Issue 1 2022

THE LONG VIEW

investing in the future

The US Equities Team’s optimistic look ahead to the next decade, including the enduring power of Moore’s Law,
the potential for hyper-connected networks and how innovators will drive the circular economy

US Equities

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Risk Factors

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Introduction
The past few years have challenged even the most ardent optimists.
Should we still believe the future will be better than the past? Is it still
reasonable to think we can solve society’s failings with persistence,
innovation and occasional sparks of genius?
Things can seem bleak: fallout from Covid continues, divisions are
deepening, and there are growing concerns about climate change.
Mainstream news outlets shine a light on these issues. And at their
best, they hold those in power to account and give a voice to those in
need. But journalists deciding which topics to report and what facts to
emphasise can have outsized influence.
So what makes the news? Academics Johan Galtung and Mari Ruge
published a seminal study in the 1960s, which has been repeatedly
updated. The first factor they highlighted was frequency: if events are
fast developing and require daily updates, they are more likely to be
reported. The financial media tends to follow the popular press in terms
of story choice, adding analysis about the implications for asset prices.
But as the late health expert Hans Rosling noted in his book Factfulness,
this approach can lead to a misleading worldview that downplays
slow-developing but long-lasting structural changes.
No news publication would feature daily updates about the drawn-out but
inexorable rise of global literacy rates, social inclusion or life expectancy
and expect to retain its audience. But many of those long-acting trends,
underpinned by innovation, will be tremendously impactful. So while the
present turmoil is concerning, we are still optimistic about humankind’s
capacity for progress. And progress is a trait we look for in the
companies we invest in.
Several years back, the economist Max Roser created a thought
experiment in which he asked: what would a newspaper published once
every 50 years lead on? He suggested that the dramatic fall in global
child mortality would be a possible front page. It’s interesting to consider
that by taking a different perspective we might become more positive in
our outlook and more likely to focus on challenges that we’ve overcome.
This inspired us to make a ‘newspaper’ of our own. The brief was to
explore what might matter the most over the next decade of investing.
It’s no coincidence that the authors of the following essays each decided
independently to write about creation and improvement.
We plan to repeat this exercise annually. Welcome to The Long View.

Fraser Thomson
Client Service Director

1
 Contributors
Fraser Thomson
Fraser is a Client Service
Director in the US Equities
Team. Prior to Baillie
Gifford, he spent six years
as a consultant engineer
which included spending
time supervising projects
in Tripoli and Libya.
Ben James
Ben is a director in the
Clients Department and a
member of our US Equity
Product Group. He was
previously an infantry
officer in the British Army,
during which time he
completed two combat
tours of Afghanistan.
2
Tom Slater
Tom is head of the US
Equities Team and a
partner at Baillie Gifford.
His investment interest
is focused on listed and
private high-growth
companies.
Sacha Meyers
Sacha is an investment
analyst in the US Equities
Team. He previously
worked on global and
regional teams for both
small and large caps,
and earlier studied
environmental sciences.
Kirsty Gibson
Kirsty is an investment
manager in the US Equities
Team. Prior to this role,
she spent several years in
Baillie Gifford’s small and
large cap global equities
departments.
Gary Robinson
Gary is an investment
manager in the US Equities
Team and a partner at
Baillie Gifford. He is a
generalist investor but has
a special interest in the
healthcare sector.
Dave Bujnowski
Dave is a portfolio
manager in the US Equities
Team. Prior to joining
Baillie Gifford in 2018,
he was co-founder of
Coburn Ventures, a hedge
fund focused on large-scale
disruptive change.
Saad Malik
Saad is an investment
analyst in the US
Equities Team. He
joined Baillie Gifford
in 2016 after studying
public management and
governance at the London
School of Economics.
Contents

