a single issue purchased at the beginning of the month and held for a full month. Each month the index is rebal-anced and the issue selected is the outstanding Treasury Bill that matures closest to, but not beyond 3 months from the rebalancing date. The Strategic Preservation Composite Benchmark is a composite benchmark comprised of unmanaged indexes that includes 20% MSCI World Index, 50% Barclays Capital Global Aggregate Bond Index and 30%

BofA Merrill Lynch 3-Month U.S. Treasury Bill Index. The Lipper Global Flexible

Portfolio Funds Index represents the total returns of the funds in the indicated

category as defined by Lipper, Inc. The performance of the MSCI World Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and approximates the minimum possible dividend reinvestment of the securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to non-resident institutional investors who do not benefit from double taxation treaties. The Barclays Capital Global Aggregate Bond Index provides a broad-based measure of the global investment-grade fixed-rate debt markets. Investors cannot invest directly in an index.

Class A Shares have a $1,000 minimum initial investment and carries a 3.75% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

8 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

JPMorgan International Realty Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — 99.5%
		Australia — 14.1%
	1,299	BGP Holdings Beneficial Interest Share (a) (f) (i)		—
	673	CFS Retail Property Trust (m)		1,225
	1,224	Commonwealth Property Office Fund (m)		1,099
	1,229	Dexus Property Group		1,001
	1,364	Goodman Group		843
	229	GPT Group (m)		627
	242	Stockland		898
	374	Westfield Group (m)		4,549
				10,242
		Belgium — 1.5%
	2	Befimmo S.C.A. (m)		174
	6	Cofinimmo S.A. (m)		815
	2	Warehouses De Pauw S.C.A. (m)		109
				1,098
		Canada — 6.3%
	45	Artis REIT (m)		577
	74	Brookfield Properties Corp. (m)		1,276
	18	Canadian Apartment Properties REIT (m)		306
	21	Cominar Real Estate Investment Trust (m)		438
	59	First Capital Realty, Inc. (m)		885
	48	RioCan REIT (m)		1,078
				4,560
		China — 0.4%
	234	Agile Property Holdings Ltd. (m)		309
		Finland — 1.6%
	153	Sponda OYJ (m)		771
	64	Technopolis plc (m)		363
				1,134
		France — 7.8%
	5	Gecina S.A. (m)		656
	28	Klepierre (m)		1,097
	19	Unibail-Rodamco SE (m)		3,895
				5,648
		Germany — 0.4%
	12	DIC Asset AG (m)		122
	25	IVG Immobilien AG (a) (m)		191
				313
		Hong Kong — 27.7%
	19	Cheung Kong Holdings Ltd. (m)		290
	1,024	China Overseas Land & Investment Ltd. (m)		2,159
	466	China Resources Land Ltd. (m)		921
	434	Hang Lung Properties Ltd. (m)		2,129

SHARES			SECURITY DESCRIPTION	VALUE($)
			Hong Kong — Continued
	156		Henderson Land Development Co., Ltd. (m)		1,112
	377		Hongkong Land Holdings Ltd. (m)		2,603
	260		Link REIT (The) (m)		802
	210		New World Development Ltd. (m)		416
	1,100		Sino Land Co., Ltd. (m)		2,306
	361		Sun Hung Kai Properties Ltd. (m)		6,210
	178		Wharf Holdings Ltd. (m)		1,172
					20,120
			Japan — 17.8%
	—	(h)	Advance Residence Investment Corp. (a) (m)		282
	—	(h)	Frontier Real Estate Investment Corp. (m)		602
	—	(h)	Japan Excellent, Inc. (m)		622
	—	(h)	Japan Retail Fund Investment Corp. (m)		327
	—	(h)	Kenedix Realty Investment Corp. (m)		668
	99		Mitsubishi Estate Co., Ltd. (m)		1,734
	161		Mitsui Fudosan Co., Ltd. (m)		3,045
	—	(h)	Nippon Building Fund, Inc. (m)		1,685
	—	(h)	Nomura Real Estate Office Fund, Inc. (m)		554
	—	(h)	Nomura Real Estate Residential Fund, Inc. (m)		821
	—	(h)	Orix JREIT, Inc. (m)		488
	66		Sumitomo Realty & Development Co., Ltd. (m)		1,438
	—	(h)	Tokyu REIT, Inc. (m)		660
					12,926
			Netherlands — 4.9%
	15		Corio N.V. (m)		1,116
	34		Nieuwe Steen Investments Funds N.V. (m)		705
	20		Vastned Offices/Industrial N.V. (m)		339
	9		Vastned Retail N.V. (m)		638
	8		Wereldhave N.V. (m)		770
					3,568
			Norway — 0.4%
	152		Norwegian Property ASA (a) (m)		285
			Singapore — 6.8%
	345		CapitaCommercial Trust (m)		399
	819		CapitaLand Ltd. (m)		2,470
	372		CapitaMall Trust (m)		571
	57		City Developments Ltd. (m)		562
	127		Global Logistic Properties Ltd. (a) (m)		228
	200		Keppel Land Ltd. (m)		688
					4,918
			Sweden — 1.3%
	72		Castellum AB (m)		939

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 9

JPMorgan International Realty Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

SHARES		SECURITY DESCRIPTION	VALUE($)
	Common Stocks — Continued
		United Kingdom — 8.5%
	229	British Land Co. plc (m)		1,870
	122	Helical Bar plc (m)		634
	119	Land Securities Group plc (m)		1,289
	264	London & Stamford Property plc (m)		499
	111	Safestore Holdings plc (m)		232
	344	Segro plc (m)		1,633
				6,157
		Total Common Stocks (Cost $59,246)		72,217
NUMBER OF WARRANTS
		Warrant — 0.0% (g)
		Hong Kong — 0.0% (g)
	14	Henderson Land Development Co., Ltd., expiring 06/01/11 (a) (m) (Cost $—)		6
SHARES
	Short-Term Investment — 0.4%
		Investment Company — 0.4%
	300	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $300)		300
		Total Investments — 99.9% (Cost $59,546)		72,523
		Other Assets in Excess of Liabilities — 0.1%		39
		NET ASSETS — 100.0%	$	72,562

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Real Estate Management & Development		49.6	%
Diversified		26.2
Shopping Centers		13.5
Office Property		8.2
Apartments		1.9
Others (each less than 1.0%)		0.6

SEE NOTES TO FINANCIAL STATEMENTS.

10 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY	CURRENCY		COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
398,085   31,582,515		AUD for JPY	Societe Generale		12/14/10	$	393	#	$	388	#	$	(5	)
391,485  31,671,944		CAD for JPY	Union Bank of Switzerland AG		12/14/10		394	#		384	#		(10	)
4,639,404 49,800,706		HKD for JPY	Citibank, N.A.		12/14/10		619	#		599	#		(20	)
38,972,522   3,643,698		JPY for HKD	Union Bank of Switzerland AG		12/14/10		470	#		484	#		14
504,462    2,939,334		SGD for HKD	Morgan Stanley		12/14/10		380	#		390	#		10
507,878		AUD	BNP Paribas		12/14/10		487			495			8
704,189		AUD	Union Bank of Switzerland AG		12/14/10		656			686			30
1,614,823		CAD	Citibank, N.A.		12/14/10		1,566			1,582			16
1,063,081		CHF	Citibank, N.A.		12/14/10		1,060			1,081			21
344,816		EUR	Royal Bank of Scotland		12/14/10		485			480			(5	)
577,925		EUR	Westpac Banking Corp.		12/14/10		757			804			47
673,467		GBP	Deutsche Bank AG		12/14/10		1,037			1,079			42
5,729,704		HKD	Union Bank of Switzerland AG		12/14/10		738			739			1
37,933,700		JPY	Royal Bank of Scotland		12/14/10		467			471			4
52,985,905		JPY	Union Bank of Switzerland AG		12/14/10		619			658			39
1,007,177		SEK	Goldman Sachs International		12/14/10		140			150			10
607,174		SGD	Citibank, N.A.		12/14/10		462			469			7
621,992		SGD	Goldman Sachs International		12/14/10		465			481			16
						$	11,195		$	11,420		$	225

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 11

JPMorgan International Realty Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

CONTRACTS TO SELL	CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
734,285		AUD		Citibank, N.A.		12/14/10	$	677	$	715	$	(38	)
544,147		AUD		Royal Bank of Canada		12/14/10		504		530		(26	)
996,347		EUR		Deutsche Bank AG		12/14/10		1,279		1,386		(107	)
388,901		EUR		HSBC Bank, N.A.		12/14/10		505		541		(36	)
467,169		EUR		Royal Bank of Canada		12/14/10		650		650		—	(h)
408,953		EUR		Royal Bank of Scotland		12/14/10		537		569		(32	)
7,603,155		HKD		BNP Paribas		12/14/10		980		981		(1	)
21,267,653		HKD		Deutsche Bank AG		12/14/10		2,740		2,745		(5	)
5,843,178		HKD		HSBC Bank, N.A.		12/14/10		753		754		(1	)
85,774,804		JPY		Goldman Sachs International		12/14/10		1,030		1,066		(36	)
46,276,861		JPY		Royal Bank of Canada		12/14/10		541		575		(34	)
1,288,519		NOK		Goldman Sachs International		12/14/10		209		219		(10	)
							$	10,405	$	10,731	$	(326	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

JPMorgan Strategic Preservation Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE
	Common Stocks — 28.3%
			Canada — 1.7%
	26		Barrick Gold Corp. (m)		1,246
	47		Kinross Gold Corp. (m)		841
					2,087
			Denmark — 0.6%
	7		Carlsberg A/S, Class B (m)		763
			France — 1.6%
	10		Sanofi-Aventis S.A. (m)		688
	23		Total S.A. (m)		1,246
					1,934
			Germany — 1.1%
	20		Fresenius Medical Care AG & Co. (m)		1,294
			Hong Kong — 1.9%
	112		Esprit Holdings Ltd. (m)		602
	170		Hang Lung Properties Ltd.		834
	48		Sun Hung Kai Properties Ltd.		826
					2,262
			Ireland — 0.8%
	80		WPP plc		927
			Japan — 0.6%
	6		Daikin Industries Ltd.		216
	5		Nidec Corp.		513
					729
			Luxembourg — 1.0%
	38		ArcelorMittal		1,216
			Singapore — 0.1%
	26		Wilmar International Ltd.		129
			Switzerland — 1.2%
	13		Nestle S.A. (m)		718
	34		Xstrata plc		663
					1,381
			Taiwan — 0.2%
	68		Hon Hai Precision Industry Co., Ltd.		259
	—	(h)	MediaTek, Inc.		—	(h)
	—	(h)	Taiwan Semiconductor Manufacturing Co., Ltd.		—	(h)
					259
			United Kingdom — 3.8%
	23		BG Group plc		457
	47		British American Tobacco plc (m)		1,796
	12		Intercontinental Hotels Group plc		230
	13		Reckitt Benckiser Group plc		705
	22		Unilever plc		640

SHARES		SECURITY DESCRIPTION	VALUE
		United Kingdom — Continued
	297	Vodafone Group plc		813
				4,641
		United States — 13.7%
	28	Abbott Laboratories (m)		1,436
	2	Apple, Inc. (a) (m)		704
	8	Celgene Corp. (a) (m)		512
	7	Chevron Corp. (m)		602
	20	Coca-Cola Co. (The) (m)		1,244
	8	Deere & Co. (m)		650
	13	E.l. du Pont de Nemours & Co. (m)		626
	6	Freeport-McMoRan Copper & Gold, Inc. (m)		542
	24	Hewlett-Packard Co. (m)		1,001
	5	International Business Machines Corp. (m)		679
	16	McDonald’s Corp. (m)		1,213
	24	Microsoft Corp. (m)		640
	10	Mosaic Co. (The) (m)		735
	21	Newmont Mining Corp. (m)		1,280
	22	Norfolk Southern Corp. (m)		1,334
	19	Time Warner, Inc.		623
	15	Union Pacific Corp. (m)		1,294
	12	United Technologies Corp. (m)		868
	13	Yum! Brands, Inc. (m)		635
				16,618
		Total Common Stocks (Cost $31,232)		34,240
PRINCIPAL AMOUNT
	Convertible Bonds — 21.3%
		Cayman Islands — 0.6%
	700	Hutchison Whampoa International 10 Ltd., VAR, 6.000%, 10/28/15 (e) (m) (x)		693
		France — 1.1%
EUR	289	AXA S.A., Series CS, 2.500%, 01/01/14 (m)		891
EUR	579	Rhodia S.A., 0.500%, 01/01/14 (m)		393
				1,284
		Germany — 4.6%
EUR	3,800	Kreditanstalt fuer Wiederaufbau, Series DTE, 3.250%, 06/27/13 (m)		5,549
		Malaysia — 0.7%
	700	Cherating Capital Ltd., VAR, 2.000%, 07/05/12		885
		Netherlands — 1.9%
CHF	185	Pargesa Netherlands N.V., 1.700%, 04/27/13 (m)		184

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 13

JPMorgan Strategic Preservation Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands, except number of contracts)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Convertible Bonds — Continued
		Netherlands — Continued
EUR	1,250	Portugal Telecom International Finance B.V., Series PTC, 4.125%, 08/28/14		1,866
	285	Teva Pharmaceutical Finance Co. B.V., Series D, 1.750%, 02/01/26 (m)		320
				2,370
		Singapore — 0.7%
		CapitaLand Ltd.,
SGD	750	2.875%, 09/03/16		603
SGD	250	3.125%, 03/05/18		201
				804
		Switzerland — 2.4%
		Transocean, Inc.,
	2,291	Series A, 1.625%, 12/15/37 (m)		2,282
	608	Series B, 1.500%, 12/15/37 (m)		596
				2,878
		United States — 9.3%
	871	Beckman Coulter, Inc., 2.500%, 12/15/36 (m)		917
	978	Boston Properties LP, 3.750%, 05/15/36 (m)		1,095
		Gilead Sciences, Inc.,
	848	0.500%, 05/01/11 (m)		909
	770	0.625%, 05/01/13 (m)		896
	989	Liberty Media LLC, 3.125%, 03/30/23 (m)		1,110
		Life Technologies Corp.,
	200	1.500%, 02/15/24 (m)		233
	742	3.250%, 06/15/25 (m)		853
	469	Rayonier TRS Holdings, Inc., 3.750%, 10/15/12 (m)		522
	1,010	Swiss Re America Holding Corp., VAR, 3.250%, 11/21/21		979
	1,618	Symantec Corp., 1.000%, 06/15/13 (m)		1,814
	389	Tech Data Corp., 2.750%, 12/15/26 (m)		403
	1,299	Vornado Realty LP, 3.875%, 04/15/25 (m)		1,489
				11,220
		Total Convertible Bonds (Cost $24,549)		25,683
	Foreign Government Securities — 17.2%
		Australia — 5.5%
		Australia Government Bond,
AUD	2,800	3.099%, 09/20/25 (m)		2,983
AUD	2,250	5.791%, 08/20/20 (m)		3,617
				6,600

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		Canada — 1.7%
CAD	1,700	Canadian Government Bond, 5.000%, 06/01/37 (m)		2,114
		Finland — 3.7%
	4,500	Finland Government Bond, 1.250%, 10/19/15 (e) (m)		4,496
		France — 2.1%
EUR	300	Government of France, 4.000%, 04/25/14 (m)		453
	2,000	Societe Financement de l’Economie Francaise, 2.875%, 09/22/14 (e) (m)		2,130
				2,583
		Germany — 1.4%
EUR	500	Bundesobligation, 4.000%, 10/11/13 (m)		752
		Bundesrepublik Deutschland,
EUR	350	4.250%, 01/04/14 (m)		532
EUR	300	5.000%, 01/04/12 (m)		438
				1,722
		Netherlands — 2.8%
		Kingdom of Netherlands,
EUR	700	3.250%, 07/15/15		1,037
EUR	500	3.750%, 07/15/14		752
EUR	1,000	4.500%, 07/15/17		1,582
				3,371
		Total Foreign Government Securities (Cost $19,578)		20,886
SHARES
	Preferred Stock — 0.4%
		Brazil — 0.4%
	19	Vale S.A., (Brazil), ADR (m) (Cost $452)		541
PRINCIPAL AMOUNT
	Supranational — 12.1%
	4,000	European Investment Bank, 2.750%, 03/23/15 (m)		4,255
	5,250	Inter-American Development Bank, 2.375%, 08/15/17 (m)		5,358
	5,000	International Bank for Reconstruction & Development, 1.125%, 08/25/14 (m)		5,068
		Total Supranational (Cost $14,188)		14,681
	U.S. Treasury Obligations — 18.3%
		U.S. Treasury Bonds,
	2,700	7.500%, 11/15/16 (m)		3,621
	2,500	8.750%, 05/15/17 (m)		3,587
	2,000	8.875%, 02/15/19 (m)		3,011

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	U.S. Treasury Obligations — Continued
		U.S. Treasury Notes,
	7,000	2.375%, 02/28/15 (m)		7,416
	4,000	3.875%, 05/15/18 (m)		4,509
		Total U.S. Treasury Obligations (Cost $20,530)		22,144
SHARES
	Short-Term Investment — 1.4%
		Investment Company — 1.4%
	1,705	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (m) (Cost $1,705)		1,705
		Total Investments — 99.0% (Cost $112,234)		119,880
		Other Assets in Excess of Liabilities — 1.0%		1,231
		NET ASSETS — 100.0%		$121,111

Percentages indicated are based on net assets.

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
U.S. Treasury Obligations		18.5	%
Foreign Governments		17.4
Supranational		12.2
Metals & Mining		5.3
Commercial Banks		4.6
Energy Equipment & Services		2.4
Media		2.2
Diversified Financial Services		2.2
Road & Rail		2.2
Real Estate Investment Trusts (REITs)		2.2
Real Estate Management & Development		2.1
Software		2.0
Pharmaceuticals		2.0
Biotechnology		1.9
Oil, Gas & Consumable Fuels		1.9
Hotels, Restaurants & Leisure		1.7
Beverages		1.7
Diversified Telecommunication Services		1.6
Tobacco		1.5
Chemicals		1.5
Computers & Peripherals		1.4
Food Products		1.2
Health Care Providers & Services		1.1
Short-Term Investment		1.4
Others (each less than 1.0%)		7.8

Futures Contracts
NUMBER OF CONTRACTS			DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10			UNREALIZED APPRECIATION (DEPRECIATION)
			Long Futures Outstanding
	5		10 Year Japanese Government Bond		12/09/10		8,898			26
	42		Long Gilt		12/29/10		8,302			(45	)
			Short Futures Outstanding
	(62	)	10 Year Commonwealth Treasury Bond		12/15/10		(6,434	)		55
	(121	)	Dow Jones Euro STOXX 50 Index		12/17/10		(4,781	)		(15	)
	(232	)	E-mini S&P 500		12/17/10		(13,685	)		(742	)
	(16	)	10 Year Government of Canada Bond		12/20/10		(1,983	)		(11	)
	(108	)	10 Year U.S. Treasury Note		12/21/10		(13,638	)		33
	(114	)	5 Year U.S. Treasury Note		12/31/10		(13,860	)		(203	)
										(902	)

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 15

JPMorgan Strategic Preservation Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands, except number of contracts)

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY	CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
369,146      237,464		CHF for GBP		Royal Bank of Canada		12/10/10		380	#		375	#		(5	)
304,252      264,410		EUR for GBP		Deutsche Bank AG		12/10/10		424	#		423	#		(1	)
9,974,396		HKD		Goldman Sachs International		12/10/10		1,285			1,287			2
								2,089			2,085			(4	)

CONTRACTS TO SELL	CURRENCY		COUNTERPARTY		SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
6,896,552		AUD		Westpac Banking Corp.		12/10/10		6,307		6,724		(417	)
3,019,614		CAD		Citibank, N.A.		12/10/10		2,915		2,958		(43	)
374,983		CAD		Morgan Stanley		12/10/10		372		367		5
660,300		CAD		Royal Bank of Canada		12/10/10		640		647		(7	)
1,239,209		CHF		Union Bank of Switzerland AG		12/10/10		1,226		1,260		(34	)
2,205,287		DKK		Royal Bank of Canada		12/10/10		410		411		(1	)
11,494,464		EUR		BNP Paribas		12/10/10		14,614		15,991		(1,377	)
1,094,565		EUR		Citibank, N.A.		12/10/10		1,474		1,523		(49	)
368,158		EUR		Deutsche Bank AG		12/10/10		494		513		(19	)
528,793		EUR		Royal Bank of Canada		12/10/10		712		735		(23	)
272,257		EUR		Westpac Banking Corp.		12/10/10		370		379		(9	)
2,159,313		GBP		Citibank, N.A.		12/10/10		3,328		3,459		(131	)
410,944		GBP		HSBC Bank, N.A.		12/10/10		637		658		(21	)
406,847		GBP		Westpac Banking Corp.		12/10/10		626		652		(26	)
4,171,676		HKD		HSBC Bank, N.A.		12/10/10		537		538		(1	)
13,129,802		HKD		Morgan Stanley		12/10/10		1,692		1,694		(2	)
8,763,639		HKD		Royal Bank of Canada		12/10/10		1,130		1,131		(1	)
40,208,324		JPY		HSBC Bank, N.A.		12/10/10		481		500		(19	)
884,126		SGD		Deutsche Bank AG		12/10/10		658		683		(25	)
								38,623		40,823		(2,200	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

J.P. Morgan Specialty Funds

NOTES TO SCHEDULES OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

ADR	—	American Depositary Receipt
AUD	—	Australian Dollar
CAD	—	Canadian Dollar
CHF	—	Swiss Franc
DKK	—	Danish Krone
EUR	—	Euro
GBP	—	British Pound
HKD	—	Hong Kong Dollar
JPY	—	Japanese Yen
NOK	—	Norwegian Krone
REIT	—	Real Estate Investment Trust
SEK	—	Swedish Krona
SGD	—	Singapore Dollar
VAR	—	Variable Rate Security. The interest rate shown is the rate in effect as of October 31, 2010.
(a)	—	Non-income producing security.
(b)	—	Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(e)	—	Security is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.
(f)	—	Security is fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. The following approximates the value and percentage of these investments based on total investments (amounts in thousands):

Fund	Value	Percentage
International Realty Fund	$—		—	%

In addition, the value and percentage, based on total investments, of the investments that apply the fair valuation policy for the international investments as described in Note 2.A. are as follows (amounts in thousands):
Fund	Value	Percentage
International Realty Fund	$67,663		93.3	%
Strategic Preservation Fund	15,535		13.0

(g)	—	Amount rounds to less than 0.1%.
(h)	—	Amount rounds to less than one thousand (shares or dollars).
(i)	—	Security has been deemed illiquid pursuant to procedures approved by the Board of Trustees and may be difficult to sell.
(l)	—	The rate shown is the current yield as of October 31, 2010.
(m)	—	All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
(x)	—	Security is perpetual and, thus, does not have a predetermined maturity date. The coupon rate for this security is fixed for a period of time and may be structured to adjust thereafter. The date shown reflects the next call date. The coupon rate shown is the rate in effect as of October 31, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 17

STATEMENTS OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	International Realty Fund			Strategic Preservation Fund
ASSETS:
Investments in non-affiliates, at value	$	72,223		$	118,175
Investments in affiliates, at value		300			1,705
Total investment securities, at value		72,523			119,880
Cash		210			61
Foreign currency, at value		4			1,006
Deposits at broker for futures contracts		—			2,270
Receivables:
Investment securities sold		1,262			769
Fund shares sold		100			613
Interest and dividends		215			779
Tax reclaims		1			1
Unrealized appreciation on forward foreign currency exchange contracts		265			7
Total Assets		74,580			125,386
LIABILITIES:
Payables:
Investment securities purchased		1,534			1,619
Fund shares redeemed		11			195
Variation margin on futures contracts		—			87
Unrealized depreciation on forward foreign currency exchange contracts		366			2,211
Accrued liabilities:
Investment advisory fees		14			33
Administration fees		3			9
Shareholder servicing fees		5			25
Distribution fees		4			26
Custodian and accounting fees		17			12
Trustees’ and Chief Compliance Officer’s fees		—	(a)		—	(a)
Other		64			58
Total Liabilities		2,018			4,275
Net Assets	$	72,562		$	121,111

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

	International Realty Fund			Strategic Preservation Fund
NET ASSETS:
Paid in capital	$	89,541		$	113,583
Accumulated undistributed net investment income		2,103			2,175
Accumulated net realized gains (losses)		(31,961	)		757
Net unrealized appreciation (depreciation)		12,879			4,596
Total Net Assets	$	72,562		$	121,111
Net Assets:
Class A	$	16,029		$	120,086
Class C		1,443			292
Class R5		45,570			107
Select Class		9,520			626
Total	$	72,562		$	121,111
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		1,542			7,840
Class C		141			19
Class R5		4,350			7
Select Class		913			41
Net Asset Value:
Class A — Redemption price per share	$	10.40		$	15.32
Class C — Offering price per share (b)		10.23			15.18
Class R5 — Offering and redemption price per share		10.48			15.44
Select Class — Offering and redemption price per share		10.43			15.37
Class A maximum sales charge		5.25	%		3.75	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	10.98		$	15.92
Cost of investments in non-affiliates	$	59,246		$	110,529
Cost of investments in affiliates		300			1,705
Cost of foreign currency		4			956

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 19

STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	International Realty Fund			Strategic Preservation Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	—		$	1,525
Dividend income from non-affiliates		2,784			291
Dividend income from affiliates		—	(a)		20
Foreign taxes withheld		(148	)		(6	)
Total investment income		2,636			1,830
EXPENSES:
Investment advisory fees		478			644
Administration fees		49			100
Distribution fees:
Class A		28			264
Class C		8			2
Shareholder servicing fees:
Class A		28			264
Class C		3			1
Class R5		16			—	(a)
Select Class		22			4
Custodian and accounting fees		134			55
Interest expense to affiliates		—	(a)		—
Professional fees		79			78
Trustees’ and Chief Compliance Officer’s fees		—	(a)		1
Printing and mailing costs		53			44
Registration and filing fees		46			60
Transfer agent fees		40			59
Other		8			9
Total expenses		992			1,585
Less amounts waived		(410	)		(174	)
Net expenses		582			1,411
Net investment income (loss)		2,054			419
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates	$	1,731		$	874
Futures		—			197
Foreign currency transactions		263			1,307
Net realized gain (loss)		1,994			2,378
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		6,667			6,028
Futures		—			(709	)
Foreign currency translations		1			(2,017	)
Change in net unrealized appreciation (depreciation)		6,668			3,302
Net realized/unrealized gains (losses)		8,662			5,680
Change in net assets resulting from operations	$	10,716		$	6,099

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	International Realty Fund						Strategic Preservation Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010		Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	2,054		$	1,222		$	419	$	72
Net realized gain (loss)		1,994			(18,976	)		2,378		(774	)
Change in net unrealized appreciation (depreciation)		6,668			24,705			3,302		1,569
Change in net assets resulting from operations		10,716			6,951			6,099		867
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(568	)		(2	)		—		(5	)
Class C
From net investment income		(86	)		(1	)		—		(4	)
Class R5
From net investment income		(2,379	)		(158	)		—		(3	)
Select Class
From net investment income		(741	)		(24	)		—		(275	)
Total distributions to shareholders		(3,774	)		(185	)		—		(287	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		25,287			(5,591	)		48,681		56,165
NET ASSETS:
Change in net assets		32,229			1,175			54,780		56,745
Beginning of period		40,333			39,158			66,331		9,586
End of period	$	72,562		$	40,333		$	121,111	$	66,331
Accumulated undistributed net investment income	$	2,103		$	1,968		$	2,175	$	133

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 21

STATEMENTS OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	International Realty Fund						Strategic Preservation Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	14,928		$	5,630		$	119,983		$	58,606
Dividends and distributions reinvested		565			1			—			5
Cost of shares redeemed		(6,499	)		(4,594	)		(62,301	)		(2,765	)
Redemption fees		1			—	(a)		—			—
Change in net assets from Class A capital transactions	$	8,995		$	1,037		$	57,682		$	55,846
Class C
Proceeds from shares issued	$	504		$	154		$	75		$	38
Dividends and distributions reinvested		59			—	(a)		—			4
Cost of shares redeemed		(169	)		(4,014	)		(32	)		—	(a)
Redemption fees		—	(a)		—	(a)		—			—
Change in net assets from Class C capital transactions	$	394		$	(3,860	)	$	43		$	42
Class R5
Proceeds from shares issued	$	14,250		$	5,009		$	—		$	—
Dividends and distributions reinvested		2,380			158			—			3
Cost of shares redeemed		(818	)		(8,348	)		—			—	(a)
Redemption fees		2			2			—			—
Change in net assets from Class R5 capital transactions	$	15,814		$	(3,179	)	$	—		$	3
Select Class
Proceeds from shares issued	$	3,276		$	3,992		$	734		$	1
Dividends and distributions reinvested		635			9			—			275
Cost of shares redeemed		(3,827	)		(3,591	)		(9,778	)		(2	)
Redemption fees		—	(a)		1			—			—
Change in net assets from Select Class capital transactions	$	84		$	411		$	(9,044	)	$	274
Total change in net assets from capital transactions	$	25,287		$	(5,591	)	$	48,681		$	56,165

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

	International Realty Fund						Strategic Preservation Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009			Year Ended 10/31/2010			Year Ended 10/31/2009
SHARE TRANSACTIONS:
Class A
Issued		1,624			734			8,120			4,069
Reinvested		64			—	(a)		—			1
Redeemed		(716	)		(666	)		(4,172	)		(191	)
Change in Class A Shares		972			68			3,948			3,879
Class C
Issued		56			19			5			3
Reinvested		7			—	(a)		—			—	(a)
Redeemed		(19	)		(554	)		(2	)		—
Change in Class C Shares		44			(535	)		3			3
Class R5
Issued		1,574			649			—			—
Reinvested		270			22			—			—	(a)
Redeemed		(84	)		(1,106	)		—			—
Change in Class R5 Shares		1,760			(435	)		—			—	(a)
Select Class
Issued		377			596			49			—	(a)
Reinvested		72			1			—			19
Redeemed		(419	)		(440	)		(665	)		—	(a)
Change in Select Class Shares		30			157			(616	)		19

(a) Amount rounds to less than 1,000 (shares or dollars).

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 23

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

			Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Redemption fees
International Realty Fund
Class A
Year Ended October 31, 2010	$	9.72	$	0.34	(e)	$	1.23		$	1.57		$	(0.89	)	$	—	(f)
Year Ended October 31, 2009		8.00		0.26	(e)		1.46			1.72			—	(f)		—	(f)
Year Ended October 31, 2008		17.12		0.24	(e)		(8.50	)		(8.26	)		(0.86	)		—	(f)
November 30, 2006 (h) through October 31, 2007		15.00		0.23	(e)		1.92			2.15			(0.04	)		0.01
Class C
Year Ended October 31, 2010		9.62		0.27	(e)		1.23			1.50			(0.89	)		—	(f)
Year Ended October 31, 2009		7.95		0.21	(e)		1.46			1.67			—	(f)		—	(f)
Year Ended October 31, 2008		17.04		0.19	(e)		(8.47	)		(8.28	)		(0.81	)		—	(f)
November 30, 2006 (h) through October 31, 2007		15.00		0.16	(e)		1.90			2.06			(0.03	)		0.01
Class R5
Year Ended October 31, 2010		9.76		0.37	(e)		1.25			1.62			(0.90	)		—	(f)
Year Ended October 31, 2009		8.03		0.30	(e)		1.48			1.78			(0.05	)		—	(f)
Year Ended October 31, 2008		17.18		0.30	(e)		(8.54	)		(8.24	)		(0.91	)		—	(f)
November 30, 2006 (h) through October 31, 2007		15.00		0.32	(e)		1.90			2.22			(0.05	)		0.01
Select Class
Year Ended October 31, 2010		9.73		0.34	(e)		1.26			1.60			(0.90	)		—	(f)
Year Ended October 31, 2009		8.01		0.29	(e)		1.46			1.75			(0.03	)		—	(f)
Year Ended October 31, 2008		17.16		0.28	(e)		(8.54	)		(8.26	)		(0.89	)		—	(f)
November 30, 2006 (h) through October 31, 2007		15.00		0.27	(e)		1.92			2.19			(0.04	)		0.01

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Includes interest expense of 0.01%.

(h) Commencement of offering of class of shares.

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

-		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	10.40		17.90	%	$	16,029		1.40	%		3.76	%		2.17	%		75	%
	9.72		21.55			5,539		1.40			3.35			2.35			129
	8.00		(50.32	)		4,012		1.41	(g)		1.90			2.43			108
	17.12		14.44			9,333		1.40			1.52			3.80			175
	10.23		17.20			1,443		1.90			3.01			2.67			75
	9.62		21.05			931		1.90			2.77			2.85			129
	7.95		(50.55	)		5,022		1.91	(g)		1.50			2.85			108
	17.04		13.85			12,223		1.90			1.08			4.19			175
	10.48		18.37			45,570		0.95			3.98			1.72			75
	9.76		22.36			25,271		0.95			3.83			1.91			129
	8.03		(50.13	)		24,306		0.96	(g)		2.51			1.76			108
	17.18		14.88			8,148		0.95			2.12			2.85			175
	10.43		18.16			9,520		1.15			3.68			1.92			75
	9.73		21.99			8,592		1.15			3.73			2.13			129
	8.01		(50.25	)		5,818		1.16	(g)		2.27			2.10			108
	17.16		14.73			8,619		1.15			1.78			4.71			175

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 25

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED (continued)

			Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income
Strategic Preservation Fund
Class A
Year Ended October 31, 2010	$	14.50	$	0.06	(e)	$	0.76		$	0.82		$	—
Year Ended October 31, 2009		14.25		0.03	(e)		0.60			0.63			(0.38	)
Year Ended October 31, 2008		15.82		0.23	(e)		(1.71	)		(1.48	)		(0.09	)
March 30, 2007 (f) through October 31, 2007		15.00		0.17			0.65			0.82			—
Class C
Year Ended October 31, 2010		14.45		(0.02	)(e)		0.75			0.73			—
Year Ended October 31, 2009		14.19		(0.04	)(e)		0.61			0.57			(0.31	)
Year Ended October 31, 2008		15.77		0.15	(e)		(1.70	)		(1.55	)		(0.03	)
March 30, 2007 (f) through October 31, 2007		15.00		0.13			0.64			0.77			—
Class R5
Year Ended October 31, 2010		14.56		0.12	(e)		0.76			0.88			—
Year Ended October 31, 2009		14.31		0.09	(e)		0.61			0.70			(0.45	)
Year Ended October 31, 2008		15.86		0.30	(e)		(1.71	)		(1.41	)		(0.14	)
March 30, 2007 (f) through October 31, 2007		15.00		0.21			0.65			0.86			—
Select Class
Year Ended October 31, 2010		14.52		0.08	(e)		0.77			0.85			—
Year Ended October 31, 2009		14.28		0.07	(e)		0.60			0.67			(0.43	)
Year Ended October 31, 2008		15.84		0.27	(e)		(1.71	)		(1.44	)		(0.12	)
March 30, 2007 (f) through October 31, 2007		15.00		0.19			0.65			0.84			—

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Commencement of offering of class of shares.

(g) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

SEE NOTES TO FINANCIAL STATEMENTS.

26 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	15.32		5.66	%	$	120,086		1.32	%		0.39	%		1.48	%		78	%
	14.50		4.52			56,450		1.32			0.23			2.10			47
	14.25		(9.40	)		191		1.35			1.50			3.91			89
	15.82		5.47			211		1.35			1.94			7.39	(g)		34
	15.18		5.05			292		1.81			(0.10	)		1.99			78
	14.45		4.05			235		1.84			(0.30	)		3.28			47
	14.19		(9.83	)		190		1.85			1.00			4.41			89
	15.77		5.13			210		1.85			1.44			7.89	(g)		34
	15.44		6.04			107		0.86			0.82			1.04			78
	14.56		5.00			101		0.89			0.66			2.35			47
	14.31		(8.95	)		96		0.90			1.95			3.46			89
	15.86		5.73			106		0.90			2.39			6.94	(g)		34
	15.37		5.85			626		1.09			0.52			1.34			78
	14.52		4.80			9,545		1.09			0.46			2.55			47
	14.28		(9.16	)		9,109		1.10			1.76			3.61			89
	15.84		5.60			4,753		1.10			2.19			7.14	(g)		34

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 27

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following are 2 separate funds of the Trust (collectively, the “Funds”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
International Realty Fund	Class A, Class C, Class R5 and Select Class	Non-Diversified
Strategic Preservation Fund	Class A, Class C, Class R5 and Select Class	Non-Diversified

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Class R5 and Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Funds’ prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Funds are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Funds may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Funds to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Funds apply fair value pricing on equity securities on a daily basis except for North American, Central American, South American and Caribbean equity securities held in their portfolios by utilizing the quotations of an independent pricing service, unless a Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time a Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Funds’ investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

28 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

The following table represents each valuation input by country as presented on the Schedules of Portfolio Investments (“SOIs”) (amounts in thousands):

International Realty Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs			Total
Investments in Securities
Common Stocks
Australia	$	—	$	10,242		$	—	(a)	$	10,242
Belgium		—		1,098			—			1,098
Canada		4,560		—			—			4,560
China		—		309			—			309
Finland		—		1,134			—			1,134
France		—		5,648			—			5,648
Germany		—		313			—			313
Hong Kong		—		20,120			—			20,120
Japan		—		12,926			—			12,926
Netherlands		—		3,568			—			3,568
Norway		—		285			—			285
Singapore		—		4,918			—			4,918
Sweden		—		939			—			939
United Kingdom		—		6,157			—			6,157
Total Common Stocks		4,560		67,657			—	(a)		72,217
Warrants
Hong Kong		—		6			—			6
Short-Term Investment
Investment Company		300		—			—			300
Total Investments in Securities	$	4,860	$	67,663		$	—	(a)	$	72,523
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	265		$	—		$	265
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	(366	)	$	—		$	(366	)

Strategic Preservation Fund

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Canada	$	2,087	$	—	$	—	$	2,087
Denmark		—		763		—		763
France		—		1,934		—		1,934
Germany		—		1,294		—		1,294
Hong Kong		—		2,262		—		2,262
Ireland		—		927		—		927
Japan		—		729		—		729
Luxembourg		—		1,216		—		1,216
Singapore		—		129		—		129
Switzerland		—		1,381		—		1,381
Taiwan		—		259		—		259
United Kingdom		—		4,641		—		4,641
United States		16,618		—		—		16,618
Total Common Stocks		18,705		15,535		—		34,240

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 29

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

Strategic Preservation Fund (continued)

	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Preferred Stocks
Brazil	$	541		$	—		$	—	$	541
Total Preferred Stocks		541			—			—		541
Debt Securities
Convertible Bonds
Cayman Islands		—			693			—		693
France		—			1,284			—		1,284
Germany		—			5,549			—		5,549
Malaysia		—			885			—		885
Netherlands		—			2,370			—		2,370
Singapore		—			804			—		804
Switzerland		—			2,878			—		2,878
United States		—			11,220			—		11,220
Total Convertible Bonds		—			25,683			—		25,683
Foreign Government Securities		—			20,886			—		20,886
Supranational		—			14,681			—		14,681
U.S. Treasury Obligations		—			22,144			—		22,144
Short-Term Investment
Investment Company		1,705			—			—		1,705
Total Investments in Securities	$	20,951		$	98,929		$	—	$	119,880
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	7		$	—	$	7
Futures Contracts		114			—			—		114
Total Appreciation in Other Financial Instruments	$	114		$	7		$	—	$	121
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—		$	(2,211	)	$	—	$	(2,211	)
Futures Contracts		(1,016	)		—			—		(1,016	)
Total Depreciation in Other Financial Instruments	$	(1,016	)	$	(2,211	)	$	—	$	(3,227	)

(a) Security has zero value.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

The following is a summary of investments for which significant unobservable inputs (Level 3) were used in determining fair value (amounts in thousands):

International Realty Fund

	Balance as of 10/31/09			Realized gain (loss)		Change in unrealized appreciation (depreciation)		Net amortization (accretion)		Net purchases (sales)			Transfers into Level 3		Transfers out of Level 3		Balance as of 10/31/10
Investments in Securities
Common Stocks — Australia	$	—	(a)	$	—	$	—	$	—	$	—		$	—	$	—	$	—	(a)
Common Stocks — Japan		12			—		140		—		(152	)		—		—		—
Total	$	12		$	—	$	140	$	—	$	(152	)	$	—	$	—	$	—	(a)

(a) Security has zero value.

Transfers into, or out of Level 3 are valued using values as of the beginning of the period.

The change in unrealized appreciation (depreciation) attributable to securities owned at October 31, 2010, which were valued using significant unobservable inputs (Level 3) amounted to zero for International Realty Fund. This amount is included in Change in net unrealized appreciation (depreciation) of investments in non-affiliates on the Statements of Operations.

30 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

B. Restricted and Illiquid Securities — Certain securities held by the Funds may be subject to legal or contractual restrictions on resale or are illiquid. Restricted securities generally may be resold in transactions exempt from registration. An illiquid security is a security which cannot be disposed of promptly (within seven days) and in the usual course of business at approximately its fair value and includes, but is not limited to, repurchase agreements maturing in excess of seven days, time deposits with a withdrawal penalty, non-negotiable instruments and instruments for which no market exists. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at the current valuation may be difficult.

The following is the value and percentage of net assets of illiquid securities as of October 31, 2010:

	Value			Percentage
International Realty Fund	$	—	(a)		—	%

(a) Security has zero value.

C. Futures Contracts — The Strategic Preservation Fund uses treasury, index and financial futures contracts to gain or reduce exposure to the stock and bond market, enhance returns, maintain liquidity and minimize transaction costs. The Fund buys futures contracts to immediately invest incoming cash in the market or sells futures in response to cash outflows, thereby simulating an invested position in the underlying index while maintaining a cash balance for liquidity.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statements of Operations. Realized gains or losses, representing the differences between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Statements of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOIs and cash deposited is recorded on the Statements of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statements of Assets and Liabilities.

The Strategic Preservation Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

D. Foreign Currency Translation — The books and records of the Funds are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Funds are presented at the foreign exchange rates and market values at the close of the period, the Funds do not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on each Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

E. Forward Foreign Currency Exchange Contracts — The Funds may be exposed to foreign currency risks associated with portfolio investments and therefore use forward foreign currency exchange contracts to hedge or manage these exposures. The Funds also buy forward foreign currency exchange contracts to gain exposure to currencies. Forward foreign currency exchange contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency.

The values of the forward foreign currency exchange contracts are adjusted daily based on the applicable exchange rate of the underlying currency. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation under the contract settlement date. When the forward contract is closed, the Funds record a realized gain or loss equal to the difference between the value at the time the contract was opened and the value at the time it was closed.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 31

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

F. Summary of Derivative Information — The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statements of Assets and Liabilities (amounts in thousands):

International Realty Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Forward Foreign Currency Exchange Contracts
Foreign exchange contracts	Receivables	$	265
Total		$	265
Liabilities:
Foreign exchange contracts	Payables	$	(366	)
Total		$	(366	)

Strategic Preservation Fund

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)			Forward Foreign Currency Exchange Contracts
Interest rate contracts	Receivables, Net Assets — Unrealized Appreciation	$	114		$	—
Foreign exchange contracts	Receivables		—			7
Total		$	114		$	7
Liabilities:
Interest rate contracts	Payables, Net Assets — Unrealized Depreciation	$	(259	)	$	—
Foreign exchange contracts	Payables		—			(2,211	)
Equity contracts	Payables, Net Assets — Unrealized Depreciation		(757	)		—
Total		$	(1,016	)	$	(2,211	)

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the SOI. The Statements of Assets and Liabilities only reflect the current day variation margin receivable/payable to brokers.

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary risk exposure (amounts in thousands):

International Realty Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	284	$	284
Total	$	284	$	284

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Forward Foreign Currency Exchange Contracts		Total
Foreign exchange contracts	$	2	$	2
Total	$	2	$	2

32 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

Strategic Preservation Fund

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Interest rate contracts	$	(477	)	$	—	$	(477	)
Foreign exchange contracts		—			1,390		1,390
Equity contracts		674			—		674
Total	$	197		$	1,390	$	1,587

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts			Total
Interest rate contracts	$	35		$	—		$	35
Foreign exchange contracts		—			(2,068	)		(2,068	)
Equity contracts		(744	)		—			(744	)
Total	$	(709	)	$	(2,068	)	$	(2,777	)

The Funds’ derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

Derivatives Volume

The table below discloses the volume of the Funds’ derivatives activities during the reporting period November 1, 2009 through October 31, 2010 (amounts in thousands). Please refer to the tables in the Summary of Derivatives Information for derivative-related gains and losses associated with volume activity.

	International Realty Fund		Strategic Preservation Fund
Futures Contracts:
Average Notional Balance Long	$	—	$	20,537
Average Notional Balance Short		—		44,598
Ending Notional Balance Long		—		17,200
Ending Notional Balance Short		—		54,381
Forward Foreign Currency Exchange Contracts:
Average Settlement Value Purchased		12,767		3,956
Average Settlement Value Sold		12,181		29,422
Ending Settlement Value Purchased		11,195		2,089
Ending Settlement Value Sold		10,405		38,623

G. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

H. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to its Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

I. Federal Income Taxes — Each Fund is treated as a separate taxable entity for Federal income tax purposes. Each Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Funds’ conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. Each of the Funds’ Federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 33

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

J. Foreign Taxes — The Funds may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Funds will accrue such taxes and recoveries as applicable, based upon their current interpretation of tax rules and regulations that exist in the markets in which they invest.

