Investments  

Baillie Gifford to re-open Emerging Markets Growth fund

Baillie Gifford is set to remove the initial charge on the Baillie Gifford Emerging Markets Growth fund on February 1, Investment Adviser can reveal.

The firm had placed the initial charge on the fund in 2011 in order to ‘soft-close’ it, discouraging new investors from buying in.

The fund, which is managed by Baillie Gifford’s head of emerging markets equity Richard Sneller, was soft-closed in April 2011 after passing the £1bn mark in assets.

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However, it has since shunk to £471.1m as investors abandoned emerging market funds during difficult market conditions and Baillie Gifford has decided to remove the charge, encouraging new investment again.

The fund is in the top quartile of the IMA Global Emerging Markets sector for performance in one-, five- and 10-year periods, though it struggled in 2011 and 2012, which has seen it slip to the third quartile for three-year performance.