4 6 8 10
Moore’s Law marches on Open minds Hyper-connected networks Going in circles
Investment manager Investment manager Investment manager Client director Ben James
Tom Slater considers what Kirsty Gibson describes Dave Bujnowski explains explores the scale of
the regular doubling of the hunt for companies with why the internet and the opportunity available
computing power might foundational technologies cloud computing are set to to companies that take
make possible on which wider industries supercharge the power of active roles within the
can be built human creativity circular economy

12 14 18
Bitcoin: the digital Venice Infinite progress Purpose maximisers
Investment analyst Investment manager Investment analyst
Sacha Meyers describes Gary Robinson explains why Saad Malik discusses how
how the decentralised the pace of invention should recognising what motivates
cryptocurrency Bitcoin continue to speed up workers can help companies
could pave the way to increase their chances
more creativity within the of success
financial system

3
 Moore’s Law
marches on
Investment manager Tom Slater considers what the regular
doubling of computing power might make possible
It is a decade since the start of 2012, the year
the Olympics arrived in London and the
Queen celebrated her Diamond Jubilee.
Back then, the financial press was outraged
by the Libor scandal. It contemplated the
impact of $4/gallon petrol on the fragile US
economy. It fretted over the fiscal cliff and
the impact of forthcoming tax changes. In
the stock market, following a flat year in
2011, investors could look forward to better
returns as the slow recovery from the
financial crisis continued.
With little attention or fanfare, Moore’s Law
marched through 2012 receiving few column
inches. The pace at which manufacturers
improve computer chips had been identified
nearly 40 years previously and could hardly
be considered newsworthy.
That year Intel delivered a Sandy Bridge-E
Core i7 microprocessor with about 2.3 billion
transistors. However, a more profound
consequence was being felt as small,
powerful and low-energy chips enabled a
smaller form-factor for computation. Indeed,
the ‘mobile transition’ became a hot topic
that summer and contributed to Facebook’s
shares declining 50 per cent in value after
its IPO as investors worried it couldn’t adapt
to smartphones.
Since 2012, there have been no
headline-grabbing breakthroughs in
computer chip technology. Instead, the
semiconductor industry has advanced to
4 the same drumbeat that it did in previous
decades: continuously miniaturising and
improving the efficiency and performance
of silicon chips. Consequently, today’s
iPhone 13 carries out 147 times more
calculations per second than the iPhone 4S
could back in 2012.
Moore’s Law is framed as a doubling of
compute capability every 18 months. We
can intuitively understand what a doubling
of computer power is. What we’re very bad
at understanding is what happens if compute
power repeatedly doubles over 10 years.
Along with developments in batteries,
communications and software, the progress
that has underpinned the 147x increase in
iPhone capability has also given us
autonomous vehicles, smartwatches, cloud
computing and cryptocurrency. It has created
trillions of dollars of market capitalisation for
online platform companies such as Apple,
Amazon and Alphabet. And it’s far from over.
If in 2012 you had predicted nothing more
than the progression and importance of
Moore’s Law, you could explain much of
what has happened over the subsequent
10 years. The lesson as investors is to
avoid the amygdala hijack created by
negative stories in the daily newspapers
and instead focus on the predictable
progress that underpins many of today’s
great growth companies.
We don’t claim to know where this will take
us by 2032, but the next 100-fold increase in
compute capability will drive change beyond
the realms of science fiction.
Moore’s Law is framed as a doubling
of compute capability every 18 months
5
 Open
minds
Investment manager Kirsty Gibson describes the hunt for companies
with foundational technologies on which wider industries can be built