K. Dividends and Distributions to Shareholders — Dividends from net investment income, if any, are declared and paid at least annually. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

	Paid-in-Capital			Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
International Realty Fund	$	1		$	1,855	$	(1,856	)
Strategic Preservation Fund		(960	)		1,623		(663	)

The reclassifications for the Funds relate primarily to foreign currency gains or losses, passive foreign investment company (PFIC) gains and losses (International Realty Fund), foreign futures contracts (Strategic Preservation Fund) and net operating loss (Strategic Preservation Fund).

L. Redemption Fees — Generally, shares of the International Realty Fund held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Funds. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). JPMIM supervises the investments of each respective Fund and for such services is paid a fee. The fee is accrued daily and paid monthly based on each Fund’s respective average daily net assets. The annual fee rate for each Fund is as follows:

International Realty Fund	0.90	%
Strategic Preservation Fund	0.60

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Funds. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% for each Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Funds’ Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of each Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that each Fund shall pay distribution fees, including payments to the Distributor, at annual rates of the average daily net assets as shown in the table below:

	Class A			Class C
International Realty Fund		0.25	%		0.75	%
Strategic Preservation Fund		0.25			0.75

34 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

	Front-End Sales Charge		CDSC
International Realty Fund	$	1	$	—	(a)
Strategic Preservation Fund		2		—

(a) Amount rounds to less than $1,000.

D. Shareholder Servicing Fees — The Trust, on behalf of the Funds, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

	Class A			Class C			Class R5			Select Class
International Realty Fund		0.25	%		0.25	%		0.05	%		0.25	%
Strategic Preservation Fund		0.25			0.25			0.05			0.25

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Funds under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Funds, provides portfolio custody and accounting services for the Funds. The amounts paid directly to JPMCB by the Funds for custody and accounting services are included in Custodian and accounting fees in the Statements of Operations. The Funds earn interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statements of Operations.

Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statements of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statements of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Funds to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Funds’ respective average daily net assets as shown in the table below:

	Class A			Class C			Class R5			Select Class
International Realty Fund		1.40	%		1.90	%		0.95	%		1.15	%
Strategic Preservation Fund		1.35			1.85			0.90			1.10

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011.

For the year ended October 31, 2010, the Funds’ service providers waived fees and/or reimbursed expenses for each of the Funds as follows (amounts in thousands). None of these parties expects the Funds to repay any such waived fees and reimbursed expenses in future years.

	Contractual Waivers
	Investment Advisory		Administration		Shareholder Servicing		Total
International Realty Fund	$	357	$	26	$	26	$	409
Strategic Preservation Fund		139		—		—		139

Additionally, the Funds may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Funds’ investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amounts of waivers resulting from investments in the money market funds for the year ended October 31, 2010 was as follows (amounts in thousands):

International Realty Fund	$	1
Strategic Preservation Fund		35

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Funds for serving in their respective roles.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 35

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The Board of Trustees appointed a Chief Compliance Officer to the Funds in accordance with federal securities regulations. Each Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statements of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, certain Funds may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Funds may use related party broker/dealers. For the year ended October 31, 2010, the International Realty Fund incurred $165 and the Strategic Preservation Fund incurred $279 in brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Funds to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

	Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)		Purchases of U.S. Government		Sales of U.S. Government
International Realty Fund	$	63,504	$	39,052	$	—	$	—
Strategic Preservation Fund		108,664		46,071		29,211		21,276

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

	Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
International Realty Fund	$	68,218	$	4,753	$	448	$	4,305
Strategic Preservation Fund		112,241		8,148		509		7,639

For the Funds, the difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to mark to market of PFICs (International Realty Fund) and wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

	Ordinary Income		Total Distributions Paid
International Realty Fund	$	3,774	$	3,774

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

	Ordinary Income		Total Distributions Paid
International Realty Fund	$	185	$	185
Strategic Preservation Fund		287		287

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

	Current Distributable Ordinary Income		Current Distributable Long-Term Capital-Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
International Realty Fund	$	4,782	$	(26,089	)	$	4,329
Strategic Preservation Fund		—		(193	)		7,699

For the Funds, the cumulative timing differences primarily consist of mark to market of PFICs (International Realty Fund), mark to market of forward foreign currency contracts, mark to market of futures contracts (Strategic Preservation Fund) and wash sale loss deferrals (International Realty Fund).

36 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

As of October 31, 2010, the following Funds had net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

	2015		2016		2017		2018		Total
International Realty Fund	$	1,161	$	9,106	$	13,760	$	2,062	$	26,089
Strategic Preservation Fund		—		—		193		—		193

During the year ended October 31, 2010, the Strategic Preservation Fund utilized capital loss carryforwards of approximately $890,000.

6. Borrowings

The Funds rely upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Funds to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Funds because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Funds. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Funds had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statements of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Funds enter into contracts that contain a variety of representations which provide general indemnifications. Each Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against each Fund that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

The JPMorgan SmartRetirement Funds, which are affiliated funds of funds, own, in the aggregate 62.8% of the net assets of the International Realty Fund. Strategic Preservation Fund has several shareholders, which are accounts maintained by financial intermediaries on behalf of their clients, that own significant portions of the Fund’s outstanding shares. Significant shareholder transactions, if any, may impact the Funds’ performance.

The Funds may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year depending on the Fund. Such concentrations may subject the Funds to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the International Realty Fund’s net assets consisted of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of and investment income from such securities.

As of October 31, 2010, the International Realty Fund invested approximately 27.8% of its total investments in issuers in Hong Kong. The Strategic Preservation Fund invested approximately 43.1% of its total investments in the United States.

As of October 31, 2010, the International Realty Fund invested approximately 49.6% and 26.2% of its total investments in the Real Estate Management & Development and Diversified industries, respectively.

The International Realty Fund invests primarily in shares of real estate securities. While the Fund will not invest in real estate directly, the Fund may be subject to risks similar to those associated with direct ownership of real estate. These risks may include, but are not limited to, price movement as a result of interest rate fluctuations, general and local economic conditions, and heavy cash flow dependency, in addition to securities market risks.

The Strategic Preservation Fund is subject to interest rate and credit risk. The value of debt securities may decline as interest rates increase. The Fund could lose money if the issuer of a fixed income security is unable to pay interest or repay principal when it is due. The ability of the issuers of debt to meet their obligations may be affected by the economic and political developments in a specific industry or region.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 37

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan International Realty Fund and JPMorgan Strategic Preservation Fund:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan International Realty Fund and JPMorgan Strategic Preservation Fund (each a separate Fund of JPMorgan Trust I) (hereafter referred to as the “Funds”) at October 31, 2010, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 23, 2010

38 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

TRUSTEES

(Unaudited)

The Funds’ Statement of Additional Information includes additional information about the Funds’ Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000–2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972–2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974–present).		141	Director, Cardinal Health, Inc. (CAH) (1994–present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007–present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999–present); President, Adelphi University (New York) (1998–1999).		141	Director, New Plan Excel (NXL) (1999–2005); Director, National Financial Partners (NFP) (2003–2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002–present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003–2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971–2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000–2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000–2002); President, DCI Marketing, Inc. (1992–2000).		141	Director, Center for Deaf and Hard of Hearing (1990–present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985–present).		141	Trustee, Carleton College (2003–present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001–2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985–2001).		141	Director, Radio Shack Corp. (1987–2008); Trustee, Stratton Mountain School (2001–present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002–2010); President, Kenyon College (1995–2002).		141	Trustee, American University in Cairo (1999–present); Trustee, Carleton College (2002–2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003–present); Chairman and Chief Executive Officer, Lumelite Corporation (1985–2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992–present).

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 39

TRUSTEES

(Unaudited) (continued)

Name (Year of Birth); Positions With the Funds (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000–2009); Chief Investment Officer, Wabash College (2004–present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988–1999).		141	Trustee, Wabash College (1988–present); Chairman, Indianapolis Symphony Orchestra Foundation (1994–present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968–1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993–present).		141	Trustee, The Victory Portfolios (2000–2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989–1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990–1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990–1998).		141	Director, Glenview Trust Company, LLC (2001–present); Trustee, St. Catharine College (1998–present); Trustee, Bellarmine University (2000–present); Director, Springfield-Washington County Economic Development Authority (1997–present); Trustee, Catholic Education Foundation (2005–present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

40 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 41

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of each Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010		Annualized Expense Ratio
International Realty Fund
Class A
Actual	$	1,000.00	$	1,150.40	$	7.59		1.40	%
Hypothetical		1,000.00		1,018.15		7.12		1.40
Class C
Actual		1,000.00		1,146.90		10.28		1.90
Hypothetical		1,000.00		1,015.63		9.65		1.90
Class R5
Actual		1,000.00		1,152.90		5.16		0.95
Hypothetical		1,000.00		1,020.42		4.84		0.95
Select Class
Actual		1,000.00		1,151.20		6.24		1.15
Hypothetical		1,000.00		1,019.41		5.85		1.15
Strategic Preservation Fund
Class A
Actual		1,000.00		1,031.70		6.76		1.32
Hypothetical		1,000.00		1,018.55		6.72		1.32
Class C
Actual		1,000.00		1,028.50		9.31		1.82
Hypothetical		1,000.00		1,016.03		9.25		1.82
Class R5
Actual		1,000.00		1,033.50		4.46		0.87
Hypothetical		1,000.00		1,020.82		4.43		0.87
Select Class
Actual		1,000.00		1,032.20		5.48		1.07
Hypothetical		1,000.00		1,019.81		5.45		1.07

** Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

42 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of each of the investment advisory agreements for the Funds whose annual report is contained herein (each an “Advisory Agreement” and collectively, the “Advisory Agreements”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreements or any of their affiliates, approved the continuation of each Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Funds’ performance compared to the performance of the Funds’ peers and benchmarks and analyses by the Advisor of the Funds’ performance. In addition, the Trustees have engaged an independent consultant to report on the performance of each of the Funds at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Funds’ expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreements with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees

discussing the legal standards for their consideration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve each Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from each Fund under the applicable Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of each Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to each Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to each Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of each Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of each Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of each of the Funds. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Funds gained from their experience as Trustees of the Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the Advisor’s integrity and the Advisor’s

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 43

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited) (continued)

responsiveness to concerns raised by them, including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to each Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Funds by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to each of the Funds. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Funds, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of each of the Advisory Agreements was not unreasonable in light of the services and benefits provided to each Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Funds. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for these Funds.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Funds for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Funds’ distributor and that these fees are in turn generally paid to financial intermediaries that sell the Funds, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for each Fund does not contain breakpoints. The Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Funds’ Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the International Realty Fund and Strategic Preservation Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreements.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of each Fund. The Trustees also considered the complexity of investment management for the Funds relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to each Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in each Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative

44 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENTS

(Unaudited)

classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed each Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board meetings by the Advisor and the independent consultant and also considered the special analysis that was done by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to each Fund’s performance for certain representative classes are summarized below:

The Trustees noted that the International Realty Fund’s performance was in the fifth and third quintiles for Class A shares and in the fifth and second quintiles for the Select Class shares for the one- and three-year periods ended December 31, 2009, respectively, and that the independent consultant indicated that the overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

The Trustees noted that the Strategic Preservation Fund’s performance was in the fifth quintile both for Class A and Select Class shares for the one-year period ended December 31, 2009, and that the independent consultant indicated that the overall performance was satisfactory. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and concluded that they were satisfied with the Advisor’s analysis of the Fund’s performance, however, they requested that the Fund’s Advisor provide additional Fund performance information to be reviewed with members of the Money Market and Alternative Products Subcommittee at each of their regular meetings over the course of the next year.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by each Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as each Fund. The Trustees recognized that Lipper reported each Fund’s management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for each Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for each Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of each Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the International Realty Fund’s net advisory fee for Class A and Select Class shares were in the first quintile, and that the actual total expenses for Class A and Select Class shares were in the first and second quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

The Trustees noted that the Strategic Preservation Fund’s net advisory fee for Class A and Select Class shares were in the first quintile, and that the actual total expenses for Class A and Select Class Shares were in the second and third quintiles, respectively, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 45

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Funds’ income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Qualified Dividend Income (QDI)

For the fiscal year ended October 31, 2010, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%. The following represents the amount of ordinary income distributions treated as qualified dividends (amounts in thousands):

	Qualified Dividend Income
International Realty Fund	$	3,774

Foreign Source Income and Foreign Tax Credit Pass Through

For the fiscal year ended October 31, 2010, the Funds intend to elect to pass through to shareholders the income tax credit for taxes paid to foreign countries. Gross income and foreign tax expenses are as follows (amounts in thousands):

	Gross Income		Foreign Tax Pass Through
International Realty Fund	$	2,792	$	149
Strategic Preservation Fund		129		6

The pass-through of the foreign tax credit will only affect those persons who are shareholders on the dividend record date in December 2010. These shareholders will receive more detailed information along with 2010 Form 1099-DIV.

46 J.P. MORGAN SPECIALTY FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 J.P. MORGAN SPECIALTY FUNDS 47

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

Each Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of each Fund’s policies and procedures with respect to the disclosure of each Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Funds to the Advisor. A copy of the Funds’ voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Funds’ website at www.jpmorganfunds.com no later than August 31 of each year. The Funds’ proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-SPEC2-1010

J.P. Morgan International

Equity Funds

Annual Report

October 31, 2010

JPMorgan International Opportunities Plus Fund

J.P. Morgan Funds

Annual Report

October 31, 2010

Table of Contents

CEO’s Letter	1
Fund Commentary	3
Schedule of Portfolio Investments	7
Additional Information – Portfolio Swap	12
Financial Statements	14
Financial Highlights	19
Notes to Financial Statements	20
Report of Independent Registered Public Accounting Firm	30
Trustees	31
Officers	33
Schedule of Shareholder Expenses	34
Privacy Policy	35

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on current market conditions and are subject to change without notice. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Fund’s prospectus for a discussion of the Fund’s investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about the Fund including management fees and other expenses. Please read it carefully before investing.

J. P. Morgan Funds

CEO’s Letter (Unaudited)

November 18, 2010

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

Quote

“If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

1

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

2

JPMorgan International Opportunities Plus Fund

Fund Commentary

Twelve Months Ended October 31, 2010 (Unaudited)

Reporting Period Return:
Fund (Select Class Shares)*		13.00	%
Morgan Stanley Capital International (“MSCI”) Europe, Australasia, and Far East (“EAFE”) Index		8.36	%
Net Assets as of 10/31/2010 (In Thousands)	$	5,332

INVESTMENT OBJECTIVE**

The JPMorgan International Opportunities Plus Fund (the “Fund”) seeks to provide long-term capital appreciation.

HOW DID THE MARKET PERFORM?

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Stock prices declined in the second quarter of 2010 as risk aversion returned in April amid concerns about the threat of systemic fallout from Europe’s debt crisis. However, stocks recovered in the third quarter of 2010 and into October amid strong corporate earnings, better-than-expected economic data, a return of merger and acquisition activity and accommodative policies from the U.S. Federal Reserve and the Bank of Japan. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation among regions and countries.

International stocks, as measured by the MSCI EAFE Index (the “Benchmark”), gained 8.36% for the reporting period, underperforming emerging markets and U.S. stocks. The relative weakness of the MSCI EAFE Index was driven primarily by lagging European stocks. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity among European leaders and the impact that austerity measures would have on growth in the region.

Emerging markets stocks were bolstered by strong gross domestic product growth in developing countries, as the MSCI Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period. The greater China region lagged other emerging markets. Investors were concerned that the Chinese government would be forced to take measures to clamp down on the surging Chinese economy in an effort to ward off inflation, potentially causing a sharp pullback in economic activity (also known as a “hard landing”). However, concerns about a hard landing in China failed to materialize and the Chinese stock market performed well toward the end of the reporting period.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the Benchmark for the twelve months ended October 31, 2010 as positive stock selection in the energy and transport services and consumer cyclical sectors offset negative stock selection in the retail and banks - capital markets sectors.

Individual contributors to relative performance included the Fund’s overweight position in German-based Lanxess AG, a specialty chemical provider not held in the Benchmark. The company’s earnings received a boost from its management’s disciplined cost-cutting measures and recovering demand in the developed world, a growing presence in emerging markets and rising demand for synthetic rubber. Other individual contributors included the Fund’s overweight position in Volkswagen AG, as the success of the car manufacturer’s Audi brand, its strong presence in China and recovering global demand for autos fueled strong earnings growth for the first nine months of the year, overshadowing concerns about the company’s pending merger with Porsche. In addition, the Fund bought shares of integrated energy company BP plc after the company’s oil spill in the Gulf of Mexico had taken its toll on the stock. The Fund benefited as the stock rebounded off its lows.

Individual detractors included the Fund’s overweight positions in Lafarge S.A. and China Resources Land Ltd. Lafarge S.A., a France-based building materials company, was hurt by continued weakness in European construction activity. China Resources Land Ltd. is a real estate development company. Property stocks in the greater China region declined broadly on investor concerns about the Chinese government’s efforts to cool its surging property market, such as raising the installment requirement for second-home purchases and raising the mortgage rates applied to these purchases.

Other individual detractors included the Fund’s overweight position in Austrian biotech company Intercell AG. Management warned that the company may post a loss for 2010, due in part to on-going research & development costs.

3

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers employed a bottom-up fundamental approach to stock selection, utilizing a proprietary dividend discount model to rank stocks within each sector. The Fund’s portfolio managers established long positions in stocks they believed were attractive and short positions in stocks they believed were unattractive. The Fund’s portfolio managers used total return swaps to replicate the performance of a portfolio of long and short positions. The Fund’s average long to-short exposure over the reporting period was 118% to 18%. In addition, the Fund employed currency forwards to bring the Fund’s currency exposure closer in line with the Benchmark.

	TOP TEN LONG EQUITY HOLDINGS OF THE PORTFOLIO (a)(b)
1.	Royal Dutch Shell plc, Class A (Netherlands)	3.0	%
2.	Telefonica S.A. (Spain)	2.3
3.	Siemens AG (Germany)	2.0
4.	Nissan Motor Co., Ltd. (Japan)	1.8
5.	HSBC Holdings plc (United Kingdom)	1.8
6.	Lanxess AG (Germany)	1.6
7.	Schneider Electric S.A. (France)	1.6
8.	GDF Suez (France)	1.6
9.	Centrica plc (United Kingdom)	1.6
10.	Volkswagen AG (Germany)	1.6

	TOP TEN SHORT EQUITY HOLDINGS OF THE PORTFOLIO (a)(b)
1.	Lottomatica S.p.A. (Italy)	0.5	%
2.	Dassault Systems S.A. (France)	0.5
3.	Shizuoka Bank Ltd. (The) (Japan)	0.5
4.	Accor S.A. (France)	0.5
5.	Keyence Corp. (Japan)	0.5
6.	Skanska AB, Class B (Sweden)	0.5
7.	Metro AG (Germany)	0.5
8.	Iberdrola S.A. (Spain)	0.5
9.	Firstgroup plc (United Kingdom)	0.4
10.	SABMiller plc (United Kingdom)	0.4

PORTFOLIO COMPOSITION BY COUNTRY (a)(b)	Long			Short			Net
United Kingdom		26.8	%		-2.0	%		24.8
Japan		23.6			-5.8			17.8
France		12.3			-2.3			10.0
Netherlands		9.3			-0.8			8.5
Germany		9.1			-0.7			8.4
Hong Kong		6.4			-1.0			5.4
Spain		3.2			-0.5			2.7
Switzerland		2.9			-0.7			2.2
Ireland		2.7			0.0			2.7
Australia		2.4			-0.4			2.0
Taiwan		2.1			0.0			2.1
China		1.9			0.0			1.9
Finland		1.7			-0.6			1.1
Canada		1.6			0.0			1.6
Luxembourg		1.5			0.0			1.5
Norway		1.5			0.0			1.5
Indonesia		1.1			0.0			1.1
India		1.0			0.0			1.0
Others (each less than 1.0%)		7.2			-3.5			3.7
		118.3			-18.3			100.0

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

(a) Percentages indicated are based upon total investments plus the current value of the total net long and short positions within the Portfolio Swap as of October 31, 2010.

(b) The Fund has entered into a Portfolio Swap, which provides exposure equivalent to a portfolio of long and short securities. The percentages calculated in the tables above include the current values of the long or short positions within the Portfolio Swap as of October 31, 2010, as applicable.

4

JPMorgan International Opportunities Plus Fund

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010

	INCEPTION DATE OF CLASS		1 YEAR			SINCE INCEPTION
CLASS A SHARES		10/14/09
Without Sales Charge				12.72	%		6.04	%
With Sales Charge*				6.83			0.72
CLASS C SHARES		10/14/09
Without CDSC				12.16			5.53
With CDSC**				11.16			5.53
SELECT CLASS SHARES		10/14/09		13.00			6.30

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

5

JPMorgan International Opportunities Plus Fund

The Fund commenced operations on October 14, 2009.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan International Opportunities Plus Fund, the MSCI EAFE Index and the Lipper Long/Short Equity Funds Average from October 14, 2009 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Lipper Long/Short Equity Funds Average reflects an initial investment at the end of the month closest to the Fund’s inception. The performance of the MSCI EAFE Index does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of securities included in the benchmark. The dividend is reinvested after deduction of withholding tax, applying the maximum rate to nonresident institutional investors who do not benefit from double taxation treaties. The performance of the Lipper Long/Short Equity Funds Average includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The MSCI EAFE Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The Lipper Long/Short Equity Funds Average is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

6

JPMorgan International Opportunities Plus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

SHARES		SECURITY DESCRIPTION	VALUE($)
		Common Stocks — 99.7%
		Australia — 2.4%
	1,843	Macquarie Group Ltd. (m)		65,528
	3,576	QBE Insurance Group Ltd.		60,151
				125,679
		Austria — 1.1%
	836	Erste Group Bank AG (m)		37,772
	949	Intercell AG (a)		23,209
				60,981
		Belgium — 0.7%
	826	KBC Groep N.V. (a)		35,968
		Canada — 1.6%
	489	First Quantum Minerals Ltd.		42,820
	2,300	Kinross Gold Corp. (m)		41,382
				84,202
		China — 1.9%
	25,000	China Construction Bank Corp., Class H (m)		23,900
	26,500	China Merchants Bank Co., Ltd., Class H (m)		75,511
				99,411
		Denmark — 0.4%
	202	Carlsberg A/S, Class B (m)		22,085
		Finland — 1.7%
	3,287	Nokia OYJ (m)		35,300
	952	Nokian Renkaat OYJ (m)		33,006
	2,024	Stora Enso OYJ, Class R		20,111
				88,417
		France — 10.7%
	612	Atos Origin S.A. (a) (m)		28,321
	641	BNP Paribas (m)		46,886
	462	Cie Generale des Etablissements Michelin, Class B		36,915
	2,086	GDF Suez (m)		83,350
	2,113	PagesJaunes Groupe (m)		23,295
	595	Pernod-Ricard S.A. (m)		52,886
	376	PPR (m)		61,842
	1,160	Sanofi-Aventis S.A. (m)		81,272
	594	Schneider Electric S.A. (m)		84,396
	796	Sodexo (m)		51,803
	102	Unibail-Rodamco SE (m)		21,282
				572,248
		Germany — 6.5%
	919	Bayer AG (m)		68,546
	970	Daimler AG (a) (m)		63,878
	620	Hamburger Hafen und Logistik AG		27,126
	1,217	Lanxess AG (m)		84,586
	913	Siemens AG (m)		104,187
				348,323
		Hong Kong — 6.4%
	10,200	AIA Group Ltd. (a)		30,332
	6,000	Cathay Pacific Airways Ltd. (m)		16,166
	20,000	China Overseas Land & Investment Ltd. (m)		42,159

SHARES		SECURITY DESCRIPTION	VALUE($)
		Hong Kong — Continued
	22,000	China Resources Land Ltd. (m)		43,479
	7,000	Hang Lung Properties Ltd. (m)		34,337
	23,000	Huabao International Holdings Ltd. (m)		34,769
	7,000	Hutchison Whampoa Ltd. (m)		69,134
	4,000	Sun Hung Kai Properties Ltd. (m)		68,809
				339,185
		India — 0.9%
	751	Infosys Technologies Ltd., ADR (m)		50,647
		Indonesia — 1.0%
	66,000	Perusahaan Gas Negara PT (m)		30,023
	25,500	Telekomunikasi Indonesia Tbk PT (m)		25,887
				55,910
		Ireland — 2.3%
	5,119	Experian plc (m)		59,482
	758	Paddy Power plc (m)		30,596
	1,338	Shire plc (m)		31,399
				121,477
		Israel — 0.6%
	641	Teva Pharmaceutical Industries Ltd., ADR (m)		33,268
		Italy — 1.0%
	9,809	Snam Rete Gas S.p.A. (m)		53,178
		Japan — 20.3%
	4,600	Citizen Holdings Co., Ltd. (m)		26,438
	900	Coca-Cola West Co., Ltd. (m)		13,772
	1,200	Daikin Industries Ltd. (m)		41,749
	700	East Japan Railway Co. (m)		43,228
	1,900	FUJIFILM Holdings Corp. (m)		63,387
	7,000	Fujitsu Ltd. (m)		47,750
	14	Japan Tobacco, Inc. (m)		43,494
	1,000	JGC Corp. (m)		19,127
	10,200	JX Holdings, Inc. (m)		60,127
	4,000	Kubota Corp. (m)		35,472
	10,000	Marubeni Corp. (m)		62,819
	8,000	Mitsubishi Electric Corp. (m)		74,977
	3,800	Mitsui & Co., Ltd. (m)		59,764
	7,000	Nippon Express Co., Ltd. (m)		27,813
	11,000	Nippon Sheet Glass Co., Ltd. (m)		24,139
	600	Nippon Telegraph & Telephone Corp. (m)		27,060
	10,900	Nissan Motor Co., Ltd. (m)		95,798
	2,000	Onward Holdings Co., Ltd. (m)		14,941
	3,000	Ricoh Co., Ltd. (m)		41,966
	2,300	Shiseido Co., Ltd. (m)		48,018
	900	Sumco Corp. (a)		13,917
	1,600	Sumitomo Mitsui Financial Group, Inc. (m)		47,756
	1,100	Sundrug Co., Ltd. (m)		30,552
	500	Suzuken Co., Ltd. (m)		15,719
	6,000	Takashimaya Co., Ltd. (m)		45,166
	4,000	Tokyo Gas Co., Ltd. (m)		18,820
	4,000	Toshiba Corp. (m)		20,021

SEE NOTES TO FINANCIAL STATEMENTS.

7

JPMorgan International Opportunities Plus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

SHARES		SECURITY DESCRIPTION	VALUE($)
		Common Stocks — Continued
		Japan — Continued
	3,000	TOTO Ltd. (m)		19,932
				1,083,722
		Luxembourg — 1.2%
	2,058	ArcelorMittal (m)		66,593
		Mexico — 0.4%
	4,801	Grupo Financiero Banorte S.A.B. de C.V., Class O (m)		20,541
		Netherlands — 7.6%
	1,298	ASML Holding N.V. (m)		43,029
	1,894	ING Groep N.V. CVA (a) (m)		20,263
	2,032	Koninklijke KPN N.V. (m)		33,937
	2,489	Koninklijke Philips Electronics N.V. (m)		75,920
	4,980	Royal Dutch Shell plc, Class A		161,537
	2,406	Unilever N.V. CVA (m)		71,451
				406,137
		Norway — 1.5%
	1,250	Algeta ASA (a) (m)		21,246
	4,147	DnB NOR ASA (m)		56,965
				78,211
		South Korea — 0.9%
	537	LG Electronics, Inc. (m)		47,286
		Spain — 3.2%
	3,991	Banco Bilbao Vizcaya Argentaria S.A. (m)		52,579
	4,446	Telefonica S.A.		120,142
				172,721
		Sweden — 0.5%
	1,026	Electrolux AB, Series B (m)		24,852
		Switzerland — 1.5%
	621	Credit Suisse Group AG (m)		25,708
	213	Zurich Financial Services AG (m)		52,125
				77,833
		Taiwan — 2.1%
	7,056	Hon Hai Precision Industry Co., Ltd., GDR (m)		53,980
	5,280	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		57,605
				111,585
		United Arab Emirates — 0.5%
	5,181	Lamprell plc (m)		27,892
		United Kingdom — 20.8%
	12,952	Barclays plc (m)		56,917
	3,684	BG Group plc (m)		71,713
	1,911	BHP Billiton plc (m)		67,697
	9,276	BP plc (m)		63,050
	685	British American Tobacco plc (m)		26,096
	6,256	BT Group plc (m)		15,426
	18,587	Cable & Wireless Worldwide plc (m)		20,908

SHARES		SECURITY DESCRIPTION	VALUE($)
		United Kingdom — Continued
	4,196	Cairn Energy plc (a) (m)		25,933
	15,662	Centrica plc (m)		83,339
	3,243	Cookson Group plc (a) (m)		26,773
	3,637	GlaxoSmithKline plc (m)		71,022
	2,402	Hikma Pharmaceuticals plc (m)		30,285
	9,126	HSBC Holdings plc (m)		94,980
	930	Intercontinental Hotels Group plc (m)		17,961
	5,119	International Power plc (m)		34,155
	45,348	Lloyds Banking Group plc (a) (m)		49,843
	10,660	Man Group plc (m)		44,555
	4,156	Michael Page International plc (m)		31,368
	5,660	National Grid plc (m)		53,523
	8,005	Premier Farnell plc (m)		34,872
	1,255	Reckitt Benckiser Group plc (m)		70,115
	6,233	Resolution Ltd. (m)		26,131
	5,601	Salamander Energy plc (a) (m)		19,607
	26,384	Vodafone Group plc (m)		72,123
				1,108,392
		Total Common Stocks (Cost $4,975,480)		5,316,744
		Preferred Stock — 1.6%
		Germany — 1.6%
	550	Volkswagen AG (m) (Cost $50,888)		82,469
		Total Investments — 101.3% (Cost $5,026,368)		5,399,213
		Liabilities in Excess of Other Assets — (1.3)%		(67,286	)
		NET ASSETS — 100.0%	$	5,331,927

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

8

JPMorgan International Opportunities Plus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

Industry	Percentage
Commercial Banks		11.1	%
Oil, Gas & Consumable Fuels		7.4
Pharmaceuticals		5.8
Industrial Conglomerates		5.1
Diversified Telecommunication Services		4.5
Automobiles		4.5
Multi-Utilities		4.1
Metals & Mining		4.0
Real Estate Management & Development		3.5
Electronic Equipment, Instruments & Components		3.3
Insurance		3.1
Electrical Equipment		3.0
Capital Markets		2.5
Trading Companies & Distributors		2.3
Chemicals		2.2
Semiconductors & Semiconductor Equipment		2.1
Multiline Retail		2.0
Gas Utilities		1.9
Hotels, Restaurants & Leisure		1.9
Professional Services		1.7
Beverages		1.6
Building Products		1.6
IT Services		1.5
Wireless Telecommunication Services		1.3
Household Durables		1.3
Food Products		1.3
Road & Rail		1.3
Household Products		1.3
Auto Components		1.3
Tobacco		1.3
Computers & Peripherals		1.3
Others (each less than 1.0%)		8.9

SEE NOTES TO FINANCIAL STATEMENTS.

9

JPMorgan International Opportunities Plus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

Forward Foreign Currency Exchange Contracts

CONTRACTS TO BUY		CURRENCY	COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	26,462	CHF
	19,519	for EUR	Royal Bank of Scotland		01/12/11	$	27,141	#	$	26,907	#	$	(234	)
	26,458	CHF
	17,345	for GBP	Citibank, N.A.		01/12/11		27,777	#		26,903	#		(874	)
	30,944	CHF
	20,443	for GBP	State Street Bank & Trust		01/12/11		32,740	#		31,464	#		(1,276	)
	18,065	CHF
	1,542,533	for JPY	State Street Bank & Trust		01/12/11		19,183	#		18,369	#		(814	)
	26,824	EUR
	3,083,587	for JPY	Deutsche Bank AG		01/12/11		38,348	#		37,298	#		(1,050	)
	2,096,183	JPY
	151,583	for NOK	Citibank, N.A.		01/12/11		25,785	#		26,068	#		283
	377,710	AUD	Royal Bank of Canada		01/12/11		364,195			366,720			2,525
	219,835	CHF	Morgan Stanley		01/12/11		228,005			223,529			(4,476	)
	30,805	EUR	Morgan Stanley		01/12/11		42,804			42,834			30
	16,026	GBP	Citibank, N.A.		01/12/11		25,427			25,666			239
	12,990	GBP	Societe Generale		01/12/11		20,423			20,803			380
	10,149,173	JPY	Barclays Bank plc		01/12/11		122,909			126,216			3,307
	7,193	NZD	Royal Bank of Canada		01/12/11		5,358			5,451			93
	1,129,266	SEK	Morgan Stanley		01/12/11		167,969			168,654			685
	59,381	SGD	Barclays Bank plc		01/12/11		45,301			45,878			577
						$	1,193,365		$	1,192,760		$	(605	)
CONTRACTS TO SELL		CURRENCY	COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE			VALUE AT 10/31/10			NET UNREALIZED APPRECIATION (DEPRECIATION)
	32,522	AUD	Barclays Bank plc		01/12/11	$	31,142		$	31,576		$	(434	)
	74,264	CAD	Royal Bank of Canada		01/12/11		73,086			72,690			396
	231,241	EUR	Citibank, N.A.		01/12/11		320,166			321,536			(1,370	)
	16,784	GBP	Deutsche Bank AG		01/12/11		26,601			26,879			(278	)
	214,617	GBP	Morgan Stanley		01/12/11		340,659			343,702			(3,043	)
	1,436,610	HKD	Barclays Bank plc		01/12/11		185,268			185,428			(160	)
	223,943	HKD	Morgan Stanley		01/12/11		28,893			28,905			(12	)
	2,405,861	JPY	State Street Bank & Trust		01/12/11		28,926			29,919			(993	)
						$	1,034,741		$	1,040,635		$	(5,894	)

# For cross-currency exchange contracts, the settlement value is the U.S. Dollar market value at 10/31/10 of the currency being sold, and the value at 10/31/10 is the U.S. Dollar market value of the currency being purchased.

SEE NOTES TO FINANCIAL STATEMENTS.

10

JPMorgan International Opportunities Plus Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

NOTES TO SCHEDULE OF PORTFOLIO INVESTMENTS:

ADR	—	American Depositary Receipt
AUD	—	Australian Dollar
CAD	—	Canadian Dollar
CHF	—	Swiss Franc
CVA	—	Dutch Certification
EUR	—	Euro
GBP	—	British Pound
GDR	—	Global Depositary Receipt
HKD	—	Hong Kong Dollar
JPY	—	Japanese Yen
NOK	—	Norwegian Krone
NZD	—	New Zealand Dollar
SEK	—	Swedish Krona
SGD	—	Singapore Dollar

(a) Non-income producing security.

(m) All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.

The value and percentage, based on total investments, of the investments that apply the fair valuation policy for the international investments as described in Note 2.A. are $5,152,950 and 95.4%, respectively.

Portfolio Swap* Outstanding at October 31, 2010

COUNTERPARTY	DESCRIPTION	TERMINATION DATE		VALUE ($)
UBS	The Fund receives or pays the total return on a portfolio of long and short positions and pays or receives a specified LIBOR or Federal Funds floating rate, which is denominated in various foreign currencies based on the local currencies of the positions within the portfolio.		12/31/15		16,227
Total				$	16,227

* See the accompanying “Additional Information – Portfolio Swap” for further details.

SEE NOTES TO FINANCIAL STATEMENTS.

11

JPMorgan International Opportunities Plus Fund

ADDITIONAL INFORMATION — PORTFOLIO SWAP

AS OF OCTOBER 31, 2010

PORTFOLIO SWAP POSITIONS	NOTIONAL VALUE($)(a)		CURRENT VALUE($)(b)		VALUE($)(c)
Long Positions
Belgium — 0.2%
KBC Groep N.V. (e)		12,833		12,833		—
France — 1.6%
Atos Origin S.A. (e)		6,520		6,520		—
BNP Paribas		39,056		39,056		—
Compagnie Generale des Etablissements Michelin, Class B		13,602		13,602		—
Sanofi-Aventis S.A.		13,619		13,619		—
Sodexo		11,845		11,845		—
		84,642		84,642		—
Germany — 1.0%
Bayer AG		15,821		15,821		—
Daimler AG (e)		13,665		13,665		—
Gerresheimer AG (e)		26,036		26,036		—
		55,522		55,522		—
Ireland — 0.4%
Experian plc		9,277		9,277		—
Shire plc		12,374		12,374		—
		21,651		21,651		—
Italy — 0.2%
Snam Rete Gas S.p.A.		12,720		12,720		—
Japan — 3.2%
Japan Tobacco, Inc.		12,442		12,442		—
JFE Holdings Inc.		18,730		18,730		—
Kubota Corp.		8,898		8,898		—
Mitsubishi Electric Corp.		18,765		18,765		—
Mitsui & Co., Ltd.		14,148		14,148		—
Nintendo Co., Ltd. (e)		44,206		44,206		—
Nippon Sheet Glass Co., Ltd.		13,197		13,197		—
Sumco Corp. (e)		13,947		13,947		—
Yahoo! Japan Corp.		25,896		25,896		—
		170,229		170,229		—
Luxembourg — 0.2%
ArcelorMittal		13,018		13,018		—
Netherlands — 1.7%
ING Groep N.V. CVA (e)		52,821		52,821		—
Koninklijke KPN N.V.		14,530		14,530		—
Koninklijke Philips
Electronics N.V.		8,589		8,589		—
Royal Dutch Shell plc, Class A		14,110		14,110		—
		90,050		90,050		—
Singapore — 0.7%
Singapore Telecommunications Ltd.		35,811		35,811		—
Switzerland — 1.5%
Credit Suisse Group AG		42,342		42,342		—
STMicroelectronics N.V.		21,095		21,095		—

PORTFOLIO SWAP POSITIONS	NOTIONAL VALUE($)(a)		CURRENT VALUE($)(b)		VALUE($)(c)
Switzerland — Continued
Zurich Financial Services AG		14,199		14,199		—
		77,636		77,636		—
United Kingdom — 6.0%
British American Tobacco plc		66,890		66,890		—
BT Group plc		32,159		32,159		—
GlaxoSmithKline plc		29,543		29,543		—
HSBC Holdings plc		9,995		9,995		—
Intercontinental Hotels
Group plc		51,948		51,948		—
Lloyds Banking Group plc (e)		15,819		15,819		—
Man Group plc		6,114		6,114		—
Premier Farnell plc		23,269		23,269		—
Tullow Oil plc		32,469		32,469		—
Vodafone Group plc		51,354		51,354		—
		319,560		319,560		—
Total Long Positions of Portfolio Swap		893,672		893,672		—
Short Positions
Australia — 0.4%
Woolworths Ltd.		22,216		22,216		—
Austria — 0.4%
Verbund - Oesterreichische Elektrizitaetswirtschafts AG		21,621		21,621		—
Belgium — 0.4%
Solvay S.A.		21,498		21,498		—
Denmark — 0.9%
DSV A/S		17,849		17,849		—
Novozymes A/S, Class B		16,390		16,390		—
William Demant Holding A/S (e)		15,519		15,519		—
		49,758		49,758		—
Finland — 0.6%
Neste Oil OYJ		14,649		14,649		—
Ramirent OYJ		16,237		16,237		—
		30,886		30,886		—
France — 2.3%
Accor S.A.		25,139		25,139		—
Cie Generale d’Optique Essilor International S.A.		15,693		15,693		—
Danone		16,139		16,139		—
Dassault Systemes S.A.		25,772		25,772		—
Nexans S.A.		19,090		19,090		—
Technip S.A.		22,358		22,358		—
		124,191		124,191		—

SEE NOTES TO FINANCIAL STATEMENTS.

12

JPMorgan International Opportunities Plus Fund

ADDITIONAL INFORMATION — PORTFOLIO SWAP

AS OF OCTOBER 31, 2010 (continued)

PORTFOLIO SWAP POSITIONS	NOTIONAL VALUE($)(a)		CURRENT VALUE($)(b)		VALUE($)(c)
Short Positions - Continued
Germany — 0.7%
Fraport AG Frankfurt
Airport Services Worldwide		12,370		12,370		—
Metro AG		24,392		24,392		—
		36,762		36,762		—
Hong Kong — 1.0%
China Mobile Ltd.		20,371		20,371		—
CLP Holdings Ltd.		16,255		16,255		—
Hong Kong Exchanges and Clearing Ltd.		6,603		6,603		—
Li & Fung Ltd.		10,566		10,566		—
		53,795		53,795		—
Italy — 0.9%
Assicurazioni Generali S.p.A		21,724		21,724		—
Lottomatica S.p.A.		27,078		27,078		—
		48,802		48,802		—
Japan — 5.8%
Chugoku Electric Power Co., Inc. (The)		18,163		18,163		—
Daiichi Sankyo Co Ltd.		21,188		21,188		—
Ebara Corp. (e)		21,437		21,437		—
Eisai Co., Ltd.		20,639		20,639		—
Ezaki Glico Co Ltd.		12,265		12,265		—
Fanuc Ltd.		14,477		14,477		—
Hirose Electric Co., Ltd.		20,132		20,132		—
Keyence Corp.		24,792		24,792		—
Kurita Water Industries Ltd.		18,198		18,198		—
Mitsubishi Motors Corp. (e)		16,702		16,702		—
Renesas Electronics Corp. (e)		14,285		14,285		—
Sharp Corp., ADR (e)		17,329		17,329		—
Shizuoka Bank Ltd. (The)		25,724		25,724		—
Sumitomo Metal Industries Ltd.		13,943		13,943		—
Takeda Pharmaceutical Co Ltd.		18,740		18,740		—
Toyo Seikan Kaisha Ltd.		15,356		15,356		—
Toyota Industries Corp.		16,925		16,925		—
		310,295		310,295		—
Netherlands — 0.7%
Corio N.V.		21,009		21,009		—
Randstad Holding N.V. (e)		18,707		18,707		—
		39,716		39,716		—
Phillipines — 0.4%
Philippine Long Distance Telephone Co., ADR (e)		21,621		21,621		—
Spain — 0.5%
Iberdrola S.A.		24,249		24,249		—
Sweden — 0.5%
Skanska AB, Class B		24,643		24,643		—
Switzerland — 0.7%
GAM Holding Ltd. (e)		19,989		19,989		—

PORTFOLIO SWAP POSITIONS	NOTIONAL VALUE($)(a)			CURRENT VALUE($)(b)			VALUE($)(c)
Switzerland — Continued
Logitech International S.A. (e)		15,360			15,360			—
		35,349			35,349			—
United Kingdom — 2.0%
Autonomy Corp. plc (e)		10,144			10,144			—
Babcock International Group plc		15,269			15,269			—
Firstgroup plc		23,379			23,379			—
Land Securities Group plc		16,077			16,077			—
SABMiller plc		22,502			22,502			—
Scottish & Southern Energy plc		19,935			19,935			—
		107,306			107,306			—
Total Short Positions	$	972,708			972,708			—
Total Net Long/Short Positions		(79,036	)		(79,036	)		—
Cash and Other Receivables (d)								17,676
Financing Costs								(658	)
Net Dividends								(791	)
Net Swap Contract, at value							$	16,227

Percentages indicated are based on net assets.

NOTES TO ADDITIONAL INFORMATION — PORTFOLIO SWAP:

(a)	Notional value represents the market value (including any fees or commissions) of the long and short positions when they are established.
(b)	Current value represents market value of these positions based on the securities’ last sale or closing price on the principal exchange on which the securities are traded.
(c)	Value represents the unrealized gain (loss) of the positions and was zero as of 10/31/10 as the swap reset on that date.
(d)	Cash and other receivables includes the gains (or losses) realized within the swap when the swap resets. Gains (or losses) will be realized on the swap, and reflected on the Statement of Operations, when cash is settled with the counterparty.
(e)	Non-income producing security.
ADR  -	American Depositary Receipt
CVA  -	Dutch Certification

SEE NOTES TO FINANCIAL STATEMENTS.

13

STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

	International Opportunities Plus Fund
ASSETS:
Investments in non-affiliates, at value	$	5,399,213
Cash		22,521
Foreign currency, at value		7,168
Receivables:
Investment securities sold		66,399
Interest and dividends		12,759
Tax reclaims		2,121
Unrealized appreciation on forward foreign currency exchange contracts		8,515
Net swap contract, at value		16,227
Due from Advisor		275
Total Assets		5,535,198
LIABILITIES:
Payables:
Investment securities purchased		94,717
Unrealized depreciation on forward foreign currency exchange contracts		15,014
Accrued liabilities:
Distribution fees		45
Custodian and accounting fees		13,203
Trustees’ and Chief Compliance Officer’s fees		17
Audit fees		53,036
Printing & Postage fees		19,960
Other		7,279
Total Liabilities		203,271
Net Assets	$	5,331,927

SEE NOTES TO FINANCIAL STATEMENTS.

