Baillie Gifford UK Growth - Patience will be rewarded
Baillie Gifford UK Growth Trust (BGUK) has seen a marked fall in its NAV during the last 12 months at a time when inflation expectations have risen, bringing with them interest rate rises and, quite possibly, a recession. The derating of many growth stocks has been severe and BGUK’s managers say that selling has been indiscriminate, with good companies being hit as well as the bad. However, this provides an opportunity for long-term investors in their view. They have been reappraising their investment cases in light of the strongly changing market conditions and have been adding to holdings that they think are fundamentally attractive. The managers believe strongly that their patience will be rewarded over the longer term. An NAV recovery could also be accompanied by a narrowing of BGUK’s discount, which is currently close to its five-year high.Baillie Gifford Growth Fund carries on business as an investment trust. Co.'s business is investing in financial assets with a view to profiting from their total return in the form of income and capital growth. Co.'s alternative investment fund manager, Schroder Unit Trusts Limited, implements the investment strategy and manages Co.'s assets in line with the appropriate restrictions placed on Co. by the board, including limits on the type and relative size of holdings which may be held in the portfolio and on the use of gearing, cash, derivatives and other financial instruments as appropriate.
QuotedData you with provides access to research on Investment Companies, Investment Trusts and Mining companies. Our aim is to provide you all the information you might need to make your own investment decisions. We cannot offer you advice on your investments.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.