6
 Embracing the potential of companies whose
profits may be several years off means
embracing uncertainty and opening your mind
to possibility.
In his book One from Many, Visa’s founder
Dee Hock talks of minds being littered with old
furniture. The challenge is not getting new ideas
in but getting the old ones out. That’s because
old ideas lead to assumptions about how things
ought to be, not what they could become.
Consider how quickly our minds jump to
analogies when trying to process an innovation,
applying it to existing business models or
products. But this might only cover a small part
of its potential. It’s harder to conceive of doing ‘unbundling’ and ‘re-bundling’ foundational
new things by new means.
Imagining with conviction is difficult. When
John Bardeen and his colleagues invented the
transistor in 1947, no one predicted the iPhone.
We accept that we will not predict the future, but to be enabling serendipitous gatherings of minds
we are willing to explore what might be possible. in a modern equivalent to the 18th-century
We must take our mental sweeping brushes and
try to rid our minds of old ideas, pushing each
other to think beyond why something might not
work or doesn’t fit within an existing model or
paradigm. We must ask what the world could
look like if a company succeeds.
Take Illumina. When Baillie Gifford first bought
the gene-sequencing company for our clients in
2011, we had a tentative hypothesis that
sequencing could become the foundation of an
entirely new industry. Fast-forward 10 years and
this hypothesis appears to be becoming reality.
We must ask what the
world could look like if
a company succeeds
Two holdings in the strategy have built
their businesses upon the technology:
— 10x Genomics, which develops
instruments and consumables for
the analysis of single cells
— Ginkgo Bioworks, which seeks to
harness the power of biology to
make just about anything
We are now considering which companies
could be the Illuminas of the 2020s, laying the
foundations of entirely new ways to do things.
There’s growing evidence they may be found
within fintech, where software companies are
qualities of the financial system in novel and
potentially better ways. They may also be
involved in learning, gathering and
communicating, where online platforms appear
coffee houses of London.
In times of change, it is also key to identify those
things that will remain constant. We are long
term. We are growth. We have a fundamental
belief in the asymmetry of stock market returns.
We look for opportunities in change. We, and
you as our investors, are venturing.
The path for companies driving structural
change may not be straight. Some paths will
weave and wend and turn out to be dead ends.
Others will branch out into new opportunities
and take us in directions we might not currently
be able to imagine.
Our rucksack is laden with optimism, patience
and the knowledge that we won’t always get it
right. But in a world of asymmetric returns,
we believe it is better to venture than not
venture at all.
7
 Hyper-connected
networks
Investment manager Dave Bujnowski explains why the internet and
cloud computing are set to supercharge the power of human creativity

8
We are living amid two great
infrastructure changeouts:
— the internet, upon which
commerce, media and
information flow
— the cloud, upon which IT is stored,
powered, and distributed
Both happen to be hyper-connected
networks. Networks whose power to
disrupt and change the world is still
largely untapped.
To understand why, let’s recall
Metcalfe’s Law. Robert Metcalfe was
an engineer in the early days of the
internet who said that a network’s
value is proportional to the square of
the number of its nodes – with nodes
meaning either a participant or
connection point that can send,
receive and/or redistribute
information. This law is supposed
to hold true whether it is applied to a
network of landline phones or users
of a social media app.
I’d add a wrinkle and suggest that the
value of a network is also a function
of the capabilities (or power) of the
nodes in the network AND of the
capabilities (or power) of the cargo
that the network carries.
As a communication network grows, more unique connections become possible, increasing its value
These are the fundamental
components and core jobs of
a network, after all: to connect
nodes and to transmit something
through them.
In other words, the following are
critical determinants of a network’s
power and its ability to disrupt:
— what the nodes are
— what the cargo happens to be
— what is its capacity to
affect change
To bring this to life, let’s reflect on the
impact that the transcontinental
railroad had in the US in the mid-19th
century. Its nodes were towns and
ports. Its cargo was freight and people.
All things of the material world.
Finite. Yet it supercharged American
industry. No mean feat!
Contrast that with the nodes and cargo
of today’s new communication
infrastructures. Their nodes are,
theoretically, every human and any
machine connected to them. And
instead of transporting people, cattle,
and crops, they transport bits and
bytes. Not merely ‘data’ but also
software and applications – the very
vessels for ideas and human creativity
and ingenuity.
The power of all this is expressed well
in Paul Graham’s excellent essay
Great Hackers. He writes: “In a
low-tech society you don’t see much
variation in productivity. If you have a
tribe of nomads collecting sticks for a
fire, how much more productive is the
best stick gatherer going to be than the
worst? A factor of two? Whereas when
you hand people a complex tool like a
computer, the variation in what they
can do with it is enormous.”
As I read that, the question that pops
to mind is: “What tool is even more
complex than a computer? Where can
the variability be even greater?”. The
answer, I think, lies inside our heads
and hearts: imagination, creativity,
human ingenuity.
Thanks to these new infrastructures,
the tools are at hand for
entrepreneurial-minded individuals
to address problems that couldn’t
be dealt with before. And they can
do so by collaborating creatively and
imaginatively with others in real time
and on a global scale in ways that were
not possible until now.
9
 Going
in circles
Client director Ben James explores the scale of the opportunity available
to companies that take active roles within the circular economy