14

STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

	International Opportunities Plus Fund
NET ASSETS:
Paid in capital	$	4,986,126
Accumulated undistributed (distributions in excess of) net investment income		163,430
Accumulated net realized gains (losses)		(200,725	)
Net unrealized appreciation (depreciation)		383,096
Total Net Assets	$	5,331,927
NET ASSETS:
Class A	$	53,186
Class C		52,908
Select Class		5,225,833
Total	$	5,331,927
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		3,333
Class C		3,333
Select Class		326,667
Net asset value :
Class A - Redemption price per share	$	15.96
Class C - Offering price per share (a)		15.87
Select Class - Offering and redemption price per share		16.00
Class A maximum sales charge		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% – maximum sales charge)]	$	16.84
Cost of investments in non-affiliates	$	5,026,368
Cost of foreign currency		7,158

^(a) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

15

STATEMENT OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

	International Opportunities Plus Fund
INVESTMENT INCOME:
Dividend income from non-affiliates	$	139,338
Foreign taxes withheld		(10,410	)
Total investment income		128,928
EXPENSES:
Investment advisory fees		56,164
Administration fees		4,542
Distribution fees:
Class A		122
Class C		365
Shareholder servicing fees:
Class A		122
Class C		122
Select Class		11,966
Custodian and accounting fees		44,316
Interest expense to affiliates		154
Professional fees		112,689
Trustees’ and Chief Compliance Officer’s fees		52
Printing and mailing costs		25,193
Registration and filing fees		2,105
Transfer agent fees		6,211
Other		3,446
Total expenses		267,569
Less amounts waived		(72,916	)
Less expense reimbursements		(132,964	)
Net expenses		61,689
Net investment income (loss)		67,239
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		(142,949	)
Foreign currency transactions		86,702
Swap		(50,000	)
Net realized gain (loss)		(106,247	)
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		638,879
Foreign currency translations		4,702
Swap		9,548
Change in net unrealized appreciation (depreciation)		653,129
Net realized/unrealized gains (losses)		546,882
Change in net assets resulting from operations	$	614,121

SEE NOTES TO FINANCIAL STATEMENTS.

16

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

	International Opportunities Plus Fund
	Year Ended 10/31/2010			Period Ended 10/31/2009 (a)
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	67,239		$	(2,225	)
Net realized gain (loss)		(106,247	)		(9,936	)
Change in net unrealized appreciation (depreciation)		653,129			(270,033	)
Change in net assets resulting from operations		614,121			(282,194	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		—			5,000,000
NET ASSETS:
Change in net assets		614,121			4,717,806
Beginning of period		4,717,806			—
End of period	$	5,331,927		$	4,717,806
Accumulated undistributed (distributions in excess of) net investment income	$	163,430		$	9,390

^(a) Commencement of operations was October 14, 2009.

SEE NOTES TO FINANCIAL STATEMENTS.

17

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

	International Opportunities Plus Fund
	Year Ended 10/31/2010		Period Ended 10/31/2009 (a)
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	—	$	50,000
Change in net assets from Class A capital transactions	$	—	$	50,000
Class C
Proceeds from shares issued	$	—	$	50,000
Change in net assets from Class C capital transactions	$	—	$	50,000
Select Class
Proceeds from shares issued	$	—	$	4,900,000
Change in net assets from Select Class capital transactions	$	—	$	4,900,000
Total change in net assets from capital transactions	$	—	$	5,000,000
SHARE TRANSACTIONS:
Class A
Issued		—		3,333
Change in Class A Shares		—		3,333
Class C
Issued		—		3,333
Change in Class C Shares		—		3,333
Select Class
Issued		—		326,667
Change in Select Class Shares		—		326,667

^(a) Commencement of operations was October 14, 2009.

SEE NOTES TO FINANCIAL STATEMENTS.

18

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance																Ratios/Supplemental data
			Investment operations																Ratios to average net assets (a)
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
International Opportunities Plus Fund
Class A
Year Ended October 31, 2010	$	14.15	$	0.17		$	1.64		$	1.81		$	15.96		12.79	%	$	53		1.50	%		1.14	%		5.71	%		65	%
October 14, 2009 (e) through October 31, 2009		15.00		(0.01	)		(0.84	)		(0.85	)		14.15		(5.67	)		47		1.50			(1.20	)		52.29	(f)		11
Class C
Year Ended October 31, 2010		14.15		0.09			1.63			1.72			15.87		12.16			53		2.00			0.64			6.22			65
October 14, 2009 (e) through October 31, 2009		15.00		(0.01	)		(0.84	)		(0.85	)		14.15		(5.67	)		47		2.00			(1.67	)		52.80	(f)		11
Select Class
Year Ended October 31, 2010		14.15		0.20			1.65			1.85			16.00		13.07			5,226		1.25			1.39			5.46			65
October 14, 2009 (e) through October 31, 2009		15.00		(0.01	)		(0.84	)		(0.85	)		14.15		(5.67	)		4,623		1.25			(0.96	)		52.05	(f)		11

^(a) Annualized for periods less than one year.

^(b) Not annualized for periods less than one year.

^(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

^(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

^(e) Commencement of operations.

^(f) Ratios are disproportionate between classes due to the size of net assets and fixed expenses.

SEE NOTES TO FINANCIAL STATEMENTS.

19

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I ( the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following is a separate fund of the Trust (the “Fund”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
International Opportunities Plus Fund	Class A, Class C and Select Class	Diversified

The Fund commenced operations on October 14, 2009. Currently, the Fund is not publicly offered for investment.

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Fund’s prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments – Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

See Note 2.C. for further detail on portfolio swap valuation.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Fund applies fair value pricing on equity securities on a daily basis

20

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

except for North American, Central American, South American and Caribbean equity securities held in its portfolio by utilizing the quotations of an independent pricing service, unless the Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time the Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below.

• Level 1 – quoted prices in active markets for identical securities

• Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

• Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following table represents each valuation input by country as presented on the Schedule of Portfolio Investments (“SOI”):

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—	$	125,679	$	—	$	125,679
Austria		—		60,981		—		60,981
Belgium		—		35,968		—		35,968
Canada		84,202		—		—		84,202
China		—		99,411		—		99,411
Denmark		—		22,085		—		22,085
Finland		—		88,417		—		88,417
France		—		572,248		—		572,248
Germany		—		348,323		—		348,323
Hong Kong		—		339,185		—		339,185
India		50,647		—		—		50,647
Indonesia		—		55,910		—		55,910
Ireland		—		121,477		—		121,477
Israel		—		33,268		—		33,268
Italy		—		53,178		—		53,178
Japan		—		1,083,722		—		1,083,722
Luxembourg		—		66,593		—		66,593
Mexico		20,541		—		—		20,541
Netherlands		—		406,137		—		406,137
Norway		—		78,211		—		78,211
South Korea		—		47,286		—		47,286
Spain		—		172,721		—		172,721
Sweden		—		24,852		—		24,852
Switzerland		—		77,833		—		77,833
Taiwan		—		111,585		—		111,585
United Arab Emirates		—		27,892		—		27,892

21

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

	Level 1 Quoted prices		Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
United Kingdom	$	—	$	1,108,392		$	—	$	1,108,392
Total Common Stocks		155,390		5,161,354			—		5,316,744
Preferred Stocks
Germany		—		82,469			—		82,469
Total Preferred Stocks		—		82,469			—		82,469
Total Investments in Securities	$	155,390	$	5,243,823		$	—	$	5,399,213
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	8,515		$	—	$	8,515
Swap		—		16,227			—		16,227
Total Appreciation in Other Financial Instruments	$	—	$	24,742		$	—	$	24,742
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	(15,014	)	$	—	$	(15,014	)

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Foreign Currency Translation – The books and records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Fund are presented at the foreign exchange rates and market values at the close of the period, the Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

C. Portfolio Swap – The Fund entered into a portfolio swap agreement to obtain exposure to a portfolio of long and short securities. This is a highly specialized activity and a significant aspect of the Fund’s investment strategy.

Under the terms of the agreement, the swap is designed to function as a portfolio of direct investments in long and short equity positions. This means that the Advisor has the ability to trade in and out of long and short positions within the swap and will receive all of the economic benefits and risks equivalent to direct investments in these positions such as: capital appreciation/depreciation, corporate actions and dividends received and paid, all of which are reflected in the swap value. The swap value also includes interest charges and credits related to the notional values of the long and short positions and cash balances within the swap. These costs/credits are based on defined market rates plus or minus a specified spread and are referred to herein as “financing costs”. Positions within the

22

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

swap are reset on at least an annual basis and financing costs are reset monthly. During a reset, any unrealized gains/losses on positions and accrued financing costs become available for cash settlement between the Fund and the swap counterparty. Cash settlement in and out of the swap may occur at a reset date or any other date, at the discretion of the Advisor and counterparty, over the life of the agreement, and is generally determined based on internal limits and thresholds established at both the Fund and counterparty.

The swap involves greater risks than if the Fund had invested in the underlying positions directly including: the risk that changes in the value of the swap may not correlate perfectly with the underlying long and short securities; credit risk related to the counterparty’s failure to perform under contract terms; liquidity risk related to the lack of a liquid market for the swap contract which may limit the ability of the Fund to close out its position(s); and, documentation risk relating to disagreement over contract terms. The Fund’s activities in the portfolio swap are concentrated with a single counterparty. Investing in swaps results in a form of leverage (i.e., the Fund’s risk of loss associated with these instruments may exceed their value as recorded in the Statement of Assets and Liabilities).

The value of the swap is derived from a combination of (i) the net value of the underlying positions, which are valued daily using the last sale or closing prices on the principal exchange on which the securities are traded; (ii) financing costs; (iii) the value of dividends; (iv) cash balances within the swap; and (v) other factors, as applicable. The value is reflected in the Statement of Assets and Liabilities, as Net swap contract, at value. Changes in the value of the swap are recognized as changes in unrealized appreciation or depreciation on the Statement of Operations.

Cash settlements between the Fund and counterparty are recognized as realized gains or losses on the Statement of Operations.

D. Forward Foreign Currency Exchange Contracts – The Fund may be exposed to foreign currency risks associated with portfolio investments and therefore uses forward foreign currency exchange contracts to hedge or manage these exposures. The Fund also buys forward foreign currency exchange contracts to gain exposure to currencies. Forward foreign currency exchange contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into.

The values of the forward foreign currency exchange contracts are adjusted daily based on the applicable exchange rate of the underlying currency. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation until the contract settlement date. When the forward contract is closed, the Fund records a realized gain or loss equal to the difference between the value at the time the contract was opened and the value at the time it was closed.

E. Summary of Derivative Information – The following table presents the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statement of Assets and Liabilities:

Derivative Contract	Statement of Assets and Liabilities Location	Forward Foreign Currency Exchange Contracts			Swap
Assets:
Foreign exchange contracts	Receivables	$	8,515		$	—
Equity contracts	Receivables		—			16,227
Total		$	8,515		$	16,227
Liabilities:
Foreign exchange contracts	Payables	$	(15,014	)	$	—
Total		$	(15,014	)	$	—

23

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

The following tables present the effect of derivatives on the Statement of Operations for the year ended October 31, 2010, by primary underlying risk exposure:

Amount of Realized Gain (Loss) on Derivatives Recognized in Income

Derivative Contract	Forward Foreign Currency Exchange Contracts		Swap			Total
Foreign exchange contracts	$	85,813	$	—		$	85,813
Equity contracts		—		(50,000	)		(50,000	)
Total	$	85,813	$	(50,000	)	$	35,813

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income

Derivative Contract	Forward Foreign Currency Exchange Contracts		Swap		Total
Foreign exchange contracts	$	3,892	$	—	$	3,892
Equity contracts		—		9,548		9,548
Total	$	3,892	$	9,548	$	13,440

The Fund’s derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

Derivatives Volume

The table below discloses the Fund’s derivatives activities during the reporting period November 1, 2009 through October 31, 2010. Please refer to the tables in the Summary of Derivatives Information for derivative-related gains and losses associated with volume activity.

	International Opportunities Plus Fund
Forward Foreign Currency Exchange Contracts:
Average Settlement Value Purchased	$	1,207,596
Average Settlement Value Sold		1,052,863
Ending Settlement Value Purchased		1,193,365
Ending Settlement Value Sold		1,034,741
Portfolio Swap
Average Notional Balance Long		874,492
Average Notional Balance Short		902,810
Ending Notional Balance Long		893,672
Ending Notional Balance Short		972,708

F. Security Transactions and Investment Income – Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, are recorded on the ex-dividend date or when the Fund first learns of the dividend.

G. Allocation of Income and Expenses – In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to the Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

24

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

H. Federal Income Taxes – The Fund is treated as a separate taxable entity for Federal income tax purposes. The Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Fund’s conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Fund’s Federal tax returns for the prior three fiscal years, or since inception if shorter, remain subject to examination by the Internal Revenue Service.

I. Foreign Taxes – The Fund may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.

J. Dividends and Distributions to Shareholders – Dividends from net investment income are declared and paid annually. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition – “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts:

Paid-in-Capital			Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
$	(99	)	$	86,801	$	(86,702	)

The reclassifications for the Fund relate primarily to foreign currency gains or losses.

K. Redemption Fees – Generally, shares of the Fund held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee – Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Fund. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of the Fund and for such services is paid a fee. The fee is accrued daily and paid monthly at an annual fee rate of 1.15% of the Fund’s average daily net assets.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee – Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Fund. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of the Fund’s average daily net assets.

25

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Fund’s Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees – Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Fund in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Fund shall pay distribution fees, including payments to the Distributor, at annual rates of 0.25% and 0.75% of the average daily net assets of Class A and Class C Shares, respectively.

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 20010, the Distributor did not retain a front-end sales charge or CDSC.

D. Shareholder Servicing Fees – The Trust, on behalf of the Fund, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to 0.25% of the Fund’s average daily net assets of each class.

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Fund under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees – JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Fund, provides portfolio custody and accounting services for the Fund. The amounts paid directly to JPMCB by the Fund for custody and accounting services are included in Custodian and accounting fees in the Statement of Operations. The Fund earns interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statement of Operations.

Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statement of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statement of Operations.

26

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

F. Waivers and Reimbursements – The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Fund to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Fund’s respective average daily net assets as shown in the table below:

Class A			Class C			Select Class
	1.50	%		2.00	%		1.25	%

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011.

For the year ended October 31, 2010, the Fund’s service providers waived fees and/or reimbursed expenses for the Fund as follows. None of these parties expects the Fund to repay any such waived fees and reimbursed expenses in future years.

Contractual Waivers
Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
$	56,164	$	4,542	$	12,210	$	72,916	$	132,964

Additionally, the Fund may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Fund’s investment in such affiliated money market fund. A portion of the waiver is voluntary.

For the year ended October 31, 2010, the Fund did not invest in any money market funds.

G. Other – Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Fund for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statement of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, the Fund may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Fund may use related party broker/dealers. For the year ended October 31, 2010, the Fund did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Fund to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

27

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows:

Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
$	3,502,153	$	3,158,921

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows:

Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
$	5,026,951	$	545,675	$	173,413	$	372,262

The difference between book and tax basis appreciation (depreciation) on investments is primarily attributed to wash sale loss deferrals.

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows:

Current Distributable Ordinary Income		Current Distributable Long Term Capital Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
$	156,532	$	(183,915	)	$	373,190

The cumulative timing differences primarily consist of mark to market of forward foreign currency contracts and mark to market of unrealized gain/loss on the portfolio swap.

As of October 31, 2010, the Fund had the following net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains:

2017		2018		Total
$	1,097	$	182,818	$	183,915

6. Borrowings

The Fund relies upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Fund to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Fund because it is an investment company in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P.

28

NOTES TO FINANCIAL STATEMENTS—(Continued)

AS OF OCTOBER 31, 2010

Morgan Funds including the Fund. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Fund had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statement of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

The Fund’s shares are currently held by the Fund’s investment advisor. Once the Fund’s shares are sold to the public, the Fund’s investment advisor or an affiliate may from time to time exercise discretion on behalf of certain of its clients with respect to the purchase or sale of a significant portion of the Fund’s outstanding shares. Investment activities on behalf of these shareholders could impact the Fund.

The Fund may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year depending on the Fund. Such concentrations may subject the Fund to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the Fund’s net assets consist of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of and investment income from such securities.

The Fund is party to various derivative contracts governed by International Swaps and Derivatives Association Master Agreements (“ISDA agreements”). The Fund’s ISDA agreements, which are separately negotiated with a dealer counterparty, may contain provisions allowing absent other considerations, a counterparty to exercise rights, to the extent not otherwise waived against the Fund. The ISDA agreements also contain provisions allowing, absent other conditions, the Fund to exercise rights, to the extent not otherwise waived, against the counterparties (i.e. decline in a counterparty’s credit rating below a specified level). Such rights for both the counterparty and Fund often include the ability to terminate (i.e., close out) open contracts at prices which may favor the counterparty, which could have an adverse impact on the Fund.

29

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan International Opportunities Plus Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan International Opportunities Plus Fund (a separate Fund of JPMorgan Trust I) (hereafter referred to as the “Fund”) at October 31, 2010, the results of its operations for the year then ended and the changes in net assets and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 23, 2010

30

TRUSTEES

(Unaudited)

The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll-Rand Company (manufacturer of industrial equipment) (1972-2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985-present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).		141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).		141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President – Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).		141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).		141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).		141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).		141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

31

TRUSTEES

(Unaudited) (continued)

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000-present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

* Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

32

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003-2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

33

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
International Opportunities Plus Fund
Class A
Actual	$	1,000.00	$	1,068.30	$	7.82		1.50	%
Hypothetical		1,000.00		1,017.64		7.63		1.50
Class C
Actual		1,000.00		1,065.10		10.41		2.00
Hypothetical		1,000.00		1,015.12		10.16		2.00
Select Class
Actual		1,000.00		1,069.50		6.52		1.25
Hypothetical		1,000.00		1,018.90		6.36		1.25

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

34

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

• We get information from you on applications or other forms, on our website, or through other means.

• We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

• We keep information under physical, electronic and proce- dural controls that comply with or exceed governmental standards.

• We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

• We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

• To protect against fraud.

• To protect against practices that may harm J.P. Morgan Funds or its shareholders.

• To respond to a subpoena.

• With regulatory authorities and law enforcement officials who have jurisdiction over us.

• To service your account.

• With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. – (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

35

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J. P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

Annual Report

J.P. Morgan Funds

October 31, 2010

JPMorgan Income Builder Fund

CONTENTS

CEO’s Letter	1
Fund Commentary	2
Schedule of Portfolio Investments	5
Financial Statements	22
Financial Highlights	28
Notes to Financial Statements	30
Report of Independent Registered Public Accounting Firm	39
Trustees	40
Officers	42
Schedule of Shareholder Expenses	43
Board Approval of Investment Advisory Agreement	44
Tax Letter	47
Privacy Policy	48

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Fund’s prospectus for a discussion of the Fund’s investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about the Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

November 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe and infla-

tionary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN FUNDS 1

JPMorgan Income Builder Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Class A Shares, without a sales charge)*		16.89%
S&P 500 Index		16.52%
Net Assets as of 10/31/2010 (In Thousands)	$	559,423

INVESTMENT OBJECTIVE**

The JPMorgan Income Builder Fund (the “Fund”) seeks to maximize income while maintaining prospects for capital appreciation.

INVESTMENT APPROACH

J.P. Morgan’s Global Multi-Asset Group (“GMAG”) utilized top-down research to identify the asset allocation that they believed would maximize income for the Fund. After determining what they believed to be the Fund’s ideal asset allocation, GMAG leveraged the resources and insights of specialist asset class portfolio management teams, each with expertise in managing money in the asset classes assigned to them by GMAG. These teams of portfolio managers used bottom-up fundamental research, rigorously researching investment opportunities to determine their underlying value. The Fund’s assets were allocated among emerging markets debt, U.S. fixed income, global real estate securities, global equities and global convertible bonds.

HOW DID THE MARKET PERFORM?

Stock markets in most parts of the world continued to rally for the first five months of the reporting period, maintaining the upward momentum they enjoyed after the March 2009 market bottom. Risk aversion returned in April 2010 amid concerns about the threat of systemic fallout from Europe’s debt crisis, causing stock prices to decline before better-than-expected economic data and the U.S. Federal Reserve’s accommodative policy fueled a broad rally in September and October. While most stock markets advanced for the twelve months ended October 31, 2010, there was clear separation between regions and countries. Emerging markets stocks were bolstered by strong GDP growth in most developing countries, as the MSCI Emerging Markets Index gained 23.89% and was among the best performing stock indexes during the reporting period, outperforming the MSCI EAFE Index’s 8.36% gain and the S&P 500 Index’s 16.52% return.

In fixed income markets, yields for U.S. Treasuries fell, sending their prices higher (generally, bond prices increase when yields decline). Meanwhile, the supply/demand backdrop continued to be favorable in the non-agency mortgage-backed security market, outweighing concerns about the fundamentals of the housing market. Supply for non-agency mortgage-backed securities continued to decline, while demand was strong due to the sector’s high yield relative to other areas of the fixed income market. This favorable environment helped support the non-agency mortgage market.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Class A Shares, without a sales charge) outperformed the S&P 500 Index for the twelve months ended October 31, 2010.

The Fund’s investments in high yield bonds (also known as “junk bonds”) contributed significantly to the Fund’s income and absolute return. High yield bonds were supported by strong corporate balance sheets and declining default rates, as well as the market’s relatively high yield and return potential.

The Fund’s allocation to global equities added the least amount of value in terms of capital appreciation. During the reporting period, the Fund had a larger exposure to international equities versus outperforming U.S. equities, hurting relative performance. International stocks lagged stocks in other parts of the world mainly due to relative weakness from European equities as a result of the region’s fiscal crisis. While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity among European leaders and the austerity measures being taken by weaker European countries to lower their deficits.

HOW WAS THE FUND POSITIONED?

The Fund’s portfolio managers positioned the Fund to tactically pursue income. The Fund can invest 0-100% of its assets in fixed income and 0-60% of its assets in equities. Within the context of this asset allocation range, the Fund finished the reporting period overweight equities and underweight fixed income.

Among equities, the Fund’s portfolio managers continued to find U.S. dividend yields unattractive relative to the dividend yields of international stocks. Equities that pay out high dividends in the U.S. were generally concentrated in only a few sectors, while high-yielding equities were more diversified across sectors in the international markets. However, given their negative outlook on the euro, the Fund’s portfolio managers used currency forwards to protect a portion of the Fund’s euro-denominated securities from potential weakness in the euro.

Among fixed income, the Fund’s portfolio managers eliminated the Fund’s exposure to corporate securities and rotated into non-agency mortgage-backed securities. In addition, while U.S. high yield bonds continued to constitute the largest percentage of the Fund’s overall assets, the Fund’s portfolio managers reduced the Fund’s allocation as these securities outperformed, rotating some of these assets in to emerging market debt.

2 J.P. MORGAN FUNDS OCTOBER 31, 2010

TOP TEN HOLDINGS OF THE PORTFOLIO***
	1.	United Mexican States, (Mexico), 11.375%, 09/15/16	1.2	%
	2.	Federal Republic of Brazil, (Brazil), 11.000%, 08/17/40	1.2
	3.	KazMunaiGaz Finance Sub B.V., (Netherlands), 11.750%, 01/23/15	1.2
	4.	Republic of Venezuela, (Venezuela), 12.750%, 08/23/22	1.0
	5.	Merck & Co., Inc. (Common Stock)	0.9
	6.	Russian Federation, (Russia), 12.750%, 06/24/28	0.9
	7.	Government of Dominican Republic, (Dominican Republic), 9.040%, 01/23/18	0.8
	8.	Time Warner, Inc. (Common Stock)	0.8
	9.	Republic of El Salvador, (El Salvador), 7.750%, 01/24/23	0.8
	10.	Coca-Cola Co. (The) (Common Stock)	0.8

PORTFOLIO COMPOSITION BY COUNTRY***
United States	57.7	%
United Kingdom	4.6
Netherlands	4.6
France	4.0
Australia	2.5
Luxembourg	2.4
Germany	2.4
Spain	1.6
Japan	1.5
Mexico	1.5
Brazil	1.4
Canada	1.3
Dominican Republic	1.1
Singapore	1.0
Venezuela	1.0
Others (each less than 1.0%)	11.4

* The return shown is based on the net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 3

JPMorgan Income Builder Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		5/31/07
Without Sales Charge				16.89	%		3.99	%		3.78	%
With Sales Charge*				11.62			2.40			2.39
CLASS C SHARES		5/31/07
Without CDSC				16.34			3.51			3.28
With CDSC**				15.34			3.51			3.28
SELECT CLASS SHARES		5/31/07		17.04			4.20			3.99

* Sales Charge for Class A Shares is 4.50%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (5/31/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date month-end performance information please call 1-800-480-4111.

The Fund commenced operations on May 31, 2007.

The graph illustrates comparative performance for $10,000 invested in Class A Shares of the JPMorgan Income Builder Fund, the S&P 500 Index, the Barclays Capital U.S. Aggregate Index and the Lipper Global Flexible Portfolio Funds Index from May 31, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and includes a sales charge. The performance of the S&P 500 Index and the Barclays Capital U.S. Aggregate Index do not reflect the deduction of expenses or a sales charge associated with a mutual fund and have been adjusted to reflect reinvestment of all dividends and capital gains of securities included in the benchmark. The performance of the Lipper Global Flexible Portfolio Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The S&P 500 Index is an unmanaged index generally representative of the performance of large companies in the U.S. stock market. The Barclays Capital U.S. Aggregate Index is an unmanaged index that represents securities that are SEC-registered, taxable, and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for

government and corporate securities, mortgage pass-through securities, and asset-backed securities. The Lipper Global Flexible Portfolio Funds Index is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

From the inception of the Fund through December 18, 2009, the Fund did not experience any shareholder purchase and sale activity. If such shareholder activity had occurred, the Fund’s performance may have been impacted. Class A Shares have a $1,000 minimum initial investment and carry a 4.50% sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

4 J.P. MORGAN FUNDS OCTOBER 31, 2010

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Asset-Backed Securities — 1.2%
		United States — 1.2%
	565	Ameriquest Mortgage Securities, Inc., Series 2004-R8, Class M1, VAR, 0.896%, 09/25/34		484
	820	Citigroup Mortgage Loan Trust, Inc., Series 2007-WFH2, Class A2, VAR, 0.406%, 03/25/37		741
	581	Equity One ABS, Inc., Series 2003-2, Class M1, VAR, 5.050%, 09/25/33		480
	239	Mastr Asset Backed Securities Trust, Series 2003-WMC2, Class M1, VAR, 1.306%, 08/25/33		226
		Morgan Stanley ABS Capital I,
	958	Series 2004-NC3, Class B1, VAR, 2.731%, 03/25/34		226
	600	Series 2004-NC7, Class M3, VAR, 0.906%, 07/25/34		506
	36	Series 2006-WMC1, Class A2B, VAR, 0.456%, 12/25/35		35
		Renaissance Home Equity Loan Trust,
	1,070	Series 2003-4, Class M2F, SUB, 5.744%, 03/25/34		768
	579	Series 2004-1, Class AV3, VAR, 0.726%, 05/25/34		507
	893	Series 2004-1, Class M1, VAR, 0.836%, 05/25/34		537
	1,127	Residential Asset Mortgage Products, Inc., Series 2004-RS11, Class M1, VAR, 0.876%, 11/25/34		1,000
	745	Structured Asset Investment Loan Trust, Series 2003-BC10, Class A4, VAR, 1.256%, 10/25/33		630
		Structured Asset Securities Corp.,
	545	Series 2003-AM1, Class M1, VAR, 1.606%, 04/25/33		484
	309	Series 2005-WF4, Class A4, VAR, 0.616%, 11/25/35		286
		Total Asset-Backed Securities (Cost $6,584)		6,910
	Collateralized Mortgage Obligations — 0.8%
		Non-Agency CMO — 0.8%
		United States — 0.8%
	63	Banc of America Alternative Loan Trust, Series 2006-4, Class 2A1, 6.000%, 05/25/21		59
	127	Banc of America Mortgage Securities, Inc., Series 2007-3, Class 1A1, 6.000%, 09/25/37		114
	254	Citimortgage Alternative Loan Trust, Series 2006-A1, Class 2A1, 5.250%, 03/25/21		254

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
		Countrywide Alternative Loan Trust,
	321	Series 2005-50CB, Class 4A1, 5.000%, 11/25/20		308
	42	Series 2005-J6, Class 2A1, 5.500%, 07/25/25		40
	174	Harborview Mortgage Loan Trust, Series 2006-1, Class 2A1A, VAR, 0.496%, 03/19/36		100
	1,019	MASTR Alternative Loans Trust, Series 2005-3, Class 1A1, 5.500%, 04/25/35		970
	483	Residential Accredit Loans Inc, Series 2006-QS18, Class 3A1, 5.750%, 12/25/21		452
	849	Residential Asset Securitization Trust, Series 2004-A6, Class A1, 5.000%, 08/25/19		845
	260	Residential Funding Mortgage Securities I, Series 2006-S12, Class 2A2, 6.000%, 12/25/36		247
		WaMu Mortgage Pass-Through Certificates,
	130	Series 2005-AR2, Class 2A21, VAR, 0.586%, 01/25/45		105
	144	Series 2005-AR15, Class A1A1, VAR, 0.516%, 11/25/45		116
	135	Series 2005-AR17, Class A1A1, VAR, 0.526%, 12/25/45		111
	440	Wells Fargo Mortgage Backed Securities Trust, Series 2007-5, Class 2A3, 5.500%, 05/25/22		437
		Total Collateralized Mortgage Obligations (Cost $4,083)		4,158
SHARES
	Common Stocks — 36.1%
		Australia — 2.3%
	714	CFS Retail Property Trust (m)		1,299
	1,505	Commonwealth Property Office Fund (m)		1,351
	1,894	Dexus Property Group		1,542
	51	Macquarie Group Ltd. (m)		1,806
	178	QBE Insurance Group Ltd.		3,001
	206	Stockland		763
	582	Tatts Group Ltd.		1,426
	116	Westfield Group (m)		1,406
				12,594
		Austria — 0.2%
	38	Oesterreichische Post AG (m)		1,146
		Belgium — 0.2%
	8	Befimmo S.C.A. (m)		759
	3	Cofinimmo S.A. (m)		360
				1,119

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 5

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

SHARES			SECURITY DESCRIPTION	VALUE
	Common Stocks — Continued
			Bermuda — 0.1%
	22		Validus Holdings Ltd.		623
			Canada — 0.3%
	33		RioCan REIT (m)		756
	24		Teekay Corp.		770
					1,526
			China — 0.6%
	2,242		China Construction Bank Corp., Class H (m)		2,143
	1,386		Zhejiang Expressway Co., Ltd., Class H (m)		1,401
					3,544
			France — 3.2%
	29		BNP Paribas (m)		2,121
	30		Cie de St-Gobain (m)		1,408
	84		GDF Suez (m)		3,364
	13		PPR (m)		2,124
	16		Schneider Electric S.A. (m)		2,289
	28		Sodexo (m)		1,830
	40		Total S.A.		2,153
	13		Unibail-Rodamco SE (m)		2,754
					18,043
			Germany — 1.9%
	21		Allianz SE (m)		2,576
	43		BASF SE (m)		3,119
	43		Daimler AG (a) (m)		2,815
	19		Siemens AG (m)		2,141
					10,651
			Hong Kong — 0.6%
	283		Hutchison Whampoa Ltd. (m)		2,795
	57		Seaspan Corp.		770
					3,565
			Indonesia — 0.4%
	52		Telekomunikasi Indonesia Tbk PT, ADR (m)		2,081
			Italy — 0.4%
	97		ENI S.p.A. (m)		2,188
			Japan — 1.5%
	—	(h)	Advance Residence Investment Corp. (a) (m)		752
	54		Canon, Inc. (m)		2,478
	1		Japan Retail Fund Investment Corp. (m)		1,478
	—	(h)	Kenedix Realty Investment Corp. (m)		1,209
	—	(h)	Nomura Real Estate Residential Fund, Inc. (m)		665
	—	(h)	Orix JREIT Inc. (m)		1,013
	—	(h)	Premier Investment Corp. (m)		671
					8,266

SHARES		SECURITY DESCRIPTION	VALUE
		Luxembourg — 0.0% (g)
	53	MagnaChip Semiconductor S.A./MagnaChip Semiconductor Finance Co. (a) (f) (i)		51
		Netherlands — 2.8%
	11	Corio N.V. (m)		810
	18	Eurocommercial Properties N.V. (m)		894
	147	Koninklijke KPN N.V. (m)		2,459
	78	Koninklijke Philips Electronics N.V. (m)		2,379
	4	LyondellBasell Industries N.V., Class A (a)		95
	3	LyondellBasell Industries N.V., Class B (a)		87
	46	Nieuwe Steen Investments Funds N.V. (m)		958
	126	Royal Dutch Shell plc, Class A (m)		4,085
	86	Unilever N.V. CVA (m)		2,567
	14	Vastned Retail N.V. (m)		1,008
	5	Wereldhave N.V. (m)		511
				15,853
		Norway — 0.2%
	1,310	Marine Harvest ASA (m)		1,303
		Singapore — 1.0%
	193	Ascendas REIT (m)		308
	383	Ascott Residence Trust (m)		377
	808	Cambridge Industrial Trust (m)		341
	174	Singapore Airlines Ltd. (m)		2,134
	901	Singapore Telecommunications Ltd. (m)		2,159
				5,319
		South Africa — 0.2%
	181	African Bank Investments Ltd. (m)		927
		Spain — 0.8%
	169	Banco Santander S.A. (m)		2,171
	85	Telefonica S.A.		2,302
				4,473
		Switzerland — 0.5%
	12	Zurich Financial Services AG (m)		3,012
		Taiwan — 0.4%
	197	Taiwan Semiconductor Manufacturing Co., Ltd., ADR (m)		2,150
		United Kingdom — 3.4%
	74	British American Tobacco plc (m)		2,820
	209	British Land Co. plc (m)		1,705
	418	Centrica plc (m)		2,226
	164	GlaxoSmithKline plc (m)		3,208
	271	HSBC Holdings plc (m)		2,816
	261	International Power plc (m)		1,739

SEE NOTES TO FINANCIAL STATEMENTS.

6 J.P. MORGAN FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE
	Common Stocks — Continued
			United Kingdom — Continued
	231		National Grid plc (m)		2,183
	798		Vodafone Group plc (m)		2,182
					18,879
			United States — 15.1%
	9		3M Co.		732
	62		Abbott Laboratories (m)		3,201
	17		American Campus Communities, Inc. (m)		535
	21		AT&T, Inc.		589
	17		BancorpSouth, Inc.		219
	27		Bemis Co., Inc.		868
	59		Brandywine Realty Trust (m)		710
	52		Bristol-Myers Squibb Co. (m)		1,404
	2		Broder Brothers Co. (a) (f) (i)		—
	45		Carnival Corp. (m)		1,947
	13		CenturyLink, Inc.		541
	33		Chevron Corp. (m)		2,762
	9		Chubb Corp.		512
	16		Cincinnati Financial Corp.		467
	34		CMS Energy Corp.		621
	69		Coca-Cola Co. (The) (m)		4,223
	48		ConocoPhillips (m)		2,835
	—	(h)	Dex One Corp. (a)		1
	56		Duke Realty Corp. (m)		695
	80		E.l. du Pont de Nemours & Co. (m)		3,781
	10		EastGroup Properties, Inc. (m)		405
	5		Edison International		184
	4		Eurofresh, Inc. (a) (f) (i)		10
	8		Exxon Mobil Corp.		534
	185		Frontier Communications Corp.		1,626
	26		Gap, Inc. (The)		503
	5		General Mills, Inc.		202
	12		Gentex Corp.		248
	20		Genuine Parts Co.		950
	9		Health Care REIT, Inc. (m)		460
	16		Highwoods Properties, Inc. (m)		523
	19		Home Depot, Inc.		572
	15		International Business Machines Corp. (m)		2,147
	12		JM Smucker Co. (The)		742
	17		Johnson & Johnson		1,084
	7		Kimberly-Clark Corp.		447
	17		Liberty Property Trust (m)		582
	17		Lincare Holdings, Inc.		453

SHARES			SECURITY DESCRIPTION	VALUE
			United States — Continued
	3		Lorillard, Inc.		280
	21		Mack-Cali Realty Corp. (m)		712
	40		McDonald’s Corp. (m)		3,078
	132		Merck & Co., Inc. (m)		4,806
	7		MetLife, Inc.		271
	98		Microsoft Corp. (m)		2,619
	15		National Retail Properties, Inc. (m)		415
	16		Northeast Utilities		503
	43		Old Republic International Corp.		573
	15		Omega Healthcare Investors, Inc. (m)		334
	8		Oneok, Inc.		420
	40		Paychex, Inc. (m)		1,102
	31		People’s United Financial, Inc.		382
	164		Pfizer, Inc. (m)		2,853
	7		PG&E Corp.		358
	58		Philip Morris International, Inc. (m)		3,397
	13		PPG Industries, Inc.		1,029
	7		Procter & Gamble Co. (The)		443
	—	(h)	Quad/Graphics, Inc. (a)		5
	54		Regal Entertainment Group, Class A		727
	18		Regency Centers Corp. (m)		759
	14		Snap-On, Inc.		710
	13		Southern Co.		477
	72		Sysco Corp. (m)		2,107
	17		T. Rowe Price Group, Inc.		954
	9		Tiffany & Co.		485
	16		Time Warner Cable, Inc.		944
	141		Time Warner, Inc. (m)		4,584
	18		Travelers Cos., Inc. (The)		1,000
	3		U.S. Concrete, Inc. (a)		27
	1		Unisys Corp. (a) (f) (i)		14
	19		V.F. Corp. (m)		1,605
	98		Verizon Communications, Inc. (m)		3,187
	12		Wal-Mart Stores, Inc.		652
	28		Williams Cos., Inc. (The)		604
	140		Xcel Energy, Inc. (m)		3,349
	6		Yum! Brands, Inc.		293
					84,373
			Total Common Stocks (Cost $186,181)		201,686

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 7

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Convertible Bonds — 5.7%
		Australia — 0.2%
	AUD 500	CFS Retail Property Trust, 5.075%, 08/21/14		476
	AUD 750	Western Areas NL, 8.000%, 07/02/12		775
				1,251
		Bermuda — 0.2%
	1,000	Petroplus Finance Ltd., 4.000%, 10/16/15		864
		Canada — 0.3%
	1,500	PetroBakken Energy Ltd., 3.125%, 02/08/16		1,440
		Cayman Islands — 0.1%
	675	Suntech Power Holdings Co. Ltd., 3.000%, 03/15/13		604
		France — 0.7%
	EUR 357	Artemis Conseil, 2.000%, 07/31/11		738
	EUR 5,958	Club Mediterranee, 6.110%, 11/01/15		1,464
	EUR 859	Misarte, 3.250%, 01/01/16		1,796
				3,998
		Germany — 0.4%
	EUR 11,973	Q-Cells SE, 6.750%, 10/21/15		717
	EUR 1,100	Steinhoff Finance Holding GmbH, 5.000%, 05/22/16		1,614
				2,331
		India — 0.3%
	1,100	Jaiprakash Power Ventures Ltd., 5.000%, 02/13/15		1,200
	310	Suzlon Energy Ltd., Zero Coupon, 06/12/12		316
				1,516
		Italy — 0.2%
	EUR 750	Beni Stabili S.p.A., 3.875%, 04/23/15		1,062
		Luxembourg — 0.1%
	EUR 200	Espirito Santo Financial Group S.A., SUB, 3.550%, 11/15/25		222
	EUR 300	Kloeckner & Co. Financial Services S.A., 1.500%, 07/27/12		396
				618
		Mexico — 0.3%
	1,400	Cemex S.A.B de C.V., 4.875%, 03/15/15 (e)		1,404
		Netherlands — 0.1%
	EUR 300	Q-Cells International Finance B.V., 5.750%, 05/26/14		322
		Norway — 0.1%
	500	Petroleum Geo-Services ASA, 2.700%, 12/03/12		478

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		Portugal — 0.2%
	EUR 1,000	Parpublica - Participacoes Publicas SGPS S.A., 5.250%, 09/28/17		1,378
		Singapore — 0.1%
	SGD 500	Yanlord Land Group Ltd., 5.850%, 07/13/14		405
		Spain — 0.7%
	EUR 1,350	Abengoa S.A., 4.500%, 02/03/17		1,782
	EUR 900	Fomento de Construcciones y Contratas S.A., 6.500%, 10/30/14		1,206
	EUR 700	Pescanova S.A., 6.750%, 03/05/15		1,044
				4,032
		Sweden — 0.1%
	SEK 4,000	SAS AB, 7.500%, 04/01/15		540
		United Kingdom — 0.8%
	EUR 700	International Power Finance Jersey III Ltd., 4.750%, 06/05/15		1,047
	2,000	Salamander Energy plc, 5.000%, 03/30/15		1,947
	GBP 200	SVG Capital plc, 8.250%, 06/05/16		306
	GBP 1,200	TUI Travel plc, 6.000%, 10/05/14		1,884
				5,184
		United States — 0.8%
	947	Advanced Micro Devices, Inc., 6.000%, 05/01/15		941
	1,463	Corporate Office Properties LP, 4.250%, 04/15/30 (e)		1,474
	2,000	Micron Technology, Inc., 1.875%, 06/01/14		1,914
	15	U.S. Concrete, Inc., 9.500%, 08/31/15 (e)		18
				4,347
		Total Convertible Bonds (Cost $30,256)		31,774
	Corporate Bonds — 39.2%
		Bahamas — 0.0% (g)
	115	Ultrapetrol Bahamas Ltd., 9.000%, 11/24/14		115
		Bermuda — 0.3%
	385	Aircastle Ltd., 9.750%, 08/01/18		422
	350	Digicel Group Ltd., 10.500%, 04/15/18 (e)		385
	250	Digicel Ltd., 8.250%, 09/01/17 (e)		263
	105	Global Crossing Ltd., 12.000%, 09/15/15		120
	55	Intelsat Subsidiary Holding Co. S.A., 8.875%, 01/15/15		57
	200	Seadrill Ltd., 6.500%, 10/05/15		199
				1,446

SEE NOTES TO FINANCIAL STATEMENTS.

