11th Aug 2021 11:25
(Alliance News) - Baillie Gifford US Growth Trust PLC on Wednesday said it outperformed its benchmark by a distance in the 2021 financial year, as bets on online shopping stocks paid off.
The FTSE 250-listed investment fund reported a net asset value per share of 296.21 pence as of May 31, the end of its financial year. That's up 63% from 181.92p the previous year. In the same period, the S&P 500 index returned 22% in sterling terms. The company's net return before tax more than doubled to GBP299.9 million from GBP138.3 million.
The trust's top three holdings - Shopify Inc, Amazon.com Inc and Wayfair Inc - are all online shopping firms which benefited from stay-at-home orders, while Moderna Inc surged because of its Covid-19 vaccine.
The investment fund cut its holding in Tesla Inc "having revisited the upside case twice within a six-month period," in line with other Baillie Gifford funds.
"We can be confident that seismic changes will continue in the 'real world' as new business models flourish and innovation impacts countless industries, many as yet not fully disrupted by recent innovations," Chair Tom Burnet said.
Shares in Baillie Gifford US were down 0.4% to 351.00p on Wednesday morning in London.
By Ivan Edwards; [email protected]
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