10
“Please tell me you’re not going to talk about
ESG,” one of our clients said recently. “It’s all
anyone’s talking about. I’m getting ESG fatigue
and feel guilty for existing!”
I have some sympathy. Don’t get me wrong,
we’re finally addressing the most pressing issues
of our time: climate change, declining
biodiversity, and inequality. But it’s hard to
change behaviour. And I don’t think you solve
big problems by making them purely ‘ethical’
choices.
Part of the issue is our linear economy, in which
we extract and then discard resources after they
have served a single purpose. The argument
against this ‘cradle to grave’ model is simple: at
some point, we’ll run out of raw materials and
be unable to fuel the system. And we’ll have
radically altered the planet on the way.
One way of tackling this is to slow the extraction
of resources through efficiency gains and by
lowering consumption. In short, do less. But this
doesn’t solve the root problem. And simply
making consumption less attractive carries its
own risks.
A more ambitious solution, and one which could
reshape entire industries, is the development of
circular economies. ‘Cradle-to-cradle’ models,
where ‘waste is food’ for either the biological
cycle (think compostable packaging) or the
technical cycle (materials re-entering industry
at the end of their life to become something
else). It’s far more than ‘reduce, reuse, recycle’.
It’s closing the loop on the linear economy.
The circular economy is a design-driven
closed-loop economy that:
— eliminates waste and pollution
— circulates products and materials
at their highest value
— regenerates nature
It’s far more than
‘reduce, reuse, recycle’.
It’s closing the loop on
the linear economy
It’s underpinned by renewable energy and
materials. It’s a resilient, systems-based
framework that is good for business, people,
and the environment. It’s not a new idea, but
only now is it becoming realistic to think that
much of the economy could become circular
in our lifetimes. For that to happen, we need
innovative companies to create infrastructure,
materials and processes.
Circular business models in fashion could
capture more of the industry as consumers
are increasingly motivated by affordability,
convenience and environmental awareness.
This could be a $700bn opportunity by 2030,
according to one forecast.
Redesigning mobility and transport systems to
be shared, automated and better linked together
will further enhance the great strides we are
making in electrifying our vehicles.
Digital platforms are enabling circular economy
innovation by giving us the ability to see systems
of material flows and eliminate waste. These are
new tools that are only now getting into the
hands of entrepreneurs. When considering the
shape of things to come, I think we should be
looking for circles. 11
 Bitcoin:
the digital Venice
Investment analyst Sacha Meyers describes how the decentralised cryptocurrency
Bitcoin could pave the way to more creativity within the financial system
The rise of Italian and then Flemish cities towards
the end of the Middle Ages was arguably responsible
for the cultural and economic rebirth of Europe we
now know as the Renaissance.
People found protection from the feudalism that
dominated the continent at the time. Hidden behind
city walls, they could more easily practise a trade or
engage in commerce. Florentine bankers would
finance weavers from Ghent, who sold their wares
throughout Europe. Together these cities amounted
to a complex network of entrepreneurial individuals
able to experiment and innovate.
History is in fact full of such places bursting
with the creative interchange of free people.
Eighteenth-century Edinburgh similarly radiated
during the Enlightenment. Today, the American
West, as symbolised by Hollywood and Silicon
Valley, is a new centre of creative life.
While all such places are distinct, they resemble
each other by having a vibrant economic and
cultural life. We and other growth investors are
optimistic about the future and thus naturally
drawn to finding and financing tomorrow’s Venice.
So where might it be?
One possibility is that it is both nowhere and
everywhere. It might not be a geographic location
so much as a space anyone can join if they feel
so inclined. That is perhaps the promise of the
internet. Anyone can join a network of free creation
and exchange.
But the internet’s open architecture has made trust an
issue. One answer has been to build secure walled
12 gardens, where identities are verified and credentials
kept secure. We know these spaces as Amazon,
Facebook and Google.
But Bitcoin offers a toolkit for constructing
significantly more decentralised systems. By
providing a means to treat money in as open and
decentralised a manner as the internet treats
information, Bitcoin may enable the rebuilding of
many of the benefits of the walled gardens without
the need for a trusted intermediary. And the
consumer internet may be only the first and most
obvious candidate for overhaul.
Harnessing the first true digital scarcity may
have tremendous implications for capital markets,
while the digital bridge from energy to value may
give power grids a novel way to achieve balance,
storing and releasing value and energy as consumer
demand requires.
All this essentially relies on openness. Anyone
can read the Bitcoin code to see what they’re
opting in to, and every member of the network
can independently send and verify transactions.
Bitcoin is a new city state, protected by walls of
code and energy. Bitcoin is Venice. Or at least it
has the potential to equal and perhaps surpass
La Serenissima.
It is too early to tell what creative sparks might fly
when people can circumvent traditional financial
and governmental monetary regimes. But given
that Bitcoin is the first such network that could
welcome the entire population of Earth, the scale
of its contribution might outdo anything we have
yet seen.
 It might not be a geographic
location so much as a space anyone
can join if they feel so inclined 13
 Infinite
progress
Investment manager Gary Robinson explains why
the pace of invention should continue to speed up

