Baillie Gifford
Baillie Gifford International Alpha
International Large-cap
Jun 2026 → Sep 2026
Our archive holds 2 letters from this strategy, behind 5 investment theses and positions in 24 companies. Every quote below is copied verbatim from the letter it came from.
2 letters in a year · follow all of Baillie Gifford for every strategy.
Performance
as of Sep 30, 2026 · net of fees · USD · International Alpha Composite (net)
- YTD+10.6%index +20.5%
- 1Y+10.6%index +20.5%
- 5Y · /yr+2.9%index +10.1%
- 10Y · /yr+7.7%index +9.8%
Index: MSCI ACWI ex US Index
| YTD | 1Y | 5Yper year | 10Yper year | |
|---|---|---|---|---|
| Baillie Gifford International Alpha | +10.6% | +10.6% | +2.9% | +7.7% |
| MSCI ACWI ex US Index | +20.5% | +20.5% | +10.1% | +9.8% |
Calendar years
- 2025+8.6%index +17.1%
- 2024+31.0%index +26.0%
- 2023+18.7%index +21.0%
- 2022−38.3%index −24.8%
Disclaimer
These figures are copied from the manager’s latest letter, as of Sep 30, 2026. They were extracted automatically, have not been verified by HF Best Ideas and may contain errors. They cover a single share class, in the currency and fee basis stated above; other share classes and your own returns will differ. This is not investment advice, nor an offer to buy or sell any fund. Past performance does not predict future returns.
Read full disclosures →What it bought and sold
That led us to exit a small number of companies whose operational progress or prospective returns had fallen short, among them German biotechnology company BioNTech and Japanese mergers and acquisitions adviser Nihon M&A.
The additions to Nintendo and CRH rest on a similar gap between our view of their long-term prospects and the market’s shorter-term concerns.
That led us to exit a small number of companies whose operational progress or prospective returns had fallen short, among them German biotechnology company BioNTech and Japanese mergers and acquisitions adviser Nihon M&A.
SAP’s sharp share price weakness after February’s ‘SaaSpocalypse’ gave us a good opportunity to add to the position.
Finally, our aim of strengthening portfolio resilience in the face of global uncertainty led us to add to French energy company TotalEnergies and Japanese trust bank Sumitomo Mitsui Trust Group.
- New positionBending SpoonsSep 2026
With Bending Spoons, the opportunity is differentiated insight. The Italian company buys neglected software products, such as Vimeo and Airtable, and rebuilds them, making them more efficient.
In one case, reviewing a holding led us to a better one. We replaced Indian bank HDFC Bank, whose governance and execution have been disappointing, with ICICI Bank, the strongest operator among India’s private banks.
We used the proceeds to add to companies the market still underestimates. Canadian serial acquirer Constellation Software faces the same AI fears that weighed on SAP, and we think the market is misjudging it in the same way.
Finally, our aim of strengthening portfolio resilience in the face of global uncertainty led us to add to French energy company TotalEnergies and Japanese trust bank Sumitomo Mitsui Trust Group.
In one case, reviewing a holding led us to a better one. We replaced Indian bank HDFC Bank, whose governance and execution have been disappointing, with ICICI Bank, the strongest operator among India’s private banks.
The additions to Nintendo and CRH rest on a similar gap between our view of their long-term prospects and the market’s shorter-term concerns.
- New positionBeijer RefSep 2026
With Beijer Ref, the opportunity was price. The Swedish distributor of refrigeration and air-conditioning equipment benefits from growing demand for energy-efficient cooling.
This quarter's new buys are a case in point: MTU Aero Engines is a German provider of aircraft engine maintenance, repair and overhaul services, and Argenx is a Belgian specialist in antibody-based drugs for rare autoimmune diseases.
This quarter's new buys are a case in point: MTU Aero Engines is a German provider of aircraft engine maintenance, repair and overhaul services, and Argenx is a Belgian specialist in antibody-based drugs for rare autoimmune diseases.
we took some profits from Samsung and TSMC to fund positions in less obvious AI beneficiaries.
One of them is Wärtsilä, a Finnish specialist in highly efficient multi-fuel engines.
Shortly after we initiated our position in SoftBank, it announced record profits boosted by outstanding operational performance from separately listed chip designer, Arm, and continued upward revisions in OpenAI's private valuation.
Also held
Its investment theses
- Recruit HoldingsSep 2026Recruit Holdings is a Japanese online media and recruitment business with strong digital assets and entrepreneurial management, and AI is improving matching, revenue per search, and margins.
- SAPSep 2026SAP is a deeply embedded enterprise software provider whose cloud transition supports growth, revenue visibility, cross-selling, and higher margins.
- Constellation SoftwareSep 2026Constellation Software is a Canadian serial acquirer whose subscription and maintenance revenue model and cheaper acquisition opportunities support the investment case.
- Bending SpoonsSep 2026Bending Spoons is an Italian software acquirer that rebuilds neglected products with an exceptionally talented team and a hard-to-analyze venture-style model.
- WärtsiläJun 2026Wärtsilä is a Finnish multi-fuel engine specialist positioned to benefit from datacentre power needs and broader decarbonisation trends.