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Baillie Gifford Managed FundArticle13 Jul 2026Source: bailliegifford.com

Baillie Gifford Managed Fund Factsheet

In plain words

This UK fund has badly lagged its peers: in the past year it returned 8.5% versus a 17.4% average, and over five years it made almost nothing. The manager spreads money widely—the top ten holdings are only 14% of assets. The largest is TSMC (1.9%), followed by ASML (1.8%) and NVIDIA (1.5%), but these big tech names didn’t prevent the poor results. The fund also holds about 20% bonds. It suits investors who can stomach losses and a 5+ year horizon.

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The Baillie Gifford Managed Fund report introduces the fund's overview: the objective is five-year rolling capital growth, investing in equities, bonds, and cash. Regional teams select stocks, while credit and global bond teams manage bonds and actively allocate assets. As of June 30, 2026, the fund

~10 min full read · 8 sections
Deep Analysis

This Month's Scorecard

As of 30 June 2026, the fund returned 3.5% over six months and 8.5% over one year, both significantly behind the IA Mixed Investment 40-85% Shares sector medians (7.7% and 17.4% respectively); the 5-year annualised return was 0.2%, ranked 187/187, bottom.

Period Fund (Class B -Acc) Sector median Excess
6 months 3.5% 7.7% -4.2 pp
1 year 8.5% 17.4% -8.9 pp
3 years (annualised) 8.6% 11.6% -3.0 pp
5 years (annualised) 0.2% 6.0% -5.8 pp

Rankings by period: 6 months 220/228, 1 year 212/224, 3 years 179/203, 5 years 187/187 (bottom).

Discrete annual performance (as of 30 June):

Annual period Fund Sector median
2021-22 -28.3% -6.4%
2022-23 9.7% 3.0%
2023-24 9.4% 11.9%
2024-25 7.9% 5.8%
2025-26 8.5% 17.4%

In the most recent year (2025-26), the fund lagged the sector median by 8.9 percentage points, the largest single-year gap in five years.

Holdings and Allocation Overview

The fund's holdings are highly diversified. The top ten holdings account for only 14.2% in aggregate, active share is 75%, and annual turnover is 26%. Equity exposure is approximately 77%, bonds approximately 19%, and cash and derivatives 3.8%.

Top ten equity holdings:

Position % of fund assets
TSMC 1.9%
ASML 1.8%
Samsung Electronics 1.7%
Amazon.com 1.6%
NVIDIA 1.5%
Roche 1.4%
AstraZeneca 1.2%
Meta Platforms 1.0%
HSBC 1.0%
DoorDash 1.0%

Geographic/asset allocation:

Region/asset class %
United Kingdom 19.2%
Europe (ex-UK) 19.0%
North America 18.9%
Overseas bonds 11.4%
Developed Asia-Pacific 11.1%
Emerging markets 8.6%
UK bonds 7.6%
Index-linked 0.3%
Cash and derivatives 3.8%

Fund Details

Fund size £3,869.63m, annual management fee 0.40%, ongoing charge 0.43%, historical yield 1.69%, no UK sustainable investment label.

  • Fund managers: Iain McCombie and Steven Hay (Partner).
  • The fund was launched on 1 April 1987.
  • Main share classes: Class B -Acc (GB0006010168) and Class B -Inc (GB0006007909), with a management fee of 0.40%, OCF of 0.43%, and historical yield of 1.69%.
  • Sustainability: The product carries no UK sustainable investment label; it promotes environmental/social characteristics but does not target positive environmental/social outcomes.
  • Risk warning (as stated in the original document): The fund invests in emerging markets, bonds and foreign exchange; may use derivatives which can create leverage and amplify price volatility; no capital protection is provided. It is suitable for investors who can bear losses and have an investment horizon of at least five years, and is not suitable for investors seeking short-term returns or regular income.

The Multi-Layered Structure of Regulatory Disclosures: From "Global Uniformity" to "Localized Stratification"

The continuation clearly reveals a core compliance strategy: precise jurisdiction-by-jurisdiction adaptation under a global private placement exemption framework. This structure is not a mere pile-up of disclaimers but a sophisticated piece of compliance engineering. Analysing the disclosure differences across Colombia, Peru, Chile, Mexico and Singapore yields the following patterns.