14
Progress, as defined by growth in
wealth and wellbeing, is not
guaranteed. We tend to take it for
granted because it has been a
consistent feature of our lives.
However, the same cannot be said
for our distant ancestors. For them,
stasis was the norm. Indeed, the last
several hundred years represent the
only period in which significant
progress has been sustained over
many generations.
The late 1600s marked a turning
point with the Scientific
Revolution, the Enlightenment, and
the subsequent Industrial
Revolution. It was when the search
for knowledge shifted away from
customs and authority towards
conjecture and criticism.
People rejected mysticism in favour
of testable theories. Or as the
physicist David Deutsch puts it:
“All progress, both theoretical and
practical, has resulted from a single
human activity: the quest for what I
call good explanations.”
The more existing
knowledge we have, the
more new knowledge
we can create
In Deutsch’s terms, ‘good
explanations’ are those that are hard
to vary, in the sense that changing
the details would ruin the theory.
For example, our explanation as to
why we have seasons. If you
assume even a small shift in the
planet’s axis tilt, the expected
outcomes change and become
incompatible with the evidence.
Knowledge creation became a
compounding process that has
fed on itself. The more existing
knowledge we have, the more new
knowledge we can create.
It is also a never-ending process.
The creation of new knowledge
helps us solve existing problems.
But this, in turn, creates new
problems to be solved.
If we accept that the capacity
for progress is unbounded, an
important follow-on question is:
what shape might it take? Will
the rate of progress slow down
over time? Or remain steady?
Or even accelerate?
In his 1998 paper Recombinant
Growth, Harvard economist Martin
Weitzman breaks innovation into
two phases:
— a generation phase, where two
pre-existing ideas are combined
— a processing phase, where the
new idea is tested
Weitzman points to Thomas
Edison’s search for a filament for his
‘electric candle’ as an example of
this combinatorial process. Edison
tried 6,000 different materials
before settling on a carbonised strip
of Japanese bamboo.
The wonderful thing about the
combinatorial process is that each
fresh idea becomes fuel for further
new ideas.
The economist Matt Clancy
explores this further in his blog,
What’s New Under The Sun?
He points out that once the
lightbulb existed, it paved the way
for further inventions that used
lightbulbs as a technological
component. For example, car
headlights and helicopter spotlights.
“Combinatorial processes
grow slowly until they explode,”
he observed.
The maths behind this process is
staggering. The equation involved
outstrips even the exponential
growth of Moore’s Law. And if
we assume that new ideas can be
created by combining more than
two existing ideas, the maths
becomes even more extreme. 15
 Weitzman’s model suggests that the
processing of ideas eventually becomes
the rate-limiting factor.
Ideas grow super-exponentially, but the
economy grows exponentially, which means
the resources available to explore ideas are
limiting. Because of this, rather than
accelerating indefinitely, progress settles
into an exponential pattern.
This is an interesting hypothesis because it
is consistent with what we see in the GDP
growth numbers.
Others, including Clancy, have since
challenged this conclusion, suggesting
reasons why progress could yet lose steam.
But I have confidence that the combined
computational capacity of humans and
machines will continue to grow over time,
whether through AI, quantum computing
or technologies we have yet to imagine.
It is the nature of progress that there will
always be new problems to solve. And with
each solution, we take a step forward.
In this context, optimism about the future
isn’t only rational, it is self-fulfilling.
It is the nature of progress that there will
always be new problems to solve. And with
each solution, we take a step forward. This is
an exciting backdrop for investors,
entrepreneurs and the world at large.
It also implies that the key to progress,
as much as anything, is belief in infinite
progress. Because it is our belief in the
fallibility of our current assumptions and
in the solvability of problems that drives us
forward. In this context, optimism about the
future isn’t only rational, it is self-fulfilling.
Optimism about the
future isn’t only rational,
it is self-fulfilling

