| Valuation method | Value, £ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 136.13 | -34 |
| Intrinsic value (DCF) | 82.89 | -60 |
| Graham-Dodd Method | 1.59 | -99 |
| Graham Formula | 51.39 | -75 |
Baillie Gifford UK Growth Trust plc (BGUK.L) is a closed-ended equity mutual fund managed by Schroder Unit Trusts Ltd and co-managed by Schroder Investment Management Limited. Focused on the UK public equity markets, the fund invests primarily in value stocks of large and mid-cap companies across diversified sectors. The fund benchmarks its performance against the FTSE All Share (Total Return) Index, aiming to deliver long-term capital growth for investors. Established in 1994 and domiciled in the UK, Baillie Gifford UK Growth Trust plc leverages the expertise of its managers to identify undervalued opportunities in the UK market. With a market capitalization of approximately £252 million, the fund is a notable player in the UK asset management sector, appealing to investors seeking exposure to UK equities with a growth-oriented strategy. The fund's disciplined investment approach and focus on value stocks position it as a compelling option in the competitive financial services landscape.
Baillie Gifford UK Growth Trust plc offers investors exposure to a diversified portfolio of UK large and mid-cap value stocks, aiming for long-term capital growth. The fund's performance is benchmarked against the FTSE All Share (Total Return) Index, providing a clear metric for evaluation. With a market cap of £252 million and a beta of 0.981, the fund exhibits moderate volatility relative to the market. The fund's revenue of £3.5 million and net income of £389,000 reflect its operational efficiency, while a dividend yield of 5.6 GBp per share adds income potential. However, the fund's reliance on UK equities exposes it to regional economic risks, including Brexit-related uncertainties and domestic market fluctuations. Investors should weigh the fund's value-oriented strategy and management expertise against these macroeconomic risks.
Baillie Gifford UK Growth Trust plc competes in the crowded UK asset management sector, where differentiation often hinges on investment strategy, performance, and management expertise. The fund's focus on value stocks in the UK large and mid-cap space sets it apart from growth-oriented or global equity funds. Its benchmark, the FTSE All Share (Total Return) Index, provides a transparent performance metric, appealing to investors seeking UK market exposure. The fund's co-management by Schroder Investment Management Limited adds credibility, leveraging Schroders' extensive resources and research capabilities. However, the fund faces stiff competition from both active and passive investment vehicles, including ETFs tracking the same index. Its closed-ended structure may limit liquidity compared to open-ended funds, though this can also reduce the impact of investor redemptions on performance. The fund's moderate beta suggests it is less volatile than the broader market, which could attract risk-averse investors. Overall, Baillie Gifford UK Growth Trust plc's competitive advantage lies in its specialized focus on UK value stocks and the reputational strength of its managers.