Ben James

This chart is important. Capital at risk. It shows the average rolling five-year performance relative to the index for all of Baillie Gifford’s UK-domiciled equity fund range. It illustrates that our funds have collectively outperformed over five-year periods for the vast majority of the time. For the 30-year available history, outperformance over five years has averaged +1.9% per annum (pa). The current situation is that having peaked at +9.8% pa in January 2021, the very sharp sell-off in growth equities has resulted in an underperformance of -1.9% pa for our equity fund range as a whole in the five years to the end of March 2024. We have seen such periods from January 1995 to June 1997 and September 2008 to November 2009. In both cases, strong performance recoveries followed over the next five years. There can be no guarantee that this will happen again, but we hope it will be informative for investors to see the long-term pattern of relative fund performance resulting from our investment style. It comes from this article by James Budden: https://lnkd.in/eXkRwCWw #LongTermInvesting #Cyclicality #Patience #TheLongView #ActualInvestors

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For UK Professional Investors only. Capital at risk. Our Private Markets team does an outstanding job helping clients explore opportunities for DC pension schemes. As the UK regulatory landscape evolves, opportunities are expanding, offering scope to enhance returns and drive broader economic growth. In this latest piece, our Head of Private Markets Investment Specialists, mark meiklejon, helps our clients understand the complexities by setting out five things DC schemes need to know about Long-Term Asset Funds (LTAFs): 👉 How LTAFs can provide access to long-term, less liquid assets for patient capital. 👉 The diversification benefits and potential for enhanced returns from private markets assets. 👉 How operational challenges are being addressed. For an update on recent developments, I recommend our latest insight, available here: https://bit.ly/3YhKgwT #PrivateMarkets #LTAF #ItTakesAvivaInvestors #RealAssets

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Loved chatting to Robert Cochran and Adam Paterson about responsible investing - my first podcast as Head of RI at Scottish Widows 😊 I know our comprehensive RI report is a big weekend read! There is just so much the team has achieved in 2023. If you want to listen to the highlights, check out the below.

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A great flow chart from the UK Investment Association for those who want to understand which fund share class to select as 'primary'. In contrast to how some data providers default to the oldest, legacy share class, it seems very clear that one should perhaps choose a share class that is 'unbundled', and 'freely available to all investors... '. For the Marlborough Multi Cap Income Fund, this is the 'P' share class! This also covers c.99% of all fund units in issue so most representative of the returns delivered to the wider investor base.

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VIDEO: The Case of Covered Calls with Portfolio Manager Barry Martin In this most recent WealthManagement.com Fast Chat with David Armstrong, Lead Portfolio Manager Barry Martin, CFA discusses the rise and strategy of covered calls in investment portfolios. Learn the demographic and economic factors driving the popularity of covered calls, highlighting their potential for generating cash flow and diversifying portfolios. https://lnkd.in/gk_s5Ugg #options #volatility #activemanagement #coveredcalls https://lnkd.in/gk_s5Ugg

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UK plc M&A has picked up, what does this tell us about where we are in the cycle? Is confidence returning? Ben Ritchie and I discuss the outlook for UK equities in our latest podcast for Dunedin Income Growth.

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The miracle of managed accounts! Clients of Activam Group actually DID get these performance outcomes on BT Panorama, because their portfolios rebalance promptly and consistently across all accounts. Meantime their advisers could focus on strategic advice and client engagement, where they most add value. "Execution alpha" is real and quantifiable. #BTPanorama #ManagedAccounts

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Investing can be like playing chess: we aim to create positional advantages and maximise returns within a given level of risk. ♞ Historically, investors have relied on the complementary nature of equities and bonds to balance risks (the 60/40 portfolio). But complications have arisen in recent years meaning equities and bonds are perhaps not the perfect couple they once were. In our latest insight, Multi-Asset Strategist, Thomas Hibbert, CFA discusses: ♟️How we assess the individual risk-reward of each investment ♟️How we consider a mix of assets in a portfolio, and how these complement one another ♟️Our ability to understand changes and adapt Read now to discover how we consider the mix of different types of assets in a portfolio, and what may be the best risk and reward balance when considering your investing objectives: https://lnkd.in/dQnPFqVR Investment involves risk, and you may not get back what you invest. It’s not suitable for everyone. #investing #investmentmanagement #portfoliomanagement

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In this latest video produced by AJ Bell, James Thom, Co-manager of abrdn New India Investment Trust, provides an overview of the trust’s investment objectives, the investment process and why India is an attractive region for investors. Capital at risk. Watch now: https://ow.ly/q3i250ST67F #India #Investment #ANII

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In this latest video produced by AJ Bell, James Thom, Co-manager of abrdn New India Investment Trust PLC, provides an overview of the trust’s investment objectives, the investment process and why India is an attractive region for investors. Capital at risk. Watch now: https://ow.ly/q3i250ST67F #India #Investment #ANII