That is an exciting backdrop for investors,

entrepreneurs and the world at large.

It also implies that the key to progress, as

much as anything, is the belief in infinite
progress. Because it is our belief in the
fallibility of our current assumptions and
in the solvability of problems that drives
us forward.

16
17
 Purpose maximisers,
not profit maximisers
Investment analyst Saad Malik discusses how recognising what motivates workers
can help companies increase their chance of success

18

Increasing numbers of people are turning to some
of the biggest and most complex problems and
building systems and companies to solve them.
We call them ‘purpose maximisers’. Two
individuals spring to mind:
1. Luis von Ahn, co-founder of Duolingo
The Guatemalan entrepreneur aims to develop
the world’s best educational tools and make
them universally available. Duolingo’s
language teaching app already has more than
42 million monthly active users, and it is
working on a maths-centric follow-up.
2. RJ Scaringe, founder of Rivian
The US engineer’s electric car company is on a
mission to keep the world adventurous. That
stems from his belief that the closer you feel to
nature, the more likely you will be to take care
of it.
A clear sense of purpose drives both chief
executives and the teams they lead. That’s good
because they face challenges that require more than
profit motivation alone.
That’s not to say that profits don’t matter. But they
are necessary rather than sufficient: those involved
also require deep wells of energy and resilience.
Daniel Pink explores this further in his book Drive.
He challenges assumptions that profit and pay are
the best way to motivate workers, at least when it
comes to creative, non-routine tasks. Instead, he
says motivation comes from:
— autonomy – the freedom to decide what task
you do, when you do it, with whom and how
— the pursuit of mastery – a sense that through
effort and practice, you keep getting better at
an activity
— purpose – a sense you are serving a cause
greater than yourself
Purpose is increasingly central to how companies
structure themselves. That leads to exciting
investment opportunities.
These ‘purpose
maximisers’ will need to
draw on deep wells of
energy and resilience
One example is open-source software. It lets
developers use a publicly available codebase to
build applications. It also allows users to contribute
to the source code, making the software better for
all users.
Academic research suggests that developers
willingly donate ideas to open-source projects
because they appreciate the community’s value:
namely, a shared sense of purpose, creative
problem solving and intellectual stimulation.
Many open-source enterprise software businesses
have floated over the last two years, demonstrating
the model’s success, including Hashi Corp.
B Corps are another example of purpose-structured
groups. The corporations define impact and the
service of all stakeholders as their reasons to exist.
In doing so, they abandon the traditional
dichotomy of ‘for-profit’ versus ‘non-profit’.
The movement, which started in 2007, now
includes over 4,500 companies across more than
75 countries and virtually every industry.
Lemonade exemplifies this spirit. The firm uses
technology and behavioural economics to make
insurance more accessible and fair.
In the coming decades, we believe a growing
awareness of our impact on the planet and the
need to address inequality, among other societal
challenges, will drive more people and groups.
They will benefit from a convergence of
technological building blocks, such as cloud
computing, application development, machine
learning and more.
There is no shortage of problems to solve. But 19
these purpose maximisers should give you a
reason to be optimistic.
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Gifford Investment Management (Europe) Limited. The