8 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		Canada — 0.8%
		Bombardier, Inc.,
	25	7.500%, 03/15/18 (e)		27
	25	7.750%, 03/15/20 (e)		28
	150	Cascades, Inc., 7.750%, 12/15/17		160
	250	Essar Steel Algoma, Inc., 9.375%, 03/15/15 (e)		258
	250	Fairfax Financial Holdings Ltd., 7.750%, 06/15/17		263
	70	Garda World Security Corp., 9.750%, 03/15/17 (e)		75
		Gibson Energy ULC/GEP Midstream Finance Corp.,
	240	10.000%, 01/15/18		244
	440	11.750%, 05/27/14		486
	150	Novelis, Inc., 7.250%, 02/15/15		155
	2,250	Quebecor Media, Inc., 7.750%, 03/15/16		2,348
		Quebecor World Capital Corp.,
	50	6.125%, 11/15/13 (d) (f)		2
	50	9.750%, 01/15/15 (d) (f)		3
	165	Videotron Ltee, 9.125%, 04/15/18		186
				4,235
		Cayman Islands — 0.0% (g)
	50	MCE Finance Ltd., 10.250%, 05/15/18 (e)		56
	45	Seagate HDD Cayman, 6.875%, 05/01/20 (e)		46
	150	Seagate Technology HDD Holdings, 6.800%, 10/01/16		154
				256
		France — 0.1%
	300	Credit Agricole S.A., VAR, 6.637%, 05/31/17 (e) (x)		286
		Germany — 0.0% (g)
	250	Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH, 8.125%, 12/01/17 (e)		262
		Ireland — 0.5%
		Ardagh Packaging Finance plc,
	200	7.375%, 10/15/17 (e)		212
	1,450	9.125%, 10/15/20 (e)		1,537
		Elan Finance plc/Elan Finance Corp.,
	600	8.750%, 10/15/16 (e)		608
	400	8.750%, 10/15/16		407
				2,764
		Luxembourg — 2.3%
	750	Angel Lux Common S.A., 8.875%, 05/01/16 (e)		795
	175	Intelsat Intermediate Holding Co. S.A., SUB, 9.500%, 02/01/15		182

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		Luxembourg — Continued
		Intelsat Jackson Holdings S.A.,
	2,370	7.250%, 10/15/20 (e)		2,422
	125	8.500%, 11/01/19 (e)		137
	1,795	11.250%, 06/15/16		1,954
	325	Intelsat Luxembourg S.A., 11.250%, 02/04/17		348
	710	PIK, 11.500%, 02/04/17		768
	750	MagnaChip Semiconductor S.A./MagnaChip Semiconductor Finance Co., 10.500%, 04/15/18 (e)		804
	2,600	RSHB Capital S.A. for OJSC Russian Agricultural Bank, 9.000%, 06/11/14		2,971
	2,030	Wind Acquisition Finance S.A., 11.750%, 07/15/17 (e)		2,314
				12,695
		Mexico — 0.0% (g)
	200	Kansas City Southern de Mexico S.A. de C.V., 8.000%, 02/01/18		218
		Netherlands — 1.6%
	150	Basell Finance Co., B.V., 8.100%, 03/15/27 (e)		150
	5,220	KazMunaiGaz Finance Sub B.V., 11.750%, 01/23/15		6,460
		NXP B.V./NXP Funding LLC,
	150	7.875%, 10/15/14		156
	2,100	9.750%, 08/01/18 (e)		2,291
				9,057
		Norway — 0.0% (g)
	100	Sevan Marine ASA, 12.000%, 08/10/15 (e)		105
		Spain — 0.0% (g)
	215	Abengoa Finance SAU, 8.875%, 11/01/17 (e)		212
		United Arab Emirates — 0.7%
	3,480	Dubai Electricity & Water Authority, 8.500%, 04/22/15 (e)		3,740
		United Kingdom — 0.3%
	250	Barclays Bank plc, VAR, 7.434%, 12/15/17 (e) (x)		254
	750	Ineos Finance plc, 9.000%, 05/15/15 (e)		795
		Virgin Media Finance plc,
	300	8.375%, 10/15/19		334
	100	9.125%, 08/15/16		107
				1,490
		United States — 32.6%
	519	ABI Escrow Corp., 10.250%, 10/15/18 (e)		554
	750	ACCO Brands Corp., 10.625%, 03/15/15		847
	150	Accuride Corp., 9.500%, 08/01/18 (e)		164

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 9

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
	200	ACE Cash Express, Inc., 10.250%, 10/01/14 (e) (f) (i)		172
	200	Advanced Micro Devices, Inc., 8.125%, 12/15/17		216
	750	AES Corp. (The), 9.750%, 04/15/16		872
	1,038	AES Eastern Energy LP, 9.000%, 01/02/17		1,089
	275	Affinia Group Holdings, Inc., 9.000%, 11/30/14		284
	38	AK Steel Corp., 7.625%, 05/15/20		40
	400	Allbritton Communications Co., 8.000%, 05/15/18		413
	150	Alliance One International, Inc., 10.000%, 07/15/16		165
		Alliant Techsystems, Inc.,
	1,000	6.750%, 04/01/16		1,037
	75	6.875%, 09/15/20		79
		Ally Financial, Inc.,
	3,500	6.750%, 12/01/14		3,665
	500	7.500%, 09/15/20 (e)		540
	125	8.000%, 11/01/31		137
	15	Alon Refining Krotz Springs, Inc., 13.500%, 10/15/14		15
	270	Alta Mesa Holdings/Alta Mesa Finance Services Corp., 9.625%, 10/15/18 (e)		268
	250	AMC Entertainment, Inc., 8.750%, 06/01/19		268
	215	American Achievement Corp., 10.875%, 04/15/16 (e)		221
	475	American General Finance Corp., 6.900%, 12/15/17		395
	262	American Petroleum Tankers LLC/AP Tankers Co., 10.250%, 05/01/15 (e)		272
	63	AMGH Merger Sub, Inc., 9.250%, 11/01/18 (e)		65
		Amkor Technology, Inc.,
	795	7.375%, 05/01/18 (e)		827
	250	9.250%, 06/01/16		268
	250	Amsted Industries, Inc., 8.125%, 03/15/18 (e)		264
	65	Anadarko Petroleum Corp., 6.375%, 09/15/17		72
	308	Antero Resources Finance Corp., 9.375%, 12/01/17		327
	265	Appleton Papers, Inc., 10.500%, 06/15/15 (e)		256
		Arch Coal, Inc.,
	120	7.250%, 10/01/20		131
	575	8.750%, 08/01/16		646
	500	Associated Materials LLC, 9.125%, 11/01/17 (e)		525
		Avaya, Inc.,
	700	9.750%, 11/01/15		704
	750	PIK, 10.875%, 11/01/15		755

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
		Avis Budget Car Rental LLC/Avis Budget Finance, Inc.,
	100	7.750%, 05/15/16		101
	100	8.250%, 01/15/19 (e)		101
	1,100	9.625%, 03/15/18		1,183
		Bank of America Corp.,
	250	5.625%, 07/01/20		259
	200	VAR, 8.000%, 01/30/18 (x)		202
	170	VAR, 8.125%, 05/15/18 (x)		172
	350	BankAmerica Institutional Capital B, 7.700%, 12/31/26 (e)		347
	100	Barrington Broadcasting Group LLC/Barrington Broadcasting Capital Corp., 10.500%, 08/15/14		93
	180	BE Aerospace, Inc., 6.875%, 10/01/20		191
	10	Belden, Inc., 9.250%, 06/15/19		11
	500	Berry Petroleum Co., 6.750%, 11/01/20		516
		Berry Plastics Corp.,
	10	8.250%, 11/15/15		11
	210	8.875%, 09/15/14		213
	170	9.500%, 05/15/18		167
	595	Bill Barrett Corp., 9.875%, 07/15/16		655
	3,100	Biomet, Inc., PIK, 11.125%, 10/15/17		3,456
	50	Block Communications, Inc., 8.250%, 12/15/15 (e)		51
	125	Boise Paper Holdings LLC/Boise Co.- Issuer Co., 8.000%, 04/01/20		135
	360	Brigham Exploration Co., 8.750%, 10/01/18 (e)		389
	28	Broder Brothers Co., PIK, 12.000%, 10/15/13 (e) (f) (i)		23
	500	Building Materials Corp. of America, 6.875%, 08/15/18 (e)		500
	25	BWAY Holding Co., 10.000%, 06/15/18 (e)		27
	35	Cablevision Systems Corp., 8.000%, 04/15/20		39
	75	Calpine Construction Finance Co. LP and CCFC Finance Corp., 8.000%, 06/01/16 (e)		81
		Calpine Corp.,
	62	7.250%, 10/15/17 (e)		64
	665	7.500%, 02/15/21 (e)		681
	117	7.875%, 07/31/20 (e)		123
	50	Capella Healthcare, Inc., 9.250%, 07/01/17 (e)		55
	75	Capital One Capital V, 10.250%, 08/15/39		81
	275	Cardtronics, Inc., 8.250%, 09/01/18		292
	50	Carrizo Oil & Gas, Inc., 8.625%, 10/15/18 (e)		51
	1,000	Case New Holland, Inc., 7.875%, 12/01/17 (e)		1,118

SEE NOTES TO FINANCIAL STATEMENTS.

10 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
	670	Catalent Pharma Solutions, Inc., PIK, 10.250%, 04/15/15		681
	95	CB Richard Ellis Services, Inc., 6.625%, 10/15/20 (e)		96
	100	CCH II LLC/CCH II Capital Corp., 13.500%, 11/30/16		120
		CCO Holdings LLC/CCO Holdings Capital Corp.,
	1,360	7.250%, 10/30/17 (e)		1,403
	30	7.875%, 04/30/18 (e)		32
	300	8.125%, 04/30/20 (e)		324
	550	Cedar Fair LP/Canada’s Wonderland Co./Magnum Management Corp., 9.125%, 08/01/18 (e)		591
	175	Celanese US Holdings LLC, 6.625%, 10/15/18 (e)		186
	250	Cengage Learning Acquisitions, Inc., 10.500%, 01/15/15 (e)		259
		Cenveo Corp.,
	474	8.875%, 02/01/18		476
	50	10.500%, 08/15/16 (e)		52
	1,403	Cequel Communications Holdings I LLC and Cequel Capital Corp., 8.625%, 11/15/17 (e)		1,501
		CF Industries, Inc.,
	60	6.875%, 05/01/18		68
	25	7.125%, 05/01/20		29
	330	Chemtura Corp., 7.875%, 09/01/18 (e)		356
		Chesapeake Energy Corp.,
	65	6.875%, 08/15/18		69
	150	9.500%, 02/15/15		174
	185	Chiquita Brands International, Inc., 8.875%, 12/01/15		192
	650	CHS/Community Health Systems, Inc., 8.875%, 07/15/15		696
	150	Chukchansi Economic Development Authority, VAR, 4.123%, 11/15/12 (e)		95
	215	Cincinnati Bell, Inc., 8.250%, 10/15/17		218
		CIT Group, Inc.,
	750	7.000%, 05/01/15		749
	1,350	7.000%, 05/01/16		1,344
	750	7.000%, 05/01/17		746
	175	Citgo Petroleum Corp., 11.500%, 07/01/17 (e)		203
	250	CKE Restaurants, Inc., 11.375%, 07/15/18 (e)		270
	2,250	Clear Channel Worldwide Holdings, Inc., 9.250%, 12/15/17		2,457
	200	Clearwater Paper Corp., 7.125%, 11/01/18 (e)		209
		Clearwire Communications LLC/Clearwire Finance, Inc.,
	1,500	12.000%, 12/01/15 (e)		1,664

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	291	12.000%, 12/01/15 (e)		322
		Cloud Peak Energy Resources LLC/Cloud Peak Energy Finance Corp.,
	400	8.250%, 12/15/17		435
	75	8.500%, 12/15/19		83
	25	CNG Holdings, Inc., 12.250%, 02/15/15 (e)		27
	145	Colt Defense LLC/Colt Finance Corp., 8.750%, 11/15/17 (e)		109
	155	Commercial Barge Line Co., 12.500%, 07/15/17		175
	75	Compucom Systems, Inc., 12.500%, 10/01/15 (e)		81
	500	Comstock Resources, Inc., 8.375%, 10/15/17		518
		Consol Energy, Inc.,
	100	8.000%, 04/01/17 (e)		109
	75	8.250%, 04/01/20 (e)		84
	125	Constar International, Inc., VAR, 3.751%, 02/15/12		108
		Constellation Brands, Inc.,
	500	7.250%, 09/01/16		550
	100	7.250%, 05/15/17		110
	750	8.375%, 12/15/14		844
	467	Continental Airlines 2003-ERJ1 Pass-Through Trust, 7.875%, 07/02/18		464
	111	Continental Airlines 2004-ERJ1 Pass-Through Trust, 9.558%, 09/01/19		112
	32	Continental Airlines 2005-ERJ1 Pass-Through Trust, 9.798%, 04/01/21		32
	175	Continental Resources, Inc., 7.125%, 04/01/21 (e)		189
	20	Copano Energy LLC/Copano Energy Finance Corp., 7.750%, 06/01/18		20
	90	Cott Beverages, Inc., 8.125%, 09/01/18		97
		Cricket Communications, Inc.,
	15	7.750%, 05/15/16		16
	170	9.375%, 11/01/14		178
	110	Crosstex Energy LP/Crosstex Energy Finance Corp., 8.875%, 02/15/18		119
		CSC Holdings LLC,
	150	7.625%, 07/15/18		166
	40	7.875%, 02/15/18		45
	175	Da-Lite Screen Co., Inc., 12.500%, 04/01/15		193
		DaVita, Inc.,
	225	6.375%, 11/01/18		230
	225	6.625%, 11/01/20		232
	150	Del Monte Corp., 7.500%, 10/15/19		165

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 11

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
	122	Delta Air Lines 2007-1 Class B Pass-Through Trust, 8.021%, 08/10/22		126
	385	Delta Air Lines 2007-1 Class C Pass-Through Trust, 8.954%, 08/10/14		401
	95	Delta Air Lines 2009-1 Series B Pass-Through Trust, 9.750%, 12/17/16		101
	500	Denbury Resources, Inc., 9.750%, 03/01/16		566
	215	DigitalGlobe, Inc., 10.500%, 05/01/14		243
	150	DineEquity, Inc., 9.500%, 10/30/18 (e)		160
		DISH DBS Corp.,
	1,750	7.125%, 02/01/16		1,855
	965	7.750%, 05/31/15		1,051
	2,600	7.875%, 09/01/19		2,849
	500	DJO Finance LLC/DJO Finance Corp., 10.875%, 11/15/14		548
	382	DuPont Fabros Technology LP, 8.500%, 12/15/17		414
	100	Dynegy Holdings, Inc., 7.125%, 05/15/18		66
	600	Dynegy Roseton/Danskammer Pass-Through Trust, Series B, 7.670%, 11/08/16		558
	480	Eastman Kodak Co., 9.750%, 03/01/18 (e)		476
	1,000	Easton-Bell Sports, Inc., 9.750%, 12/01/16		1,095
		Edison Mission Energy,
	296	7.200%, 05/15/19		214
	54	7.750%, 06/15/16		43
	25	El Paso Corp., 6.500%, 09/15/20 (e)		26
	25	El Paso Pipeline Partners Operating Co., LLC, 6.500%, 04/01/20		27
	50	Energy Transfer Equity LP, 7.500%, 10/15/20		55
	35	Entravision Communications Corp., 8.750%, 08/01/17 (e)		37
	35	Equinix, Inc., 8.125%, 03/01/18		37
	15	Eurofresh, Inc., 15.000%, 11/18/16 (f) (i)		15
	35	Express LLC/Express Finance Corp., 8.750%, 03/01/18		37
	275	Ferrellgas Partners LP/Ferrellgas Partners Finance Corp., 8.625%, 06/15/20		304
	51	FGI Holding Co., Inc., PIK, 11.250%, 10/01/15 (e)		51
		Fidelity National Information Services, Inc.,
	50	7.625%, 07/15/17 (e)		54
	900	7.875%, 07/15/20 (e)		983
		First Data Corp.,
	2,310	8.875%, 08/15/20 (e)		2,428
	550	9.875%, 09/24/15		465
	263	PIK, 10.550%, 09/24/15		222
	275	First Industrial LP, 6.420%, 06/01/14		261

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	175	Forbes Energy Services LLC/Forbes Energy Capital, Inc., 11.000%, 02/15/15		167
	59	Ford Holdings LLC, 9.300%, 03/01/30		74
		Ford Motor Co.,
	125	7.750%, 06/15/43		131
	100	8.900%, 01/15/32		119
	50	9.980%, 02/15/47		62
		Ford Motor Credit Co. LLC,
	125	6.625%, 08/15/17		140
	1,000	7.000%, 04/15/15		1,105
	250	8.000%, 12/15/16		293
	100	8.125%, 01/15/20		122
	2,000	8.700%, 10/01/14		2,300
	47	9.875%, 08/10/11		50
	95	Foresight Energy LLC/Foresight Energy Corp., 9.625%, 08/15/17 (e)		102
	455	Forest Oil Corp., 7.250%, 06/15/19		478
		Freescale Semiconductor, Inc.,
	850	9.250%, 04/15/18 (e)		910
	230	10.125%, 03/15/18 (e)		252
	150	10.750%, 08/01/20 (e)		156
		Frontier Communications Corp.,
	20	7.125%, 03/15/19		21
	25	7.875%, 04/15/15		28
	25	8.250%, 04/15/17		29
	1,000	8.500%, 04/15/20 (m)		1,155
	25	8.750%, 04/15/22		29
		FTI Consulting, Inc.,
	85	6.750%, 10/01/20 (e)		89
	100	7.750%, 10/01/16		106
	85	Games Merger Corp., 11.000%, 06/01/18 (e)		94
		Gannett Co., Inc.,
	25	6.375%, 09/01/15 (e)		26
	100	7.125%, 09/01/18 (e)		103
	107	9.375%, 11/15/17		120
	143	10.000%, 04/01/16		165
	750	GCI, Inc., 8.625%, 11/15/19		825
	100	General Cable Corp., VAR, 2.665%, 04/01/15		94
	410	General Maritime Corp., 12.000%, 11/15/17		421
	525	General Nutrition Centers, Inc., PIK, 5.750%, 03/15/14		520
	140	GenOn Escrow Corp., 9.875%, 10/15/20 (e)		137
	850	Genworth Financial, Inc., VAR, 6.150%, 11/15/66		676
	750	Geo Group, Inc. (The), 7.750%, 10/15/17		818

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
	350	Georgia-Pacific LLC, 5.400%, 11/01/20 (e)		354
	180	Global Geophysical Services, Inc., 10.500%, 05/01/17		182
		Graham Packaging Co. LP/GPC Capital Corp. I,
	750	8.250%, 01/01/17 (e)		778
	540	8.250%, 10/01/18 (e)		559
		Graphic Packaging International, Inc.,
	240	7.875%, 10/01/18		254
	150	9.500%, 06/15/17		165
	300	Harland Clarke Holdings Corp., VAR, 6.000%, 05/15/15		254
	2,875	Harrah’s Operating Co., Inc., 11.250%, 06/01/17		3,176
		HCA, Inc.,
	50	7.250%, 09/15/20		55
	3,025	9.250%, 11/15/16		3,274
	2,150	PIK, 10.375%, 11/15/16		2,337
	1,000	Health Management Associates, Inc., 6.125%, 04/15/16		1,030
	81	Hertz Corp. (The), 10.500%, 01/01/16		86
	150	Hexcel Corp., 6.750%, 02/01/15		153
	40	Hexion US Finance Corp./Hexion
		Nova Scotia Finance ULC, 9.000%, 11/15/20 (e)		42
	225	Hilcorp Energy I LP/Hilcorp Finance Co., 7.625%, 04/15/21 (e)		235
	25	Holly Corp., 9.875%, 06/15/17		27
		Holly Energy Partners LP/Holly Energy Finance Corp.,
	25	6.250%, 03/01/15		25
	50	8.250%, 03/15/18 (e)		53
		Homer City Funding LLC,
	67	8.137%, 10/01/19		63
	187	8.734%, 10/01/26		169
	1,250	Host Hotels & Resorts LP, 6.750%, 06/01/16		1,298
	175	Host Hotels & Resorts, Inc., 6.000%, 11/01/20 (e)		175
	400	HSN, Inc., 11.250%, 08/01/16		462
		HUB International Holdings, Inc.,
	65	9.000%, 12/15/14 (e)		66
	175	10.250%, 06/15/15 (e)		175
	500	Huntsman International LLC, 5.500%, 06/30/16		497
	1,020	ILFC E-Capital Trust I, VAR, 5.900%, 12/21/65 (e)		765
	200	ILFC E-Capital Trust II, VAR, 6.250%, 12/21/65 (e)		160

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
		Inergy LP/Inergy Finance Corp.,
	150	7.000%, 10/01/18 (e)		157
	200	8.250%, 03/01/16		210
	150	Ingles Markets, Inc., 8.875%, 05/15/17		166
	350	Intcomex, Inc., 13.250%, 12/15/14 (e)		371
	50	Interactive Data Corp., 10.250%, 08/01/18 (e)		55
		International Lease Finance Corp.,
	550	8.625%, 09/15/15 (e)		619
	300	8.750%, 03/15/17 (e)		341
	50	International Wire Group, Inc., 9.750%, 04/15/15 (e)		52
		Iron Mountain, Inc.,
	517	8.375%, 08/15/21		580
	110	8.750%, 07/15/18		117
	225	Isle of Capri Casinos, Inc., 7.000%, 03/01/14		213
		Jarden Corp.,
	500	7.500%, 05/01/17		532
	775	7.500%, 01/15/20		822
	245	8.000%, 05/01/16		270
	425	JB Poindexter & Co., Inc., 8.750%, 03/15/14		424
	25	JBS USA LLC/JBS USA Finance, Inc., 11.625%, 05/01/14		30
	270	K Hovnanian Enterprises, Inc., 10.625%, 10/15/16		275
	295	Kemet Corp., 10.500%, 05/01/18 (e)		325
	150	Knowledge Learning Corp., 7.750%, 02/01/15 (e)		151
	140	Kratos Defense & Security Solutions, Inc., 10.000%, 06/01/17		155
	32	Lamar Media Corp., 6.625%, 08/15/15		33
	90	Landry’s Holdings, Inc., 11.500%, 06/01/14 (e)		85
	350	Landry’s Restaurants, Inc., 11.625%, 12/01/15		375
	50	LBI Media, Inc., 8.500%, 08/01/17 (e)		42
		Lennar Corp.,
	120	5.600%, 05/31/15		113
	280	6.950%, 06/01/18		263
		Level 3 Financing, Inc.,
	90	9.250%, 11/01/14		88
	255	10.000%, 02/01/18		244
	1,150	Liberty Mutual Group, Inc., VAR, 10.750%, 06/15/58 (e)		1,426
	200	Liberty Tire Recycling, 11.000%, 10/01/16 (e)		211
	200	LifePoint Hospitals, Inc., 6.625%, 10/01/20 (e)		211
		Linn Energy LLC/Linn Energy Finance Corp.,
	40	8.625%, 04/15/20 (e)		43
	200	11.750%, 05/15/17		232

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 13

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
		Lyondell Chemical Co.,
	115	8.000%, 11/01/17 (e)		126
	1,377	11.000%, 05/01/18		1,541
	60	M/I Homes, Inc., 6.875%, 04/01/12		63
	150	Mac-Gray Corp., 7.625%, 08/15/15		148
	1,000	Marina District Finance Co., Inc., 9.875%, 08/15/18 (e)		988
	200	MarkWest Energy Partners LP/MarkWest Energy Finance Corp., 6.750%, 11/01/20		205
	40	Mashantucket Western Pequot Tribe, 8.500%, 11/15/15 (d) (e)		6
	550	McClatchy Co. (The), 11.500%, 02/15/17		589
	450	McJunkin Red Man Corp., 9.500%, 12/15/16 (e)		414
	300	Media General, Inc., 11.750%, 02/15/17		321
	114	Mediacom LLC/Mediacom Capital Corp., 9.125%, 08/15/19		121
		Meritage Homes Corp.,
	65	6.250%, 03/15/15		65
	120	7.150%, 04/15/20		117
		MetroPCS Wireless, Inc.,
	1,055	7.875%, 09/01/18		1,131
	500	9.250%, 11/01/14		524
		MGM Resorts International,
	810	5.875%, 02/27/14		729
	77	6.625%, 07/15/15		67
	1,043	7.500%, 06/01/16		928
	67	7.625%, 01/15/17		60
	1,900	9.000%, 03/15/20 (e)		2,077
	150	10.000%, 11/01/16 (e)		147
	900	11.375%, 03/01/18		934
	150	Michael Foods, Inc., 9.750%, 07/15/18 (e)		164
		Michael’s Stores, Inc.,
	340	7.750%, 11/01/18 (e)		336
	210	11.375%, 11/01/16		232
	190	SUB, Zero Coupon, 11/01/16		186
	25	Midwest Gaming Borrower LLC/Midwest Finance Corp., 11.625%, 04/15/16 (e)		26
	382	Midwest Generation LLC, 8.560%, 01/02/16		383
	250	Mirant North America LLC, 7.375%, 12/31/13		257
	55	Momentive Performance Materials, Inc., 9.000%, 01/15/21 (e)		57
	150	Moog, Inc., 7.250%, 06/15/18		157
		Motors Liquidation Co.,
	11	Zero Coupon, 3/15/36 (d)		2
	10	6.750%, 05/01/28 (d)		3

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	115	8.375%, 07/15/33 (d)		42
	490	Multiplan, Inc., 9.875%, 09/01/18 (e)		524
	10	Murray Energy Corp., 10.250%, 10/15/15 (e)		11
		Mylan, Inc.,
	50	7.625%, 07/15/17 (e)		55
	1,200	7.875%, 07/15/20 (e)		1,338
	200	Nationwide Mutual Insurance Co., 9.375%, 08/15/39 (e)		235
	260	Navios Maritime Holdings, Inc./Navios Maritime Finance U.S., Inc., 8.875%, 11/01/17 (e)		278
	50	NB Capital Trust IV, 8.250%, 04/15/27		51
	100	NBTY, Inc., 9.000%, 10/01/18 (e)		106
		Nebraska Book Co., Inc.,
	125	8.625%, 03/15/12		110
	100	10.000%, 12/01/11		101
		Newfield Exploration Co.,
	125	6.875%, 02/01/20		133
	250	7.125%, 05/15/18		268
	450	NewPage Corp., 11.375%, 12/31/14		432
	375	Nexstar Broadcasting, Inc./Mission Broadcasting, Inc., 8.875%, 04/15/17 (e)		398
	875	Nextel Communications, Inc., 7.375%, 08/01/15		878
	320	NFR Energy LLC/NFR Energy Finance Corp., 9.750%, 02/15/17 (e)		320
		Nielsen Finance LLC/Nielsen Finance Co.,
	125	7.750%, 10/15/18 (e)		129
	31	SUB, Zero Coupon, 08/01/16		32
		NII Capital Corp.,
	415	8.875%, 12/15/19		462
	10	10.000%, 08/15/16		11
	120	Noranda Aluminum Acquisition Corp., PIK, 5.373%, 05/15/15		104
	48	Northwest Airlines, Inc. 2007-1 Class A Pass-Through Trust, 7.027%, 11/01/19		51
		NRG Energy, Inc.,
	1,250	7.375%, 02/01/16		1,301
	750	7.375%, 01/15/17		781
	160	Omega Healthcare Investors, Inc., 6.750%, 10/15/22 (e)		166
	25	Omnicare, Inc., 7.750%, 06/01/20		26
	155	Omnova Solutions, Inc., 7.875%, 11/01/18 (e)		158
	200	OnCure Holdings, Inc., 11.750%, 05/15/17 (e)		184
		PAETEC Holding Corp.,
	475	8.875%, 06/30/17		512
	1,000	9.500%, 07/15/15		1,057

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
	220	Parker Drilling Co., 9.125%, 04/01/18		231
	50	Patriot Coal Corp., 8.250%, 04/30/18		51
		Peninsula Gaming LLC,
	250	8.375%, 08/15/15		265
	650	10.750%, 08/15/17		692
	150	Penn Virginia Corp., 10.375%, 06/15/16		165
	200	Penn Virginia Resource Partners LP/Penn Virginia Resource Finance Corp., 8.250%, 04/15/18		211
		Petrohawk Energy Corp.,
	750	7.250%, 08/15/18		778
	750	10.500%, 08/01/14		857
	185	Petroleum Development Corp., 12.000%, 02/15/18		207
	125	PHI, Inc., 8.625%, 10/15/18 (e)		126
	75	Pinafore LLC/Pinafore, Inc., 9.000%, 10/01/18 (e)		80
		Pinnacle Entertainment, Inc.,
	250	8.625%, 08/01/17		269
	25	8.750%, 05/15/20		25
	155	Pioneer Drilling Co., 9.875%, 03/15/18		163
	231	Pioneer Natural Resources Co., 7.500%, 01/15/20		260
	30	Plains Exploration & Production Co., 7.625%, 04/01/20		32
	150	Plastipak Holdings, Inc., 8.500%, 12/15/15 (e)		155
	660	PolyOne Corp., 7.375%, 09/15/20		700
	35	Pride International, Inc., 6.875%, 08/15/20		40
	50	ProQuest LLC/ProQuest Notes Co., 9.000%, 10/15/18 (e)		51
	121	QEP Resources, Inc., 6.875%, 03/01/21		132
		Quality Distribution LLC/QD Capital Corp.,
	100	9.000%, 11/15/10 (f) (i)		100
	100	10.000%, 06/01/13 (f) (i)		100
	100	Quicksilver Resources, Inc., 11.750%, 01/01/16		116
	448	Quiksilver, Inc., 6.875%, 04/15/15		437
		QVC, Inc.,
	10	7.125%, 04/15/17 (e)		11
	10	7.375%, 10/15/20 (e)		11
	1,000	7.500%, 10/01/19 (e)		1,074
		Qwest Communications International, Inc.,
	160	7.125%, 04/01/18 (e)		170
	750	7.500%, 02/15/14		765
	35	Qwest Corp., 7.625%, 06/15/15		40

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	90	Radiation Therapy Services, Inc., 9.875%, 04/15/17 (e)		89
	262	RailAmerica, Inc., 9.250%, 07/01/17		290
		Range Resources Corp.,
	10	6.750%, 08/01/20		11
	200	7.250%, 05/01/18		215
	125	7.500%, 05/15/16		131
	1,250	RBS Global, Inc./Rexnord LLC, 8.500%, 05/01/18		1,313
	45	Real Mex Restaurants, Inc., 14.000%, 01/01/13		47
	200	Rent-A-Center, Inc., 6.625%, 11/15/20 (e)		202
	210	Revlon Consumer Products Corp., 9.750%, 11/15/15		219
		Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC,
	100	7.125%, 04/15/19 (e)		104
	1,500	8.500%, 05/15/18 (e)		1,533
	100	9.000%, 04/15/19 (e)		104
		Rite Aid Corp.,
	1,300	7.500%, 03/01/17		1,252
	500	9.750%, 06/12/16		542
	1,025	RSC Equipment Rental, Inc./RSC Holdings III LLC, 9.500%, 12/01/14		1,070
	300	Ryerson, Inc., 12.000%, 11/01/15		312
	415	Sabra Health Care LP/Sabra Capital Corp., 8.125%, 11/01/18 (e)		430
	750	Scotts Miracle-Gro Co. (The), 7.250%, 01/15/18		802
	1,750	Sealy Mattress Co., 8.250%, 06/15/14		1,771
	380	Sears Holdings Corp., 6.625%, 10/15/18 (e)		379
	753	Select Medical Corp., 7.625%, 02/01/15		763
	600	Seminole Hard Rock Entertainment, Inc., VAR, 2.792%, 03/15/14 (e)		533
	200	Senior Housing Properties Trust, 6.750%, 04/15/20		212
		Service Corp. International,
	750	6.750%, 04/01/15		789
	250	7.625%, 10/01/18		272
	500	ServiceMaster Co. (The), PIK, 10.750%, 07/15/15 (e)		536
	220	Severstal Columbus LLC, 10.250%, 02/15/18 (e)		233
	300	Shingle Springs Tribal Gaming Authority, 9.375%, 06/15/15 (e)		204
	1,500	Simmons Bedding Co., 11.250%, 07/15/15 (e)		1,622

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 15

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
		Sinclair Television Group, Inc.,
	375	8.375%, 10/15/18 (e)		390
	311	9.250%, 11/01/17 (e)		342
		Sirius XM Radio, Inc.,
	150	8.750%, 04/01/15 (e)		162
	175	9.750%, 09/01/15 (e)		196
	55	Sitel LLC/Sitel Finance Corp., 11.500%, 04/01/18 (e)		44
		Smithfield Foods, Inc.,
	75	7.750%, 05/15/13		79
	50	7.750%, 07/01/17		51
	55	10.000%, 07/15/14 (e)		63
	200	Solo Cup Co./Solo Cup Operating Corp., 10.500%, 11/01/13		209
	300	Sotheby’s, 7.750%, 06/15/15		318
		Spectrum Brands Holdings, Inc.,
	1,500	9.500%, 06/15/18 (e)		1,665
	377	PIK, 12.000%, 08/28/19		425
		Sprint Capital Corp.,
	500	6.900%, 05/01/19		511
	3,500	8.750%, 03/15/32		3,841
	1,015	Sprint Nextel Corp., 6.000%, 12/01/16		1,015
	100	SquareTwo Financial Corp., 11.625%, 04/01/17 (e)		92
		Standard Pacific Corp.,
	53	6.250%, 04/01/14		52
	110	7.000%, 08/15/15		108
	160	10.750%, 09/15/16		180
	150	Steel Dynamics, Inc., 7.750%, 04/15/16		160
	50	Steinway Musical Instruments, Inc., 7.000%, 03/01/14 (e)		51
	100	Sterling Chemicals, Inc., 10.250%, 04/01/15		102
	325	Stoneridge, Inc., 9.500%, 10/15/17 (e)		348
	150	Stream Global Services, Inc., 11.250%, 10/01/14		148
	25	Suburban Propane Partners LP/Suburban Energy Finance Corp., 7.375%, 03/15/20		27
	1,500	SunGard Data Systems, Inc., 10.250%, 08/15/15		1,581
	1,425	SUPERVALU, Inc., 8.000%, 05/01/16		1,448
		Swift Energy Co.,
	25	7.125%, 06/01/17		25
	150	8.875%, 01/15/20		162
		Targa Resources Partners LP/Targa Resources Partners Finance Corp.,
	65	7.875%, 10/15/18 (e)		69

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	400	8.250%, 07/01/16		424
	150	11.250%, 07/15/17		174
	12	Team Finance LLC/Health Finance Corp., 11.250%, 12/01/13		12
		Tenet Healthcare Corp.,
	175	8.875%, 07/01/19		197
	1,000	9.250%, 02/01/15		1,105
	250	Tenneco, Inc., 7.750%, 08/15/18 (e)		267
	210	Terremark Worldwide, Inc., 12.000%, 06/15/17		241
	50	Texas Competitive Electric Holdings Co. LLC, 10.250%, 11/01/15		31
	750	Texas Industries, Inc., 9.250%, 08/15/20 (e)		789
	80	Titan International, Inc., 7.875%, 10/01/17 (e)		83
	60	Tops Markets LLC, 10.125%, 10/15/15 (e)		65
	300	Toys R U.S., Inc., 7.375%, 09/01/16 (e)		312
	250	Toys R Us Property Co. LLC, 8.500%, 12/01/17 (e)		271
	200	TPC Group LLC, 8.250%, 10/01/17 (e)		213
		Triumph Group, Inc.,
	150	8.000%, 11/15/17		154
	35	8.625%, 07/15/18		39
	165	Tutor Perini Corp., 7.625%, 11/01/18 (e)		167
	250	tw telecom holdings, inc., 8.000%, 03/01/18		270
	339	UAL 2009-2B Pass Through Trust, 12.000%, 01/15/16 (e)		390
	80	UCI Holdco, Inc., PIK, 9.250%, 12/15/13		80
	25	Unisys Corp., 14.250%, 09/15/15 (e)		30
		United Rentals North America, Inc.,
	750	8.375%, 09/15/20		761
	235	9.250%, 12/15/19		261
		United Surgical Partners International, Inc.,
	500	8.875%, 05/01/17		527
		Universal City Development Partners Ltd./UCDP Finance, Inc.,
	250	PIK, 10.000%, 05/01/17		264
	15	8.875%, 11/15/15		16
	270	10.875%, 11/15/16		298
	1,000	US Oncology, Inc., 9.125%, 08/15/17		1,113
	300	USI Holdings Corp., 9.750%, 05/15/15 (e)		301
	68	Valassis Communications, Inc., 8.250%, 03/01/15		71
		Valeant Pharmaceuticals International,
	65	6.750%, 10/01/17 (e)		68
	100	7.000%, 10/01/20 (e)		105

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — Continued
		United States — Continued
		Vanguard Health Holding Co. II LLC/Vanguard Holding Co. II, Inc.,
	300	8.000%, 02/01/18		317
	75	8.000%, 02/01/18 (e)		78
		Verso Paper Holdings LLC/Verso Paper, Inc.,
	750	9.125%, 08/01/14		772
	250	11.500%, 07/01/14		279
	340	Viking Acquisition, Inc., 9.250%, 11/01/18 (e)		340
	1,395	Visant Corp., 10.000%, 10/01/17 (e)		1,486
	150	Viskase Cos., Inc., 9.875%, 01/15/18 (e)		158
	200	W&T Offshore, Inc., 8.250%, 06/15/14 (e)		194
	441	Wachovia Capital Trust III, VAR, 5.800%, 03/15/11 (x)		388
	134	Wendy’s/Arby’s Restaurants LLC, 10.000%, 07/15/16		147
		Western Refining, Inc.,
	20	VAR, 10.750%, 06/15/14 (e)		20
	45	11.250%, 06/15/17 (e)		46
	200	Whiting Petroleum Corp., 6.500%, 10/01/18		215
		Windstream Corp.,
	150	7.875%, 11/01/17		164
	825	8.125%, 09/01/18 (e)		889
	1,250	8.625%, 08/01/16		1,327
		WMG Acquisition Corp.,
	500	7.375%, 04/15/14		465
	121	9.500%, 06/15/16		130
	250	WMG Holdings Corp., SUB, 9.500%, 12/15/14		238
		Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.,
	125	7.750%, 08/15/20 (e)		136
	350	7.875%, 11/01/17		380
	50	XM Satellite Radio, Inc., 13.000%, 08/01/13 (e)		60
	500	Zayo Group LLC/Zayo Capital, Inc., 10.250%, 03/15/17 (e)		539
				182,182
		Total Corporate Bonds (Cost $211,689)		219,063
	Foreign Government Securities — 8.5%
		Argentina — 0.9%
		Provincia de Cordoba,
	150	12.375%, 08/17/17		157
	3,030	12.375%, 08/17/17 (e)		3,174
		Republic of Argentina,
	1,425	7.000%, 09/12/13		1,398
	88	8.280%, 12/31/33		84
				4,813

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		Brazil — 1.2%
	4,615	Federal Republic of Brazil, 11.000%, 08/17/40		6,462
		Dominican Republic — 1.0%
		Government of Dominican Republic,
	3,858	9.040%, 01/23/18 (e)		4,620
	984	9.040%, 01/23/18		1,178
				5,798
		El Salvador — 0.8%
	3,820	Republic of El Salvador, 7.750%, 01/24/23		4,431
		Ghana — 0.7%
	3,350	Republic of Ghana, 8.500%, 10/04/17		3,827
		Mexico — 1.1%
		United Mexican States,
	25	7.500%, 04/08/33		34
	4,450	11.375%, 09/15/16		6,520
				6,554
		Peru — 0.4%
	1,570	Republic of Peru, 9.875%, 02/06/15		2,045
		Russia — 0.8%
	2,580	Russian Federation, 12.750%, 06/24/28		4,721
		Sri Lanka — 0.4%
	2,070	Rebuplic of Sri Lanka, 7.400%, 01/22/15		2,300
		Uruguay — 0.2%
		Republic of Uruguay,
	310	7.625%, 03/21/36		417
	640	8.000%, 11/18/22		864
				1,281
		Venezuela — 1.0%
	6,220	Republic of Venezuela, 12.750%, 08/23/22		5,411
		Total Foreign Government Securities (Cost $46,662)		47,643
	Loan Participations & Assignments — 2.2%
		United States — 2.2%
	300	Abitibi, Inc., Term Loan, VAR, 11.000%, 03/31/12		303
	448	Avaya, Inc., Term Loan B1, VAR, 3.058%, 10/26/14		406
		Burlington Coat Factory, Term Loan,
	251	VAR, 2.510%, 05/28/13		244
	249	VAR, 2.530%, 05/28/13		242
	47	Calpine Corp., 1st Priority Lien, VAR, 3.165%, 03/29/14		47
	56	Capmark Financial Group, Term Roll- Up Certified Tranche, VAR, 4.750%, 03/23/11		47

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 17

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Loan Participations & Assignments — Continued
		United States — Continued
	1,085	Capmark Financial Group, U.S. Term Loan, VAR, 3.250%, 03/23/13		420
	250	Catalent Pharma Solutions, Inc., Dollar Term Loans, VAR, 2.505%, 04/10/14		235
	374	Cengage Learning Acquisitions, Term Loan, VAR, 2.540%, 07/03/14		342
		Claire’s Stores, Term Loan B,
	100	05/29/14 ^		89
	110	VAR, 3.038%, 05/29/14		98
	661	VAR, 3.049%, 05/29/14		585
	250	Clear Channel Communications, Inc., Term Loan B, VAR, 3.905%, 01/29/16		198
	300	Cristal Inorganic Chemicals (Millennium), 2nd Lien, VAR, 6.039%, 11/14/14 (f) (i)		284
	105	Dine Equity, Inc., Term Loan B, VAR, 6.000%, 10/12/18		106
	400	EVERTEC, Term Loan B, VAR, 7.500%, 09/30/16		398
		First Data Corp., Initial Tranche B-3,
	4	VAR, 3.005%, 09/24/14		4
	189	VAR, 3.006%, 09/24/14		170
	500	Freescale Semiconductor, Inc., Extended Maturity Term Loan, VAR, 4.504%, 11/29/13		471
	311	General Growth Properties, Inc., Revolving Credit Commitment, VAR, 5.250%, 02/24/10 (a)(d)		332
	632	Harrah’s Operating Co., Inc., Term B- 2 Loan, VAR, 3.288%, 01/28/15		557
	52	High Plains Broadcasting Operating Co. LLC, Term Loan, VAR, 9.000%, 09/14/16		51
	232	Idearc, Inc., Exit Term Loan, VAR, 11.000%, 12/31/15		173
	499	Interactive Data Corp., Term Loan, VAR, 6.750%, 01/29/17		507
		Media General, Inc., Term Loan,
	65	VAR, 4.506%, 03/29/13		60
	185	VAR, 4.549%, 03/29/13		171
	200	Michael Foods, Inc., Term Loan B, VAR, 6.250%, 06/29/16		202
	189	Newport Television LLC, Term Loan, VAR, 9.000%, 09/14/16		188
	200	Newsday, Fixed Rate Term Loan, VAR, 10.500%, 08/01/13		214
	79	NRG Energy, Inc. (Opco), Credit-Linked Deposit Letter of Credit, VAR, 1.789%, 02/01/13		77
		NRG Energy, Inc. (Opco), Term Loan B,
	24	VAR, 1.750%, 02/01/13		24
	94	VAR, 1.789%, 02/01/13		92

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — Continued
	73	Ocwen Financial Corp., Initial Term Loan, VAR, 9.000%, 07/29/15		73
		Outback (OSI Restaurant), Prefunded RC Commitment,
	6	VAR, 0.112%, 06/14/13		6
	1	VAR, 2.563%, 06/14/13		1
	1	VAR, 2.563%, 06/14/13		1
	8	VAR, 2.625%, 06/14/13		7
	234	Outback (OSI Restaurant), Term Loan B, VAR, 2.625%, 06/14/14		220
	300	Ozborn-Hessey Logistics, Inc., 1st Lien, 04/08/16 ^		304
		Pierre Foods, Inc., 1st Lien Term Loan,
	200	VAR, 7.000%, 09/30/16		198
	1	VAR, 7.500%, 09/30/16		—	(h)
	70	Pierre Foods, Inc., 2nd Lien Term Loan, VAR, 11.250%, 09/29/17		68
	375	Pinafore, Inc., Term Loan B, VAR, 6.750%, 09/20/16		379
		R.H. Donnelley, Inc., Exit Term Loan,
	12	VAR, 9.000%, 10/24/14		10
	100	VAR, 9.000%, 10/24/14		85
	107	VAR, 9.000%, 10/24/14		90
		Remy, 1st Lien Term Loan,
	10	VAR, 5.789%, 12/06/13		10
	129	VAR, 5.792%, 12/06/13		128
	259	VAR, 5.898%, 12/06/13		256
		Rite Aid Corp., Tranche 2 Term Loan,
	85	VAR, 2.010%, 06/04/14		77
	85	VAR, 2.010%, 06/04/14		76
	80	VAR, 2.010%, 06/04/14		72
	198	Styron, Term Loan, VAR, 7.500%, 06/17/16		201
	500	Sugarhouse HSP Gaming, Term Loan, VAR, 11.250%, 09/23/14		508
		Texas Competitive Electric, Initial Tranche B-3 Term Loan,
	1,294	VAR, 3.756%, 10/10/14		1,005
	3	VAR, 3.789%, 10/10/14		2
	125	United Components, Inc., Term Loan, VAR, 6.250%, 03/23/17		126
	712	Univision Communications, Inc., Initial Term Loan, VAR, 2.506%, 09/29/14		674
		Visant Corp., Tranche B Term Loan,
	504	VAR, 7.000%, 09/22/16		508
	21	VAR, 7.000%, 09/22/16		21
		Total Loan Participations & Assignments (Cost $12,267)		12,443

SEE NOTES TO FINANCIAL STATEMENTS.

18 J.P. MORGAN FUNDS OCTOBER 31, 2010

SHARES			SECURITY DESCRIPTION	VALUE
	Preferred Stocks — 0.8%
			Brazil — 0.2%
	49		Vale S.A., ADR (m)		1,395
			United States — 0.6%
	11		AMB Property Corp., Series L, 6.500%, 12/02/10 (m) (x)		258
	6		Citigroup Capital XIII, VAR, 7.875%, 10/30/40		159
	2		CoBank ACB, 7.000%, 11/30/10 (e) (f) (i) (x)		80
	—	(h)	Eurofresh, Inc., (a) (f) (i)		5
	1		Ford Motor Credit Co. LLC, 7.375%, 10/15/31		33
	2		Ford Motor Credit Co. LLC, 7.600%, 03/01/32		46
	11		HCP, Inc., Series F, 7.100%, 12/02/10 (m) (x)		280
	12		Kilroy Realty Corp., Series F, 7.500%, 12/02/10 (m) (x)		298
	17		M/I Homes, Inc., Series A, 9.750%, 03/15/12 (x)		324
	9		Public Storage, Series I, 7.250%, 05/03/11 (m) (x)		226
	11		Public Storage, Series M, 6.625%, 01/09/12 (m) (x)		285
	12		Regency Centers Corp., Series E, 6.700%, 12/02/10 (m) (x)		294
	11		Taubman Centers, Inc., Series G, 8.000%, 12/02/10 (m) (x)		276
	12		Vornado Realty Trust, Series G, 6.625%, 12/02/10 (m) (x)		292
	6		Weingarten Realty Investors, Series F, 6.500%, 01/30/12 (m) (x)		154
					3,010
			Total Preferred Stocks (Cost $3,937)		4,405

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Supranational — 0.5%
	2,760	Eurasian Development Bank, Reg. S., 7.375%, 09/29/14 (Cost $2,935)		3,029
	U.S. Treasury Obligation — 0.0% (g)
	235	U.S. Treasury Note, 0.875%, 01/31/11 (k) (Cost $235)		235
NUMBER OF RIGHTS
	Rights — 0.0% (g)
		Singapore — 0.0% (g)
	22	Cambridge Industrial Trust, expiring 12/31/10 (a) (m) (Cost $—)		—	(h)
SHARES
	Short-Term Investment — 3.6%
		Investment Company — 3.6%
	20,279	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $20,279)		20,279
		Total Investments — 98.6% (Cost $525,108)		551,625
		Other Assets in Excess of Liabilities — 1.4%		7,798
		NET ASSETS — 100.0%	$	559,423

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 19

JPMorgan Income Builder Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars, unless otherwise noted)

(Amounts in thousands, except number of contracts)

Summary of Investments by Industry, October 31, 2010

The following table represents the portfolio investments of the Fund by industry classifications as a percentage of total investments:

INDUSTRY	PERCENTAGE
Foreign Government Securities		8.6	%
Oil, Gas & Consumable Fuels		7.0
Real Estate Investment Trusts (REITs)		6.5
Diversified Telecommunication Services		5.3
Media		5.2
Hotels, Restaurants & Leisure		4.8
Pharmaceuticals		3.5
Insurance		2.7
Commercial Banks		2.7
Chemicals		2.6
Health Care Providers & Services		2.5
Multi-Utilities		2.3
Semiconductors & Semiconductor Equipment		2.3
Wireless Telecommunication Services		2.1
Diversified Financial Services		2.0
Industrial Conglomerates		2.0

INDUSTRY	PERCENTAGE
Consumer Finance		1.8	%
IT Services		1.8
Electric Utilities		1.5
Broadcasting & Cable TV		1.5
Asset-Backed Securities		1.3
Household Products		1.3
Food Products		1.2
Food & Staples Retailing		1.2
Independent Power Producers & Energy Traders		1.2
Tobacco		1.2
Household Durables		1.2
Beverages		1.1
Containers & Packaging		1.0
Short-Term Investment		3.7
Others (each less than 1.0%)		16.9

Futures Contracts
NUMBER OF CONTRACTS			DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10			UNREALIZED APPRECIATION (DEPRECIATION)
			Long Futures Outstanding
	13		Dow Jones Euro STOXX 50 Index		12/17/10		514			(2	)
	24		E-mini S&P 500		12/17/10		1,415			(2	)
	5		FTSE 100 Index		12/17/10		454			(1	)
			Short Futures Outstanding
	(68	)	Euro FX		12/13/10		(11,805	)		(496	)
										(501	)

SEE NOTES TO FINANCIAL STATEMENTS.

