Baillie Gifford's income fund: It's important to be invested in growth businesses

UK dividends dropped 40% in 2020

clock • 2 min read

Toby Ross, investment manager on Baillie Gifford’s Responsible Global Equity Income Fund, explored whether there is a trade-off between sustainability and investment objectives, and what constitutes a truly responsible investment in a recent Working Lunches event with Professional Adviser.

Last year was a significant stress-tester for UK-based income investors. Dividends in the UK market plummeted more than 40% as businesses suspended pay-outs to investors. A recent study by Link Group found that UK companies were unlikely to return pre-Covid dividends until 2025 as payments to investors halved in the first year of the pandemic. Companies with unsustainable business models and practices found themselves falling victim to divestment from large investment managers. According to Toby Ross (pictured), Baillie Gifford's Responsible Global Equity Income fund performed well la...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

PA Working Lunches: Long-term structural change with Scottish Mortgage

PA Working Lunches: Long-term structural change with Scottish Mortgage

Join us for an informative session worth one hour of CPD

Professional Adviser
clock 24 February 2025 • 1 min read
Partner Insight: How smoothed funds can meet clients' needs

Partner Insight: How smoothed funds can meet clients' needs

Andy Brown, head of fund solutions at Standard Life, explains what led the firm to create its smoothed fund proposition.

Sarka Halas
clock 21 February 2025 • 2 min read
'I'm ready for this, there's no denying': Four reasons to celebrate AIM's 30th birthday

'I'm ready for this, there's no denying': Four reasons to celebrate AIM's 30th birthday

The Alternative Investment Market launched on 19 June 1995

Eustace Santa Barbara
clock 20 February 2025 • 4 min read