Edinburgh Worldwide Investment Trust Plc
Rated Fund 2014-15, 2018-20. Taps into growth potential of small companies
Edinburgh Worldwide was highly commended in the Best Global Growth Trust category of Money Observer’s investment trust awards in 2019 and also saw its Morningstar rating climb from bronze to silver. Part of the Baillie Gifford stable, it is the standout performer in the global smaller companies investment trust sector. Douglas Brodie, head of the global discovery team, has run the trust since 2014, when it first became a Rated Fund. Luke Ward and Svetlana Viteva became his deputies in 2017. They focus on identifying early-stage companies, typically with a market value of less than $5 billion (£3.8 billion)at the time of investment, offering solutions that haven’t yet been addressed by larger companies. These companies are likely to be sole operators in their end markets and are very early-stage disruptors within their industry.
The managers take a long-term approach to investment – generally at least a five-year horizon – and sell a holding only when one of three things occur: 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. The trust has a strong tech focus, but risk is spread through diversification – having 75 to 125 holdings and exposure to a minimum of six countries and 15 industries.
Smaller companies typically exhibit a higher degree of risk than larger ones, but Morningstar analyst David Holder believes “risk has been used to good effect, as evidenced by the Sharpe ratio [a measure of return in relation to risk] when compared with peers and the index”. Shares in the trust tend to trade around the value of underlying assets.
Narrative and ratings content all as of 01 January 2020.See all Money Observer rated funds
|MarketAxess Holdings Inc||5.14 %|
|Alnylam Pharmaceuticals Inc||4.60 %|
|Ocado Group PLC||4.45 %|
|LendingTree Inc||3.73 %|
|Zillow Group Inc C||2.70 %|
|Chegg Inc||2.67 %|
|NovoCure Ltd||2.61 %|
|PureTech Health PLC||2.57 %|
|Tesla Inc||2.28 %|
|Galapagos NV||1.96 %|
|United States||63.73 %|
|United Kingdom||13.03 %|
|Financial Services||11.47 %|
|Consumer Defensive||7.67 %|
|Communication Services||5.94 %|
|Consumer Cyclical||5.83 %|
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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