Capital at risk

Investment strategy

International Alpha

We believe the best way to navigate an uncertain world is to build a diversified portfolio of outstanding companies with deep competitive advantages and excellent stewardship.

Loch Coruisk viewed from a moantain top from above the valley.

An emphasis on quality

We invest across four types of growth: quality compounders, rapid growth, through-cycle winners and capital allocators. Our aim is to build a portfolio which can withstand economic cycles and take advantage of unpredictable events. 

International Alpha Q1 investment update

The International Alpha Team reflects on recent performance, portfolio changes and market developments over the last quarter.

Embracing every shade of growth

International Alpha is distinctly long term. We aim to outperform the MSCI ACWI ex-US benchmark by 2-3 per cent per annum over rolling five-year periods.  

Our portfolio contains 70-110 holdings. We seek to take advantage of market inefficiencies by investing across different types of growth company, which given our time horizon allows us to take advantage of their idiosyncratic growth opportunities.  

We find these companies through bottom-up research, holding on for the long term to capture the potential benefits of compounded growth.  

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 promising process

The International Alpha portfolio has a high active share, a genuinely long-term approach and a blend of high-quality growth companies that looks to exploit market inefficiencies by investing across all shades of growth. To do this we:  

  • Take a long-term perspective, resulting in low portfolio turnover
  • Invest from the bottom up, supported by in-depth fundamental analysis
  • Have a quality growth orientation
  • Follow a patient, repeatable process, drawing on the best ideas from firm-wide research  
To invest in growth is to say that society will achieve more tomorrow than it does today… Curiosity should be at the heart of all good investment research.
Jenny Davis

Meet the managers

Documents

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. 

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.

Strategy portfolio holdings

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

All figures up to: 31 March 2024

#CompanyFund %
1TSMC4.6%
2MercadoLibre3.8%
3SAP3.4%
4Samsung Electronics3.2%
5Ryanair ADR3.0%
6CRH2.7%
7Kingspan Group2.2%
8Scout242.2%
9Deutsche Boerse2.0%
10Rio Tinto1.9%

Strategy holdings by sector

All figures up to: 31 March 2024

1Industrials22.59%
2Information Technology22.28%
3Consumer Discretionary14.95%
4Financials13.54%
5Communication Services8.04%
6Materials6.60%
7Consumer Staples5.68%
8Health Care3.20%
9Energy1.94%
10Cash1.19%
Total 100%

Strategy holdings by sector

All figures up to: 31 March 2024

Total: 100%

Strategy holdings by region

All figures up to: 31 March 2024

1Europe (ex UK)48.65%
2Emerging Markets25.96%
3Developed Asia Pacific13.96%
4Canada5.15%
5UK5.09%
6Cash1.19%
Total 100%

Strategy holdings by region

All figures up to: 31 March 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.

Insights

Key articles, videos and podcasts relating to the strategy:

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Insights

Viewing 11 of 11
  1. International Alpha Q1 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    April 2024
    Video20 minutes
  2. Tilting the odds in your favour

    The Magnificent Seven’s reputation goes before them but that’s not enough to save them.
    April 2024
    Article8 minutes
  3. International Alpha Q4 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    January 2024
    Video16 minutes
  4. Why growth, why now?

    Tough times play to the partnership’s strengths: analysing what enables us to adapt and thrive amid rapid change.
    December 2023
    Article17 minutes
  5. International Alpha Q3 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    October 2023
    Video17 minutes
  6. Adapting to survive – and thrive

    Using a fighter pilot’s business strategy can help a company orient itself amid change.
    August 2023
    Article
  7. International Alpha Q2 update

    The International Alpha team reflects on recent performance, portfolio changes, and market developments.
    July 2023
    Video15 minutes
  8. International Alpha Q1 update

    International Alpha Team reflects on recent performance, portfolio changes, and market developments.
    April 2023
    Video8 minutes
  9. International Alpha Stewardship Report

    To 31 May 2022.
    July 2022
    Document
  10. International Alpha Anthology

    Winter 2021 International Alpha Anthology of content.
    Winter 2021
    Document
  11. How to surf the waves of growth

    Good investing takes quick reactions as well as a long-term vision.
    November 2021
    Article

International Alpha Q1 investment update

The International Alpha Team reflects on recent performance, portfolio changes and market developments over the last quarter.

Related insights

  1. International Alpha Q1 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    April 2024
    Video20 minutes
  2. Tilting the odds in your favour

    The Magnificent Seven’s reputation goes before them but that’s not enough to save them.
    April 2024
    Article8 minutes
  3. International Alpha Q4 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    January 2024
    Video16 minutes
  4. Why growth, why now?

    Tough times play to the partnership’s strengths: analysing what enables us to adapt and thrive amid rapid change.
    December 2023
    Article17 minutes
  5. International Alpha Q3 update

    The International Alpha Team reflects on recent performance, portfolio changes and market developments.
    October 2023
    Video17 minutes
  6. Adapting to survive – and thrive

    Using a fighter pilot’s business strategy can help a company orient itself amid change.
    August 2023
    Article
  7. International Alpha Q2 update

    The International Alpha team reflects on recent performance, portfolio changes, and market developments.
    July 2023
    Video15 minutes
  8. International Alpha Q1 update

    International Alpha Team reflects on recent performance, portfolio changes, and market developments.
    April 2023
    Video8 minutes
  9. International Alpha Stewardship Report

    To 31 May 2022.
    July 2022
    Document
  10. International Alpha Anthology

    Winter 2021 International Alpha Anthology of content.
    Winter 2021
    Document
  11. How to surf the waves of growth

    Good investing takes quick reactions as well as a long-term vision.
    November 2021
    Article

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.