UK - Independent fund manager Baillie Gifford is "weeks away" from launching four pooled pension funds.
The firm said the funds – a long-term global growth equities fund, a market cap weighted global equities fund, a FTSE100 aggressive fund, and a global ex-UK equities fund – were part of its “back to investment basics” approach.
The long-term global growth fund is a concentrated portfolio containing 30-45 stocks which will not be managed against any benchmark indices.
However, if schemes wish, the fund manager says they can use the MSCI World Index as a “reference point” to help them assess its performance.
Baillie Gifford marketing manager, institutional clients, Stuart Dunbar said: “The long-term global growth fund is an unconstrained portfolio, it is very much investment-led. We want to get back to investment fundamentals and this is a product that people will understand is long-term.
“These are our best long-term ideas and it is not something being done in reaction to what consultants want. We’re driving this internally from the point of view of ‘let’s get back to basics and get the investments right’.”
The firm’s FTSE100 aggressive fund aims to outperform its benchmark by at least 2 percentage points per annum, which according to Dunbar is a “conservative estimate of what’s achievable”.
The market cap weighted global equities fund will be benchmarked to the MSCI All Countries World Index, while the global ex-UK fund will be managed against the same index, without the UK component.
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