This is a monthly update for Baillie Gifford's Japan small-cap fund. The fund gained about 30% over the past year, beating the MSCI Japan Small Cap Index (24.6%), though long-term returns lag the index. The report gives no market outlook or specific stock trades. Top 10 holdings make up nearly 30% of assets, focused on industrials, tech, and consumer stocks. The fund uses 14% leverage (borrowed money), trades at a 9% discount to its net asset value, and has low turnover, indicating a long-term approach.
At a Glance Baillie Gifford Shin Nippon PLC focuses on achieving long-term capital growth by investing in 40-80 Japanese small-cap companies with above-average growth potential. It is actively managed, with up to 10% of assets permitted in unlisted companies. As of August 31, 2026, total assets stoo
Monthly data was not disclosed separately, but for the year ended August 31, 2026: share price +30.4%, NAV +29.2%, both outperforming the MSCI Japan Small Cap Index's +24.6%.
| Metric | 1 Year | 3 Years | 5 Years | 10 Years |
|---|---|---|---|---|
| Share Price | 30.4% | 31.5% | -28.1% | 65.8% |
| NAV | 29.2% | 26.7% | -19.6% | 87.1% |
| MSCI Japan Small Cap Index | 24.6% | 60.4% | 56.8% | 130.8% |
Discrete annual performance shows that for the year ended June 30, 2026, the share price rose +31.2%, NAV +30.2%, and the index +33.2%, with the fund slightly lagging the index.
The report did not disclose specific contribution/detraction data for the month or quarter, providing only a list of the top ten holdings.
The report did not provide commentary on any specific holdings.
[Not explicitly stated] The report does not include the manager's current views on the market, sectors, or themes. The investment philosophy section reiterates a five-year investment horizon and active management strategy but offers no recent market assessment.
The report did not disclose any position change information. The top ten holdings account for 29.5% of total assets, with sector allocation as follows: Industrials 24.6%, Information Technology 20.7%, Consumer Discretionary 18.4%, Communication Services 10.5%, Health Care 7.7%, Financials 7.7%, Real Estate 3.5%, Consumer Staples 3.0%, Materials 1.9%, and Net Current Assets 1.9%.