Baillie Gifford Overseas Limited provides investment
firm is currently awaiting authorisation by the Swiss
management and advisory services to non-UK
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Professional/Institutional clients only. Baillie Gifford
maintain this representative office of a foreign asset
Overseas Limited is wholly owned by Baillie Gifford
manager of collective assets in Switzerland pursuant to
& Co. Baillie Gifford & Co and Baillie Gifford Overseas
the applicable transitional provisions of FinIA. Baillie
Limited are authorised and regulated by the FCA in
Gifford Investment Management (Europe) Limited is
the UK.
a wholly owned subsidiary of Baillie Gifford Overseas
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consult with their professional advisers as to whether Co. Baillie Gifford Overseas Limited and Baillie Gifford
they require any governmental or other consents in order & Co are authorised and regulated in the UK by the
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advice relevant to their own particular circumstances.
Hong Kong
Financial Intermediaries Baillie Gifford Asia (Hong Kong) Limited
This communication is suitable for use of financial 柏基亞洲(香港)有限公司 is wholly owned by Baillie
intermediaries. Financial intermediaries are solely Gifford Overseas Limited and holds a Type 1 and a Type
responsible for any further distribution and Baillie 2 license from the Securities & Futures Commission of
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this document directly from Baillie Gifford. collective investment schemes to professional investors
in Hong Kong. Baillie Gifford Asia (Hong Kong)
Europe
Limited
Baillie Gifford Investment Management (Europe)
柏基亞洲(香港)有限公司 can be contacted at Suites
Limited provides investment management and advisory
2713–2715, Two International Finance Centre, 8 Finance
services to European (excluding UK) clients. It was
Street, Central, Hong Kong. Telephone +852 3756 5700.
incorporated in Ireland in May 2018. Baillie Gifford
Investment Management (Europe) Limited is authorised South Korea
by the Central Bank of Ireland as an AIFM under Baillie Gifford Overseas Limited is licensed with the
the AIFM Regulations and as a UCITS management Financial Services Commission in South Korea as a
company under the UCITS Regulation. Baillie cross border Discretionary Investment Manager and
Gifford Investment Management (Europe) Limited Non-discretionary Investment Adviser.
is also authorised in accordance with Regulation 7
Japan
of the AIFM Regulations, to provide management of
portfolios of investments, including Individual Portfolio Mitsubishi UFJ Baillie Gifford Asset Management
Management (‘IPM’) and Non-Core Services. Baillie Limited (‘MUBGAM’) is a joint venture company
Gifford Investment Management (Europe) Limited between Mitsubishi UFJ Trust & Banking Corporation
has been appointed as UCITS management company and Baillie Gifford Overseas Limited. MUBGAM is
to the following UCITS umbrella company; Baillie authorised and regulated by the Financial Conduct
Gifford Worldwide Funds plc. Through passporting it Authority.
has established Baillie Gifford Investment Management
(Europe) Limited (Frankfurt Branch) to market its
investment management and advisory services and
distribute Baillie Gifford Worldwide Funds plc in
Germany. Similarly, it has established Baillie Gifford
20 Investment Management (Europe) Limited (Amsterdam
Branch) to market its investment management and
advisory services and distribute Baillie Gifford
Worldwide Funds plc in The Netherlands. Baillie
Gifford Investment Management (Europe) Limited
Australia
Baillie Gifford Overseas Limited (ARBN 118 567 178) is
registered as a foreign company under the Corporations
Act 2001 (Cth) and holds Foreign Australian Financial
Services Licence No 528911. This material is provided to
