Overview
The Investment Grade Bond Fund aims to outperform (after deduction of costs) the ICE Bank of America Sterling Non-Gilt Index by 0.75% per annum over rolling three-year periods. There is no guarantee that this objective will be achieved over any time period and actual investment returns may differ from this objective, particularly over shorter time periods.
The manager believes this is an appropriate benchmark given the investment policy of the Fund and the approach taken by the manager when investing. In addition, the manager believes an appropriate performance comparison for this Fund is the Investment Association Sterling Corporate Bonds Sector.
As we prospect for ideas we value robust debate. This is why the investment teams are kept small, why we rotate sector coverage, and why our ideas are shared with the wider firm.
Performance & Portfolio
Periodic performance
All figures to 31/10/2024 6 Months
1 Year
3 Years
5 Years
Class B-Inc 3.2% 10.3% -3.0% -0.8% Index* 2.6% 8.3% -3.4% -1.2% Target Benchmark** 3.0% 9.1% -2.8% -0.6%
Annual discrete performance 30 September each year
Annual percentage return (Updated Quarterly) 30/09/2019
30/09/202030/09/2020
30/09/202130/09/2021
30/09/202230/09/2022
30/09/202330/09/2023
30/09/2024Class B-Inc 3.6% 0.3% -22.1% 6.5% 11.1% Index* 3.9% -0.3% -22.2% 7.4% 9.7% Target Benchmark** 4.4% 0.2% -21.9% 8.2% 10.6% Sector Average*** 4.2% 1.3% -20.5% 7.3% 10.9% Please bear in mind that past performance is not a guide to future returns. The value of your investment may go down as well as up, and you may not get back the amount you invested.
Source: FE, Revolution, ICE Data Indices. Total return net of charges, in sterling.
Share class returns calculated using 10am prices, while the Index is calculated close-to-close.
Figures for 3 and 5 years are shown as the annualised rate of return. This is the average yearly return over the specified period.
*ICE BofA Sterling Non-Gilts Index.
**ICE BofA sterling Non-Gilt Index plus +0.50% to 16 September 2022; thereafter ICE BofA sterling Non-Gilt Index plus +0.75% per annum, over rolling three-year periods. The indices have been chain-linked for performance figures above.
***IA £ Corporate Bond Sector.
Top ten physical bond holdings* 31/10/2024
Fund % 1 Blackstone Private Credit 4.875% 2026 2.3% 2 AT&T 7% 2040 1.9% 3 International Workplace Group 6.5% 2030 1.7% 4 Mitchells & Butlers FRN (AB) 2033 1.6% 5 Nationwide 5.875% 2024 Perp AT1 1.6% 6 Burberry 1.125% 2025 1.6% 7 Inchcape 6.5% 2028 1.6% 8 TAG Immobilien 4.25% 2030 1.3% 9 IBRD 0.25% 2026 1.3% 10 Yorkshire Building Society 6.375% 2027/28 1.3% Total 16.3% Sector analysis of total assets 31/10/2024Fund %
- 1 Banking 17.07
- 2 Utility 11.13
- 3 Real Estate 8.12
- 4 Asset Backed 8.05
- 5 Financial Services 7.85
- 6 Insurance 6.46
- 7 Sovereign 5.08
- 8 Supranational 4.69
- 9 Telecommunications 4.20
- 10 Commercial Mortgage Backed 4.18
- 11 Government Guaranteed 3.31
- 12 Retail 3.13
- 13 Agency 2.22
- 14 Capital Goods 2.08
- 15 Others 11.03
- 16 Cash & Derivatives 1.42
- Total 100.00
As the Fund invests in overseas securities, changes in the rates of exchange may cause the value of your investment (and any income it may pay) to go down or up.
A negative cash position may sometimes occur due to obligations awaiting settlement.
The information contained on this page is intended as a guide only and should not be relied upon when making investment decisions. Source Baillie Gifford & Co.
Please note that totals may not sum due to rounding.
Insights
View all insightsMeet the Managers
Paul Dilworth
Paul is an investment manager in the Credit Team, co-manging the Investment Grade and Sterling Aggregate strategies. He joined Baillie Gifford in 2019. Before joining the firm, Paul worked for almost 13 years at Kames Capital where he was responsible for managing a broad range of fixed income mandates, including Global Financial Credit, Global Absolute Return and Investment Grade Credit. Paul graduated BSc (Hons) in Mathematics from Heriot-Watt University in 2006 and is a CFA Charterholder.
Nektarios Chatzilefteris Michalas
Nektarios is an investment manager in the Credit Team, co-managing the Investment Grade Bond Strategy. He joined Baillie Gifford in 2020. Prior to joining the firm, he served for 8 years as an artillery officer in the army followed by 4 years in a variety of banking and insurance roles. He graduated BSc in Military Operations Management and Battle Science from the Hellenic Military Academy in 2008 and MBA from the University of Macedonia in 2017. Nektarios is a CFA Charterholder.
Documents
You can access any literature about the Fund here, either by downloading or requesting a copy by post (where available).
To download any document you will need Adobe Reader. Please note that we can now provide you with Braille and audio transcriptions of our literature on request. It may take up to 10 days for the transcription to be completed dependent on the size of the document.
Application forms
Enhanced disclosure document
Factsheets
Interim reports
Key investor information documents (KIIDs)
Quarterly investor reports
Sustainability-related disclosures and climate reports
Important Information
Baillie Gifford Overseas Limited is wholly owned by Baillie Gifford & Co. Baillie Gifford Overseas Limited provides investment management and advisory services to non-UK clients. Both are authorised and regulated by the Financial Conduct Authority.
The information provided does not constitute an offer of or solicitation for purchase or sale of securities or provision of any investment services. Any general enquiries regarding Baillie Gifford should be directed to the relevant individual as noted in the Contact Us section.
The information contained in this website has been compiled with considerable care to ensure its accuracy at the date of publication. However, no representation or warranty, express or implied, is made to its accuracy or completeness. Nothing in this information or elsewhere in this website shall exclude, limit or restrict our duties and liabilities to you under the United Kingdom's Financial Services and Markets Act 2000 or any conduct of business rules which we are bound to comply with.
This website is informative only and the information provided should not be considered as investment advice or a recommendation to buy, sell or hold a particular investment. You can read details of our Legal and Important Information here.
