Baillie Gifford China Equities Fund Class K is an open-end mutual fund focused on achieving capital appreciation by investing in a select portfolio of Chinese companies. The fund typically holds between 40 and 80 stocks, targeting businesses that demonstrate growth potential across a diverse range of sectors within China. Its investment scope includes common stocks and other equity securities of companies with significant exposure to the Chinese market, regardless of where the securities are principally listed, and may also involve preferred stocks, convertible securities, and warrants. The fund’s strategy is actively managed with a bottom-up stock selection process, designed to identify long-term opportunities rather than track a benchmark index. Almost all assets are invested in foreign issues, reflecting a concentrated geographic focus that can lead to increased volatility and risk, including regulatory, political, and currency challenges unique to China. The fund does not pay dividends, emphasizing reinvestment to enhance growth potential. By offering investors access to China’s dynamic and evolving economy, the fund plays a specialized role in portfolios seeking exposure to emerging markets and the growth prospects of Chinese enterprises.
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