20 J.P. MORGAN FUNDS OCTOBER 31, 2010

JPMorgan Income Builder Fund

NOTES TO SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

ADR	—  American Depositary Receipt
AUD	—  Australian Dollar
CMO	—  Collateralized Mortgage Obligation
CVA	—  Dutch Certification
EUR	—  Euro
GBP	—  British Pound
PIK	—  Payment-in-Kind
Reg. S	—  Security was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration.
SEK	—  Swedish Krona
SGD	—  Singapore Dollar
SUB	—  Step-Up Bond. The interest rate shown is the rate in effect as of October 31, 2010.
VAR	—  Variable Rate Security. The interest rate shown is the rate in effect as of October 31, 2010.
(a)	—  Non-income producing security.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(d)	—  Defaulted Security.
(e)	—  Security is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

(f)	—  Security is fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. The Fund owns fair valued securities with a value of approximately $859,000 which amounts to 0.2% of total investments. In addition, the value and percentage, based on total investments, of the investments that apply the fair valuation policy for the international investments are approximately $111,395,000 and 20.2%, respectively.
(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(i)	—  Security has been deemed illiquid pursuant to procedures approved by the Board of Trustees and may be difficult to sell.
(k)	—  All or a portion of this security is deposited with the broker as collateral for futures or with brokers as initial margin for futures contracts.
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
(x)	—  Security is perpetual and, thus, does not have a predetermined maturity date. The coupon rate for this security is fixed for a period of time and may be structured to adjust thereafter. The date shown reflects the next call date. The coupon rate shown is the rate in effect as of October 31, 2010.
^	—  Unsettled security, coupon rate is undetermined at October 31, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 21

STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Income Builder Fund
ASSETS:
Investments in non-affiliates, at value	$	531,346
Investments in affiliates, at value		20,279
Total investment securities, at value		551,625
Cash		14,911
Foreign currency, at value		113
Receivables:
Investment securities sold		9,106
Fund shares sold		19,126
Interest and dividends		6,444
Tax reclaims		27
Variation margin on futures contracts		21
Unrealized appreciation on unfunded commitments		—	(a)
Total Assets		601,373
LIABILITIES:
Payables:
Dividends		511
Investment securities purchased		40,445
Fund shares redeemed		556
Accrued liabilities:
Investment advisory fees		53
Shareholder servicing fees		10
Distribution fees		155
Custodian and accounting fees		148
Trustees’ and Chief Compliance Officer’s fees		—	(a)
Other		72
Total Liabilities		41,950
Net Assets	$	559,423

SEE NOTES TO FINANCIAL STATEMENTS.

22 J.P. MORGAN FUNDS OCTOBER 31, 2010

	Income Builder Fund
NET ASSETS:
Paid in capital	$	536,106
Accumulated undistributed net investment income		139
Accumulated net realized gains (losses)		(2,836	)
Net unrealized appreciation (depreciation)		26,014
Total Net Assets	$	559,423
Net Assets:
Class A	$	218,031
Class C		206,113
Select Class		135,279
Total	$	559,423
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		23,270
Class C		22,025
Select Class		14,432
Net Asset Value:
Class A — Redemption price per share	$	9.37
Class C — Offering price per share (b)		9.36
Select Class — Offering and redemption price per share		9.37
Class A maximum sales charge		4.50	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	9.81
Cost of investments in non-affiliates	$	504,829
Cost of investments in affiliates		20,279
Cost of foreign currency		112

(a) Amount rounds to less than $1,000.

(b) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 23

STATEMENT OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Income Builder Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	7,634
Dividend income from non-affiliates		3,198
Interest income from affiliates		—	(a)
Dividend income from affiliates		11
Foreign taxes withheld		(156	)
Total investment income		10,687
EXPENSES:
Investment advisory fees		789
Administration fees		162
Distribution fees:
Class A		194
Class C		417
Shareholder servicing fees:
Class A		194
Class C		139
Select Class		105
Custodian and accounting fees		299
Interest expense to affiliates		—	(a)
Professional fees		78
Trustees’ and Chief Compliance Officer’s fees		1
Printing and mailing costs		37
Registration and filing fees		100
Transfer agent fees		74
Other		10
Total expenses		2,599
Less amounts waived		(1,018	)
Less earnings credits		—	(a)
Less expense reimbursements		(62	)
Net expenses		1,519
Net investment income (loss)		9,168
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		623
Futures		(34	)
Foreign currency transactions		78
Net realized gain (loss)		667
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		26,236
Futures		(486	)
Foreign currency translations		(3	)
Unfunded commitments		—	(a)
Change in net unrealized appreciation (depreciation)		25,747
Net realized/unrealized gains (losses)		26,414
Change in net assets resulting from operations	$	35,582

(a) Amount rounds to less than $1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

24 J.P. MORGAN FUNDS OCTOBER 31, 2010

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	Income Builder Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	9,168		$	1,092
Net realized gain (loss)		667			(1,530	)
Change in net unrealized appreciation (depreciation)		25,747			4,957
Change in net assets resulting from operations		35,582			4,519
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(4,145	)		(5	)
Class C
From net investment income		(2,836	)		(4	)
Select Class
From net investment income		(2,320	)		(939	)
Total distributions to shareholders		(9,301	)		(948	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		513,581			948
NET ASSETS:
Change in net assets		539,862			4,519
Beginning of period		19,561			15,042
End of period	$	559,423		$	19,561
Accumulated undistributed net investment income	$	139		$	153

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 25

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	Income Builder Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	238,625		$	—
Dividends and distributions reinvested		3,371			5
Cost of shares redeemed		(35,068	)		—
Redemption fees		39			—
Change in net assets from Class A capital transactions	$	206,967		$	5
Class C
Proceeds from shares issued	$	197,629			—
Dividends and distributions reinvested		1,921			4
Cost of shares redeemed		(2,591	)		—
Redemption fees		27			—
Change in net assets from Class C capital transactions	$	196,986		$	4
Select Class
Proceeds from shares issued	$	140,250			—
Dividends and distributions reinvested		1,841			939
Cost of shares redeemed		(32,479	)		—
Redemption fees		16			—
Change in net assets from Select Class capital transactions	$	109,628		$	939
Total change in net assets from capital transactions	$	513,581		$	948
SHARE TRANSACTIONS:
Class A
Issued		26,903			—
Reinvested		380			—	(a)
Redeemed		(4,024	)		—
Change in Class A Shares		23,259			—	(a)
Class C
Issued		22,091			—
Reinvested		216			—	(a)
Redeemed		(293	)		—
Change in Class C Shares		22,014			—	(a)
Select Class
Issued		15,591			—
Reinvested		208			129
Redeemed		(3,653	)		—
Change in Select Class Shares		12,146			129

(a) Amount rounds to less than 1,000.

SEE NOTES TO FINANCIAL STATEMENTS.

26 J.P. MORGAN FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 J.P. MORGAN FUNDS 27

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Redemption fees
Income Builder Fund
Class A
Year Ended October 31, 2010	$	8.47	$	0.48	(e)	$	0.89		$	1.37		$	(0.47	)	$	—	(f)
Year Ended October 31, 2009		6.90		0.47			1.51			1.98			(0.41	)		—
Year Ended October 31, 2008		9.90		0.57			(3.02	)		(2.45	)		(0.55	)		—
May 31, 2007(g) through October 31, 2007		10.00		0.24			(0.15	)		0.09			(0.19	)		—
Class C
Year Ended October 31, 2010		8.47		0.43	(e)		0.90			1.33			(0.44	)		—	(f)
Year Ended October 31, 2009		6.90		0.43			1.51			1.94			(0.37	)		—
Year Ended October 31, 2008		9.89		0.52			(3.00	)		(2.48	)		(0.51	)		—
May 31, 2007(g) through October 31, 2007		10.00		0.22			(0.16	)		0.06			(0.17	)		—
Select Class
Year Ended October 31, 2010		8.47		0.49	(e)		0.90			1.39			(0.49	)		—	(f)
Year Ended October 31, 2009		6.90		0.49			1.51			2.00			(0.43	)		—
Year Ended October 31, 2008		9.90		0.59			(3.01	)		(2.42	)		(0.58	)		—
May 31, 2007(g) through October 31, 2007		10.00		0.25			(0.15	)		0.10			(0.20	)		—

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Commencement of operations.

(h) Includes interest expense of 0.01%.

SEE NOTES TO FINANCIAL STATEMENTS.

28 J.P. MORGAN FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	9.37		16.76	%	$	218,031		0.74	%		5.36	%		1.37	%		49	%
	8.47		29.77			97		0.95			6.49			2.34			81
	6.90		(25.78	)		75		0.95			6.38			2.21			82
	9.90		0.94			101		0.96	(h)		5.85			3.18			30
	9.36		16.20			206,113		1.24			4.82			1.84			49
	8.47		29.15			96		1.45			5.99			2.84			81
	6.90		(26.10	)		74		1.45			5.88			2.71			82
	9.89		0.69			101		1.46	(h)		5.35			3.68			30
	9.37		16.90			135,279		0.60			5.53			1.23			49
	8.47		30.08			19,368		0.70			6.74			2.09			81
	6.90		(25.59	)		14,893		0.70			6.63			1.96			82
	9.90		1.03			20,000		0.71	(h)		6.09			2.93			30

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 29

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following is a separate fund of the Trust (the “Fund”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Income Builder Fund	Class A, Class C and Select Class	Diversified

The Fund commenced operations on May 31, 2007. Prior to December 18, 2009, Class A, Class C and Select Class Shares were not publicly offered for investment.

Effective February 28, 2010, the Fund changed from non-diversified to diversified.

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Fund’s prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price. Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material. Trading in securities on most foreign exchanges and over-the-counter markets is normally completed before the close of the domestic market and may also take place on days when the domestic market is closed. In accordance with procedures adopted by the Board of Trustees, the Fund applies fair value pricing on equity securities on a daily basis, except for North American, Central American, South American and Caribbean equity securities held in its portfolio, by utilizing the quotations of an independent pricing service, unless the Fund’s advisor determines that use of another valuation methodology is appropriate. The pricing service uses statistical analyses and quantitative models to adjust local market prices using factors such as subsequent movement and changes in the prices of indices, securities and exchange rates in other markets, in determining fair value as of the time the Fund calculates its net asset values.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below:

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

30 J.P. MORGAN FUNDS OCTOBER 31, 2010

The following table represents each valuation input by country as presented on the Schedule of Portfolio Investments (“SOI”) (amounts in thousands):

	Level 1 Quoted prices		Level 2 Other significant observable inputs		Level 3 Significant unobservable inputs		Total
Investments in Securities
Common Stocks
Australia	$	—	$	12,594	$	—	$	12,594
Austria		—		1,146		—		1,146
Belgium		—		1,119		—		1,119
Bermuda		623		—		—		623
Canada		1,526		—		—		1,526
China		—		3,544		—		3,544
France		—		18,043		—		18,043
Germany		—		10,651		—		10,651
Hong Kong		770		2,795		—		3,565
Indonesia		2,081		—		—		2,081
Italy		—		2,188		—		2,188
Japan		—		8,266		—		8,266
Luxembourg		—		—		51		51
Netherlands		182		15,671		—		15,853
Norway		—		1,303		—		1,303
Singapore		—		5,319		—		5,319
South Africa		—		927		—		927
Spain		—		4,473		—		4,473
Switzerland		—		3,012		—		3,012
Taiwan		—		2,150		—		2,150
United Kingdom		—		18,879		—		18,879
United States		84,349		—		24		84,373
Total Common Stocks		89,531		112,080		75		201,686
Preferred Stocks
Brazil		1,395		—		—		1,395
United States		313		2,612		85		3,010
Total Preferred Stocks		1,708		2,612		85		4,405
Debt Securities
Asset-Backed Securities		—		6,910		—		6,910
Collateralized Mortgage Obligations
United States		—		4,158		—		4,158
Convertible Bonds
Australia		—		1,251		—		1,251
Bermuda		—		864		—		864
Canada		—		1,440		—		1,440
Cayman Islands		—		604		—		604
France		—		3,998		—		3,998
Germany		—		2,331		—		2,331
India		—		1,516		—		1,516
Italy		—		1,062		—		1,062
Luxembourg		—		618		—		618
Mexico		—		1,404		—		1,404
Netherlands		—		322		—		322
Norway		—		478		—		478
Portugal		—		1,378		—		1,378
Singapore		—		405		—		405
Spain		—		4,032		—		4,032
Sweden		—		540		—		540
United Kingdom		—		5,184		—		5,184
United States		—		4,347		—		4,347
Total Convertible Bonds		—		31,774		—		31,774

OCTOBER 31, 2010 J.P. MORGAN FUNDS 31

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Corporate Bonds
Bahamas	$	—		$	115		$	—	$	115
Bermuda		—			1,446			—		1,446
Canada		—			4,230			5		4,235
Cayman Islands		—			256			—		256
France		—			286			—		286
Germany		—			262			—		262
Ireland		—			2,764			—		2,764
Luxembourg		—			12,695			—		12,695
Mexico		—			218			—		218
Netherlands		—			9,057			—		9,057
Norway		—			105			—		105
Spain		—			212			—		212
United Arab Emirates		—			3,740			—		3,740
United Kingdom		—			1,490			—		1,490
United States		—			181,772			410		182,182
Total Corporate Bonds		—			218,648			415		219,063
Foreign Government Securities		—			47,643			—		47,643
Supranational		—			3,029			—		3,029
U.S. Treasury Obligation		—			235			—		235
Loan Participations & Assignments
United States		—			12,159			284		12,443
Rights
Singapore		—			—	(a)		—		—	(a)
Short-Term Investment
Investment Company		20,279			—			—		20,279
Total Investments in Securities	$	111,518		$	439,248		$	859	$	551,625
Appreciation in Other Financial Instruments
Unfunded Commitments	$	—		$	—	(a)	$	—	$	—	(a)
Depreciation in Other Financial Instruments
Futures Contracts	$	(501	)	$	—		$	—	$	(501	)

(a) Amount rounds to less than $1,000.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

The following is a summary of investments for which significant unobservable inputs (Level 3) were used in determining fair value (amounts in thousands):

	Balance as of 10/31/09		Realized gain (loss)			Change in unrealized appreciation (depreciation)			Net amortization (accretion)			Net purchases (sales)		Transfers into Level 3		Transfers out of Level 3		Balance as of 10/31/10
Investments in Securities
Common Stocks — Luxembourg	$	—	$	—		$	(48	)	$	—		$	99	$	—	$	—	$	51
Common Stocks — United States		1		—			(28	)		—			27		24		—		24
Corporate Bonds — Canada		—		—			5			—			—		—		—		5
Corporate Bonds — United States		49		(22	)		48			2			167		166		—		410
Loan Participations & Assignments — United States		—		—			2			—	(a)		282		—		—		284
Preferred Stocks — United States		—		—			(45	)		—			130		—		—		85
Total	$	50	$	(22	)	$	(66	)	$	2		$	705	$	190	$	—	$	859

(a) Amount rounds to less than $1,000.

32 J.P. MORGAN FUNDS OCTOBER 31, 2010

Transfers into, and out of, Level 3 are valued using values as of the beginning of the period.

Transfers from Level 2 to Level 3 or from Level 3 to Level 2 are due to a decline or an increase in market activity (e.g. frequency of trades), which resulted in a lack of or increase in available market inputs to determine price.

The change in unrealized appreciation (depreciation) attributable to securities owned at October 31, 2010, which were valued using significant unobservable inputs (Level 3), amounted to approximately $(78,000). This amount is included in Change in net unrealized appreciation (depreciation) of investments in non-affiliates on the Statement of Operations.

B. Restricted and Illiquid Securities — Certain securities held by the Fund may be subject to legal or contractual restrictions on resale or are illiquid. Restricted securities generally may be resold in transactions exempt from registration. An illiquid security is a security which cannot be disposed of promptly (within seven days) and in the usual course of business at approximately its fair value and includes, but is not limited to, repurchase agreements maturing in excess of seven days, time deposits with a withdrawal penalty, non-negotiable instruments and instruments for which no market exists. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at the current valuation may be difficult.

The value and percentage of net assets of illiquid securities as of October 31, 2010, were approximately $854,000 and 0.2%, respectively.

C. Loan Participations and Assignments — The Fund invests in loan participations and assignments of all or a portion of the loans. When the Fund purchases a loan participation, the Fund typically enters into a contractual relationship with the lender or third party selling such participations (“Selling Participant”), but not the borrower. In contrast, the Fund has direct rights against the borrower on a loan when it purchases an assignment; provided, however, that the Fund’s rights may be more limited than the lender from which it acquired the assignment and the Fund may be able to enforce its rights only through an administrative agent. As a result, the Fund assumes the credit risk of the Borrower and the Selling Participant and any other persons interpositioned between the Fund and the borrower (“Intermediate Participants”). Although certain loan assignments or participations are secured by collateral, the Fund could experience delays or limitations in realizing on such collateral or have its interest subordinated to other indebtedness of the obligor. In addition, loan assignments and participations are vulnerable to market conditions such that economic conditions or other events may reduce the demand for loan assignments and participations and certain loan assignments and participations which were liquid when purchased may be illiquid.

D. Unfunded Commitments — The Fund entered into commitments to buy and sell investments including commitments to buy loan assignments and participations to settle on future dates as part of its normal investment activities. Unfunded commitments are generally traded and priced as part of a related loan participation or assignment (Note 2.C.). The value of the unfunded portion of the investment is determined using a pro-rata allocation, based on its par value relative to the par value of the entire investment. The unrealized appreciation/depreciation from unfunded commitments is reported in the Statement of Assets and Liabilities. The Fund segregates security positions such that sufficient liquid assets will be available for the commitments on a future date. Credit risks exist on these commitments to the extent of any difference between the sales price and current value of the underlying securities sold. Market risk exists on these commitments to buy to the same extent as if the securities were owned on a settled basis and gains and losses are recorded and reported in the same manner. However, during the commitment period, these investments earn no interest or dividends.

At October 31, 2010, the Fund had the following unfunded loan commitment which could be extended at the option of the borrower (amount in thousands):

											Commitment
Security Description	Term		Maturity Date		Commitment Fee Rate			Rate if Funded			Amount		Value
General Growth Properties, Inc.*		Revolving Credit Commitment		2/24/10		1.250	%		1.250	%	$	4	$	4

* Security in default.

E. Futures Contracts — The Fund uses index or other financial futures contracts to manage and hedge interest rate risk associated with portfolio investments and to gain or reduce exposure to particular countries or regions. The Fund also uses futures contracts to lengthen or shorten the duration of the overall investment portfolio.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statement of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and value at the time it was closed, are reported in the Statement of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOI and cash deposited is recorded on the Statement of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statement of Assets and Liabilities.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 33

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statement of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

The table below discloses the volume of the Fund’s derivatives activities during the reporting period November 1, 2009 through October 31, 2010 (amounts in thousands).

	Income Builder Fund
Futures Contracts:
Average Notional Balance Long	$	1,294
Average Notional Balance Short		2,200
Ending Notional Balance Long		2,383
Ending Notional Balance Short		11,805

F. Foreign Currency Translation — The books and records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Fund are presented at the foreign exchange rates and market values at the close of the period, the Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

G. Summary of Derivatives Information — The following table presents the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statement of Assets and Liabilities (amounts in thousands):

Derivative Contract	Statement of Assets and Liabilities Location
Liabilities:		Futures Contracts (a)
Foreign exchange contracts	Payables, Net Assets — Unrealized Depreciation	$	(496	)
Equity contracts	Payables, Net Assets — Unrealized Depreciation		(5	)
Total		$	(501	)

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the SOI. The Statement of Assets and Liabilities only reflects the current day variation margin receivable/payable to brokers.

The following tables present the effect of derivatives on the Statement of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Total
Foreign exchange contracts	$	112		$	112
Equity contracts		(146	)		(146	)
Total	$	(34	)	$	(34	)

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Total
Foreign exchange contracts	$	(481	)	$	(481	)
Equity contracts		(5	)		(5	)
Total	$	(486	)	$	(486	)

34 J.P. MORGAN FUNDS OCTOBER 31, 2010

The Fund’s derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

H. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when the Fund first learns of the dividend.

I. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to the fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to the Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

J. Federal Income Taxes — The Fund is treated as a separate taxable entity for Federal income tax purposes. The Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Fund’s conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Fund’s Federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

K. Foreign Taxes — The Fund may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.

L. Dividends and Distributions to Shareholders — Effective April 30, 2010, dividends from net investment income are declared and paid monthly. Prior to April 30, 2010, dividends from net investment income were declared and paid quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

Paid-in-Capital		Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
$	—	$	119	$	(119	)

The reclassifications for the Fund related primarily to foreign currency gains or losses and passive foreign investment company (PFIC) gains and losses.

M. Redemption Fees — Generally, shares of the Fund held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Fund. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of the Fund and for such services is paid a fee. The fee is accrued daily and paid monthly at an annual fee rate of 0.45% of the Fund’s average daily net assets.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Fund. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of the Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 35

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Fund’s Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Fund in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Fund shall pay distribution fees, including payments to the Distributor, at annual rates of 0.25% and 0.75% of the average daily net assets of Class A and Class C Shares, respectively.

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

Front-End Sales Charge		CDSC
$	298	$	6

D. Shareholder Servicing Fees — The Trust, on behalf of the Fund, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to 0.25% of the average daily net assets of Class A, Class C and Select Class Shares. The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Fund under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Fund, provides portfolio custody and accounting services for the Fund. The amounts paid directly to JPMCB by the Fund for custody and accounting services are included in Custodian and accounting fees in the Statement of Operations. The Fund earns interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statement of Operations.

Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statement of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statement of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Fund to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Fund’s average daily net assets as shown in the table below:

Class A			Class C			Select Class
	0.75	%		1.25	%		0.60	%

The contractual expense limitation agreement was in effect for the year ended October 31, 2010. The contractual expense limitation percentages in the table above are in place until at least February 28, 2011. In addition, the Fund’s service providers have voluntarily waived fees during the year ended October 31, 2010. However, the Fund’s service providers are under no obligation to do so and may discontinue such voluntary waivers at any time.

Prior to February 28, 2010, the contractual expense limitations were 0.95%, 1.45% and 0.70% for Class A, Class C and Select Class Shares, respectively.

For the year ended October 31, 2010, the Fund’s service providers waived fees and/or reimbursed expenses for the Fund as follows (amounts in thousands). None of these parties expects the Fund to repay any such waived fees and reimbursed expenses in future years.

Contractual Waivers
Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
$	437	$	148	$	398	$	983	$	62

Voluntary Waivers
Investment Advisory		Administration		Total
$	9	$	14	$	23

Additionally the Fund may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Fund’s investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amount of waivers resulting from investments in the money market funds for the year ended October 31, 2010 was approximately $12,000.

36 J.P. MORGAN FUNDS OCTOBER 31, 2010

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Fund for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statement of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, the Fund may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Fund may use related party broker/dealers. For the year ended October 31, 2010, the Fund incurred $457 in brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Fund to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)		Purchases of U.S. Government		Sales of U.S. Government
$	568,279	$	83,094	$	35	$	45

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
$	527,376	$	25,949	$	1,700	$	24,249

The difference between book and tax basis appreciation (depreciation) on investments is primarily attributed to mark to market of PFICs and wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

Total Distributions Paid From:
Ordinary Income		Total Distributions Paid
$	9,301	$	9,301

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

Total Distributions Paid From:
Ordinary Income		Total Distributions Paid
$	948	$	948

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows:

Current Distributable Ordinary Income		Current Distributable Long-Term Capital Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
$	2,067	$	(2,483	)	$	24,245

The cumulative timing differences primarily consist of distributions payable, mark to market of futures contracts, mark to market of PFICs and wash sale loss deferrals.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 37

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

As of October 31, 2010, the Fund had the following net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

2016		2017		Total
$	1,113	$	1,370	$	2,483

During the year ended October 31, 2010, the Fund utilized capital loss carryforwards of approximately $807,000.

6. Borrowings

The Fund relies upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Fund to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Fund because they are investment companies in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Fund. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Fund had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statement of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

Prior to December 18, 2009, the Fund’s shares were held only by the Fund’s Advisor. The Fund’s Advisor or an affiliate may from time to time exercise discretion on behalf of certain of its clients with respect to the purchase or sale of a significant portion of the Fund’s outstanding shares. Investment activities on behalf of these shareholders could impact the Fund.

The Fund may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year. Such concentrations may subject the Fund to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

The Fund is subject to the risk that should the Fund decide to sell an illiquid investment when a ready buyer is not available at a price the Fund deems representative of its value, the value of the Fund’s net assets could be adversely affected.

The Fund is subject to interest rate and credit risk. The value of debt securities may decline as interest rates increase. The Fund could lose money if the issuer of a fixed income security is unable to pay interest or repay principal when it is due. The ability of the issuers of debt to meet their obligations may be affected by the economic and political developments in a specific industry or region.

The Fund is subject to risks associated with securities with contractual cash flows including asset-backed and mortgage-related securities such as collateralized mortgage obligations, mortgage pass-through securities and commercial mortgage-backed securities, including securities backed by sub-prime mortgage loans. The value, liquidity and related income of these securities are sensitive to changes in economic conditions, including real estate value, prepayments, delinquencies and/or defaults, and may be adversely affected by shifts in the market’s perception of the issuers and changes in interest rates.

As of October 31, 2010, the Fund invested approximately 57.7% of its total investments in the United States.

38 J.P. MORGAN FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan Income Builder Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan Income Builder Fund (a separate Fund of JPMorgan Trust I) (hereafter referred to as the “Fund”) at October 31, 2010, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 23, 2010

OCTOBER 31, 2010 J.P. MORGAN FUNDS 39

TRUSTEES

(Unaudited)

The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972-2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985-present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).		141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).		141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).		141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).		141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).		141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).		141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

40 J.P. MORGAN FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000-present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 41

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administration Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003-2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

42 J.P. MORGAN FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Income Builder Fund
Class A
Actual	$	1,000.00	$	1,074.90	$	3.87		0.74	%
Hypothetical		1,000.00		1,021.48		3.77		0.74
Class C
Actual		1,000.00		1,071.50		6.47		1.24
Hypothetical		1,000.00		1,018.95		6.31		1.24
Select Class
Actual		1,000.00		1,074.40		3.08		0.59
Hypothetical		1,000.00		1,022.23		3.01		0.59

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

OCTOBER 31, 2010 J.P. MORGAN FUNDS 43

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of the investment advisory agreement for the Fund whose annual report is contained herein (the “Advisory Agreement”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreement or any of their affiliates, approved the continuation of the Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the J.P. Morgan Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Fund’s performance compared to the performance of the Fund’s peers and benchmarks and analyses by the Advisor of the Fund’s performance. In addition, the Trustees have engaged an independent consultant to report on the performance of the Fund at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Fund’s expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain J.P. Morgan Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of J.P. Morgan Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreement with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees discussing the legal standards for their consid-

eration of the proposed approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve the Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from the Fund under the Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of the Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to the Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to the Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of the Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of the Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of the Fund. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Fund gained from their experience as Trustees of the J.P. Morgan Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Fund, their overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to concerns raised by them,

44 J.P. MORGAN FUNDS OCTOBER 31, 2010

including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to the Fund. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Fund, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of the Advisory Agreement was not unreasonable in light of the services and benefits provided to the Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Fund. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for the Fund.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Fund for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Fund’s distributor and that these fees are in turn generally paid to financial intermediaries that sell the Fund, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for the Fund does not contain breakpoints. The Trust-

ees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Fund’s Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreement.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of the Fund. The Trustees also considered the complexity of investment management for the Fund relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to the Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for J.P. Morgan Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those J.P. Morgan Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in the Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed the Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board

OCTOBER 31, 2010 J.P. MORGAN FUNDS 45

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

meetings by the Advisor and the independent consultant and also considered the special analysis by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to the Fund’s performance for certain representative classes are summarized below:

The Trustees noted the Fund’s performance was in the first quintile for both Class A and Select Class shares for the one-year period ended December 31, 2009 and that the independent consultant indicated that overall performance was attractive. The Trustees discussed the performance and investment strategy of the Fund with the Advisor and, based upon this discussion and other factors, concluded that the performance was reasonable.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by the Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee rates paid by other funds in the same Lipper category as the Fund. The Trustees recognized that Lipper reported the Fund’s

management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for the Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for the Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of the Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile and that the actual total expenses for Class A and Select Class Shares were in the first quintile, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

46 J.P. MORGAN FUNDS OCTOBER 31, 2010

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Fund’s income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns

for the calendar year ending December 31, 2010 will be received under separate cover.

Dividends Received Deductions (DRD)

7.73% of ordinary income distributions were eligible for the 70% dividend received deduction for corporate rate shareholders for the fiscal year ended October 31, 2010.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 47

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

48 J.P. MORGAN FUNDS OCTOBER 31, 2010

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-INCBUILD-1010

Annual Report

J.P. Morgan Funds

October 31, 2010

JPMorgan International Currency Income Fund

CONTENTS

CEO’s Letter	1
Fund Commentary	2
Schedule of Portfolio Investments	5
Financial Statements	10
Financial Highlights	16
Notes to Financial Statements	18
Report of Independent Registered Public Accounting Firm	25
Trustees	26
Officers	28
Schedule of Shareholder Expenses	29
Board Approval of Investment Advisory Agreement	30
Privacy Policy	33

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Fund’s prospectus for a discussion of the Fund’s investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about the Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

NOVEMBER 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted due to growing anxiety surrounding sovereign debt in Europe

and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 J.P. MORGAN FUNDS 1

JPMorgan International Currency Income Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited)

REPORTING PERIOD RETURN:
Fund (Select Class Shares)*		5.32%
Barclays Capital Global Treasury Ex-U.S. 1–3 Year Index		4.43%
Barclays Capital Trade–Weighted Non-Dollar Benchmark Currency Index		5.06%
Barclays Capital Global Aggregate Index (ex USD)		6.20%
Net Assets as of 10/31/2010 (In Thousands)	$	977,033

INVESTMENT OBJECTIVE**

The Fund seeks to provide a high total return primarily from a portfolio of fixed income and other debt securities denominated in foreign currencies.

HOW DID THE MARKET PERFORM?

The U.S. dollar continued to depreciate versus other currencies for the first five months of the reporting period, as investors maintained their appetite for risk. Risk aversion returned in April 2010 amid concerns about the threat of systemic fallout from Europe’s debt crisis, causing the U.S. dollar to rally relative to other currencies. The U.S. Federal Reserve’s announced second round of quantitative easing led the U.S. dollar to depreciate in September and October. At the end of the twelve months ended October 31, 2010 the U.S. dollar depreciated versus other currencies.

While European policymakers and the International Monetary Fund responded to the region’s fiscal crisis with an aggressive emergency funding package, skepticism remained surrounding the unity among European leaders and the austerity measures being taken by European countries with weaker economies to lower their deficits. Despite these weak fundamentals, the euro held up relatively well, as investors preferred the euro to the currencies of other developed economies, such as the U.S. dollar and Japanese yen. Meanwhile, emerging markets currencies were strong, as robust consumer spending fueled growth in developing economies and outweighed investor concerns about monetary policy tightening.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

On November 20, 2009, the Fund’s primary benchmark changed from the Barclays Capital Global Aggregate Index (ex USD) to the Barclays Capital Global Treasury ex U.S. 1-3 Year Index (the “Primary Benchmark”), a market value weighted index of non U.S. government securities. In addition, the Barclays Capital Trade-Weighted Non-Dollar Benchmark Currency Index (the “Secondary Benchmark”) was added as a secondary benchmark. The Fund (Select Class Shares) outperformed the Primary Benchmark and the Secondary Benchmark for the twelve months ended October 31, 2010.

Duration was a key driver of the Fund’s outperformance versus the Primary Benchmark and Secondary Benchmark. Duration is used to measure the price sensitivity of a bond or a portfolio of bonds to relative changes in interest rates. The Fund’s long duration positions in local emerging markets bonds performed well, while the Fund’s local Mexican bonds added the most to the Fund’s relative performance.

The Fund’s strategic currency allocation also contributed to relative performance versus the Primary Benchmark and Secondary Benchmark. Using top-down macroeconomic research, the Fund’s portfolio managers established overweight positions in emerging market currencies. This positioning helped the Fund’s performance as these currencies outperformed the British pound and euro, which were underweighted by the Fund during the reporting period.

On the negative side, the Fund’s underweight of the Japanese yen and overweight the Russian ruble detracted from relative performance versus the Primary Benchmark. Meanwhile, the Fund’s underweight of the Thai baht detracted from the Fund’s relative performance versus the Secondary Benchmark. The currency performed strongly as investor fears surrounding the political unrest in Thailand appeared to abate during the reporting period. The Fund’s underweight of the Malaysian ringgit detracted from the Fund’s relative performance versus the Secondary Benchmark. The Fund’s long duration position in Canadian Government bonds also hurt relative performance versus the Secondary Benchmark, as investors became concerned about rising interest rates as a result of the country’s economic strength.

HOW WAS THE FUND POSITIONED?

The Fund attempted to benefit from foreign currency strength and weakness against the US dollar. To establish overweight and underweight positions in currencies, the Fund primarily invested in foreign governments, agencies, and supranationals. The Fund also utilized currency derivatives to establish these positions. Accordingly, the Fund held approximately 17% of its assets in U.S. cash to help manage fund flows and to support its positions in currency derivatives. The Fund was otherwise not exposed to the U.S. dollar.

2 J.P. MORGAN FUNDS OCTOBER 31, 2010

During the period, the Fund improved its overall credit quality by concentrating its investments in government and Triple-A rated securities. Although it was already underweight the yen and euro going into the reporting period, the Fund lowered its exposure to these currencies, and became more diversified

across regions and less heavily weighted in Europe and Japan. In addition, the Fund’s portfolio managers shortened the Fund’s duration. The Fund’s duration began the reporting period at 1.82 years and finished the reporting period at 1.17 years.

PORTFOLIO COMPOSITION BY SECURITY TYPE***
Foreign Government Securities	71.8	%
Corporate Bonds	8.1
Supranational	3.2
Short-Term Investment	16.9

PORTFOLIO COMPOSITION BY COUNTRY***
Canada	14.7	%
Mexico	10.6
Netherlands	8.2
Germany	7.6
France	7.5
United Kingdom	5.2
South Korea	4.0
Finland	3.9
Brazil	3.3
Supranational	3.2
Sweden	2.1
Singapore	1.7
Malaysia	1.7
Australia	1.7
Philippines	1.6
Indonesia	1.5
Israel	1.2
Denmark	1.1
Austria	1.1
Others (each less than 1.0%)	1.2
Short-Term Investment	16.9

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 3

JPMorgan International Currency Income Fund

FUND COMMENTARY

TWELVE MONTHS ENDED OCTOBER 31, 2010 (Unaudited) (continued)

AVERAGE ANNUAL TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		1 YEAR			3 YEAR			SINCE INCEPTION
CLASS A SHARES		3/30/07
Without Sales Charge				5.18	%		4.43	%		5.50	%
With Sales Charge*				1.22			3.11			4.39
CLASS C SHARES		3/30/07
Without CDSC				4.44			3.75			4.84
With CDSC**				3.44			3.75			4.84
SELECT CLASS SHARES		3/30/07		5.32			4.65			5.74

* Sales Charge for Class A Shares is 3.75%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (3/31/07 TO 10/31/10)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on March 30, 2007.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the JPMorgan International Currency Income Fund, the Barclays Capital Global Treasury Ex-U.S. 1-3 Year Index, the Barclays Capital Trade-Weighted Non-Dollar Benchmark Currency Index, the Barclays Capital Global Aggregate Index (ex-USD) and the Lipper International Income Funds Index from March 30, 2007 to October 31, 2010. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Barclays Capital Global Treasury Ex-U.S. 1-3 Year Index, the Barclays Capital Trade-Weighted Non-Dollar Benchmark Currency Index and the Barclays Capital Global Aggregate Index (ex-USD) does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of securities included in the benchmark. The performance of the Lipper International Income Funds Index includes expenses associated with a mutual fund, such as investment management fees. These expenses are not identical to the expenses charged by the Fund. The Barclays Capital Global Treasury Ex-U.S. 1-3 Year Index measures the performance of fixed-rate local currency sovereign debt of investment grade countries outside the United States that have remaining maturities of one to three years. The Barclays Capital Trade-Weighted Non-Dollar Benchmark Currency Index is a weighted average of the foreign exchange value of the U.S. dollar against the currencies of a broad group of major U.S. trading partners. The Barclays Capital Global

Aggregate Index (ex-USD) provides a broad-based measure of the global investment-grade fixed-income markets. The Barclays Capital Global Aggregate Index (ex-USD) excludes the U.S. Dollar denominated components of the Barclays Capital Global Aggregate Index. The Fund’s primary benchmark changed from the Barclays Capital Global Aggregate Index (ex-USD) to the Barclays Capital Global Treasury Ex-U.S. 1–3 Year Index to better reflect the Fund’s investment strategy. The Lipper International Income Funds Index is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index.

From the inception of the Fund through November 3, 2009, the Fund did not experience any shareholder purchase and sale activity. If such shareholder activity had occurred, the Fund’s performance may have been impacted. Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

International investing involves a greater degree of risk and increased volatility. Changes in currency exchange rates and differences in accounting and taxation policies outside the U.S. can raise or lower returns. Also, some overseas markets may not be as politically and economically stable as the United States and other nations. The Fund is also subject to the additional risk of non-diversified “regional” fund investing.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

4 J.P. MORGAN FUNDS OCTOBER 31, 2010

JPMorgan International Currency Income Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in U.S. dollars unless otherwise noted)

(Amounts in thousands)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Corporate Bonds — 8.0%
		Australia — 0.4%
	GBP2,500	Suncorp-Metway Ltd., 4.000%, 01/16/14 (m)		4,283
		Cayman Islands — 0.0% (g)
	GBP 20	Allstate Life Funding LLC, 6.375%, 01/17/11 (m)		32
		Denmark — 1.1%
	EUR 7,700	FIH Erhvervsbank A/S, 2.125%, 03/21/13 (m)		10,831
	EUR 150	Nykredit Realkredit A/S, 4.000%, 01/01/12 (m)		214
				11,045
		France — 0.0% (g)
	EUR 50	Societe Generale, 5.250%, 03/28/13 (m)		74
		Germany — 0.6%
	EUR 3,855	IKB Deutsche Industriebank AG, 2.625%, 03/13/12 (m)		5,466
		Italy — 0.0% (g)
	EUR 50	Intesa Sanpaolo S.p.A., 5.375%, 12/19/13 (m)		75
		Netherlands — 3.5%
	EUR 15	Deutsche Telekom International Finance B.V., 6.000%, 01/20/17 (m)		24
		Fortis Bank Nederland N.V.,
	EUR 11,800	3.000%, 04/17/12 (m)		16,813
	EUR5,700	3.375%, 05/19/14 (m)		8,327
	EUR5,950	LeasePlan Corp. N.V., 3.250%, 05/22/14 (m)		8,642
				33,806
		Sweden — 1.1%
		Swedbank AB,
	EUR 7,500	3.125%, 02/02/12 (m)		10,665
	EUR 50	3.625%, 12/02/11 (m)		71
				10,736
		United Kingdom — 1.3%
	EUR 50	BAT International Finance plc, 5.375%, 06/29/17 (m)		78
		Lloyds TSB Bank plc,
	EUR 60	3.750%, 11/17/11 (m)		86
	EUR 50	6.250%, 04/15/14 (m)		76
	EUR 8,800	Yorkshire Building Society, 2.250%, 10/26/12 (m)		12,378
				12,618
		United States — 0.0% (g)
	EUR 50	AT&T, Inc., 6.125%, 04/02/15 (m)		80
	EUR 30	Bank of America Corp., 4.625%, 02/18/14 (m)		43
	EUR 50	Cellco Partnership/Verizon Wireless Capital LLC, 8.750%, 12/18/15 (m)		89

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		United States — continued
	EUR 10	Citigroup, Inc., 3.950%, 10/10/13 (m)		14
	EUR 25	Goldman Sachs Group, Inc. (The), 4.000%, 02/02/15 (m)		35
	EUR 50	Morgan Stanley, 5.500%, 10/02/17 (m)		73
				334
		Total Corporate Bonds (Cost $75,038)		78,469
	Foreign Government Securities — 71.3%
		Australia — 1.2%
		New South Wales Treasury Corp.,
	AUD 258	5.500%, 03/01/17 (m)		253
	AUD 6,000	6.000%, 05/01/12 (m)		5,955
	AUD 6,100	Queensland Treasury Corp., 6.000%, 06/14/11 (m)		6,017
				12,225
		Austria — 1.1%
		Republic of Austria,
	EUR 35	4.350%, 03/15/19 (e) (m)		54
	EUR 7,080	5.000%, 07/15/12 (e) (m)		10,481
				10,535
		Brazil — 3.2%
	BRL 53,900	Brazil Notas do Tesouro Nacional Serie F, 10.000%, 01/01/13 (m)		31,684
		Canada — 14.6%
		Government of Canada,
	CAD 3,200	1.000%, 09/01/11 (m)		3,133
	CAD 141,700	1.250%, 06/01/11 (m)		139,069
	CAD 15	3.750%, 06/01/19 (m)		16
	CAD 70	4.000%, 06/01/16 (m)		75
				142,293
		Finland — 3.9%
		Kingdom of Finland,
	EUR 15,300	4.250%, 09/15/12 (m)		22,539
	EUR 11,000	5.750%, 02/23/11 (m)		15,534
				38,073
		France — 7.4%
	EUR 50	Caisse d’Amortissement de la Dette Sociale, 3.625%, 04/25/15 (m)		74
		French Treasury Note BTAN,
	EUR 51,580	3.000%, 01/12/11 (m)		72,098
	EUR 20	3.000%, 07/12/14 (m)		29
				72,201

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 5

JPMorgan International Currency Income Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars unless otherwise noted)

(Amounts in thousands, except number of contracts)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
	Foreign Government Securities — Continued
		Germany — 7.0%
		Bundesrepublik Deutschland,
	EUR 60	3.500%, 07/04/19 (m)		91
	EUR 50	4.250%, 07/04/18 (m)		79
	EUR 32,820	5.000%, 07/04/11 (m)		46,932
	EUR 500	5.250%, 01/04/11 (m)		701
		Kreditanstalt fuer Wiederaufbau,
	JPY 440,000	0.750%, 03/22/11 (m)		5,480
	EUR 25	3.875%, 01/21/19 (m)		38
	EUR 30	4.125%, 07/04/17 (m)		46
	JPY 1,174,000	Landwirtschaftliche Rentenbank, 1.375%, 04/25/13 (m)		14,976
				68,343
		Indonesia — 1.5%
	IDR 114,290,000	Republic of Indonesia, 12.500%, 03/15/13 (m)		14,583
		Israel — 1.2%
	ILS 34,500	State of Israel - Shahar, 7.500%, 03/31/14 (m)		11,218
		Malaysia — 1.7%
	MYR 51,020	Republic of Malaysia, 3.833%, 09/28/11 (m)		16,533
		Mexico — 10.5%
	MXN 1,172,000	United Mexican States, 8.000%, 12/19/13 (m)		103,044
		Netherlands — 4.6%
	JPY 17,000	Bank Nederlandse Gemeenten, 1.850%, 11/07/16 (m)		222
		Kingdom of Netherlands,
	EUR 32,250	4.000%, 01/15/11 (m)		45,170
	EUR 65	4.250%, 07/15/13 (m)		98
				45,490
		Norway — 0.8%
	GBP 4,640	Kommunalbanken AS, 4.875%, 12/10/12 (m)		7,938
		Philippines — 1.6%
	PHP614,000	Philippine Government Bond, 8.750%, 03/03/13 (m)		15,551
		Singapore — 1.7%
	SGD 21,245	Republic of Singapore, 3.625%, 07/01/11 (m)		16,771
		South Korea — 4.0%
	KRW 42,805,000	Republic of Korea, 4.000%, 06/10/12 (m)		38,595

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	VALUE
		Sweden — 1.0%
	SEK 61,755	Kingdom of Sweden, 5.500%, 10/08/12 (m)		9,946
		Thailand — 0.4%
		Kingdom of Thailand,
	THB 66,300	4.125%, 11/01/12 (m)		2,290
	THB 30,000	4.500%, 03/11/12 (m)		1,030
	THB 4,400	5.375%, 11/30/11 (m)		152
				3,472
		United Kingdom — 3.9%
		United Kingdom Treasury Gilt,
	GBP 24	2.250%, 03/07/14 (m)		40
	GBP 20,005	3.250%, 12/07/11 (m)		32,984
	GBP 2,900	4.750%, 03/07/20 (m)		5,274
				38,298
		Total Foreign Government Securities (Cost $670,039)		696,793
		Supranational — 3.2%
		European Investment Bank,
	JPY 2,180,000	1.250%, 09/20/12 (m)		27,632
	EUR 100	4.250%, 10/15/14 (m)		152
	GBP 1,750	4.750%, 06/06/12 (m)		2,968
		Total Supranational (Cost $27,956)		30,752
SHARES
	Short-Term Investment — 16.8%
		Investment Company — 16.8%
	164,106	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% (b) (l) (Cost $164,106)		164,106
		Total Investments — 99.3% (Cost $937,139)		970,120
		Other Assets in Excess of Liabilities — 0.7%		6,913
		NET ASSETS — 100.0%	$	977,033

Percentages indicated are based on net assets.