you on the basis that you are a “wholesale client” within the
meaning of section 761G of the Corporations Act 2001 (Cth)
(“Corporations Act”). Please advise Baillie Gifford Overseas
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no circumstances may this material be made available to
a “retail client” within the meaning of section 761G of the
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This material contains general information only. It does not
take into account any person’s objectives, financial situation
or needs.
South Africa
Baillie Gifford Overseas Limited is registered as a Foreign
Financial Services Provider with the Financial Sector
Conduct Authority in South Africa.
North America
Baillie Gifford International LLC is wholly owned by
Baillie Gifford Overseas Limited; it was formed in Delaware
in 2005 and is registered with the SEC. It is the legal entity
through which Baillie Gifford Overseas Limited provides
client service and marketing functions in North America.
Baillie Gifford Overseas Limited is registered with the SEC
in the United States of America.
The Manager is not resident in Canada, its head office
and principal place of business is in Edinburgh, Scotland.
Baillie Gifford Overseas Limited is regulated in Canada
as a portfolio manager and exempt market dealer with
the Ontario Securities Commission (‘OSC’). Its portfolio
manager licence is currently passported into Alberta,
Quebec, Saskatchewan, Manitoba and Newfoundland &
Labrador whereas the exempt market dealer licence is
passported across all Canadian provinces and territories.
Baillie Gifford International LLC is regulated by the OSC
as an exempt market and its licence is passported across
all Canadian provinces and territories. Baillie Gifford
Investment Management (Europe) Limited (‘BGE’) relies
on the International Investment Fund Manager Exemption
in the provinces of Ontario and Quebec.
Oman
Baillie Gifford Overseas Limited (“BGO”) neither has a
registered business presence nor a representative office
in Oman and does not undertake banking business or
provide financial services in Oman. Consequently, BGO
is not regulated by either the Central Bank of Oman or
Oman’s Capital Market Authority. No authorization, licence
or approval has been received from the Capital Market
Authority of Oman or any other regulatory authority in
Oman, to provide such advice or service within Oman. BGO
does not solicit business in Oman and does not market,
offer, sell or distribute any financial or investment products
or services in Oman and no subscription to any securities,
products or financial services may or will be consummated
within Oman. The recipient of this material represents that
it is a financial institution or a sophisticated investor (as
described in Article 139 of the Executive Regulations of the
Capital Market Law) and that its officers/employees have
such experience in business and financial matters that they
are capable of evaluating the merits and risks of investments.
Qatar
The materials contained herein are not intended to constitute
an offer or provision of investment management, investment
and advisory services or
other financial services under the laws of Qatar. The services
have not been and will not be authorised by the Qatar
Financial Markets Authority, the Qatar Financial
Centre Regulatory Authority or the Qatar Central Bank
in accordance with their regulations or any other regulations
in Qatar.
Israel
Baillie Gifford Overseas is not licensed under Israel’s
Regulation of Investment Advising, Investment Marketing
and Portfolio Management Law, 5755–1995 (the Advice
Law) and does not carry insurance pursuant to the Advice
Law. This material is only intended for those categories of
Israeli residents who are qualified clients listed on the First
Addendum to the Advice Law.
21
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