Vanguard Active Global Growth Fund
About this Fund
|FUND MANAGER||Baillie Gifford Overseas|
|ASSET CLASS||GLOBAL EQUITIES|
Baillie Gifford employs a global equity strategy that makes long-term investments in well-managed businesses which are
The Fund seeks to provide long-term capital appreciation by investing primarily in equity securities.
|BENCHMARK||MSCI All Country World Index (with net dividends reinvested) in Australian dollars.|
|FUND SIZE||MSCI All Country World Index (with net dividends reinvested) in Australian dollars.|
|NO. OF HOLDINGS||70-120|
Benefits of investing in the Vanguard Active Global Growth Fund
The Vanguard Manager Select Series are a suite of actively managed funds which seek to deliver on what we consider the three most critical factors to active management:
Buy and hold investors seeking long-term capital growth, global diversification, and with a higher tolerance for the risks associated with share market volatility.
|RISK LEVEL||High - The potential for higher returns than lower risk investments, however there is the higher potential for below-average returns and/or loss of capital|
Buy and hold investors seeking long-term capital growth, global diversification, and with a higher tolerance for the risks associated with share market volatility
About the Fund
Vanguard Active Global Growth Fund, managed by Baillie Gifford, seeks to provide long-term capital growth by investing primarily in equity securities of companies from around the globe that are considered to have above-average growth potential.
The fund invests in 70 -120 growth stocks in well-managed businesses which enjoy sustainable competitive advantages and grow their earnings at a faster rate than the market over the long term.
Based on the characteristics of each company, Baillie Gifford categorises stocks into one of four growth profiles: stalwart, rapid, cyclical and latent; in recognition that companies grow at different rates. This allows the portfolio to capture growth opportunities that other investors may overlook.
The portfolio is well-diversified, low turnover and differs greatly from the index.
About Baillie Gifford
Baillie Gifford Overseas Limited is wholly owned by Baillie Gifford & Co., a Scottish investment firm. Founded in 1908, Baillie Gifford & Co., one of the largest independently owned investment management firms in the United Kingdom, manages money primarily for institutional clients. As of March 31, 2019, Baillie Gifford & Co. managed approximately $355bn (AUD) in assets. The firm's investment approach is differentiated by being very long-term, optimistic, growth-orientated, and high-conviction. It utilises a wide range of inputs well beyond the typical financial and economic indicators to include important elements which are vital to long- term success such as corporate culture, governance and sustainability of the business model.
How we invest your money
The Vanguard Active Global Growth Fund seeks to provide long-term capital growth by investing primarily in equity securities of companies from around the globe that are considered to have above-average growth potential.
The Vanguard Active Global Growth Fund employs a global equity strategy that makes long-term investments in well-managed businesses which are considered to have the potential for sustainable, competitive advantages and earnings growth at a faster rate than the market over the long term. Stocks are picked based on proprietary fundamental analysis in accordance with a sustainable and repeatable process. The portfolio generally invests in 70 -120 stocks.
Baillie Gifford places all the stocks in the portfolio in one of four growth buckets' described below. This helps the Fund to ensure a reasonable degree of diversification across different types of growth within the portfolio.
The Fund applies several constraints such as security, regions and industries to ensure diversification.
The Fund is generally unhedged and will be exposed to the fluctuating values of foreign currencies; these fluctuations may increase or decrease the value of the Fund. Currency considerations are part of the overall, fundamental bottom-up research process. The Fund factors potential currency movements into the assessment of the potential range of outcomes for any investment.