SEE NOTES TO FINANCIAL STATEMENTS.

6 J.P. MORGAN FUNDS OCTOBER 31, 2010

Forward Foreign Currency Exchange Contracts
CONTRACTS TO BUY		CURRENCY		COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
	9,339,011		BRL	Barclays Bank plc		11/29/10		5,218		5,461		243
	3,600,399		CAD	Deutsche Bank AG		11/29/10		3,485		3,528		43
	1,533,133		CAD	Union Bank of Switzerland AG		11/29/10		1,489		1,502		13
	12,093,318		CHF	Union Bank of Switzerland AG		11/29/10		12,431		12,292		(139	)
	2,172,091,643		CLP	Barclays Bank plc		11/29/10		4,303		4,431		128
	5,323,317,403		CLP	Citibank, N.A.		11/29/10		11,055		10,859		(196	)
	44,487,231		CNY	Citibank, N.A.		11/29/10		6,609		6,672		63
	930,033,985		CNY	Credit Suisse International		11/29/10		137,325		139,486		2,161
	29,000,000		CNY	Deutsche Bank AG		11/29/10		4,344		4,349		5
	89,595,644		CNY	HSBC Bank, N.A.		11/29/10		13,444		13,437		(7	)
	34,764,368		CNY	Morgan Stanley		11/29/10		5,229		5,214		(15	)
	8,797,284,162		COP	HSBC Bank, N.A.		11/29/10		4,881		4,782		(99	)
	3,489,731		EUR	Deutsche Bank AG		11/29/10		4,804		4,856		52
	88,856,940		HKD	Union Bank of Switzerland AG		11/29/10		11,445		11,466		21
	29,909,036		ILS	Union Bank of Switzerland AG		11/29/10		8,212		8,223		11
	908,369,162		INR	Barclays Bank plc		11/29/10		19,221		20,326		1,105
	132,162,329		INR	Royal Bank of Scotland		11/29/10		2,957		2,957		—	(h)
	395,018,797		JPY	Deutsche Bank AG		11/29/10		4,840		4,910		70
	1,070,807,054		JPY	State Street Bank & Trust		11/29/10		13,187		13,310		123
	3,152,653,849		KRW	Barclays Bank plc		11/29/10		2,655		2,798		143
	2,676,392,031		KRW	HSBC Bank, N.A.		11/29/10		2,371		2,376		5
	38,696,161		MXN	Deutsche Bank AG		11/29/10		3,097		3,128		31
	67,109,143		MXN	HSBC Bank, N.A.		11/29/10		5,356		5,425		69
	65,716,679		MYR	Citibank, N.A.		11/29/10		21,220		21,083		(137	)
	579,645,655		PHP	HSBC Bank, N.A.		11/29/10		12,759		13,453		694
	100,042,180		RUB	Barclays Bank plc		11/29/10		3,226		3,237		11
	694,822,177		RUB	HSBC Bank, N.A.		11/29/10		22,665		22,480		(185	)
	64,600,554		SAR	Deutsche Bank AG		11/29/10		17,416		17,228		(188	)
	539,308,834		THB	Deutsche Bank AG		11/29/10		18,061		17,976		(85	)
	666,696,486		TWD	Morgan Stanley		11/29/10		21,074		21,783		709
								404,379		409,028		4,649

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 7

JPMorgan International Currency Income Fund

SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in U.S. dollars unless otherwise noted)

(Amounts in thousands, except number of contracts)

Forward Foreign Currency Exchange Contracts
CONTRACTS TO SELL		CURRENCY		COUNTERPARTY	SETTLEMENT DATE		SETTLEMENT VALUE		VALUE AT 10/31/10		NET UNREALIZED APPRECIATION (DEPRECIATION)
	9,339,011		BRL	Credit Suisse International		11/29/10		5,508		5,461		47
	4,024,548		CAD	Citibank, N.A.		11/29/10		3,902		3,943		(41	)
	3,201,212		CAD	Morgan Stanley		11/29/10		3,141		3,137		4
	3,342,765		EUR	BNP Paribas		11/29/10		4,660		4,651		9
	7,911,365		EUR	Deutsche Bank AG		11/29/10		11,083		11,008		75
	85,453,261		EUR	Union Bank of Switzerland AG		11/29/10		118,865		118,903		(38	)
	18,836,679		GBP	Union Bank of Switzerland AG		11/29/10		29,556		30,178		(622	)
	56,998,794,550		IDR	BNP Paribas		11/29/10		6,361		6,350		11
	8,956,623,921		KRW	BNP Paribas		11/29/10		7,936		7,950		(14	)
	2,872,489,777		KRW	Morgan Stanley		11/29/10		2,549		2,549		—	(h)
	39,187,239		MXN	State Street Bank & Trust		11/29/10		3,150		3,168		(18	)
	17,240,351		MYR	Barclays Bank plc		11/29/10		5,479		5,531		(52	)
	21,921,698		MYR	HSBC Bank, N.A.		11/29/10		7,100		7,033		67
	579,645,655		PHP	HSBC Bank, N.A.		11/29/10		13,368		13,453		(85	)
	389,329,000		RUB	Deutsche Bank AG		11/29/10		12,729		12,596		133
	32,300,277		SAR	Deutsche Bank AG		11/29/10		8,801		8,614		187
	6,476,783		SEK	State Street Bank & Trust		11/29/10		964		969		(5	)
								245,152		245,494		(342	)

SEE NOTES TO FINANCIAL STATEMENTS.

8 J.P. MORGAN FUNDS OCTOBER 31, 2010

NOTES TO SCHEDULE OF PORTFOLIO INVESTMENTS:

AS OF OCTOBER 31, 2010

AUD	—  Australian Dollar
BRL	—  Brazilian Real
CAD	—  Canadian Dollar
CHF	—  Swiss Franc
CLP	—  Chilean Peso
CNY	—  China Yuan Renminbi
COP	—  Colombian Peso
EUR	—  Euro
GBP	—  British Pound
HKD	—  Hong Kong Dollar
IDR	—  Indonesian Rupiah
ILS	—  Israeli Shekel
INR	—  Indian Rupee
JPY	—  Japanese Yen
KRW	—  Korea Republic Won
MXN	—  Mexican Peso
MYR	—  Malaysian Ringgit
PHP	—  Philippines Peso
RUB	—  Russian Ruble
SAR	—  Saudi Arabia Riyal
SEK	—  Swedish Krona

SGD	—  Singapore Dollar
THB	—  Thai Baht
TWD	—  Taiwan Dollar
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.
(e)	—  Security is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.
(g)	—  Amount rounds to less than 0.1%.
(h)	—  Amount rounds to less than one thousand (shares or dollars).
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 9

STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	International Currency Income Fund
ASSETS:
Investments in non-affiliates, at value	$	806,014
Investments in affiliates, at value		164,106
Total investment securities, at value		970,120
Cash		79
Foreign currency, at value		26
Receivables:
Investment securities sold		37,911
Fund shares sold		400
Interest and dividends		12,506
Unrealized appreciation on forward foreign currency exchange contracts		6,233
Total Assets		1,027,275
LIABILITIES:
Payables:
Investment securities purchased		47,035
Fund shares redeemed		757
Unrealized depreciation on forward foreign currency exchange contracts		1,926
Accrued liabilities:
Investment advisory fees		246
Administration fees		79
Shareholder servicing fees		39
Distribution fees		1
Custodian and accounting fees		84
Trustees’ and Chief Compliance Officer’s fees		2
Other		73
Total Liabilities		50,242
Net Assets	$	977,033

SEE NOTES TO FINANCIAL STATEMENTS.

10 J.P. MORGAN FUNDS OCTOBER 31, 2010

	International Currency Income Fund
NET ASSETS:
Paid in capital	$	941,632
Accumulated undistributed (distributions in excess of) net investment income		(2,129	)
Accumulated net realized gains (losses)		(319	)
Net unrealized appreciation (depreciation)		37,849
Total Net Assets	$	977,033
Net Assets:
Class A	$	5,203
Class C		891
Select Class		970,939
Total	$	977,033
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		464
Class C		80
Select Class		86,433
Net Asset Value:
Class A — Redemption price per share	$	11.20
Class C — Offering price per share (a)		11.12
Select Class — Offering and redemption price per share		11.23
Class A maximum sales charge		3.75	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	11.64
Cost of investments in non-affiliates	$	773,033
Cost of investments in affiliates		164,106
Cost of foreign currency		24

(a) Redemption price for Class C Shares varies based upon length of time the shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 11

STATEMENT OF OPERATIONS

FOR THE YEAR ENDED OCTOBER 31, 2010

(Amounts in thousands)

	International Currency Income Fund
INVESTMENT INCOME:
Interest income from non-affiliates	$	12,890
Interest income from affiliates		3
Dividend income from affiliates		136
Foreign taxes withheld		(128	)
Total investment income		12,901
EXPENSES:
Investment advisory fees		3,637
Administration fees		612
Distribution fees:
Class A		7
Class C		3
Shareholder servicing fees:
Class A		7
Class C		1
Class R5 (b)		—	(a)
Select Class		1,645
Custodian and accounting fees		351
Interest expense to affiliates		4
Professional fees		75
Trustees’ and Chief Compliance Officer’s fees		7
Printing and mailing costs		50
Registration and filing fees		112
Transfer agent fees		13
Other		22
Total expenses		6,546
Less amounts waived		(2,772	)
Net expenses		3,774
Net investment income (loss)		9,127
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		(868	)
Futures		(17	)
Foreign currency transactions		(9,976	)
Net realized gain (loss)		(10,861	)
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		33,181
Futures		3
Foreign currency translations		3,978
Change in net unrealized appreciation (depreciation)		37,162
Net realized/unrealized gains (losses)		26,301
Change in net assets resulting from operations	$	35,428

(a) Amount rounds to less than $1,000.

(b) Class R5 Shares liquidated on June 14, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

12 J.P. MORGAN FUNDS OCTOBER 31, 2010

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED

(Amounts in thousands)

	International Currency Income Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	9,127		$	113
Net realized gain (loss)		(10,861	)		(137	)
Change in net unrealized appreciation (depreciation)		37,162			945
Change in net assets resulting from operations		35,428			921
DISTRIBUTIONS TO SHAREHOLDERS:
Class A
From net investment income		(2	)		(7	)
Return of capital		(26	)		—
Class C
From net investment income		—	(a)		(6	)
Return of capital		(1	)		—
Class R5 (b)
From net investment income		—	(a)		(3	)
Return of capital		—	(a)		—
Select Class
From net investment income		(430	)		(149	)
Return of capital		(7,028	)		—
Total distributions to shareholders		(7,487	)		(165	)
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		943,297			165
NET ASSETS:
Change in net assets		971,238			921
Beginning of period		5,795			4,874
End of period	$	977,033		$	5,795
Accumulated undistributed (distributions in excess of) net investment income	$	(2,129	)	$	38

(a) Amount rounds to less than $1,000.

(b) Class R5 Shares liquidated on June 14, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 13

STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIODS INDICATED (continued)

(Amounts in thousands)

	International Currency Income Fund
	Year Ended 10/31/2010			Year Ended 10/31/2009
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	6,488		$	—
Dividends and distributions reinvested		28			7
Cost of shares redeemed		(1,681	)		—
Redemption fees		—	(a)		—
Change in net assets from Class A capital transactions	$	4,835		$	7
Class C
Proceeds from shares issued	$	1,405		$	—
Dividends and distributions reinvested		1			6
Cost of shares redeemed		(751	)		—
Redemption fees		—	(a)		—
Change in net assets from Class C capital transactions	$	655		$	6
Class R5 (b)
Dividends and distributions reinvested	$	—	(a)	$	3
Cost of shares redeemed		(114	)		—
Redemption fees		—	(a)		—
Change in net assets from Class R5 capital transactions	$	(114	)	$	3
Select Class
Proceeds from shares issued	$	1,116,590		$	—
Dividends and distributions reinvested		352			149
Cost of shares redeemed		(179,062	)		—
Redemption fees		41			—
Change in net assets from Select Class capital transactions	$	937,921		$	149
Total change in net assets from capital transactions	$	943,297		$	165
SHARE TRANSACTIONS:
Class A
Issued		595			—
Reinvested		3			—	(a)
Redeemed		(155	)		—
Change in Class A Shares		443			—	(a)
Class C
Issued		130			—
Reinvested		—	(a)		—	(a)
Redeemed		(71	)		—
Change in Class C Shares		59			—	(a)
Class R5 (b)
Reinvested		—	(a)		1
Redeemed		(11	)		—
Change in Class R5 Shares		(11	)		1
Select Class
Issued		102,575			—
Reinvested		33			15
Redeemed		(16,660	)		—
Change in Select Class Shares		85,948			15

(a) Amount rounds to less than 1,000 (shares or dollars).

(b) Class R5 Shares liquidated on June 14, 2010.

SEE NOTES TO FINANCIAL STATEMENTS.

14 J.P. MORGAN FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 J.P. MORGAN FUNDS 15

FINANCIAL HIGHLIGHTS

FOR THE PERIODS INDICATED

	Per share operating performance
			Investment operations									Distributions
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations			Net investment income			Return of capital			Total Distributions
International Currency Income Fund
Class A
Year Ended October 31, 2010	$	10.74	$	0.13	(e)	$	0.42		$	0.55		$	(0.01	)	$	(0.08	)	$	(0.09	)
Year Ended October 31, 2009		9.34		0.19			1.52			1.71			(0.31	)		—			(0.31	)
Year Ended October 31, 2008		10.58		0.30			(1.18	)		(0.88	)		(0.36	)		—			(0.36	)
March 30, 2007 (g) through October 31, 2007		10.00		0.19			0.45			0.64			(0.06	)		—			(0.06	)
Class C
Year Ended October 31, 2010		10.67		0.04	(e)		0.43			0.47			—	(f)		(0.02	)		(0.02	)
Year Ended October 31, 2009		9.32		0.13			1.52			1.65			(0.30	)		—			(0.30	)
Year Ended October 31, 2008		10.56		0.23			(1.18	)		(0.95	)		(0.29	)		—			(0.29	)
March 30, 2007 (g) through October 31, 2007		10.00		0.16			0.45			0.61			(0.05	)		—			(0.05	)
Select Class
Year Ended October 31, 2010		10.77		0.15	(e)		0.42			0.57			(0.01	)		(0.10	)		(0.11	)
Year Ended October 31, 2009		9.34		0.22			1.53			1.75			(0.32	)		—			(0.32	)
Year Ended October 31, 2008		10.59		0.32			(1.18	)		(0.86	)		(0.39	)		—			(0.39	)
March 30, 2007 (g) through October 31, 2007		10.00		0.20			0.45			0.65			(0.06	)		—			(0.06	)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Calculated based upon average shares outstanding.

(f) Amount rounds to less than $0.01.

(g) Commencement of operations.

SEE NOTES TO FINANCIAL STATEMENTS.

16 J.P. MORGAN FUNDS OCTOBER 31, 2010

					Ratios/Supplemental data
								Ratios to average net assets (a)
Redemption fees			Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	—	(f)	$	11.20		5.18	%	$	5,203		0.77	%		1.20	%		1.25	%		75	%
	—			10.74		18.55			231		1.10			1.92			4.00			71
	—			9.34		(8.66	)		194		1.14			2.80			3.62			68
	—			10.58		6.43			213		1.25			3.16			7.55			56
	—	(f)		11.12		4.44			891		1.52			0.39			1.80			75
	—			10.67		17.86			227		1.75			1.27			4.50			71
	—			9.32		(9.28	)		193		1.75			2.09			4.09			68
	—			10.56		6.10			212		1.75			2.66			8.05			56
	—	(f)		11.23		5.32			970,939		0.57			1.38			0.99			75
	—			10.77		18.96			5,221		0.85			2.17			3.75			71
	—			9.34		(8.52	)		4,389		0.89			3.05			3.37			68
	—			10.59		6.60			4,794		1.00			3.41			7.30			56

SEE NOTES TO FINANCIAL STATEMENTS.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 17

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following is a separate fund of the Trust (the “Fund”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
International Currency Income Fund	Class A, Class C and Select Class	Non-Diversified

Effective November 3, 2009, Class A, Class C and Select Class Shares were publicly offered for investment. Effective December 9, 2009, Class R5 Shares were publicly offered for investment. The outstanding Class R5 Shares were redeemed on June 14, 2010 and the share class was closed.

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Fund’s prospectus.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share. Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund is valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

18 J.P. MORGAN FUNDS OCTOBER 31, 2010

The following table represents each valuation input by country as presented on the Schedule of Portfolio Investments (“SOI”) (amounts in thousands):

	Level 1 Quoted prices		Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Total Investments in Securities #	$	164,106	$	806,014		$	—	$	970,120
Appreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	6,233		$	—	$	6,233
Depreciation in Other Financial Instruments
Forward Foreign Currency Exchange Contracts	$	—	$	(1,926	)	$	—	$	(1,926	)

# All portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the SOI. Level 1 consists of a money market mutual fund that is held for daily investments of cash. Please refer to the SOI for industry specifics of the portfolio holdings.

There were no significant transfers between Levels 1 and 2 during the year ended October 31, 2010.

B. Futures Contracts — The Fund uses treasury or other financial futures contracts to manage and hedge interest rate risk associated with portfolio investments and to gain or reduce exposure to particular countries or regions. The Fund also uses futures contracts to lengthen or shorten the duration of the overall investment portfolio.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Statement of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and value at the time it was closed, are reported in the Statement of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the SOI and cash deposited is recorded on the Statement of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Statement of Assets and Liabilities.

The Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying rate or currency. Use of long futures contracts subjects the Fund to risk of loss in excess of the amounts shown on the Statement of Assets and Liabilities, up to the notional amount of the futures contracts. Use of short futures contracts subjects the Fund to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures transaction; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, future exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

C. Foreign Currency Translation — The books and records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Fund are presented at the foreign exchange rates and market values at the close of the period, the Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchases of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at year end.

D. Forward Foreign Currency Exchange Contracts — The Fund uses forward foreign currency contracts including non-deliverable forwards mainly as a substitute for securities in which the Fund can invest to increase income or gain to the Fund and to hedge or manage the Fund’s exposure to foreign currency risks associated with portfolio investments. Forward foreign currency exchange contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 19

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The values of the forward foreign currency exchange contracts are adjusted daily based on the applicable exchange rate of the underlying currency. Changes in the value of these contracts are recorded as unrealized appreciation or depreciation until the contract settlement date. When the forward contract is closed, the Fund records a realized gain or loss equal to the difference between the value at the time the contract was opened and the value at the time it was closed.

E. Summary of Derivative Information — The following table presents the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Statement of Assets and Liabilities (amounts in thousands):

Derivative Contract	Statement of Assets and Liabilities Location
Assets:		Forward Foreign Currency Exchange Contracts
Foreign exchange contracts	Receivables	$	6,233
Total		$	6,233
Liabilities:
Foreign exchange contracts	Payables	$	(1,926	)
Total		$	(1,926	)

The following tables present the effect of derivatives on the Statements of Operations for the year ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Interest rate contracts	$	(17	)	$	—	$	(17	)
Foreign exchange contracts		—			5,867		5,867
Total	$	(17	)	$	5,867	$	5,850
Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Forward Foreign Currency Exchange Contracts		Total
Interest rate contracts	$	3		$	—	$	3
Foreign exchange contracts		—			4,293		4,293
Total	$	3		$	4,293	$	4,296

The Fund’s derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

Derivatives Volume

The table below discloses the volume of the Fund’s derivatives activities during the reporting period November 1, 2009 through October 31, 2010 (amounts in thousands). Please refer to the tables in the Summary of Derivatives Information for derivative-related gains and losses associated with volume activity.

	International Currency Income Fund
Futures Contracts:
Average Notional Balance Long	$	50,077	*
Average Notional Balance Short		1,010	*
Ending Notional Balance Long		—
Ending Notional Balance Short		—
Forward Foreign Currency Exchange Contracts:
Average Settlement Value Purchased		247,312
Average Settlement Value Sold		140,188
Ending Settlement Value Purchased		404,379
Ending Settlement Value Sold		245,152

* Average for the period November 1, 2009 through November 30, 2009.

20 J.P. MORGAN FUNDS OCTOBER 31, 2010

F. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, is recorded on the ex-dividend date or when a Fund first learns of the dividend.

G. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to the Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

H. Federal Income Taxes — The Fund is treated as a separate taxable entity for Federal income tax purposes. The Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Fund’s conclusion may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Fund’s Federal tax returns for the prior three fiscal years, or since inception if shorter, remain subject to examination by the Internal Revenue Service.

I. Foreign Taxes — The Fund may be subject to foreign taxes on income, gains on investments or currency purchases/repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.

J. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

The following amounts were reclassified within the capital accounts (amounts in thousands):

Paid-in-Capital		Accumulated Undistributed/ (Overdistributed) Net Investment Income			Accumulated Net Realized Gain (Loss) on Investments
$	—	$	(10,862	)	$	10,862

The reclassifications for the Fund relate primarily to foreign currency gains or losses.

K. Redemption Fees — Generally, shares of the Fund held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Fund. The Advisor is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of the Fund and for such services is paid a fee. The fee is accrued daily and paid monthly at an annual fee rate of 0.55% of the Fund’s average daily net assets.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Fund. In consideration of these services, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the year ended October 31, 2010, the annual effective rate was 0.09% of the Fund’s average daily net assets.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Fund’s Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Fund’s shares.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 21

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Fund in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Fund shall pay distribution fees, including payments to the Distributor, at annual rates of 0.25% and 0.75% of the average daily net assets of Class A and Class C Shares, respectively.

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the year ended October 31, 2010, the Distributor retained the following amounts (in thousands):

Front-End Sales Charge		CDSC
$	2	$	—	(a)

(a) Amount rounds to less than $1,000.

D. Shareholder Servicing Fees — The Trust, on behalf of the Fund, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to a percentage of the average daily net assets as shown in the table below:

Class A			Class C			Class R5*			Select Class
	0.25	%		0.25	%		0.05	%		0.25	%

* Class R5 Shares were liquidated on June 14, 2010.

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Fund under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”), an affiliate of the Fund, provides portfolio custody and accounting services for the Fund. The amounts paid directly to JPMCB by the Fund for custody and accounting services are included in Custodian and accounting fees in the Statement of Operations. The Fund earns interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Statement of Operations.

Interest income, if any, earned on cash balances at the custodian, is included as Interest income from affiliates in the Statement of Operations.

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Statement of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Fund to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Fund’s average daily net assets as shown in the table below:

Class A			Class C			Class R5*			Select Class
	0.80	%		1.55	%		0.55	%		0.60	%

* Class R5 Shares were liquidated on June 14, 2010.

Prior to November 20, 2009, the contractual expense limitations were 1.10%, 1.75% and 0.85% for Class A, Class C and Select Class, respectively.

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The contractual expense limitation percentages in the table above are in place until at least February 28, 2011.

For the year ended October 31, 2010, the Fund’s service providers waived fees and/or reimbursed expenses for the Fund as follows (amounts in thousands). None of these parties expects the Fund to repay any such waived fees and reimbursed expenses in future years.

Contractual Waivers
Investment Advisory		Administration		Shareholder Servicing		Total
$	1,253	$	1	$	1,323	$	2,577

Additionally, the Fund may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive fees in an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Fund’s investment in such affiliated money market fund. A portion of the waiver is voluntary.

The amounts of waivers resulting from investments in the money market funds for the year ended October 31, 2010 was approximately $195,000.

22 J.P. MORGAN FUNDS OCTOBER 31, 2010

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Fund for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Statement of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the year ended October 31, 2010, the Fund may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Fund may use related party broker/dealers. For the year ended October 31, 2010, the Fund did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Fund to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

4. Investment Transactions

During the year ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
$	853,072	$	315,400

During the year ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
$	937,302	$	37,061	$	4,243	$	32,818

The difference between book and tax basis appreciation (depreciation) on investments is primarily attributable to wash sale loss deferrals.

The tax character of distributions paid during the fiscal year ended October 31, 2010 was as follows (amounts in thousands):

Total Distributions Paid From:				Total Distributions Paid
Ordinary Income		Return of Capital
$	432	$	7,055	$	7,487

The tax character of distributions paid during the fiscal year ended October 31, 2009 was as follows (amounts in thousands):

Total Distributions Paid From:		Total Distributions Paid
Ordinary Income
$	165	$	165

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows (amounts in thousands):

Current Distributable Ordinary Income		Current Distributable Long-Term Capital Gain or (Tax Basis Capital Loss Carryover)			Unrealized Appreciation (Depreciation)
$	—	$	(156	)	$	35,558

OCTOBER 31, 2010 J.P. MORGAN FUNDS 23

NOTES TO FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The cumulative timing differences primarily consist of mark to market of forward foreign currency contracts. As of October 31, 2010, the Fund had the following net capital loss carryforwards, expiring during the year indicated, which are available to offset future realized gains (amounts in thousands):

2016		2017		Total
$	33	$	123	$	156

During the year ended October 31, 2010, the Fund utilized capital loss carryforwards of approximately $164,000.

6. Borrowings

The Fund relies upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Fund to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Fund because it is an investment company in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Fund. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Fund had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the year then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Statement of Operations.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

One or more affiliates of the Advisor have investment discretion with respect to their clients’ holdings in the Fund, which collectively represent a significant portion of the Fund’s assets. Significant shareholder transactions, if any, may impact the Fund’s performance.

The Fund may have elements of risk not typically associated with investments in the United States of America due to concentrated investments in a limited number of countries or regions, which may vary throughout the year. Such concentrations may subject the Fund to additional risks resulting from political or economic conditions in such countries or regions and the possible imposition of adverse governmental laws or currency exchange restrictions could cause the securities and their markets to be less liquid and their prices to be more volatile than those of comparable U.S. securities.

As of October 31, 2010, substantially all of the Fund’s net assets consist of securities of issuers that are denominated in foreign currencies. Changes in currency exchange rates will affect the value of and investment income from such securities.

The Fund is subject to interest rate and credit risk. The value of debt securities may decline as interest rates increase. The Fund could lose money if the issuer of a fixed income security is unable to pay interest or repay principal when it is due. The ability of the issuers of debt to meet their obligations may be affected by the economic and political developments in a specific industry or region.

24 J.P. MORGAN FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of JPMorgan International Currency Income Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of portfolio investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of JPMorgan International Currency Income Fund (a separate Fund of JPMorgan Trust I) (hereafter referred to as the “Fund”) at October 31, 2010, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 22, 2010

OCTOBER 31, 2010 J.P. MORGAN FUNDS 25

TRUSTEES

(Unaudited)

The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000-2001); Vice President and Treasurer, Ingersoll-Rand Company (manufacturer of industrial equipment) (1972-2000).		141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985-present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974-present).		141	Director, Cardinal Health, Inc. (CAH) (1994-present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007-present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999-present); President, Adelphi University (New York) (1998-1999).		141	Director, New Plan Excel (NXL) (1999-2005); Director, National Financial Partners (NFP) (2003-2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002-present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003-2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971-2001).		141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000-2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000-2002); President, DCI Marketing, Inc. (1992-2000).		141	Director, Center for Deaf and Hard of Hearing (1990-present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1999.	Vice President of Administration and Planning, Northwestern University (1985-present).		141	Trustee, Carleton College (2003-present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001-2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985-2001).		141	Director, Radio Shack Corp. (1987-2008); Trustee, Stratton Mountain School (2001-present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1997.	Retired; President, Carleton College (2002-2010); President, Kenyon College (1995-2002).		141	Trustee, American University in Cairo (1999-present); Trustee, Carleton College (2002-2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003-present); Chairman and Chief Executive Officer, Lumelite Corporation (1985-2002).		141	Trustee, Morgan Stanley Funds (165 portfolios) (1992-present).

26 J.P. MORGAN FUNDS OCTOBER 31, 2010

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000-present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000-2009); Chief Investment Officer, Wabash College (2004-present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988-1999).		141	Trustee, Wabash College (1988-present); Chairman, Indianapolis Symphony Orchestra Foundation (1994-present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968-1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993-present).		141	Trustee, The Victory Portfolios (2000-2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989-1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990-1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990-1998).		141	Director, Glenview Trust Company, LLC (2001-present); Trustee, St. Catharine College (1998-present); Trustee, Bellarmine University (2000-present); Director, Springfield-Washington County Economic Development Authority (1997-present); Trustee, Catholic Education Foundation (2005-present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock.

The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 J.P. MORGAN FUNDS 27

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964), Secretary (2008)	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director, Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953), Chief Compliance Officer (2005)	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950), AML Compliance Officer (2005)	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas, additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964), Controller (2008)	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase, Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase (formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962), Assistant Secretary (2005)*	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975), Assistant Secretary (2008)	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr & Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980) Assistant Secretary (2010)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965), Assistant Treasurer (2008)*	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase, Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003-2004.
Jeffrey D. House (1972), Assistant Treasurer (2006)*	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966), Assistant Treasurer (2006)	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971), Assistant Treasurer (2007)	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

28 J.P. MORGAN FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
International Currency Income Fund
Class A
Actual	$	1,000.00	$	1,040.10	$	3.91		0.76	%
Hypothetical		1,000.00		1,021.37		3.87		0.76
Class C
Actual		1,000.00		1,036.20		7.75		1.51
Hypothetical		1,000.00		1,017.59		7.68		1.51
Select Class
Actual		1,000.00		1,041.00		2.88		0.56
Hypothetical		1,000.00		1,022.38		2.85		0.56

* Expenses are equal to the Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

OCTOBER 31, 2010 J.P. MORGAN FUNDS 29

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited)

The Board of Trustees meets regularly throughout the year and considers factors that are relevant to its annual consideration of investment advisory agreements at each meeting. The Board of Trustees has established various standing committees, composed of Trustees with diverse backgrounds, to which the Board of Trustees has assigned specific subject matter responsibilities to further enhance the effectiveness of the Board’s oversight and decision making. The Board of Trustees and its investment subcommittees (money market and alternative products, equity, and fixed income) also meet as needed for the specific purpose of considering advisory contract annual renewals. The Board of Trustees held meetings in person in June and August 2010, at which the Trustees considered the continuation of the investment advisory agreement for the Fund whose annual report is contained herein (the “Advisory Agreement”). At the June meeting, the Board’s investment subcommittees met to review and consider performance, expense and related information for the J.P. Morgan Funds. Each investment subcommittee reported to the full Board, which then considered the investment subcommittee’s preliminary findings. At the August meeting, the Trustees continued their review and consideration. The Trustees, including a majority of the Trustees who are not “interested persons” (as defined in the 1940 Act) of any party to the Advisory Agreement or any of their affiliates, approved the continuation of the Advisory Agreement on August 18, 2010.

The Trustees, as part of their review of the investment advisory arrangements for the J.P. Morgan Funds, considered and reviewed performance and other information received from the Advisor, on a regular basis over the course of the year, as well as information specifically prepared for their annual review. This information included the Fund’s performance compared to the performance of the Fund’s peers and benchmarks and analyses by the Advisor of the Fund’s performance. In addition, the Trustees have engaged an independent consultant to report on the performance of the Fund at each of the Trustees’ regular meetings. The Advisor also periodically provides comparative information regarding the Fund’s expense ratios and those of the peer groups. In addition, in preparation for the June and August meetings, the Trustees requested, received and evaluated extensive materials from the Advisor, including, with respect to certain J.P. Morgan Funds, performance and expense information compiled by Lipper Inc. (“Lipper”), an independent provider of investment company data. The Trustees also have engaged an independent consultant to provide additional analyses of the performance of J.P. Morgan Funds with greater than two years of performance history in connection with the review of the investment advisory arrangements. Prior to voting, the Trustees reviewed the proposed approval of the Advisory Agreement with representatives of the Advisor and with counsels to the Trust and independent Trustees and received a memorandum from independent counsel to the Trustees discussing the legal standards for their consideration of the proposed

approval. The Trustees also discussed the proposed approvals in executive sessions with counsels to the Trust and independent Trustees at which no representatives of the Advisor were present. Set forth below is a summary of the material factors evaluated by the Trustees in determining whether to approve the Advisory Agreement.

In their deliberations, there was a comprehensive consideration of the information received by the Trustees. Each Trustee attributed different weights to the various factors and no factor alone was considered determinative. From year to year, the Trustees consider and place emphasis on relevant information in light of changing circumstances in market and economic conditions. The Trustees determined that the compensation to be received by the Advisor from the Fund under the Advisory Agreement was fair and reasonable and that the continuance of the investment advisory contract was in the best interests of the Fund and its shareholders.

The factors summarized below were considered and discussed by the Trustees in reaching their conclusions:

Nature, Extent and Quality of Services Provided by the Advisor

The Trustees received and considered information regarding the nature, extent and quality of the services provided to the Fund under the Advisory Agreement. The Trustees took into account information furnished throughout the year at Trustee meetings, as well as the materials furnished specifically in connection with this annual review process. The Trustees considered the background and experience of the Advisor’s senior management and the expertise of, and the amount of attention given to the Fund by, investment personnel of the Advisor. In addition, the Trustees reviewed the qualifications, backgrounds and responsibilities of the portfolio management team primarily responsible for the day-to-day management of the Fund and the infrastructure supporting the team. The Trustees also considered information provided by the Advisor and JPMorgan Distribution Services, Inc. (“JPMDS”) about the structure and distribution strategy of the Fund. The Trustees also reviewed information relating to enhancements to the Advisor’s risk governance model in light of recent market turbulence and reports showing that the Advisor has consistently complied with the investment policies and restrictions of the Fund. The quality of the administrative services provided by JPMorgan Funds Management, Inc. (“JPMFM”), an affiliate of the Advisor, was also considered.

The Board of Trustees also considered its knowledge of the nature and quality of the services provided by the Advisor to the Fund gained from their experience as Trustees of the J.P. Morgan Funds. In addition, they considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Fund, their overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to concerns raised by them,

30 J.P. MORGAN FUNDS OCTOBER 31, 2010

including the Advisor’s willingness to consider and implement organizational and operational changes designed to improve investment results and the services provided to the Fund.

Based on these considerations and other factors, the Trustees concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by the Advisor.

Costs of Services Provided and Profitability to the Advisor and its Affiliates

The Trustees received and considered information regarding the profitability to the Advisor and its affiliates in providing services to the Fund. The Trustees reviewed and discussed this data. The Trustees recognized that this data is not audited and represents the Advisor’s determination of its and its affiliates revenues from the contractual services provided to the Fund, less expenses of providing such services. Expenses include direct and indirect costs and are calculated using an allocation methodology developed by the Advisor. The Trustees also recognized that it is difficult to make comparisons of profitability from fund investment advisory contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the fact that publicly-traded fund managers’ operating profits and net income are net of distribution and marketing expenses. Based on their review, the Trustees concluded that the profitability to the Advisor of the Advisory Agreement was not unreasonable in light of the services and benefits provided to the Fund.

Fall-Out Benefits

The Trustees reviewed information regarding potential “fallout” or ancillary benefits received by the Advisor and its affiliates as a result of their relationship with the Fund. The Board considered that the Advisor does not currently use third-party soft dollar arrangements with respect to securities transactions it executes for the Fund.

The Trustees also considered that JPMFM and JPMDS, affiliates of the Advisor, earn fees from the Fund for providing administrative and shareholder services. These fees were shown separately in the profitability analysis presented to the Trustees. The Trustees also considered the payments of Rule 12b-1 fees to JPMDS, which also acts as the Fund’s distributor and that these fees are in turn generally paid to financial intermediaries that sell the Fund, including financial intermediaries that are affiliates of the Advisor. The Trustees also considered the fees paid to JPMorgan Chase Bank, NA (“JPMCB”) for custody and fund accounting, and other related services.

Economies of Scale

The Trustees noted that the proposed investment advisory fee schedule for the Fund does not contain breakpoints. The

Trustees considered whether it would be appropriate to add advisory fee breakpoints and the Trustees concluded that the current fee structure was reasonable in light of the fee waivers and expense limitations that the Advisor has in place that serve to limit the overall net expense ratio at competitive levels. The Trustees also recognized that the fee schedule for the administrative services provided by JPMFM does include a fee breakpoint, which is tied to the overall level of money market assets or non-money market fund assets excluding certain funds-of-funds, as applicable, advised by the Advisor, and that the Funds would benefit from that breakpoint. The Trustees concluded that shareholders benefited from the lower expense ratios which resulted from these factors.

Independent Written Evaluation of the Fund’s Chief Compliance Officer

The Trustees noted that, upon their direction, the Chief Compliance Officer for the Fund had prepared an independent written evaluation in order to assist the Trustees in determining the reasonableness of the proposed management fees. The Trustees considered the written evaluation in determining whether to continue the Advisory Agreement.

Fees Relative to Advisor’s Other Clients

The Trustees received and considered information about the nature and extent of investment advisory services and fee rates offered to other clients of the Advisor for investment management styles substantially similar to that of the Fund. The Trustees also considered the complexity of investment management for the Fund relative to the Advisor’s other clients and the differences in the nature and extent of the services provided to the different clients. The Trustees concluded that the fee rates charged to the Fund in comparison to those charged to the Advisor’s other clients were reasonable.

Investment Performance

The Trustees received and considered absolute and/or relative performance for J.P. Morgan Funds which had at least one full year of performance at the time of the review in a report prepared by Lipper. The Trustees considered the total return performance information, which included the ranking of those J.P. Morgan Funds which had at least one full year of performance at the time of the review within a performance universe made up of funds with the same Lipper investment classification and objective (the “Universe Group”) by total return for applicable one-, three- and five-year periods. The Trustees reviewed a description of Lipper’s methodology for selecting mutual funds in the Fund’s Universe Group. The Lipper materials provided to the Trustees highlighted information with respect to certain representative classes to assist the Trustees in their review. As part of this review, the Trustees also reviewed the Fund’s performance against its benchmark and considered the performance information provided for the Funds at regular Board

OCTOBER 31, 2010 J.P. MORGAN FUNDS 31

BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT

(Unaudited) (continued)

meetings by the Advisor and the independent consultant and also considered the special analysis by the independent consultant. The Lipper performance data noted by the Trustees as part of their review and the determinations made by the Trustees with respect to the Fund’s performance for certain representative classes are summarized below:

The Trustees noted the Fund’s performance was in the third quintile for both Class A and Select Class shares for the one-year period ended December 31, 2009 and that the independent consultant indicated that overall performance needed enhancement. The Trustees discussed the performance and investment strategy of the Fund with the Advisor, noting a benchmark change occurring late in 2009, and concluded that they were satisfied with the Advisor’s analysis of the Fund’s performance, however, they requested that the Fund’s Advisor provide additional Fund performance information to be reviewed with members of the fixed income subcommittee at each of their regular meetings over the course of the next year.

Advisory Fees and Expense Ratios

The Trustees considered the contractual advisory fee rate paid by the Fund to the Advisor and compared that rate to the information prepared by Lipper concerning management fee

rates paid by other funds in the same Lipper category as the Fund. The Trustees recognized that Lipper reported the Fund’s management fee rate as the combined contractual advisory fee and the administration fee rates. The Trustees also reviewed information about other expenses and the expense ratios for the Fund. The Trustees considered the fee waiver and/or expense reimbursement arrangements currently in place for the Fund and considered the net advisory fee rate after taking into account any waivers and/or reimbursements. The Trustees recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds. The Trustees’ determination as a result of the review of the Fund’s advisory fees and expense ratios for certain representative classes are summarized below:

The Trustees noted that the Fund’s net advisory fee for both Class A and Select Class shares were in the first quintile and that the actual total expenses for Class A and Select Class Shares were in the first quintile, of their Universe Group. After considering the factors identified above, in light of this information, the Trustees concluded that the advisory fees were reasonable.

32 J.P. MORGAN FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 J.P. MORGAN FUNDS 33

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-INTLCUR-1010

Annual Report

Highbridge Funds

October 31, 2010

Highbridge Dynamic Commodities Strategy Fund

CONTENTS

CEO’s Letter	1
Fund Commentary	2
Consolidated Schedule of Portfolio Investments	5
Consolidated Financial Statements	10
Consolidated Financial Highlights	16
Notes to Consolidated Financial Statements	18
Report of Independent Registered Public Accounting Firm	25
Trustees	26
Officers	28
Schedule of Shareholder Expenses	29
Tax Letter	30
Privacy Policy	31

Investments in the Fund are not bank deposits or obligations of, or guaranteed or endorsed by, any bank and are not insured or guaranteed by the FDIC, the Federal Reserve Board or any other government agency. You could lose money if you sell when the Fund’s share price is lower than when you invested.

Past performance is no guarantee of future performance. The general market views expressed in this report are opinions based on conditions through the end of the reporting period and are subject to change without notice based on market and other conditions. These views are not intended to predict the future performance of the Fund or the securities markets. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities. Such views are not meant as investment advice and may not be relied on as an indication of trading intent on behalf of the Fund.

Prospective investors should refer to the Fund’s prospectus for a discussion of the Fund’s investment objective, strategies and risks. Call J.P. Morgan Funds Service Center at (800) 480-4111 for a prospectus containing more complete information about the Fund including management fees and other expenses. Please read it carefully before investing.

CEO’S LETTER

November 18, 2010 (Unaudited)

Dear Shareholder:

If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.

  “If 2009 was the year that we tried to sort out the aftermath of the global financial crisis and recession, then 2010 should be viewed as the year we began to slowly emerge from the crisis and embark on the road to recovery.”

Last year, some welcome improvements in economic data appeared to indicate that a modest recovery was occurring. Investors responded warmly to these signs by displaying their appetite for risk. The equity markets rebounded sharply, and by November 18, 2009, the Standard & Poor’s 500 Index (the “S&P 500 Index”) had risen by nearly 67% from its 14-year low on March 9, 2009. By the end of December 2009, the S&P 500 Index had risen 26.5% for the year to close at 1,115, and this positive momentum carried over into early 2010.

However, investors’ upbeat mood didn’t last for long. A wave of discouraging U.S. economic data, compounded by sovereign debt issues in Europe, led to a major market correction in May 2010, followed by heightened market volatility throughout most of the summer. Beginning in the latter half of the third quarter, however, the markets responded well to a wave of much anticipated news, including a strong September labor market report, the U.S. mid-term elections, as well as the Federal Reserve’s (“the Fed”) announced launch of a second round of quantitative easing (“QE2”).

These gains, however, should be viewed as tentative, as while the recovery continues, markets remain sensitive to risks such as high unemployment, the future direction of tax policy, as well as concerns that Ireland’s fiscal issues will contribute to additional European financial stress.

We believe, however, that the current economic recovery offers some encouraging signs for investors, including positive gross domestic product growth and a strong conclusion to third quarter 2010 corporate earnings, as many companies reported some of their healthiest profit margins in years.

Investors buoyed by solid corporate earnings

During the late spring and summer months, economic uncertainty and fears of deflation drove investors to the safety of U.S. Treasuries and gold. A recent run of positive news, however, including improved economic data and better-than-expected corporate earnings, led to a surge late in the third quarter. As of the end of the 12- month period ended October 31, 2010, the Standard & Poor’s 500 Index had reached a level of 1,183, a 16.5% increase from 12 months earlier.

Although global stock indices reflected steady growth throughout most of the year, this trend has recently been interrupted

due to growing anxiety surrounding sovereign debt in Europe and inflationary concerns in China. However, as of the end of the 12-month reporting period, the MSCI EAFE Index (Europe, Australasia, and the Far East) had returned 8.8% (gross), while the MSCI EM (Emerging Markets) Index had returned 23.9% (gross) for the same reporting period.