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Read the latest #fixedonbonds blog where Lloyd Harris, Head of Fixed Income, examines the potential outcomes of the US election, what these mean for the US budget deficit and in turn fixed income markets. For investment professionals only. Capital at risk. #fixedincome #bondblog #bondinvestors #uselection

This month, I appeared on the FT Advisor podcast speaking with Simoney Kyriakou at the Financial Times about the growth of Independent Investment Management Initiative and what this means for the outlook for specialist asset managers. We touched on regulation, DE&I, innovation and the opportunities for the most entrepreneurial firms and the most active, active asset managers in our sector. What a pleasure, thank you Simoney Kyriakou. #boutiques #assetmanagement #growth

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In a by-lined article for IFA Magazine’s special report on multi-asset, Shane O'Brien, Senior Investment Director & Head of Multi-asset & Macro Investment Specialists at Aviva Investors, tackles three key questions that are currently on investors’ minds and dominate discussions. The first is whether US equities now take too large a share of equity or multi-asset portfolios; The second considers if bonds are still a good investment and what is their place in multi-asset portfolios; And the third explores how multi-asset funds are being affected by environmental, social and governance factors. Read here: https://bit.ly/4dRKAIm #MultiAsset #USEquities #Sustainability #Bonds

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Culture: The X-Factor in Long-Term Stock Performance? Capital at risk. What if the most crucial factor driving long-term stock performance isn't on any financial statement? At Baillie Gifford, and especially in the US Growth team, we believe it's company culture. It doesn't fit into a DCF model, but that's exactly why it matters. Case in point: Max Levchin, CEO of Affirm (one of our holdings), recently shared insights on their culture: • "Morality is key in everything we do" • "Integrity got us here, never compromise it" • "Constant heroics = poor planning" • "Lead by example" and so on. Why does this matter? Culture shapes innovation, employee retention, and customer satisfaction. It's the DNA of sustainable growth. At Affirm, these principles could translate to clearer customer communication and better business practices. That's the kind of long-term thinking that builds lasting value. Words are easy, however. Actions matter more, so we watch to see the principles Levchin outlines in his post reflected in the actions of his business and employees 'on the ground.' Interested in others' thoughts on this https://lnkd.in/exMHRkA8 #LongTermInvesting #Culture #InvestmentResearch

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We're navigating a multi-polar era of unprecedented complexity, where technology and information are reshaping politics and warfare. As a result, investment managers must decipher the geopolitical puzzle to navigate significant risks. To shed light on this complex landscape, General Sir Nick Carter, the former Chief of the Defence Staff of the British Armed Forces, brings unparalleled insights into the strategic risks that shape our world today. #STANLIB #MultiPolarity #GeoPolitics

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In the latest #Perspectives, David Jane, fund manager of the Premier Miton Macro Thematic Fund range, explains how market volatility is a feature that disciplined investors can take advantage of to improve outcomes. For investment professionals only. Capital at risk. #investing #naturalincome #income  

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*Reminder – WS Raynar UK Smaller Companies launch confirmed – reach out to us or visit our website for more info including new Webinar video clips*    With UK inflation back to the target 2%, the Bank of England today - as expected given the election - held the Base rate of interest, but with an increasing sense that the groundwork has been laid that paves with way for the first cut of this cycle soon. In our view, 1st August is the date to watch. This decision has de facto tightened monetary policy – holding the rate flat whilst inflation has fallen has lifted the real rate of interest by 0.3% this month. However, today saw two of seven committee members voting for a rate cut, whilst Governor Bailey has previously stated that rate cuts can occur even if inflation is above target. With several other central banks already cutting their rates, we believe the Bank of England will be increasingly mindful of the risk to the building economic and initiate their own cutting cycle soon.   Why is this so significant? It’s significant because there is a strong relationship between the first rate cut of a major cycle and strong UK Smaller Companies absolute and relative performance. The chart above shows each major UK rate cutting cycle since 1980, and the subsequent two-year performance of UK Smaller Companies compared to larger companies (the dominant component of the DN All Share). On all occasions, bar 1990, UK Smaller Companies outperformed. For 1990 it took four years to reach +17.5% outperformance. Setting 1990 and the 2007 false start aside, the two year average outperformance was +27% for a +76% average absolute return.   We believe this potential forthcoming catalyst adds fuel to the bull-run already underway – UK Small Caps are up 26% from their low point in October 2023 to end May 2024. With multiple additional catalysts in play, we believe now is the perfect time to launch the WS Raynar UK Smaller Companies fund on 1st July, ahead of the forthcoming catalysts of the UK General Election result and a potential UK interest rate cut.   Reach out to us or visit our https://lnkd.in/gfG2y2mw for more information.

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