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<p><strong>As with any investment, your capital is at risk. Past performance is not a guide to future returns.</strong></p>
<p class="MsoNormal"> </p>
<p><strong>Robert Natzler: </strong>It’s been a strong year for Schiehallion. The fund's underlying value, what we call the NAV, or Net Asset Value, grew by 33 percent over the 12 months to the end of January 2026. The share price did even better than that, up 65 percent over the same period. By the end of the reporting period, the fund was trading at a slight premium for the first time since 2022.The fund also completed an important milestone in December, moving to a new listing segment on the London Stock Exchange, which means a wider range of investors can now access it. Indeed, after the end of the reporting period, on the 23rd of March, it became a part of the FTSE 250 Index. The biggest contributors to that net asset value performance were the three largest positions in the fund. These are Bending Spoons, SpaceX, and ByteDance. Bending Spoons is an Italian company that acquires and transforms digital products. It delivered a strong year, completing a new funding round and announcing several large-profile acquisitions, including AOL.</p>
<p>SpaceX needs little introduction. The company's shares are regularly traded at scale in secondary markets. The increasing price that other investors are paying in the secondary market has fed into our valuation here. ByteDance, the Chinese company behind TikTok, also finished the year strongly. Additionally, some of the uncertainty around TikTok's future in the US began to clear. On the other side of the ledger, a few holdings held us back. Brex, a corporate spend management business, saw its valuation mark down earlier in the year as comparable public companies fell sharply in price. The company has since announced that it is being acquired by Capital One. Chime, a US digital bank, went public in June. Despite growing revenues strongly, its share price came under pressure in the public markets.</p>
<p>Looking across the portfolio more broadly, we are encouraged by the underlying health of the businesses we own. Weighted revenue growth across the whole portfolio was 54 percent by the year-end. That's more than double the growth rate of the NASDAQ 100, which is a widely followed index of large tech companies. Our top 10 holdings were growing faster still at 66 percent. For context, the bulk of this portfolio are doing this whilst being large-cap profitable businesses, 62 percent of the fund is invested in companies that are already profitable. And only 17 percent of our companies have less than two years of cash on hand. That is a stat that we continue to track to help us monitor the risk of companies being forced to make difficult fundraising decisions from positions of weakness. We now hold 53 companies in total. About half the fund is in USA-domiciled businesses, with meaningful allocations to Europe at 21 percent, China at 11 percent, and the UK at 9 percent.</p>
<p>Our largest sector is information technology at 42 percent of the fund, followed by industrials and then financials. During the year, we made eight new investments. These included Revolut, the UK fintech that's now bigger by customer count than HSBC, and Duril, a US company disrupting the defence industry, and Anthropic, the AI lab behind the Claude model. We also invested in Rippling, which is re-imagining how companies manage their people and operations, and RedNote, a Chinese lifestyle and content platform with hundreds of millions of highly engaged users. On the other side, we sold out of our positions in Airbnb, Oscar Health, Warby Parker, and Masterclass. This is in keeping with our mandate to always be recycling capital towards where we see the best forward-looking opportunities. Looking ahead, we see plenty of causes for optimism. The portfolio is in strong shape, growing fast, becoming ever more profitable, and with the financial resilience to keep growing, even should financial markets fluctuate. Several of our largest holdings now rank among the biggest private companies in the world, with the fund holding stakes in six out of the top 10 biggest private companies on earth. Global private markets continue to offer extraordinary opportunities to the growth investor.</p>
<p>The world's most innovative companies are staying private for longer and longer, creating a rich hunting ground for reinvestment. Schiehallion exists precisely to give our shareholders a seat at that table. Access to tomorrow's public market champions today. Thank you, as always, for your continued support. For more detail, we invite you to read the trust's latest annual report on our website. And we look forward to seeing many of you at the next AGM.</p>
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<h3 class="TABLEHEADER1212pt">The Schiehallion Fund Limited</h3>
<p><strong>Annual past performance to 31 March each year (%)</strong></p>
<table border="1" style="border-collapse: collapse; width: 100%; border-width: 0px; height: 74.6668px;">
<tbody>
<tr style="height: 18.6667px;">
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px;"> </td>
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px; text-align: right;"><strong>2022</strong></td>
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px; text-align: right;"><strong>2023</strong></td>
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px; text-align: right;"><strong>2024</strong></td>
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px; text-align: right;"><strong>2025</strong></td>
<td style="border-width: 1px 1px 2px; border-style: solid; border-color: rgb(204, 204, 204) rgb(204, 204, 204) rgb(0, 0, 0); border-image: initial; padding: 10px; height: 18.6667px; text-align: right;"><strong>2026</strong></td>
</tr>
<tr style="height: 18.6667px;">
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px;">Share Price</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">2.2</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">-63.0</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">19.1</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">13.6</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">95.7</td>
</tr>
<tr style="height: 18.6667px;">
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px;">Net Asset Value</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">0.3</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">-25.0</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">6.9</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">8.9</td>
<td style="border: 1px solid rgb(204, 204, 204); padding: 10px; height: 18.6667px; text-align: right;">34.5</td>
</tr>
</tbody>
</table>
<p>Source: Morningstar. Total return in US dollars.</p>
<p><strong>Past performance is not a guide to future returns.</strong></p>
<p> </p>
<p><br><strong>Important Information</strong></p>
<p data-start="23" data-end="206">This communication was produced and approved in April 2026 and has not been updated subsequently. It represents views held at the time of writing and may not reflect current thinking.</p>
<p data-start="208" data-end="335">Unlisted investments such as private companies may be more difficult to buy or sell, so changes in their prices may be greater.</p>
<p data-start="337" data-end="732">This communication should not be considered as advice or a recommendation to buy, sell or hold a particular investment. This communication contains information on investments which does not constitute independent investment research. Accordingly, it is not subject to the protections afforded to independent research and Baillie Gifford and its staff may have dealt in the investments concerned.</p>
<p data-start="734" data-end="1199">Baillie Gifford & Co and Baillie Gifford & Co Limited are authorised and regulated by the Financial Conduct Authority (FCA). The investment trusts managed by Baillie Gifford & Co Limited are listed on the London Stock Exchange and are not authorised or regulated by the FCA. The value of its shares, and any income from them, can fall as well as rise and investors may not get back the amount invested. A Key Information Document is available at bailliegifford.com.</p>
<p data-start="1201" data-end="1488">Share prices may either be below (at a discount) or above (at a premium) the net asset value (NAV). The Trust may issue new shares when the price is at a premium which may reduce the share price. Shares bought at a premium may have a greater risk of loss than those bought at a discount.</p>
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