Treasuries move higher, pushing yields to historic lows

Weak economic growth boosted the fixed income market throughout the year, as investors sought safety in U.S. Treasuries and high-quality corporate bonds. In this environment, the Barclays Capital High Yield Index returned 19.4%, while the Barclays Capital Emerging Markets Index returned 18.3% for the 12-month period ended October 31, 2010. The Barclays Capital U.S. Aggregate Bond Index returned 8.0% for the same period.

Investors continued to demonstrate their concern about the stability of the economic recovery, pushing bond prices up and yields down. At one point, these concerns, combined with near-zero official policy rates and central bank bond purchases, drove 10-year yields to their lowest levels since January 2009. As of October 31, 2010, the yields on the benchmark 10-year Treasury bond had dropped from 3.4% to 2.6%. Yields on the 30-year bond also declined, falling from 4.2% to 4.0% as of the end of the period, as did the two-year note, from 0.9% to 0.3%.

Will QE2 promote stronger economic growth?

In a much anticipated action, the Fed initiated a second round of quantitative easing designed to stimulate the economy. It plans to spend an additional $600 billion to buy a wide range of both short-term and long-term U.S. Treasuries. In its statement, the Fed also indicated that it may extend the program if conditions warrant doing so, and promised to “employ its policies as needed.” Although this measure may potentially hold down both short and long-term interest rates, it does increase the risk of higher inflation and rising interest rates down the road. Additionally, the flexibility that the Fed has afforded itself in implementing the program may increase uncertainty about future monetary policy and the economy.

Certainly, if the economy continues to improve going forward, the Fed may likely resume a more balanced posture. However, due to the uncertainty of the impact of this plan, it still makes sense for investors to maintain a balanced portfolio, including a diversified approach to fixed income and other securities.

On behalf of everyone at J.P. Morgan Asset Management, I would like to wish you a very happy holiday season and a safe and healthy year. We look forward to continuing to support your investment goals in 2011 and beyond. Should you have any questions, please visit our website at www.jpmorganfunds.com, or contact the J.P. Morgan Funds Service Center at 1-800-480-4111.

Sincerely yours,

George C.W. Gatch

CEO-Investment Management Americas

J.P. Morgan Asset Management

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 1

Highbridge Dynamic Commodities Strategy Fund

FUND COMMENTARY

FOR THE PERIOD JANUARY 13, 2010 (FUND INCEPTION DATE) THROUGH OCTOBER 31, 2010 (Unaudited)

Reporting Period Return:
Fund (Select Class Shares)*		19.67%
Dow Jones-UBS Commodity Index Total Return		5.31%
Net Assets as of 10/31/2010 (In Thousands)	$	485,412

INVESTMENT OBJECTIVE**

The Highbridge Dynamic Commodities Strategy Fund (the “Fund”) seeks long-term total return.

INVESTMENT APPROACH

The Fund’s portfolio managers use a systematic and fundamental investment approach that utilizes a proprietary quantitative model with an emphasis on risk management. This unique process includes both a volatility target and drawdown control process, which decreases (increases) the risk target as a function of portfolio performance. The Fund’s flexible drawdown control process is an important aspect of the Fund’s risk management given its unconstrained approach versus the Dow Jones-UBS Commodity Index Total Return (the “Benchmark”), an index of commodities.

The Fund’s commodity weightings are constructed based on the Fund’s portfolio managers’ fundamental analysis of macroeconomic influences, supply and demand levels, the impact of historical commodity prices and the relationships between various commodities. Applying this fundamental analysis, the Fund’s portfolio managers established the Fund’s commodity weightings based on their outlook for each commodity in the Fund’s investable universe. Meanwhile, the Fund’s flexible risk management process allows the Fund to quickly adjust these commodity weights in an effort to help guard the Fund against short-term volatility in commodity prices.

HOW DID THE COMMODITIES MARKET PERFORM DURING THE REPORTING PERIOD?

The precious metals sector was among the Benchmark’s strongest performers during the reporting period. Prices for gold and silver reached new highs as the low interest rate environment persisted during the reporting period and as the U.S. Federal Reserve signaled and then delivered further accommodative policy actions.

Meanwhile, volatile weather conditions in key producing regions sent the prices of agricultural and soft commodities higher during the reporting period. Soft commodities did particularly well. Energy was the worst performing sector in the Benchmark, dragged down by natural gas, which declined 43% for the first ten months of 2010 due to continued oversupply.

WHAT WERE THE MAIN DRIVERS OF THE FUND’S PERFORMANCE?

The Fund (Select Class Shares) outperformed the Benchmark for the period January 13, 2010 (the Fund’s inception date) through October 31, 2010.

The Fund’s overweight positions in precious metals and financial commodities were the largest contributors to the Fund’s absolute return and relative performance versus the Benchmark. The Fund’s overweight in the soft commodities sector (cocoa, coffee, cotton and sugar) also contributed to the Fund’s absolute return and relative performance.

The Fund’s investments in the energy sector detracted from the Fund’s absolute return but outperformed the Benchmark, contributing to the Fund’s relative performance. The Fund’s relative outperformance in the energy sector was driven primarily by the Fund’s underweight of natural gas.

In July 2010, the price of wheat increased sharply in reaction to news of flooding in Canada, drought in Russia and storage problems in India. The Fund’s portfolio managers had a negative fundamental longer-term outlook on wheat and were underweight and short the commodity, which hurt the Fund’s performance in July. However, the Fund adjusted its position as the volatility of wheat prices increased, bringing the Fund’s weight in wheat more in line with a neutral position and minimizing the Fund’s losses.

HOW WAS THE FUND POSITIONED?

The Fund invested in commodity-linked derivative instruments that provided exposure to the investment returns of the commodities markets without investing directly in physical commodities. The Fund’s derivative instruments were backed by a portfolio of high-quality fixed income securities, such as commercial paper or other instruments that generally had a weighted average maturity of 90-days or less.

As of the end of the reporting period, the Fund was overweight precious metals and financial commodities. The Fund was also overweight the soft and agricultural commodities sectors. In the energy sector, the Fund was underweight natural gas and was positioned to benefit from an improving “crack spread,” as it was underweight crude oil and overweight the petroleum products. The crack spread measures the difference between the price of crude oil and the products extracted from it: heating oil and gasoline.

2 HIGHBRIDGE FUNDS OCTOBER 31, 2010

CASH INVESTMENTS***
Certificates of Deposit	33.9	%
Commercial Paper	28.9
Investment Companies	25.9
U.S. Government Agency Securities	9.8
Time Deposits	1.3
U.S. Treasury Securities	0.1
Supranational	0.1

PORTFOLIO COMPOSITION BY COUNTRY***
United States	86.9	%
Australia	3.4
United Kingdom	3.2
France	1.8
Germany	1.6
Netherlands	1.5
Others (each less than 1.0%)	1.6

NET COMMODITY EXPOSURE****
Precious Metals and Financial Commodities	77.2	%
Agriculture	39.5
Industrial Metals	32.8
Energy	(12.8	)

TOTAL COMMODITY EXPOSURE****
Total Net Exposure	136.7	%
Total Gross Exposure	168.8

* The return shown is based on net asset value calculated for shareholder transactions and may differ from the return shown in the financial highlights, which reflects adjustments made to the net asset value in accordance with accounting principles generally accepted in the United States of America.

** The advisor seeks to achieve the Fund’s objective. There can be no guarantee it will be achieved.

*** Percentages indicated are based upon total investments as of October 31, 2010. The Fund’s composition is subject to change.

**** The Fund’s net exposure equals the value of the Fund’s long positions minus the short positions. The Fund’s gross exposure equals the sum of the Fund’s long positions and short positions (adjusted for offsetting positions). Exposures are calculated as the notional value of the Fund’s derivative positions as a percentage of net assets.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 3

Highbridge Dynamic Commodities Strategy Fund

FUND COMMENTARY

FOR THE PERIOD JANUARY 13, 2010 (FUND INCEPTION DATE) THROUGH OCTOBER 31, 2010 (Unaudited) (continued)

TOTAL RETURNS AS OF OCTOBER 31, 2010
	INCEPTION DATE OF CLASS		SINCE INCEPTION
CLASS A SHARES		1/13/10
Without Sales Charge				19.33	%
With Sales Charge*				13.08
CLASS C SHARES		1/13/10
Without CDSC				18.93
With CDSC**				17.93
SELECT CLASS SHARES		1/13/10		19.67

* Sales Charge for Class A Shares is 5.25%.

** Assumes a 1% CDSC (contingent deferred sales charge) for the one year period and 0% CDSC thereafter.

LIFE OF FUND PERFORMANCE (1/13/2010 TO 10/31/2010)

Source: Lipper, Inc. The performance quoted is past performance and is not a guarantee of future results. Mutual funds are subject to certain market risks. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data shown. For up-to-date, month-end performance information please call 1-800-480-4111.

The Fund commenced operations on January 13, 2010.

The graph illustrates comparative performance for $1,000,000 invested in Select Class Shares of the Highbridge Dynamic Commodities Strategy Fund, the Dow Jones-UBS Commodity Index Total Return and the Lipper Commodities Funds Average from January 13, 2010 to October 31, 2010. The performance of the Lipper Commodities Funds Average reflects an initial investment at the end of the month closest to the Fund’s inception. The performance of the Fund assumes reinvestment of all dividends and capital gains, if any, and does not include a sales charge. The performance of the Dow Jones-UBS Commodity Index Total Return does not reflect the deduction of expenses or a sales charge associated with a mutual fund and has been adjusted to reflect reinvestment of all dividends and capital gains of securities included in the benchmark. The performance of the Lipper Commodities Funds Average includes expenses associated with a mutual fund, such as investment management fees. These

expenses are not identical to the expenses charged by the Fund. The Dow Jones-UBS Commodity Index Total Return is composed of futures contracts on 19 physical commodities. The Lipper Commodities Funds Average is an index based on total returns of certain mutual funds within the Fund’s designated category as determined by Lipper, Inc. Investors cannot invest directly in an index. Subsequent to inception date of the Fund through March 10, 2010, the Fund did not experience any shareholder purchase and sale activity. If such shareholder activity had occurred, the Fund’s performance may have been impacted.

Select Class Shares have a $1,000,000 minimum initial investment and carry no sales charge.

Performance may reflect the waiver of the Fund’s fees and reimbursement of expenses for certain periods since the inception date. Without these waivers and reimbursements performance would have been lower. Also, performance shown in this section does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

The returns shown are based on net asset values calculated for shareholder transactions and may differ from the returns shown in the financial highlights, which reflect adjustments made to the net asset values in accordance with accounting principles generally accepted in the United States of America.

4 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Highbridge Dynamic Commodities Strategy Fund

CONSOLIDATED SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Certificates of Deposit — 32.9%
	3,000	ABN Amro Bank N.V., 0.285%, 12/02/10		3,000
	1,000	Bank of Montreal, (Canada), 0.250%, 12/23/10		1,000
		Bank of Nova Scotia, (Canada),
	1,000	0.250%, 12/14/10		1,000
	2,000	0.250%, 01/11/11		2,000
	2,000	0.260%, 01/07/11		2,000
	1,000	0.300%, 01/21/11		999
	1,000	0.430%, 09/06/11		1,001
		Bank of Tokyo-Mitsubishi UFJ Ltd.,
	2,000	0.280%, 01/18/11		2,000
	1,000	0.380%, 03/14/11		1,000
	2,000	0.380%, 05/02/11		1,999
	1,000	0.530%, 02/04/11		1,000
	2,000	Banque Federative du Credit Mutuel, (France), 0.310%, 12/14/10		2,000
		Barclays Bank plc, (United Kingdom),
	2,000	0.356%, 04/21/11 (m)		2,000
	1,750	0.356%, 04/18/11		1,749
	1,000	0.400%, 03/07/11 (m)		1,000
		BNP Paribas, (France),
	2,000	0.346%, 11/27/10		2,000
	2,500	0.356%, 11/20/10		2,499
	2,000	0.380%, 05/02/11		1,999
		Caisse des Depots et Consignations,
	2,000	0.305%, 02/01/11		2,000
	1,000	0.580%, 09/02/11		999
	3,000	Caisse Nationale des Caisses d’Epargne et de Prevoyance, 0.330%, 01/14/11		3,000
	1,000	Clydesdale Bank plc, 0.285%, 11/05/10		1,000
		Commonwealth Bank of Australia, (Australia),
	2,000	0.255%, 01/10/11		2,000
	1,000	0.335%, 03/07/11		1,000
		Credit Agricole S.A.,
	1,000	0.300%, 11/01/10		1,000
	2,000	0.300%, 12/01/10		2,000
	300	0.300%, 12/10/10 (m)		300
	1,000	0.300%, 12/23/10		1,000
	1,000	0.300%, 01/14/11 (m)		1,000
	2,000	Credit Industriel et Commercial, 0.350%, 12/01/10 (m)		2,000
	1,500	Credit Suisse First Boston LLC, (Switzerland), 0.300%, 01/27/11 (m)		1,500
	3,000	Danske Bank A/S, 0.280%, 11/16/10		3,000
		Deutsche Bank AG,
	1,500	0.310%, 01/18/11 (m)		1,500
	2,000	0.330%, 03/21/11 (m)		2,000

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		DG Bank,
	2,000	0.260%, 11/30/10 (m)		2,000
	3,000	0.270%, 11/24/10 (m)		3,000
	2,000	DnB NOR Bank ASA, (Norway), 0.255%, 12/23/10		2,000
	3,000	DZ Bank AG, 0.320%, 11/15/10		3,000
		HSBC Bank plc,
	1,000	0.510%, 08/23/11		1,001
	1,000	0.590%, 08/16/11		1,001
		ING Bank N.V.,
	2,000	0.260%, 12/17/10		2,000
	2,000	0.270%, 11/24/10		2,000
	2,000	0.270%, 12/03/10		2,000
	3,000	Intesa Sanpaolo S.p.A., 0.270%, 12/15/10 (m)		3,000
		Lloyds TSB Bank,
	1,000	0.250%, 11/26/10		1,000
	2,000	0.260%, 12/17/10		2,000
	2,000	0.260%, 12/20/10		2,000
	2,000	Mitsubishi UFJ Trust & Banking Corp., 0.280%, 11/23/10		2,000
	2,000	Mizuho Co. Bank Ltd., 0.250%, 11/18/10		2,000
		National Australia Bank Ltd., (Australia),
	2,000	0.250%, 01/13/11		2,000
	1,000	0.320%, 03/14/11		1,000
	1,000	0.350%, 02/28/11		1,000
		National Bank of Canada, (Canada),
	1,000	0.270%, 01/14/11		1,000
	1,000	0.290%, 01/04/11		1,000
	2,000	Nordea Bank Finland plc, (Finland), 0.330%, 03/02/11		2,000
		Norinchukin Bank Ltd., (Japan),
	2,000	0.320%, 12/23/10		2,000
	2,000	0.330%, 01/19/11		2,000
	1,000	0.330%, 01/24/11		1,000
	2,000	0.330%, 01/28/11		2,001
		Rabobank Nederland N.V., (Netherlands),
	1,000	0.324%, 11/29/10		1,000
	2,000	0.336%, 11/22/10		1,999
	2,000	0.340%, 03/31/11		2,000
	750	0.500%, 08/17/11		751
	1,000	Rabobank USA Finance Corp., 0.460%, 09/06/11		1,001
	2,000	Royal Bank of Canada, (Canada), 0.365%, 01/03/11		1,999
	10,000	Shizuoka Bank Ltd., (Japan), 0.320%, 01/28/11		10,001
	7,000	Skandinaviska Enskilda Banken AB, (Sweden), 0.220%, 11/03/10		7,000

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 5

Highbridge Dynamic Commodities Strategy Fund

CONSOLIDATED SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands)

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Certificates of Deposit — Continued
		Societe Generale,
	1,000	0.270%, 11/24/10		1,000
	2,000	0.280%, 12/16/10		2,000
	2,000	0.280%, 12/17/10		2,000
		Sumitomo Mitsui Financial Group, Inc.,
	4,000	0.285%, 01/21/11		4,000
	2,000	0.290%, 12/27/10		2,000
	2,000	0.290%, 02/11/11		2,000
	2,000	0.300%, 01/20/11		2,000
	1,000	0.370%, 03/14/11		1,000
		Svenska Handelsbanken AB, (Sweden),
	3,000	0.263%, 12/10/10		3,000
	750	0.273%, 11/23/10		750
	1,000	0.300%, 01/07/11		1,000
	2,000	0.305%, 11/04/10		2,000
	2,000	UBS AG, 0.260%, 01/12/11		2,000
		UniCredito Italiano S.p.A.,
	2,000	0.290%, 11/22/10		2,000
	1,500	0.300%, 11/18/10		1,500
	1,000	0.310%, 11/17/10		1,000
		Westpac Banking Corp., (Australia),
	1,000	0.290%, 01/14/11		1,000
	3,000	0.290%, 01/27/11		2,999
		Total Certificates of Deposit (Cost $159,550)		159,548
	Commercial Paper — 28.0% (n)
	2,000	Abbey National plc, 0.270%, 11/22/10		2,000
		ANZ National International Ltd., (United Kingdom),
	2,000	0.320%, 11/18/10 (e)		2,000
	1,000	0.391%, 11/08/10 (e)		1,000
	1,000	ASB Finance Ltd., (New Zealand), 0.430%, 11/01/10 (e)		1,000
		Banco Bilbao Vizcaya Argentaria,
	2,000	0.300%, 11/19/10 (e)		2,000
	2,000	0.300%, 11/24/10 (e)		1,999
	5,000	0.300%, 11/29/10 (e)		4,999
		Bank of America Corp.,
	10,102	0.220%, 11/01/10		10,102
	3,000	0.230%, 11/09/10		3,000
		Banque et Caisse d’Epargne de L’Etat, (Luxembourg),
	7,000	0.233%, 12/07/10 (m)		6,998
	4,500	0.250%, 11/10/10		4,500
	2,000	0.320%, 11/05/10		2,000
	3,000	BNP Paribas Finance, Inc., (France), 0.401%, 05/03/11		2,994

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
		BNZ International Funding Ltd., (United Kingdom),
	4,000	0.260%, 12/02/10 (e)		3,999
	2,000	0.280%, 12/03/10 (e)		2,000
		BPCE S.A., (France),
	2,000	0.305%, 12/22/10 (e)		1,999
	2,000	0.310%, 01/21/11 (e)		1,999
	5,000	BTM Capital, 0.400%, 11/08/10 (e)		4,999
	4,000	Commonwealth Bank of Australia, (Australia), 0.250%, 12/20/10 (e) (m)		3,999
	1,000	Credit Agricole North America, Inc., 0.300%, 01/14/11 (m)		999
	3,000	Deutsche Bank AG, 0.341%, 04/04/11 (m)		2,995
	3,000	DnB NOR Bank ASA, (Norway), 0.253%, 12/03/10 (e) (m)		2,999
		ENI Finance USA, Inc.,
	3,000	0.270%, 01/21/11 (e) (m)		2,998
	1,000	0.370%, 11/08/10 (e) (m)		1,000
	2,000	0.370%, 11/15/10 (e) (m)		2,000
	6,000	Erste Finance LLC, 0.290%, 11/02/10 (e) (m)		6,000
		General Electric Capital Corp.,
	2,000	0.250%, 12/09/10 (m)		1,999
	250	0.269%, 11/18/10 (m)		250
	2,000	Intesa Funding LLC, 0.270%, 11/01/10 (m)		2,000
		Nordea North America, Inc.,
	1,000	0.260%, 01/11/11		1,000
	2,000	0.301%, 03/07/11		1,998
	750	0.361%, 02/07/11		749
		NRW.BANK, (Germany),
	3,000	0.260%, 01/11/11		2,998
	3,000	0.396%, 03/10/11		2,997
	1,000	0.401%, 02/24/11		999
	2,000	0.431%, 02/04/11		1,999
	12,000	RBS Holdings USA, Inc., 0.240%, 11/01/10 (e)		12,000
	9,000	Straight-A Funding LLC, 0.250%, 12/13/10		8,997
	2,000	Sumitomo Mitsui Financial Group, Inc., 0.330%, 01/25/11		1,998
		Toyota Motor Credit Corp.,
	2,500	0.280%, 12/01/10		2,499
	2,000	0.280%, 12/08/10		2,000
	2,000	0.320%, 11/01/10		2,000
	2,000	UniCredit Delaware, Inc., 0.290%, 11/19/10 (e)		2,000
		Westpac Banking Corp., (Australia),
	2,000	0.310%, 04/05/11 (e)		1,996
	3,000	0.311%, 04/12/11 (e)		2,994
		Total Commercial Paper (Cost $136,053)		136,051

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

6 HIGHBRIDGE FUNDS OCTOBER 31, 2010

PRINCIPAL AMOUNT($)		SECURITY DESCRIPTION	VALUE($)
	Supranational — 0.1%
	500	International Bank for Reconstruction & Development, 0.306%, 11/13/10 (m) (Cost $500)		500
	Time Deposit — 1.2%
	6,000	Citibank N.A., 0.230%, 11/05/10 (Cost $6,000)		6,000
	U.S. Government Agency Securities — 9.5%
	600	Federal Home Loan Bank, 0.280%, 11/19/10 (m)		600
	28,000	Federal Home Loan Mortgage Corp., DN, 0.150%, 11/22/10 (m) (n)		27,997
		Federal National Mortgage Association,
	10,000	DN, 0.150%, 11/24/10 (m) (n)		9,999
	6,386	DN, 0.170%, 11/08/10 (m) (n)		6,386
	1,000	DN, 0.295%, 11/10/10 (m) (n)		1,000
		Total U.S. Government Agency Securities (Cost $45,982)		45,982
	U.S. Treasury Obligation — 0.1%
	650	U.S. Treasury Bill, 0.215%, 12/09/10 (n) (Cost $650)		650

SHARES		SECURITY DESCRIPTION	VALUE($)
	Investment Companies — 25.0%
	114,528	JPMorgan Prime Money Market Fund, Institutional Class Shares, 0.090% † (b) (l) (m)		114,528
	6,806	JPMorgan U.S. Treasury Plus Money Market Fund, Institutional Class Shares, 0.030% † (b) (l) (m)		6,806
		Total Investment Companies (Cost $121,334)		121,334
		Total Investments — 96.8% (Cost $470,069)		470,065
		Other Assets in Excess of Liabilities — 3.2%		15,347
		NET ASSETS — 100.0%	$	485,412

Percentages indicated are based on net assets.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 7

Highbridge Dynamic Commodities Strategy Fund

CONSOLIDATED SCHEDULE OF PORTFOLIO INVESTMENTS

AS OF OCTOBER 31, 2010 (continued)

(Amounts in thousands, except number of contracts)

Futures Contracts
NUMBER OF CONTRACTS		DESCRIPTION	EXPIRATION DATE		NOTIONAL VALUE AT 10/31/10		UNREALIZED APPRECIATION (DEPRECIATION)
		Long Futures Outstanding
	2,041	Australian Dollar		12/13/10	$	198,834	$	7,638
	295	Lean Hogs*		12/14/10		7,812		(684	)
							$	6,954

Return Swaps on Commodities
SWAP COUNTERPARTY	UNDERLYING REFERENCE INSTRUMENT	TERMINATION DATE		NOTIONAL VALUE			VALUE
Newedge USA, LLC
	Long Positions
	NYBOT-ICE Sugar #11 March 2011 Futures		02/18/11	$	49,346		$	7,769
	CBOT Soybean January 2011 Futures		12/24/10		989			—	(h)
	CBOT Soybean Meal December 2010 Futures		11/23/10		7,362			64
	NYBOT-ICE Coffee ‘C’ December 2010 Futures		11/12/10		23,727			2,068
	Short Positions
	CBOT Soybean Oil December 2010 Futures		11/23/10		(532	)		3
							$	9,904
Prudential
	Long Positions
	NYBOT-ICE Sugar #11 March 2011 Futures		02/28/11	$	11,252		$	2,341
	CME Live Cattle December 2010 Futures		12/31/10		22,967			(149	)
	COMEX Copper December 2010 Futures		12/29/10		42,562			1,309
	COMEX Gold 100 oz. December 2010 Futures		12/29/10		135,488			11,255
	COMEX Silver December 2010 Futures		12/29/10		40,531			6,149
	NYBOT-ICE Cocoa December 2010 Futures		12/15/10		5,622			(3	)
	LME Copper December 2010 Futures		12/15/10		58,821			(1,649	)
	LME Primary Aluminum December 2010 Futures		12/15/10		54,207			(599	)
	LME Zinc December 2010 Futures		12/15/10		10,845			(295	)
	CBOT Corn December 2010 Futures		12/14/10		17,053			1,800
	CBOT Soybean Oil December 2010 Futures		12/14/10		7,040			768
	NYBOT-ICE Cotton No. 2 December 2010 Futures		12/08/10		42,213			8,291
	NYMEX Gasoline RBOB December 2010 Futures		11/30/10		4,930			(18	)
	Short Positions
	LME Lead December 2010 Futures		12/15/10		(4,209	)		(67	)
	LME Nickel December 2010 Futures		12/15/10		(1,790	)		(15	)
	LME Tin December 2010 Futures		12/15/10		(1,279	)		33
	CBOT Wheat December 2010 Futures		12/14/10		(2,941	)		(181	)
	NYMEX Heating Oil December 2010 Futures		11/30/10		(10,714	)		213
	NYMEX Natural Gas December 2010 Futures		11/24/10		(22,330	)		(999	)
	NYMEX WTI Crude December 2010 Futures		11/19/10		(34,201	)		590
							$	28,774
Total							$	38,678

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

8 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Highbridge Dynamic Commodities Strategy Fund

NOTES TO CONSOLIDATED SCHEDULE OF PORTFOLIO INVESTMENTS:

AS OF OCTOBER 31, 2010 (continued)

CBOT	—  Chicago Board of Trade
CME	—  Chicago Mercantile Exchange
COMEX	—  Commodity Exchange, Inc.
DN	—  Discount Notes
LME	—  London Metal Exchange
NYBOT-ICE	—  New York Board of Trade — Intercontinental Exchange
NYMEX	—  New York Mercantile Exchange
RBOB	—  Reformulated gasoline blendstock for oxygen blending.
*	—  These contracts provide for cash settlement based on the price of the underlying commodity.
†	—  Approximately $38,161,000 of the investments are restricted and pledged as collateral for swaps to various brokers.
(b)	—  Investment in affiliate. Money market fund registered under the Investment Company Act of 1940, as amended, and advised by J.P. Morgan Investment Management Inc.

(e)	—  Security is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. Unless otherwise indicated, this security has been determined to be liquid under procedures established by the Board of Trustees and may be resold in transactions exempt from registration, normally to qualified institutional buyers.
(h)	—  Amount rounds to less than one thousand (shares or dollars)
(l)	—  The rate shown is the current yield as of October 31, 2010.
(m)	—  All or a portion of this security is reserved and/or pledged with the custodian for current or potential holdings of futures, swaps, options, TBAs, when-issued securities, delayed delivery securities, reverse repurchase agreements, and forward foreign currency contracts.
(n)	—  The rate shown is the effective yield at the date of purchase.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 9

CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES

AS OF OCTOBER 31, 2010

(Amounts in thousands, except per share amounts)

	Highbridge Dynamic Commodities Strategy Fund
ASSETS:
Investments in non-affiliates, at value	$	348,731
Investments in affiliates, at value		83,173
Investments in affiliates — restricted, at value		38,161
Total investment securities, at value		470,065
Deposit at broker for futures contracts		7,113
Receivables:
Fund shares sold		15,309
Interest and dividends		36
Variation margin on futures contracts		265
Outstanding swap contracts, at value		42,653
Total Assets		535,441
LIABILITIES:
Payables:
Due to broker for swap contracts		36,213
Investment securities purchased		9,000
Fund shares redeemed		112
Outstanding swap contracts, at value		3,975
Accrued liabilities:
Investment advisory fees		354
Administration fees		33
Shareholder servicing fees		91
Distribution fees		12
Custodian and accounting fees		104
Trustees’ and Chief Compliance Officer’s fees		13
Other		122
Total Liabilities		50,029
Net Assets	$	485,412

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

10 HIGHBRIDGE FUNDS OCTOBER 31, 2010

	Highbridge Dynamic Commodities Strategy Fund
NET ASSETS:
Paid in capital	$	433,698
Accumulated net investment income		—	(b)
Accumulated net realized gains (losses)		6,086
Net unrealized appreciation (depreciation)		45,628
Total Net Assets	$	485,412
Net Assets:
Class A	$	38,127
Class C		9,832
Select Class		437,453
Total	$	485,412
Outstanding units of beneficial interest (shares) ($0.0001 par value; unlimited number of shares authorized):
Class A		2,129
Class C		551
Select Class		24,375
Net Asset Value:
Class A — Redemption price per share	$	17.90
Class C — Offering price per share (a)		17.84
Select Class — Offering and redemption price per share		17.95
Class A maximum sales charge		5.25	%
Class A maximum public offering price per share [net asset value per share/(100% — maximum sales charge)]	$	18.89
Cost of investments in non-affiliates	$	348,735
Cost of investments in affiliates		83,173
Cost of investments in affiliates — restricted		38,161

(a) Redemption price for Class C Shares varies based upon length of time the shares are held.

(b) Amount rounds to less than one thousand.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 11

CONSOLIDATED STATEMENT OF OPERATIONS

FOR THE PERIOD ENDED OCTOBER 31, 2010

(Amounts in thousands)

	Highbridge Dynamic Commodities Strategy Fund (a)
INVESTMENT INCOME:
Interest income from non-affiliates	$	300
Dividend income from affiliates		49
Total investment income		349
EXPENSES:
Investment advisory fees		1,714
Administration fees		160
Distribution fees:
Class A		29
Class C		16
Shareholder servicing fees:
Class A		29
Class C		5
Select Class		317
Custodian and accounting fees		158
Professional fees		365
Trustees’ and Chief Compliance Officer’s fees		28
Printing and mailing costs		48
Registration and filing fees		97
Transfer agent fees		21
Other		52
Interest expense (see Note 2.C.)		13
Total expenses		3,052
Less amounts waived		(608	)
Less earnings credits		(1	)
Less expense reimbursements		(445	)
Net expenses		1,998
Net investment income (loss)		(1,649	)
REALIZED/UNREALIZED GAINS (LOSSES):
Net realized gain (loss) on transactions from:
Investments in non-affiliates		4
Futures		6,649
Swaps		24,793
Payment by affiliate (see Note 3)		74
Net realized gain (loss)		31,520
Change in net unrealized appreciation (depreciation) of:
Investments in non-affiliates		(4	)
Futures		6,954
Swaps		38,678
Change in net unrealized appreciation (depreciation)		45,628
Net realized/unrealized gains (losses)		77,148
Change in net assets resulting from operations	$	75,499

(a) Commencement of operations was January 13, 2010.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

12 HIGHBRIDGE FUNDS OCTOBER 31, 2010

CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIOD INDICATED

(Amounts in thousands)

	Highbridge Dynamic Commodities Strategy Fund
	Period Ended 10/31/2010 (a)
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income (loss)	$	(1,649	)
Net realized gain (loss)		31,520
Change in net unrealized appreciation (depreciation)		45,628
Change in net assets resulting from operations		75,499
CAPITAL TRANSACTIONS:
Change in net assets from capital transactions		409,913
NET ASSETS:
Change in net assets		485,412
Beginning of period		—
End of period	$	485,412
Accumulated net investment income	$	—	(b)

(a) Commencement of operations was January 13, 2010.

(b) Amount rounds to less than one thousand.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 13

CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS

FOR THE PERIOD INDICATED (continued)

(Amounts in thousands)

	Highbridge Dynamic Commodities Strategy Fund
	Period Ended 10/31/2010 (a)
CAPITAL TRANSACTIONS:
Class A
Proceeds from shares issued	$	50,787
Cost of shares redeemed		(17,887	)
Redemption fees		1
Change in net assets from Class A capital transactions	$	32,901
Class C
Proceeds from shares issued	$	8,989
Cost of shares redeemed		(414	)
Redemption fees		—	(b)
Change in net assets from Class C capital transactions	$	8,575
Select Class
Proceeds from shares issued	$	426,154
Cost of shares redeemed		(57,731	)
Redemption fees		14
Change in net assets from Select Class capital transactions	$	368,437
Total change in net assets from capital transactions	$	409,913
SHARE TRANSACTIONS:
Class A
Issued		3,375
Redeemed		(1,246	)
Change in Class A Shares		2,129
Class C
Issued		579
Redeemed		(28	)
Change in Class C Shares		551
Select Class
Issued		28,396
Redeemed		(4,021	)
Change in Select Class Shares		24,375

(a) Commencement of operations was January 13, 2010.

(b) Amount rounds to less than $1,000.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

14 HIGHBRIDGE FUNDS OCTOBER 31, 2010

THIS PAGE IS INTENTIONALLY LEFT BLANK

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 15

CONSOLIDATED FINANCIAL HIGHLIGHTS

FOR THE PERIOD INDICATED

	Per share operating performance
			Investment operations
	Net asset value, beginning of period		Net investment income (loss)			Net realized and unrealized gains (losses) on investments			Total from investment operations		Redemption fees
Highbridge Dynamic Commodities Strategy Fund
Class A
January 13, 2010(e) through October 31, 2010	$	15.00	$	(0.17	)(f)	$	3.07	(h)	$	2.90	$	—	(g)
Class C
January 13, 2010(e) through October 31, 2010		15.00		(0.23	)(f)		3.07	(h)		2.84		—	(g)
Select Class
January 13, 2010(e) through October 31, 2010		15.00		(0.14	)(f)		3.09	(h)		2.95		—	(g)

(a) Annualized for periods less than one year.

(b) Not annualized for periods less than one year.

(c) Includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions.

(d) Includes earnings credits and interest expense, each of which is less than 0.01%, if applicable or unless otherwise noted.

(e) Commencement of operations.

(f) Calculated based upon average shares outstanding.

(g) Amount rounds to less than $0.01.

(h) An affiliate of JPMorgan Chase & Co. reimbursed the Fund for losses incurred from an operational error. Had this error not been reimbursed, the net realized and unrealized gains (losses) on investments per share would have been $3.08 and the total return would have been 19.60% for Select Class Shares. The impact was less than $0.01 to the net realized and unrealized gains (losses) on investments per share and less than 0.01% to the total return for Class A and Class C Shares.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

16 HIGHBRIDGE FUNDS OCTOBER 31, 2010

		Ratios/Supplemental data
							Ratios to average net assets (a)
Net asset value, end of period		Total return (excludes sales charge) (b)(c)			Net assets, end of period (000’s)		Net expenses (d)			Net investment income (loss)			Expenses without waivers, reimbursements and earnings credits			Portfolio turnover rate (b)
$	17.90		19.33	%(h)	$	38,127		1.64	%		(1.39	)%		2.26	%		0	%
	17.84		18.93	(h)		9,832		2.14			(1.88	)		2.71			0
	17.95		19.67	(h)		437,453		1.39			(1.14	)		2.15			0

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 17

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010

1. Organization

JPMorgan Trust I (the “Trust”) was formed on November 12, 2004, as a Delaware statutory trust, pursuant to a Declaration of Trust dated November 5, 2004 and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company.

The following is a separate fund of the Trust (the “Fund”) covered by this report:

	Classes Offered	Diversified/Non-Diversified
Highbridge Dynamic Commodities Strategy Fund	Class A, Class C and Select Class	Non-Diversified

The Fund commenced operations on January 13, 2010. Prior to March 10, 2010, Class A, Class C and Select Class Shares were not publicly offered for investment.

The Fund offered Class R5 Shares on November 30, 2010.

Class A Shares generally provide for a front-end sales charge while Class C Shares provide for a contingent deferred sales charge (“CDSC”). No sales charges are assessed with respect to the Select Class Shares. All classes of shares have equal rights as to earnings, assets and voting privileges except that each class may bear different distribution and shareholder servicing fees and each class has exclusive voting rights with respect to its distribution plan and shareholder servicing agreements. Certain Class A Shares, for which front-end sales charges have been waived, may be subject to a CDSC as described in the Fund’s prospectus.

Basis for Consolidation for the Fund

HCM Commodities Strategy Fund Ltd. (the “Subsidiary”), a Cayman Islands exempted company, was incorporated on August 18, 2009 and is currently a wholly-owned subsidiary of the Fund. The Subsidiary acts as an investment vehicle for the Fund in order to effect certain investments on behalf of the Fund consistent with the Fund’s investment objectives and policies as described in the Fund’s prospectus. As of October 31, 2010, net assets of the Fund were approximately $485,412,000, of which approximately $105,644,000 or approximately 22%, represented the Fund’s ownership of the shares of the Subsidiary. The Consolidated Schedule of Portfolio Investments (“CSOI”) includes positions of the Fund and the Subsidiary. The financial statements include the accounts of the Fund and the Subsidiary. All significant inter-company balances and transactions have been eliminated in consolidation.

2. Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Trust in the preparation of its financial statements. The policies are in accordance with accounting principles generally accepted in the United States of America. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates.

A. Valuation of Investments — Fixed income securities (other than certain short-term investments maturing in less than 61 days) are valued each day based on readily available market quotations received from third party broker-dealers of comparable securities or independent or affiliated pricing services approved by the Board of Trustees. Such pricing services and broker-dealers will generally provide bid-side quotations. Generally, short-term investments (other than certain high yield securities) maturing in less than 61 days are valued at amortized cost, which approximates market value. Certain investments of the Fund may, depending upon market conditions, trade in relatively thin markets and/or in markets that experience significant volatility. As a result of these conditions, the prices used by the Fund to value securities may differ from the value that would be realized if these securities were sold, and the differences could be material. Futures and options shall generally be valued on the basis of available market quotations. Swaps (except return swaps on commodities as described in Note 2.C.) and other derivatives are valued daily, primarily using independent or affiliated pricing services approved by the Board of Trustees. If valuations are not available from such services or values received are deemed not representative of market value, values will be obtained from a third party broker-dealer or counterparty. Investments in other open-end investment companies are valued at such investment company’s current day closing net asset value per share. Equity securities listed on a North American, Central American, South American or Caribbean securities exchange shall generally be valued at the last sale price on the exchange on which the security is principally traded that is reported before the time when the net assets of the Fund are valued. The value of securities listed on The NASDAQ Stock Market LLC shall generally be the NASDAQ Official Closing Price.

Securities or other assets for which market quotations are not readily available or for which market quotations do not represent the value at the time of pricing (including certain illiquid securities) are fair valued in accordance with procedures established by and under the supervision and responsibility of the Board of Trustees. Valuations may be based upon current market prices of securities that are comparable in coupon, rating, maturity and industry. It is possible that the estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and such differences could be material.

Valuations reflected in this report are as of the report date. As a result, changes in valuation due to market events and/or issuer related events after the report date and prior to issuance of the report are not reflected herein.

18 HIGHBRIDGE FUNDS OCTOBER 31, 2010

The various inputs that are used in determining the fair value of the Fund’s investments are summarized into the three broad levels listed below.

Ÿ Level 1 — quoted prices in active markets for identical securities

Ÿ Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Ÿ Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following table represents each valuation input by sector as presented on the CSOI (amounts in thousands):

	Level 1 Quoted prices			Level 2 Other significant observable inputs			Level 3 Significant unobservable inputs		Total
Total Investments in Securities#	$	121,334		$	348,731		$	—	$	470,065
Appreciation in Other Financial Instruments
Futures Contracts	$	7,638		$	—		$	—	$	7,638
Return Swaps		—			42,653			—		42,653
Total Appreciation in Other Financial Instruments	$	7,638		$	42,653		$	—	$	50,291
Depreciation in Other Financial Instruments
Futures Contracts	$	(684	)	$	—		$	—	$	(684	)
Return Swaps		—			(3,975	)		—		(3,975	)
Total Depreciation in Other Financial Instruments	$	(684	)	$	(3,975	)	$	—	$	(4,659	)

There were no significant transfers between Levels 1 and 2 for the period ended October 31, 2010.

# Portfolio holdings designated as Level 1 and Level 2 are disclosed individually in the CSOI. Level 1 consists of two affiliated money market mutual funds, which are held for daily investments of cash and as an investment of cash collateral for swaps. Please refer to the CSOI for industry specifics of the portfolio holdings.

B. Futures Contracts — The Fund uses commodity and foreign exchange futures contracts to obtain long and short exposure to the underlying commodities markets.

Futures contracts provide for the delayed delivery of the underlying instrument at a fixed price or for a cash amount based on the change in the value of the underlying instrument at a specific date in the future. Upon entering into a futures contract, the Fund is required to deposit with the broker, cash or securities in an amount equal to a certain percentage of the contract amount which is referred to as the initial margin deposit. Subsequent payments, referred to as variation margin, are made or received by the Fund periodically and are based on changes in the market value of open futures contracts. Changes in the market value of open futures contracts are recorded as unrealized appreciation or depreciation in the Consolidated Statement of Operations. Realized gains or losses, representing the difference between the value of the contract at the time it was opened and the value at the time it was closed, are reported in the Consolidated Statement of Operations at the closing or expiration of futures contracts. Securities deposited as initial margin are designated in the CSOI and cash deposited is recorded on the Consolidated Statement of Assets and Liabilities. A receivable from and/or a payable to brokers for the daily variation margin is also recorded on the Consolidated Statement of Assets and Liabilities.

The Fund may be subject to the risk that the change in the value of the future’s contract may not correlate perfectly with the underlying instrument. Use of long futures contracts subjects the Funds to risk of loss, up to the notional value of the futures contracts. Use of short futures contracts subjects the Funds to unlimited risk of loss. The Fund may enter into futures contracts only on exchanges (i.e. NYMEX), boards of trade or other platforms (e.g. Clearport). The exchange or board of trade acts as the counterparty to futures transactions; therefore, the Fund’s credit risk is limited to failure of the exchange or board of trade. For trades executed on other platforms, these futures contracts must be offset on the same platform in which they were executed; therefore liquidity risk exists to the extent there is a lack of a liquid market for these contracts allowing the funds to close out its position. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions

C. Return Swaps on Commodities — The Fund uses return swaps on commodities futures to obtain long and short exposure to commodities markets.

The value of a swap agreement is recorded at the beginning of the measurement period. Swap values are based on the values of underlying futures contracts, using the last sale or closing price from the principal exchange on which the contract is traded. Change in swap values is recorded as change in net unrealized appreciation or depreciation — swaps on the Consolidated Statement of Operations. Realized gain or loss is recorded upon termination of a swap and is based on the difference between the contract price and market price of the underlying instrument or when an offsetting position is entered into.

Upon entering a swap, the Fund is required to post an initial collateral amount (referred to as “Independent Amount”), as defined in the swap agreement. Independent Amounts are posted to segregated accounts at the Fund’s custodian. The Fund is required to post additional collateral to the segregated accounts, for the benefit of counterparties, as applicable, for mark to market losses on swaps. Balances in segregated accounts are invested in affiliated money market funds (see Note 3.F. for reimbursements regarding cash collateral amounts invested in these funds). Collateral invested in affiliated money market funds as of October 31, 2010 was approximately $38,161,000, which is reported on the Consolidated Statement of Assets and Liabilities as Investments in affiliates — restricted.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 19

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The Fund pays a monthly financing charge to one counterparty, which is calculated based on the average balance of the segregated account, for the benefit of that counterparty, and a LIBOR-based rate. This amount is recorded as Interest Expense on the Consolidated Statement of Operations.

The Fund is entitled to receive cash from counterparties as collateral for mark to market gains on swap contracts. When the Fund receives such cash collateral, a corresponding liability is recorded, and included in Due to broker for swap contracts on the Consolidated Statement of Assets and Liabilities.

Daily movement of collateral is subject to minimum threshold amounts.

The Fund may be subject to various risks from the use of swaps including: (i) the risk that changes in the value of the swap may not correlate perfectly with the underlying instrument; (ii) counterparty credit risk related to the failure, by the counterparty to an over the counter derivative, to perform under the terms of the contract; (iii) liquidity risk related to the lack of a liquid market for these contracts allowing the Fund to close out its position(s); and, (iv) documentation risk relating to disagreement over contract terms. Investing in certain derivatives, including return swaps, also results in a form of leverage and, as such, the Fund’s risk of loss associated with these instruments may exceed their value as recorded in the Consolidated Statement of Assets and Liabilities.

The Fund’s activities in return swaps are concentrated with two counterparties. Counterparty credit risk may be mitigated to the extent a counterparty posts collateral for mark to market gains to the Fund.

D. Offering and Organization Costs

Offering costs (Registration and filing fees) paid in connection with the offering of shares of the Fund are amortized on a straight line basis over 12 months from the date the Fund commenced operations. Costs paid in connection with the organization of the Subsidiary and the Fund were recorded as an expense at the time they commenced operations and are included as part of Professional fees on the Consolidated Statement of Operations.

E. Summary of Derivatives Information

The following tables present the value of derivatives held as of October 31, 2010, by their primary underlying risk exposure and respective location on the Consolidated Statement of Assets and Liabilities (amounts in thousands):

Derivative Contract	Consolidated Statement of Assets and Liabilities Location
Assets:		Futures Contracts (a)			Swaps
Commodity contracts	Receivables, Net Assets — Unrealized Appreciation	$	—		$	42,653
Foreign exchange contracts	Receivables, Net Assets — Unrealized Appreciation		7,638			—
Total		$	7,638		$	42,653
Liabilities:
Commodity contracts	Payables, Net Assets — Unrealized Depreciation	$	(684	)	$	(3,975	)
Total		$	(684	)	$	(3,975	)

(a) This amount represents the cumulative appreciation/depreciation of futures contracts as reported in the CSOI. The Consolidated Statement of Assets and Liabilities only reflect the current day variation margin receivable/payable to brokers.

