Edinburgh Worldwide Investment Trust Plc
Rated Fund 2014-15, 2018. Taps into growth potential of small companies
Part of the Baillie Gifford stable, Edinburgh Worldwide has trumped other global small company-oriented trusts in the performance stakes over the past three years. Smaller companies tend to be relatively new and growing at a faster rate than more established ones, albeit typically with a higher degree of risk.
This trust has been run by Douglas Brodie and his deputy John MacDougall since 2014, when it first became a Rated Fund. They aim to generate capital growth from a global portfolio of initially immature entrepreneurial companies, typically with a market value of less than $5 billion (£3.6 billion) at the time of initial investment.
The duo takes a long-term approach to investment — typically at least a five-year horizon — and sells a holding only when one of three things occurs: they feel their original investment case was mistaken; the market has caught up with their assessment of the stock; or they find a new idea.
They aim to spread risk through diversification, having 75 to 125 holdings and exposure to a minimum of six countries and 15 industries. They have a strong tech focus, with the largest sector weightings at the end of 2017 being biotechnology and internet software and services.
The shares have generally traded at a discount to net asset value for the past three years — the widest being almost 14 per cent — but they returned to a small premium at the end of 2017.
Narrative and ratings content all as of 01 January 2018.See all Money Observer rated funds
|MarketAxess Holdings Inc||4.57 %|
|Ocado Group PLC||4.25 %|
|Alnylam Pharmaceuticals Inc||3.67 %|
|LendingTree Inc||3.45 %|
|Wayfair Inc Class A||3.23 %|
|GrubHub Inc||2.43 %|
|AeroVironment Inc||2.32 %|
|Temenos AG||2.10 %|
|Tesla Inc||1.91 %|
|Baozun Inc ADR||1.75 %|
|United States||57.50 %|
|United Kingdom||17.97 %|
|Financial Services||11.50 %|
|Consumer Cyclical||9.54 %|
|Consumer Defensive||6.43 %|
Luke graduated MEng (Hons) in Mechanical Engineering from the University of Edinburgh in 2012. Luke joined Baillie Gifford in 2012 and is an Investment Manager in the Global Discovery Team. Luke is also a Deputy Manager.
Svetlana graduated BA in Economics and BA in Business Administration from the American University in Bulgaria in 2008, MSc in Investment Analysis from Stirling University in 2009 and PhD in Accounting and Finance from Stirling University in 2012. Svetlana joined Baillie Gifford in 2012 and is an Investment Manager in the Global Discovery Team. Svetlana is also a Deputy Manager. She is a CFA Charterholder.
Douglas graduated BSc in Molecular Biology & Biochemistry from Durham University in 1997 and with a DPhil in Molecular Immunology from the University of Oxford in 2001. He joined Baillie Gifford in 2001 and is Head of the Global Discovery Team. Douglas became a Partner in 2015 is a CFA Charterholder.
Data provided by Morningstar.
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