I. Differentiated Compliance Strategies by Jurisdiction
Jurisdiction Core legal basis Investor eligibility restrictions Disclosure stance Key risk warnings
Colombia Not registered with the National Registry of Securities and Issuers Implicitly aligned with "institutional investor" eligibility Unregistered status prohibits public offer; but allows unilateral attribution of compliance responsibility for foreign exchange/tax regulations Strong geographical risk isolation: requires investors to acknowledge themselves as the sole party responsible for compliance
Peru Not registered with the Public Registry of the Securities Market Institutional investors only, with an explicit requirement that ineligible parties "must not participate" Document not reviewed by SMV; proactively excludes non-qualified investors Uses reverse exclusion wording for the investor scope, strengthening legal binding force
Chile General Standard NCG N°336 Investor eligibility not set out in the statement, only emphasises that it "does not constitute investment advice" Must disclose that it is not supervised by the CMF and has no public information obligations; governing document is in Spanish Explicitly characterises the document as "non-assessment/non-recommendation," severing any link to investment advisory conduct
Mexico Private placement exemption under Article 8 of the Securities Market Law Qualified and institutional investors Double negative: not registered + public sale prohibited; cites the specific statutory provision (Art. 8) to secure the exemption Relies on the express exemption in domestic law, rather than the fund's own "offshore" status, to define legality
Singapore Section 304 of the SFA Institutional investors On the MAS "restricted scheme list"; declares the document is not a prospectus and restricts the scope of distribution Specifies the "no distribution" clause down to the "direct or indirect" level to guard against resale risk

Key Observation: The five matrices form a full spectrum in terms of "investor eligibility" — from the broadest standard targeting "qualified investors" (Israel) to the narrower category of "institutional investors" (Peru, Singapore). Chile, however, sits outside this spectrum, applying entirely through the local regulator's general exemption (NCG 336).

II. The Incremental Information of the Rating System: From "Risk Indicator" to "Semi-Subjective Tool"

The ratings section in the continuation appears to be a marketing credibility booster, but on deeper analysis it constitutes a second risk-transmission mechanism, independent of the compliance disclosure system. Notably, the five rating agencies (Dynamic Planner, Synaptic, Rayner Spencer Mills Research, Defaqto, EV) all completed their ratings before the cut-off date (31 May 2026), yet the depth and transparency of the information disclosed differ markedly:

  • EV's self-reflection: EV's rating statement is the only one that discloses its methodology in detail, including:
  • Forward-looking simulations (5 to 25 years) based on proprietary asset models;
  • The risk rating focuses solely on the range of return distributions and explicitly excludes core elements such as credit risk, liquidity risk, strategy concentration, and manager operational risk.
  • The other four: provide only the rating agency names and website links, with no overview of methodology.

This disclosure imbalance is itself informative in a commercial context: the underlying quantitative ratings represent only possibilities under specific scenarios; purchase decisions should not rely on ratings alone, and the involvement of a professional adviser remains a key line of defence.

III. Progressive Information Architecture: The "Platform Attribute" of the Final Layer of Information Disclosure

The continuation closes with "Contact Information + Copyright Notice," but this section should not be misread as a simple directory. It reveals the ultimate legal and compliance interface through which the fund delivers information to investors:

  • Dual channel separation:
  • Intermediary advisory channel: a freephone number (0800 917 2113) — for Intermediary Enquiries;
  • Institutional direct channel: a standard international number (+44 131 275 2000) — for Institutional Enquiries.
  • This separation builds a firewall between the "advisory process" and "targeted offering", ensuring that investors at different levels access the fund through the appropriate channel.
  • Call recording and monitoring: "Your call may be recorded for training or monitoring purposes" is not only a routine compliance statement of the exchange, but an implicit requirement under the UK FCA regulatory framework to ensure the sales process can be traced.
  • Copyright and document version traceability: `Ref: 10064208` and the copyright year (2026) provide the document's unique identification number within Baillie Gifford's internal controlled system, enabling the legitimate dissemination of this version across all target markets to be traced. This is also part of the audit trail for information documents in a financial compliance context.
IV. Summary: The Threefold Function of a Single Document

From a broader legal-functional perspective, this continuation of the "Introduction" actually accomplishes three key tasks beyond the transmission of information:

1. Risk gate: by setting entry conditions such as "qualified investor" and "institutional investor", it physically isolates non-compliant individuals at the source;

2. Legal evidence: the public disclosure of the corresponding relationships with regulators in each jurisdiction (such as CMF, SMV, MAS) provides written evidence for subsequent judicial determinations under the relevant local jurisdiction;

3. Reputational firewall: disclosing negative facts such as "unregistered" and "unsupervised" in a straightforward, matter-of-fact manner both satisfies the principle of "adequate disclosure" and dilutes any future opportunity for allegations of "material omission" in the event of a dispute.

In summary, this "Introduction" section is developed entirely along the dual main lines of "risk disclosure and compliance isolation" in offshore private placements. It is Baillie Gifford's compliance template in the cross-context of common law and civil law. Its rigour and degree of structuring (segmentation by country, with legal provisions cited precisely down to article and chapter level) far surpass those of conventional fund documents, indirectly reflecting the extreme prudence with which a large active manager treats legal liability.