The following tables present the effect of derivatives on the Consolidated Statement of Operations for the period ended October 31, 2010, by primary underlying risk exposure (amounts in thousands):

Amount of Realized Gain (Loss) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Swaps		Total
Commodity contracts	$	(1,112	)	$	24,793	$	23,681
Foreign exchange contracts		7,761			—		7,761
Total	$	6,649		$	24,793	$	31,442

Amount of Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Derivative Contract	Futures Contracts			Swaps		Total
Commodity contracts	$	(684	)	$	38,678	$	37,994
Foreign exchange contracts		7,638			—		7,638
Total	$	6,954		$	38,678	$	45,632

The Fund’s derivatives contracts held at October 31, 2010 are not accounted for as hedging instruments under accounting principles generally accepted in the United States of America.

20 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Derivatives Volume

The table below discloses the volume of the Fund’s derivatives activities as of, and for the period ended, October 31, 2010 (amounts in thousands).

Futures Contracts:
Average Notional Balance Long	$	88,669
Average Notional Balance Short		743	*
Ending Notional Balance Long		206,646
Ending Notional Balance Short		—

Return Swaps on Commodities:
Average Notional Balance Long	$	213,735
Average Notional Balance Short		39,313
Ending Notional Balance Long		534,955
Ending Notional Balance Short		77,996

* Average for the period January 31, 2010 through February 28, 2010.

F. Foreign Currency Translation — The books and records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars at the prevailing exchange rates of such currencies against the U.S. dollar. The market value of investment securities and other assets and liabilities are translated at the exchange rate as of the valuation date. Purchases and sales of investment securities, income and expenses are translated at the exchange rate prevailing on the respective dates of such transactions.

Although the net assets of the Fund are presented at the foreign exchange rates and market values at the close of the period, the Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held or sold during the year. Accordingly, such foreign currency gains (losses) are included in the reported net realized and unrealized gains (losses) on investment transactions.

Reported realized foreign currency gains or losses arise from the disposition of foreign currency, purchase of foreign currency in certain countries (such as Brazil) that impose a tax on such purchases, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund’s books on the transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized foreign exchange gains and losses arise from changes (due to the changes in the exchange rate) in the value of foreign currency and other assets and liabilities denominated in foreign currencies, which are held at period end.

G. Security Transactions and Investment Income — Investment transactions are accounted for on the trade date (the date the order to buy or sell is executed). Securities gains and losses are calculated on a specifically identified cost basis. Interest income is determined on the basis of coupon interest accrued using the effective interest method adjusted for amortization of premiums and accretion of discounts. Dividend income less foreign taxes withheld, if any, are recorded on the ex-dividend date or when a Fund first learns of the dividend.

H. Allocation of Income and Expenses — In calculating the net asset value per share of each class, investment income, realized and unrealized gains and losses and expenses other than class specific expenses are allocated daily to each class of shares based upon the proportion of net assets of each class at the beginning of each day. Expenses directly attributable to a fund are charged directly to that fund while the expenses attributable to more than one fund of the Trust are allocated among the respective funds. Each class of shares bears its pro-rata portion of expenses attributable to the Fund, except that each class separately bears expenses related specifically to that class, such as distribution and shareholder servicing fees.

I. Federal Income Taxes — The Fund is treated as a separate taxable entity for Federal income tax purposes. The Fund’s policy is to comply with the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to regulated investment companies and to distribute to shareholders all of its distributable net investment income and net realized gain on investments. Accordingly, no provision for Federal income tax is necessary. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits or losses will significantly change in the next twelve months. However, the Fund’s conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Fund’s Federal tax returns for the prior three fiscal years, or since inception if shorter, remain subject to examination by the Internal Revenue Service.

J. Dividends and Distributions to Shareholders — Dividends from net investment income are declared and paid quarterly. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share rates are due to differences in separate class expenses. Net realized capital gains, if any, are distributed at least annually. The amount of dividends and distributions from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent these “book/tax” differences are permanent in nature (i.e., that they result from other than timing of recognition — “temporary differences”), such amounts are reclassified within the capital accounts based on their Federal tax-basis treatment.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 21

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

The following amounts were reclassified within the capital accounts (amounts in thousands):

Paid-in-Capital		Accumulated Undistributed/ (Overdistributed) Net Investment Income		Accumulated Net Realized Gain (Loss) on Investments
$	23,785	$	1,649	$	(25,434	)

The reclassifications for the Fund relates primarily to de-consolidation for tax purposes and net operating loss utilization.

K. Redemption Fees — Generally, shares of the Fund held for less than 60 days are subject to a redemption fee of 2.00%, based on the redeemed share’s market value. Redemption fees are paid directly to the Fund and are credited to paid in capital.

3. Fees and Other Transactions with Affiliates

A. Investment Advisory Fee — Pursuant to the Investment Advisory Agreement, J.P. Morgan Investment Management Inc. (“JPMIM” or the “Advisor”) acts as the investment advisor to the Fund and the Subsidiary. JPMIM is a wholly-owned subsidiary of JPMorgan Asset Management Holdings Inc., which is a wholly-owned subsidiary of JPMorgan Chase & Co. (“JPMorgan”). The Advisor supervises the investments of the Fund and the Subsidiary and for such services is paid fees. The fee for services to the Fund is accrued daily and paid monthly at an annual fee rate of 1.00% of the Fund’s average daily net assets. The fee for services to the Subsidiary is accrued daily and paid monthly at an annual rate of 1.00% of the Subsidiary’s average daily net assets.

The Advisor, on behalf of the Subsidiary, has entered into an investment sub-advisory agreement with Highbridge Capital Management, LLC (“HCM”) which is wholly-owned by JPMorgan Asset Management Holdings, Inc., which is a wholly-owned subsidiary of JPMorgan. Under the terms of the sub-advisory agreement, the Advisor pays HCM a monthly sub-advisory fee of 0.75% of the average daily net assets of the subsidiary.

The Advisor and HCM make the day-to-day investment decisions for the Fund and Subsidiary, respectively.

The Advisor waived Investment Advisory fees and/or reimbursed expenses as outlined in Note 3.F.

B. Administration Fee — Pursuant to an Administration Agreement, JPMorgan Funds Management, Inc. (the “Administrator”), an indirect, wholly-owned subsidiary of JPMorgan, provides certain administration services to the Fund and the Subsidiary. In consideration of these services for the Fund, the Administrator receives a fee computed daily and paid monthly at the annual rate of 0.15% of the first $25 billion of the average daily net assets of all funds in the J.P. Morgan Funds Complex (excluding funds of funds and money market funds) and 0.075% of the average daily net assets in excess of $25 billion of all such funds. For the period ended October 31, 2010, the annualized effective rate was 0.09% of the Fund’s average daily net assets. In consideration for services rendered to the Subsidiary, the administrator receives a fee computed daily and paid monthly at the annual rate of 0.10% of average daily net assets of the Subsidiary.

The Administrator waived Administration fees as outlined in Note 3.F.

J.P. Morgan Investor Services, Co. (“JPMIS”), an indirect, wholly-owned subsidiary of JPMorgan, serves as the Fund’s Sub-administrator (the “Sub-administrator”). For its services as Sub-administrator, JPMIS receives a portion of the fees payable to the Administrator.

C. Distribution Fees — Pursuant to a Distribution Agreement, JPMorgan Distribution Services, Inc. (the “Distributor”), a wholly-owned subsidiary of JPMorgan, serves as the Trust’s exclusive underwriter and promotes and arranges for the sale of the Fund’s shares.

The Board of Trustees has adopted a Distribution Plan (the “Distribution Plan”) for Class A and Class C Shares of the Fund in accordance with Rule 12b-1 under the 1940 Act. The Distribution Plan provides that the Fund shall pay distribution fees, including payments to the Distributor, at annual rates of 0.25% and 0.75% of the average daily net assets of Class A and Class C Shares, respectively.

In addition, the Distributor is entitled to receive the front-end sales charges from purchases of Class A Shares and the CDSC from redemptions of Class C Shares and certain Class A Shares for which front-end sales charges have been waived. For the period ended October 31, 2010, the Distributor retained approximately $25,000 in a front-end sales charge and approximately $2,000 in a CDSC.

D. Shareholder Servicing Fees — The Trust, on behalf of the Fund, has entered into a Shareholder Servicing Agreement with the Distributor under which the Distributor provides certain support services to the shareholders. For performing these services, the Distributor receives a fee that is computed daily and paid monthly equal to 0.25% of the Fund’s average daily net assets of each class.

The Distributor has entered into shareholder services contracts with affiliated and unaffiliated financial intermediaries who provide shareholder services and other related services to their clients or customers who invest in the Fund under which the Distributor will pay all or a portion of such fees earned to financial intermediaries for performing such services.

The Distributor waived Shareholder Servicing fees as outlined in Note 3.F.

E. Custodian and Accounting Fees — JPMorgan Chase Bank, N.A. (“JPMCB”) provides portfolio custody and accounting services for the Fund and Subsidiary. The amounts paid directly to JPMCB by the Fund for custody and accounting services are included in Custodian and accounting fees in the Consolidated Statement of Operations. The Fund earns interest on uninvested cash balances held by the custodian. Such interest amounts are presented separately in the Consolidated Statement of Operations.

22 HIGHBRIDGE FUNDS OCTOBER 31, 2010

Interest expense, if any, paid to the custodian related to cash overdrafts is included in Interest expense to affiliates in the Consolidated Statement of Operations.

F. Waivers and Reimbursements — The Advisor, Administrator and Distributor have contractually agreed to waive fees and/or reimburse the Fund to the extent that total annual operating expenses (excluding acquired fund fees and expenses, dividend expense related to short sales, interest, taxes, extraordinary expenses and expenses related to the Board of Trustees’ deferred compensation plan) exceed the percentages of the Fund’s respective average daily net assets as shown in the table below:

Class A			Class C			Select Class
	1.65	%		2.15	%		1.40	%

The contractual expense limitation agreements were in effect for the year ended October 31, 2010. The expense limitation percentages in the table above are in place until at least February 28, 2011.

For the period ended October 31, 2010, the Fund’s service providers waived fees and/or reimbursed expenses for the Fund as follows (amounts in thousands). None of these parties expects the Fund to repay any such waived fees and reimbursed expenses in future years.

Contractual Waivers
Investment Advisory		Administration		Shareholder Servicing		Total		Contractual Reimbursements
$	464	$	34	$	86	$	584	$	445

Additionally, the Fund may invest in one or more money market funds advised by the Advisor or its affiliates. The Advisor, Administrator and Distributor as shareholder servicing agent waive and/or reimburse to the Fund an amount sufficient to offset the respective fees each charges to the affiliated money market fund on the Fund’s investment in such affiliated money market fund to the extent that the total waivers do not exceed the total fees charged by the advisor, the administrator or shareholder servicing agent.

The amounts of waivers resulting from investments in the money market funds for the period ended October 31, 2010 were as follows:

Direct Investment		Cash Collateral Investment
$	24	$	—

G. Other — Certain officers of the Trust are affiliated with the Advisor, the Administrator and the Distributor. Such officers, with the exception of the Chief Compliance Officer, receive no compensation from the Fund or Subsidiary for serving in their respective roles.

The Board of Trustees appointed a Chief Compliance Officer to the Fund in accordance with federal securities regulations. The Fund, along with other affiliated funds, makes reimbursement payments, on a pro-rata basis, to the Administrator for a portion of the fees associated with the Office of the Chief Compliance Officer. Such fees are included in Trustees’ and Chief Compliance Officer’s fees in the Consolidated Statement of Operations.

The Trust adopted a Trustee Deferred Compensation Plan (the “Plan”) which allows the Independent Trustees to defer the receipt of all or a portion of compensation related to performance of their duties as a Trustee. The deferred fees are invested in various J.P. Morgan Funds until distribution in accordance with the Plan.

During the period ended October 31, 2010, the Fund may have purchased securities from an underwriting syndicate in which the principal underwriter or members of the syndicate are affiliated with the Advisor.

The Fund may use related party broker/dealers. For the period ended October 31, 2010, the Fund did not incur any brokerage commissions with broker/dealers affiliated with the Advisor.

The Securities and Exchange Commission has granted an exemptive order permitting the Fund to engage in principal transactions with J.P. Morgan Securities, Inc., an affiliated broker, involving taxable money market instruments subject to certain conditions.

Affiliates of JPMorgan Chase & Co. made a payment to the Fund of approximately $74,000 relating to an operational error.

4. Investment Transactions

During the period ended October 31, 2010, purchases and sales of investments (excluding short-term investments) were as follows (amounts in thousands):

Purchases (excluding U.S. Government)		Sales (excluding U.S. Government)
$	500	$	—

During the period ended October 31, 2010, there were no purchases or sales of U.S. Government securities.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 23

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

AS OF OCTOBER 31, 2010 (continued)

5. Federal Income Tax Matters

For Federal income tax purposes, the cost and unrealized appreciation (depreciation) in value of the investment securities at October 31, 2010, were as follows (amounts in thousands):

Aggregate Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
$	410,963	$	61,806	$	15	$	61,791

At October 31, 2010, the components of net assets (excluding paid in capital) on a tax basis were as follows:

Current Distributable Ordinary Income		Current Distributable Long Term Capital Gain or (Tax Basis Capital Loss Carryover)		Unrealized Appreciation (Depreciation)
$	4,485	$	9,239	$	61,791

The cumulative timing differences primarily consist of mark to market of futures contracts.

6. Borrowings

The Fund relies upon an exemptive order (“Order”) permitting the establishment and operation of an Interfund Lending Facility (“Facility”). The Facility allows the Fund to directly lend and borrow money to or from any other fund relying upon the Order at rates beneficial to both the borrowing and lending funds. Advances under the Facility are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to the Fund’s borrowing restrictions. The Interfund Loan Rate is determined, as specified in the Order, by averaging the current repurchase agreement rate and the current bank loan rate. The Order was granted to JPMorgan Trust II and may be relied upon by the Fund because it is an investment company in the same “group of investment companies” (as defined in Section 12(d)(1)(G) of the 1940 Act).

In addition, the Trust and JPMCB have entered into a financing arrangement. Under this arrangement, JPMCB provides an unsecured, uncommitted credit facility in the aggregate amount of $100 million to certain of the J.P. Morgan Funds including the Fund. Advances under the arrangement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities, and are subject to each Fund’s borrowing restrictions. Interest on borrowings is payable at a rate determined by JPMCB at the time of borrowing. This agreement has been extended until November 15, 2011.

The Fund had no borrowings outstanding from another fund or from the unsecured, uncommitted credit facility at October 31, 2010, or at any time during the period then ended.

Interest expense paid, if any, as a result of borrowings from another fund or from the unsecured, uncommitted credit facility is included in Interest expense to affiliates in the Consolidated Statement of Operations. The Fund had no interest expense as a result of borrowings from another fund or from the unsecured, uncommitted credit facility at October 31, 2010 or at any time during the period then ended.

7. Risks, Concentrations and Indemnifications

In the normal course of business, the Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the Fund expects the risk of loss to be remote.

The Fund has an affiliated shareholder that owns a significant portion of the Fund’s outstanding shares. Significant shareholder transactions, if any, may impact the Fund’s performance.

The Fund is also subject to counterparty credit risk, which is the risk that a counterparty fails to perform on agreements with the Fund such as swap contracts.

The Fund is party to derivative contracts governed by an International Swaps and Derivatives Association Master Agreements (ISDA agreements). The Fund’s ISDA agreements, which are separately negotiated with each dealer counterparty, may contain provisions allowing, absent other considerations, a counterparty to exercise rights, to the extent not otherwise waived, against the Fund in the event the Fund’s net assets decline over time by a pre-determined percentage or fall below a pre-determined floor. The ISDA agreements also contain provisions, absent other conditions, the Fund to exercise rights, to the extent not otherwise waived, against counterparties (i.e. decline in a counterparty’s credit rating below a specified level). Such rights for both the counterparty and the Fund often include the ability to terminate (i.e., close out) open contracts at prices which may favor the counterparty, which could have an adverse effect on the Fund. The ISDA agreements with certain counterparties allow the Fund and counterparty to offset certain derivative instruments’ payables or receivables with collateral posted to a segregated custody account.

The profitability of banks depends largely on the availability and cost of funds, which change depending upon economic conditions. Banks are also exposed to losses if borrowers cannot repay their loans. The Fund invests a substantial portion of its assets in debt obligations issued by banks.

24 HIGHBRIDGE FUNDS OCTOBER 31, 2010

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of JPMorgan Trust I and the Shareholders of Highbridge Dynamic Commodities Strategy Fund:

In our opinion, the accompanying consolidated statement of assets and liabilities, including the consolidated schedule of portfolio investments, and the related consolidated statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Highbridge Dynamic Commodities Strategy Fund (a separate Fund of JPMorgan Trust I) and its subsidiary (hereafter collectively referred to as the “Fund”) at October 31, 2010 and the results of their operations, the changes in their net assets and the financial highlights for the period January 13, 2010 (commencement of operations) through October 31, 2010, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audit, which included confirmation of securities at October 31, 2010 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

New York, New York

December 23, 2010

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 25

TRUSTEES

(Unaudited)

The Fund’s Statement of Additional Information includes additional information about the Fund’s Trustees and is available, without charge, upon request by calling 1-800-480-4111 or on the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)	Other Directorships Held Outside Fund Complex
Independent Trustees
William J. Armstrong (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1987.	Retired; CFO and Consultant, EduNeering, Inc. (internet business education supplier) (2000–2001); Vice President and Treasurer, Ingersoll–Rand Company (manufacturer of industrial equipment) (1972–2000).	141	None.
John F. Finn (1947); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1998.	Chairman (1985–present), President and Chief Executive Officer, Gardner, Inc. (supply chain management company serving industrial and consumer markets) (1974–present).	141	Director, Cardinal Health, Inc. (CAH) (1994–present); Director, Greif, Inc. (GEF) (industrial package products and services) (2007–present).
Dr. Matthew Goldstein (1941); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Chancellor, City University of New York (1999–present); President, Adelphi University (New York) (1998–1999).	141	Director, New Plan Excel (NXL) (1999–2005); Director, National Financial Partners (NFP) (2003–2005); Director, Bronx-Lebanon Hospital Center; Director, United Way of New York City (2002–present).
Robert J. Higgins (1945); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2002.	Retired; Director of Administration of the State of Rhode Island (2003–2004); President — Consumer Banking and Investment Services, Fleet Boston Financial (1971–2001).	141	None.
Peter C. Marshall (1942); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1985.	Self-employed business consultant (2000–2008); Senior Vice President, W.D. Hoard, Inc. (corporate parent of DCI Marketing, Inc.) (2000–2002); President, DCI Marketing, Inc. (1992–2000).	141	Director, Center for Deaf and Hard of Hearing (1990–present).
Marilyn McCoy* (1948); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Fundssince 1999.	Vice President of Administration and Planning, Northwestern University (1985–present).	141	Trustee, Carleton College (2003–present).
William G. Morton, Jr. (1937); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 2003.	Retired; Chairman Emeritus (2001–2002), and Chairman and Chief Executive Officer, Boston Stock Exchange (1985–2001).	141	Director, Radio Shack Corp. (1987–2008); Trustee, Stratton Mountain School (2001–present).
Robert A. Oden, Jr. (1946); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Fundssince 1997.	Retired; President, Carleton College (2002–2010); President, Kenyon College (1995–2002).	141	Trustee, American University in Cairo (1999–present); Trustee, Carleton College (2002–2010).
Fergus Reid, III (1932); Trustee of Trust (Chairman) since 2005; Trustee (Chairman) of heritage J.P. Morgan Funds since 1987.	Chairman, Joe Pietryka, Inc. (formerly Lumelite Corporation) (plastics manufacturing) (2003–present); Chairman and Chief Executive Officer, Lumelite Corporation (1985–2002).	141	Trustee, Morgan Stanley Funds (165 portfolios) (1992–present).

26 HIGHBRIDGE FUNDS OCTOBER 31, 2010

TRUSTEES

(Unaudited) (continued)

Name (Year of Birth); Positions With the Fund (1)	Principal Occupations During Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee (2)		Other Directorships Held Outside Fund Complex
Independent Trustees (continued)
Frederick W. Ruebeck (1939); Trustee of Trust since 2005; Trustee of heritage One Group Mutual Funds since 1994.	Consultant (2000–present); Advisor, JP Greene & Associates, LLC (broker-dealer) (2000–2009); Chief Investment Officer, Wabash College (2004–present); Director of Investments, Eli Lilly and Company (pharmaceuticals) (1988–1999).		141	Trustee, Wabash College (1988–present); Chairman, Indianapolis Symphony Orchestra Foundation (1994–present).
James J. Schonbachler (1943); Trustee of Trust since 2005; Trustee ofheritage J.P. Morgan Funds since 2001.	Retired; Managing Director of Bankers Trust Company (financial services) (1968–1998).		141	None.
Interested Trustees
Frankie D. Hughes** (1952), Trustee of Trust since 2008.	Principal and Chief Investment Officer, Hughes Capital Management, Inc. (fixed income asset management) (1993–present).		141	Trustee, The Victory Portfolios (2000–2008).
Leonard M. Spalding, Jr.*** (1935); Trustee of Trust since 2005; Trustee of heritage J.P. Morgan Funds since 1998.	Retired; Chief Executive Officer, Chase Mutual Funds (investment company) (1989–1998); President and Chief Executive Officer, Vista Capital Management (investment management) (1990–1998); Chief Investment Executive, Chase Manhattan Private Bank (investment management) (1990–1998).		141	Director, Glenview Trust Company, LLC (2001–present); Trustee, St. Catharine College (1998–present); Trustee, Bellarmine University (2000–present); Director, Springfield-Washington County Economic Development Authority (1997–present); Trustee, Catholic Education Foundation (2005–present).

(1) Each Trustee serves for an indefinite term, subject to the Trust’s current retirement policy, which is age 75 for all Trustees, except that the Board has determined Messrs. Reid and Spalding should continue to serve until December 31, 2012.

(2) A Fund Complex means two or more registered investment companies that hold themselves out to investors as related companies for purposes of investment and investor services or have a common investment advisor or have an investment advisor that is an affiliated person of the investment advisor of any of the other registered investment companies. The J.P. Morgan Funds Complex for which the Board of Trustees serves currently includes ten registered investment companies (141 funds).

    * Ms. McCoy has served as Vice President of Administration and Planning for Northwestern University since 1985. William M. Daley, Head of Corporate Responsibility for JPMorgan Chase & Co., has served as a member of the Board of Trustees of Northwestern University since 2005. The Funds’ investment advisor is a wholly-owned subsidiary of JPMorgan Chase.

  ** Ms. Hughes is treated as an “interested person” based on the portfolio holdings of clients of Hughes Capital Management, Inc.

*** Mr. Spalding is treated as an “interested person” due to his ownership of JPMorgan Chase stock. The contact address for each of the Trustees is 245 Park Avenue, New York, NY 10167.

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 27

OFFICERS

(Unaudited)

Name (Year of Birth), Positions Held with the Trust (Since)	Principal Occupations During Past 5 Years
Patricia A. Maleski (1960), President and Principal Executive Officer (2010)	Managing Director, J.P. Morgan Investment Management Inc. and Chief Administrative Officer, J.P. Morgan Funds and Institutional Pooled Vehicles since 2010; previously, Treasurer and Principal Financial Officer of the Trusts from 2008 to 2010; previously, Head of Funds Administration and Board Liaison, J.P. Morgan Funds prior to 2010. Ms. Maleski has been with JPMorgan Chase & Co. since 2001.
Joy C. Dowd (1972), Treasurer and Principal Financial Officer (2010)	Assistant Treasurer of the Trusts from 2009 to 2010; Vice President, JPMorgan Funds Management, Inc. since December 2008; prior to joining JPMorgan Chase, Ms. Dowd worked in MetLife’s investments audit group from 2005 through 2008, and Vice President of Credit Suisse, in the audit area from 1999 through 2005.
Frank J. Nasta (1964),	Managing Director and Associate General Counsel, JPMorgan Chase since 2008; Previously, Director,
Secretary (2008)	Managing Director, General Counsel and Corporate Secretary, J. & W. Seligman & Co. Incorporated; Secretary of each of the investment companies of the Seligman Group of Funds and Seligman Data Corp.; Director and Corporate Secretary, Seligman Advisors, Inc. and Seligman Services, Inc.
Stephen M. Ungerman (1953),	Managing Director, JPMorgan Chase & Co.; Mr. Ungerman was head of Fund Administration — Pooled
Chief Compliance Officer (2005)	Vehicles from 2000 to 2004. Mr. Ungerman has been with JPMorgan Chase & Co. since 2000.
Paul L. Gulinello (1950),	Vice President and Anti Money Laundering Compliance Officer for JPMorgan Asset Management Americas,
AML Compliance Officer (2005)	additionally responsible for privacy, personal trading and Code of Ethics compliance since 2004. Mr. Gulinello has been with JPMorgan Chase & Co. since 1972.
Michael J. Tansley (1964),	Vice President, JPMorgan Funds Management, Inc. since July 2008; prior to joining JPMorgan Chase,
Controller (2008)	Mr. Tansley worked for General Electric, as Global eFinance Leader in GE Money from 2004 through 2008 and Vice President and Controller of GE Asset Management from 1998.
Elizabeth A. Davin (1964),	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Senior Counsel, JPMorgan Chase
Assistant Secretary (2005)*	(formerly Bank One Corporation) from 2004 to 2005; Assistant General Counsel and Associate General Counsel and Vice President, Gartmore Global Investments, Inc. from 1999 to 2004.
Jessica K. Ditullio (1962),	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Ms. Ditullio has served as an
Assistant Secretary (2005)*	attorney with various titles for JPMorgan Chase (formerly Bank One Corporation) since 1990.
John T. Fitzgerald (1975),	Vice President and Assistant General Counsel, JPMorgan Chase since 2005; Associate, Willkie Farr &
Assistant Secretary (2008)	Gallagher LLP (law firm) from 2002 to 2005.
Gregory S. Samuels (1980)	Vice President and Assistant General Counsel, JPMorgan Chase since 2010; Associate, Ropes & Gray (law
Assistant Secretary (2010)	firm) from 2008 to 2010; Associate, Clifford Chance LLP (law firm) from 2005 to 2008.
Brian L. Duncan (1965),	Vice President, JPMorgan Funds Management, Inc. since June 2007; prior to joining JPMorgan Chase,
Assistant Treasurer (2008)*	Mr. Duncan worked for Penn Treaty American Corporation as Vice President and Controller from 2004 through 2007 and Assistant Vice President of Financial Reporting from 2003–2004.
Jeffrey D. House (1972),	Vice President, JPMorgan Funds Management, Inc. since July 2006; formerly, Senior Manager of Financial
Assistant Treasurer (2006)*	Services of BISYS Fund Services, Inc. from December 1995 until July 2006.
Laura S. Melman (1966),	Vice President, JPMorgan Funds Management, Inc. since August, 2006, responsible for Taxation; Vice
Assistant Treasurer (2006)	President of Structured Products at The Bank of New York Co., Inc. from 2001 until 2006.
Francesco Tango (1971),	Vice President, JPMorgan Funds Management, Inc. since January 2003: Associate, JPMorgan Funds
Assistant Treasurer (2007)	Management, Inc. since 1999.

The contact address for each of the officers, unless otherwise noted, is 245 Park Avenue, New York, NY 10167.

* The contact address for the officer is 1111 Polaris Parkway, Columbus, OH 43240.

28 HIGHBRIDGE FUNDS OCTOBER 31, 2010

SCHEDULE OF SHAREHOLDER EXPENSES

(Unaudited)

Hypothetical $1,000 Investment

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees and (2) ongoing costs, including investment advisory, administration fees, distribution fees and other Fund expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The examples assume that you had a $1,000 investment in the Class at the beginning of the reporting period, May 1, 2010, and continued to hold your shares at the end of the reporting period, October 31, 2010.

Actual Expenses

For each Class of the Fund in the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line of each Class under the heading entitled “Expenses Paid During” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of each Class in the table below provides information about hypothetical account values and hypothetical expenses based on the Class’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Class of the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each Class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your costs would have been higher. The examples also assume all dividends and distributions have been reinvested.

	Beginning Account Value, May 1, 2010		Ending Account Value, October 31, 2010		Expenses Paid During May 1, 2010 to October 31, 2010*		Annualized Expense Ratio
Highbridge Dynamic Commodities Strategy Fund
Class A
Actual	$	1,000.00	$	1,169.20	$	8.97		1.64	%
Hypothetical		1,000.00		1,016.94		8.34		1.64
Class C
Actual		1,000.00		1,166.80		11.69		2.14
Hypothetical		1,000.00		1,014.42		10.87		2.14
Select Class
Actual		1,000.00		1,171.70		7.61		1.39
Hypothetical		1,000.00		1,018.20		7.07		1.39

* Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 29

TAX LETTER

(Unaudited)

Certain tax information for the J.P. Morgan Funds is required to be provided to shareholders based upon the Fund’s income and distributions for the taxable year ended October 31, 2010. The information and distributions reported in this letter may differ from the information and taxable distributions reported to the shareholders for the calendar year ending December 31, 2010. The information necessary to complete your income tax returns for the calendar year ending December 31, 2010 will be received under separate cover.

Treasury Income

The percentage of income earned from direct U.S. Treasury Obligations for the fiscal year ended October 31, 2010 was 7.73%.

30 HIGHBRIDGE FUNDS OCTOBER 31, 2010

PRIVACY POLICY

(Unaudited)

Respecting and protecting customer privacy is vital to J.P. Morgan Funds and JPMorgan Distribution Services, Inc. (JPMDS). This Policy explains what J.P. Morgan Funds does to keep our customer information private and secure.

Q. Who is covered by the Privacy Policy?

A. This Privacy Policy applies to consumers who are customers or former customers of J.P. Morgan Funds through record ownership of Fund shares. Our Privacy Policy is provided to customers when they open a new account. We also send it to current customers yearly. We may change our Policy. We will send you a new privacy policy if we broaden our information sharing practices about you.

Q. What information do you have about me?

A. To provide services and to help meet your needs, we collect information about you from various sources.

Ÿ We get information from you on applications or other forms, on our website, or through other means.

Ÿ We get information from transactions, correspondence, or other communications with us.

Q. How do you safeguard information about me?

A. We take a number of steps to protect the privacy of information about you. Here are some examples:

Ÿ We keep information under physical, electronic and procedural controls that comply with or exceed governmental standards.

Ÿ We authorize our employees, agents and contractors to get information about you only when they need it to do their work for us.

Ÿ We require companies working for us to protect information. They agree to use it only to provide the services we ask them to perform for us.

Q. Is information about me shared with others?

A. No, we do not share personally identifiable information about you except as noted below.

Q. Is information about me shared with service providers and other financial companies?

A. Yes, as permitted by law. We may share information about you with outside companies that work for us. These may include firms that help us maintain and service accounts. For instance, we will share information with the transfer agent for J.P. Morgan Funds. The transfer agent needs this information to process your purchase, redemption and exchange transactions and to update your account. We may also share information about you with outside financial companies that have joint marketing agreements with us. However, we only provide

information about you to that broker-dealer or financial intermediary from whom you purchased your Fund shares or who currently services your Fund account.

Q. Is information about me shared in any other ways?

A. Yes. We may also share information about you in other ways, as required or permitted by law. Here are some examples of ways that we share information.

Ÿ To protect against fraud.

Ÿ To protect against practices that may harm J.P. Morgan Funds or its shareholders.

Ÿ To respond to a subpoena.

Ÿ With regulatory authorities and law enforcement officials who have jurisdiction over us.

Ÿ To service your account.

Ÿ With your consent.

JPMORGAN DISTRIBUTION SERVICES, INC. — (JPMDS)

In general, JPMDS, as distributor for J.P. Morgan Funds, does not independently collect or retain nonpublic personal financial information relating to any past, present or prospective shareholders of the Funds. From time to time, the Funds or companies that provide services to the Funds may provide to JPMDS nonpublic personal financial information relating to shareholders or prospective shareholders as necessary for JPMDS to perform services for the Funds. In such circumstances, JPMDS adheres to the regulatory limitations on the use or disclosure of that information and its own obligations to the Funds to protect the security and confidentiality of the information.

SPECIAL NOTICE FOR CALIFORNIA RESIDENTS.

In order to comply with California law, if your account has a California mailing address, we will not share information about you with third parties unless we first provide you with further privacy choices or unless otherwise permitted by law such as servicing your account.

SPECIAL NOTICE FOR VERMONT RESIDENTS.

In order to comply with Vermont law, if we disclose information about you to other financial institutions with which we have joint marketing agreements, we will only disclose your name, contact information and information about your transactions.

THE J.P. MORGAN FUNDS PRIVACY COMMITMENT.

J.P. Morgan Funds are committed to protecting the privacy of our customers, but we understand that the best protection requires a partnership with you. We encourage you to find out how you can take steps to further protect your own privacy by visiting us online at www.jpmorganfunds.com.

Effective March 25, 2008

OCTOBER 31, 2010 HIGHBRIDGE FUNDS 31

J.P. Morgan Funds are distributed by JPMorgan Distribution Services, Inc., which is an affiliate of JPMorgan Chase & Co. Affiliates of JPMorgan Chase & Co. receive fees for providing various services to the funds.

Contact JPMorgan Distribution Services, Inc. at 1-800-480-4111 for a fund prospectus. You can also visit us at www.jpmorganfunds.com. Investors should carefully consider the investment objectives and risk as well as charges and expenses of the mutual fund before investing. The prospectus contains this and other information about the mutual fund. Read the prospectus carefully before investing.

Investors may obtain information about the Securities Investor Protection Corporation (SIPC), including the SIPC brochure by visiting www.sipc.org or by calling SIPC at 202-371-8300.

The Fund files a complete schedule of its fund holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330. Shareholders may request the Form N-Q without charge by calling 1-800-480-4111 or by visiting the J.P. Morgan Funds’ website at www.jpmorganfunds.com.

A description of the Fund’s policies and procedures with respect to the disclosure of the Fund’s holdings is available in the prospectus and Statement of Additional Information.

A copy of proxy policies and procedures is available without charge upon request by calling 1-800-480-4111 and a description of such policies and procedures is on the SEC’s website at www.sec.gov. The Trustees have delegated the authority to vote proxies for securities owned by the Fund to the Advisor. A copy of the Fund’s voting record for the most recent 12-month period ended June 30 is available on the SEC’s website at www.sec.gov or at the Fund’s website at www.jpmorganfunds.com no later than August 31 of each year. The Fund’s proxy voting record will include, among other things, a brief description of the matter voted on for each fund security, and will state how each vote was cast, for example, for or against the proposal.

J.P. Morgan Asset Management is the marketing name for the asset management business of JPMorgan Chase & Co. Those businesses include, but are not limited to, J.P. Morgan Investment Management Inc., Security Capital Research & Management Incorporated and J.P. Morgan Alternative Asset Management, Inc.

^© JPMorgan Chase & Co., 2010  All rights reserved. October 2010. AN-HDCS-1010

ITEM 2. CODE OF ETHICS.

Disclose whether, as of the end of the period covered by the report, the registrant has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party. If the registrant has not adopted such a code of ethics, explain why it has not done so.

The registrant must briefly describe the nature of any amendment, during the period covered by the report, to a provision of its code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, and that relates to any element of the code of ethics definition enumerated in paragraph (b) of this Item. The registrant must file a copy of any such amendment as an exhibit pursuant to Item 12(a)(1), unless the registrant has elected to satisfy paragraph (f) of this Item by positing its code of ethics on its website pursuant to paragraph (f)(2) of this Item, or by undertaking to provide its code of ethics to any person without charge, upon request, pursuant to paragraph (f)(3) of this Item.

If the registrant has, during the period covered by the report, granted a waiver, including an implicit waiver, from a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or third party, that relates to one or more items set forth in paragraph (b) of this Item, the registrant must briefly describe the nature of the waiver, the name of the person to whom the waiver was granted, and the date of the waiver.

The Registrant has adopted a code of ethics that applies to the Registrant’s principal executive officer and principal financial officer. There were no amendments to the code of ethics or waivers granted with respect to the code of ethics in the period covered by the report.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

(a) (1) Disclose that the registrant’s board of directors has determined that the registrant either:

(i) Has at least one audit committee financial expert serving on its audit committee; or

(ii) Does not have an audit committee financial expert serving on its audit committee.

The Registrant’s Board of Trustees has determined that the Registrant has at least one audit committee financial expert serving on its audit committee. The Securities and Exchange Commission has stated that the designation or identification of a person as an audit committee financial expert pursuant to this Item 3 of Form N-CSR does not impose on such person any duties, obligations or liabilities that are greater than the duties, obligations and liabilities imposed on such person as a member of the Audit Committee and the Board of Trustees in the absence of such designation or identification.

(2) If the registrant provides the disclosure required by paragraph (a)(1)(i) of this Item, it must disclose the name of the audit committee financial expert and whether that person is “independent.” In order to be considered “independent” for purposes of this Item, a member of an audit committee may not, other than in his or her capacity as a member of the audit committee, the board of directors, or any other board committee:

(i) Accept directly or indirectly any consulting, advisory, or other compensatory fee from the issuer; or

(ii) Be an “interested person” of the investment company as defined in Section 2(a)(19) of the Act (15 U.S.C. 80a-2(a)(19)).

The audit committee financial expert is William Armstrong. He is not an “interested person” of the Registrant and is also “independent” as defined by the U.S. Securities and Exchange Commission for purposes of audit committee financial expert determinations.

(3) If the registrant provides the disclosure required by paragraph (a)(1)(ii) of this Item, it must explain why it does not have an audit committee financial expert.

Not applicable.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

(a) Disclose, under the caption Audit Fees, the aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years.

AUDIT FEES

2010 – $1,211,500

2009 – $1,155,700*

*Audit fees reported in 2009 form N-CSR filing also included audit-related fees.

(b) Disclose, under the caption Audit-Related Fees, the aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant’s financial statements and are not reported under paragraph (a) of this Item. Registrants shall describe the nature of the services comprising the fees disclosed under this category.

AUDIT-RELATED FEES

2010 – $449,900

2009 – $454,300

The audit-related fees consist of aggregate fees billed for assurance and related services by the independent registered public accounting firm to the Registrant that were reasonably related to the performance of the annual audit of the Registrant’s financial statements.

(c) Disclose, under the caption Tax Fees, the aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning. Registrants shall describe the nature of the services comprising the fees disclosed under this category.

TAX FEES

2010 – $264,100

2009 – $272,660

The tax fees consist of fees billed in connection with preparing the federal regulated investment company income tax returns for the Registrant for the tax years ended October 31, 2010 and 2009, respectively.

For the last fiscal year, no tax fees were required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X.

(d) Disclose, under the caption All Other Fees, the aggregate fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this Item. Registrants shall describe the nature of the services comprising the fees disclosed under this category.

ALL OTHER FEES

2010 – Not applicable

2009 – Not applicable

(e) (1) Disclose the audit committee’s pre-approval policies and procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.

Pursuant to the Registrant’s Audit Committee Charter and written policies and procedures for the pre-approval of audit and non-audit services (the “Pre-approval Policy”), the Audit Committee pre-approves all audit and non-audit services performed by the Registrant’s independent public registered accounting firm for the Registrant. In addition, the Audit Committee pre-approves the auditor’s engagement for non-audit services with the Registrant’s investment adviser (not including a sub-adviser whose role is primarily portfolio management and is sub-contracted or overseen by another investment adviser) and any Service Affiliate in accordance with paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, if the engagement relates directly to the operations and financial reporting of the Registrant. Proposed services may be pre-approved either 1) without consideration of specific case-by-case services or 2) require the specific pre-approval of the Audit Committee. Therefore, initially the Pre-approval Policy listed a number of audit and non-audit services that have been approved by the Audit Committee, or which were not subject to pre-approval under the transition provisions of Sarbanes-Oxley Act of 2002 (the “Pre-approval List”). The Audit Committee annually reviews and pre-approves the services included on the Pre-approval List that may be provided by the independent public registered accounting firm without obtaining additional specific pre-approval of individual services from the Audit Committee. The Audit Committee

adds to, or subtracts from, the list of general pre-approved services from time to time, based on subsequent determinations. All other audit and non-audit services not on the Pre-approval List must be specifically pre-approved by the Audit Committee.

One or more members of the Audit Committee may be appointed as the Committee’s delegate for the purposes of considering whether to approve such services. Any pre-approvals granted by the delegate will be reported, for informational purposes only, to the Audit Committee at its next scheduled meeting. The Audit Committee’s responsibilities to pre-approve services performed by the independent public registered accounting firm are not delegated to management.

(2) Disclose the percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

2010 – 0.0%

2009 – 0.0%

(f) If greater than 50 percent, disclose the percentage of hours expended on the principal accountant’s engagement to audit the registrant’s financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant’s full-time, permanent employees.

None.

(g) Disclose the aggregate non-audit fees billed by the registrant’s accountant for services rendered to the registrant, and rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant.

The aggregate non-audit fees billed by the independent registered public accounting firm for services rendered to the Registrant, and rendered to Service Affiliates, for the last two calendar year ends were:

2009 – $25.4 million

2008 – $26.3 million

(h) Disclose whether the registrant’s audit committee of the board of directors has considered whether the provision of non-audit services that were rendered to the registrant’s investment adviser (not including any subadviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

The Registrant’s Audit Committee has considered whether the provision of the non-audit services that were rendered to Service Affiliates that were not pre-approved (not requiring pre-approval) is compatible with maintaining the independent public registered accounting firm’s independence. All services provided by the independent public registered accounting firm to the Registrant or to Service Affiliates that were required to be pre-approved were pre-approved as required.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

(a) If the registrant is a listed issuer as defined in Rule 10A-3 under the Exchange Act (17CFR 240.10A-3), state whether or not the registrant has a separately-designated standing audit committee established in accordance with Section 3(a)(58)(A) of the Exchange Act (15 U.S.C. 78c(a)(58)(A)). If the registrant has such a committee, however designated, identify each committee member. If the entire board of directors is acting as the registrant’s audit committee as specified in Section 3(a)(58)(B) of the Exchange Act (15 U.S.C. 78c(a)(58)(B)), so state.

(b) If applicable, provide the disclosure required by Rule 10A-3(d) under the Exchange Act (17CFR 240.10A-3(d)) regarding an exemption from the listing standards for all audit committees.

Not applicable.

ITEM 6. SCHEDULE OF INVESTMENTS.

File Schedule I – Investments in securities of unaffiliated issuers as of the close of the reporting period as set forth in Section 210.12-12 of Regulation S-X, unless the schedule is included as part of the report to shareholders filed under Item 1 of this Form.

Included in Item 1.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

A closed-end management investment company that is filing an annual report on this Form N-CSR must, unless it invests exclusively in non-voting securities, describe the policies and procedures that it uses to determine how to vote proxies relating to portfolio securities, including the procedures that the company uses when a vote presents a conflict between the interests of its shareholders, on the one hand, and those of the company’s investment adviser; principal underwriter; or any affiliated person (as defined in Section 2(a)(3) of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules thereunder) of the company, its investment adviser, or its principal underwriter, on the other. Include any policies and procedures of the company’s investment adviser, or any other third party, that the company uses, or that are used on the company’s behalf, to determine how to vote proxies relating to portfolio securities.

Not applicable.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 9. PURCHASE OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

(a) If the registrant is a closed-end management investment company, provide the information specified in paragraph (b) of this Item with respect to any purchase made by or on behalf of the registrant or any “affiliated purchaser,” as defined in Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of shares or other units of any class of the registrant’s equity securities that is registered by the registrant pursuant to Section 12 of the Exchange Act (15 U.S.C. 781).

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

Describe any material changes to the procedures by which shareholders may recommend nominees to the registrant’s board of directors, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14A (17 CFR 240.14a-101), or this Item.

No material changes to report.

ITEM 11. CONTROLS AND PROCEDURES.

(a) Disclose the conclusions of the registrant’s principal executive and principal financial officers, or persons performing similar functions, regarding the effectiveness of the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c))) as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Exchange Act (17 CFR 240.13a-15(b) or 240.15d-15(b)).

The Registrant’s principal executive and principal financial officers have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant’s disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

(b) Disclose any change in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

There were no changes in the Registrant’s internal control over financial reporting that occurred during the last fiscal quarter covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS.

(a) File the exhibits listed below as part of this Form. Letter or number the exhibits in the sequence indicated.

(a)(1) Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit.

Code of Ethics applicable to its Principal Executive and Principal Financial Officers pursuant to Section 406 of the Sarbanes-Oxley Act of 2002 attached hereto.

(a)(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2).

Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 are attached hereto.

(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under the Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons.

Not applicable.

(b) A separate or combined certification for each principal executive officer and principal officer of the registrant as required by Rule 30a-2(b) under the Act of 1940.

Certifications pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 are attached hereto.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

JPMorgan Trust I
By:	/s/ Patricia A. Maleski
	Patricia A. Maleski President and Principal Executive Officer January 5, 2011

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:	/s/ Patricia A. Maleski
	Patricia A. Maleski President and Principal Executive Officer January 5, 2011

By:	/s/ Joy C. Dowd
	Joy C. Dowd Treasurer and Principal Financial Officer January 5, 2011