Baillie Gifford's income fund: It's important to be invested in growth businesses

UK dividends dropped 40% in 2020

clock • 2 min read

Toby Ross, investment manager on Baillie Gifford’s Responsible Global Equity Income Fund, explored whether there is a trade-off between sustainability and investment objectives, and what constitutes a truly responsible investment in a recent Working Lunches event with Professional Adviser.

Last year was a significant stress-tester for UK-based income investors. Dividends in the UK market plummeted more than 40% as businesses suspended pay-outs to investors. A recent study by Link Group found that UK companies were unlikely to return pre-Covid dividends until 2025 as payments to investors halved in the first year of the pandemic. Companies with unsustainable business models and practices found themselves falling victim to divestment from large investment managers. According to Toby Ross (pictured), Baillie Gifford's Responsible Global Equity Income fund performed well la...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

What advisers need to know as SpaceX fuels space investing interest

What advisers need to know as SpaceX fuels space investing interest

WisdomTree’s Mobeen Tahir unpacks the space economy theme

Sophia Panayi
clock 14 August 2026 • 1 min read
How markets have developed in 2026 so far

How markets have developed in 2026 so far

'Active allocation does not mean constant trading or short-term market calls'

James Flintoft
clock 12 August 2026 • 3 min read
How sustainable funds have beaten the index this year

How sustainable funds have beaten the index this year

'ESG funds benefit from access to some of the livelier parts of the market'

Ian Aylward
clock 10 August 2026 • 3 min read