Capital at risk

Investment strategy

Global Alpha Paris Aligned Ethically Restricted

We identify companies with potential to deliver superior earnings growth while keeping emissions consistent with the Paris Agreement on climate change.  

An aerial view of a sailing boat floating on still water with clouds reflected on the surface.

Recognising diversity

An ambitious approach to investing in responsible growth companies from across the spectrum of opportunity, consistent with addressing the climate crisis. We are flexible and open-minded, recognising the diverse ways in which growth can be achieved. 

Global Alpha

Investment manager, Helen Xiong, discusses Global Alpha.

Patient, engaged ownership

We aim to identify companies which can grow their earnings at a superior rate to the market over sustained periods, where this potential is not reflected in the price. As share prices are ultimately driven by earnings growth, this approach underpins our objective to deliver returns 2 to 3 per cent per annum ahead of the benchmark over rolling five-year periods before the deduction of fees.  

The strategy also commits to maintaining a Weighted Average Greenhouse Gas Intensity lower than the MSCI ACWI EU Paris Aligned Requirements Index and excludes companies which fail to meet our responsible behaviour criteria. 

The performance target is aspirational and is not guaranteed. We don’t use it to compile the portfolio and returns will vary. A single performance target may not be appropriate across all vehicles and jurisdictions. We may not meet our investment objectives if, for example, our growth investment style is out of favour, or we misjudge the long-term earnings growth of our holdings.

A truly global portfolio

Our philosophy is to invest long-term in well-managed businesses with sustainable competitive advantages. We embrace diversity, splitting the portfolio across three growth profiles – compounders, disruptors and capital allocators – which exploit different inefficiencies.  

Each holding is analysed to ensure consistency with the low-carbon transition. The resulting portfolio of around 90 holdings represents the most attractive opportunities from across the growth spectrum. 

The 2020s must be the decisive decade of action on the climate crisis and there will unquestionably be greater discussion on the need to align funds with a 1.5°C warming scenario.
Helen Xiong

Meet the managers

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Philosophy and process

Explore our investment philosophy and the processes around how the team constructs the portfolio.

Quarterly update

Get the latest investment commentary, portfolio overview, transactions and performance information alongside governance engagement and voting. 

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You can invest in this strategy through the following fund(s).

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Strategy portfolio holdings

A list of the top 10 holdings that the representative portfolio invests in.

All figures up to: 31 January 2024

#Holding% of portfolio
1Microsoft5.2%
2Amazon.com4.1%
3Meta Platforms3.9%
4Elevance Health Inc.3.8%
5Moody's3.4%
6Mastercard2.8%
7Service Corporation International2.3%
8Prosus2.3%
9Alphabet2.3%
10CRH2.2%

Strategy holdings by region

All figures up to: 31 January 2024

1North America67.30%
2Europe (ex UK)15.90%
3Emerging Markets8.80%
4Developed Asia Pacific6.30%
5UK0.90%
6Cash0.80%
Total 100%

Strategy holdings by region

All figures up to: 31 January 2024

Total: 100%

Please note

The information contained on this page is intended as a guide only and should not be relied upon when making investment decisions. All holdings information is unaudited. Source Baillie Gifford & Co. Please note that totals may not add due to rounding.

Invest in this strategy

You can invest in this strategy through the following fund(s).

Explore further

Curious to learn more about our products and what we can offer you? Please get in touch.

How to invest in this strategy

You can invest in this strategy through the following fund(s).

Explore further

Curious to learn more about our products and what we can offer you? Please get in touch.