Reduction in Management Fee

RNS Number : 2824B

Scottish Mortgage Inv Tst PLC

03 March 2014

 



RNS Announcement

Scottish Mortgage Investment Trust PLC

Board Announces Reduction in Management Fee

The Board announces that from 1 April 2014, Baillie Gifford's annual remuneration will be 0.30% of total assets less current liabilities (excluding short term borrowings for investment purposes) calculated and payable on a quarterly basis.  The current remuneration is 0.32%.    

The Chairman, John Scott said:

"Both the Board and Managers are keenly aware that low charges have a major impact on long term returns especially when compounding is taken into account.  Scottish Mortgage has grown steadily over the years and it is fortunate that its scale with total assets of around £3bn allows this reduction to be made.  Further reductions would be considered if assets continue to grow.  The Board considers that the combination of a low fee and a long term global approach makes for a compelling investment proposition."

By order of the Board

John Scott

Chairman

3 March 2014

Scottish Mortgage is a low cost investment trust that aims to maximise total return over the long term from a focused and actively managed portfolio. It invests globally, looking for strong businesses with above-average returns.

You can find up to date performance information about Scottish Mortgage on the Scottish Mortgage page of the Managers' website at www.scottishmortgageit.com^‡

‡    Neither the contents of the Managers' website nor the contents of any website accessible from hyperlinks on the Managers' website (or any other website) is incorporated into, or forms part of, this announcement.

Scottish Mortgage is managed by Baillie Gifford & Co, the Edinburgh based fund management group with over £100 billion under management and advice in active equity and bond portfolios for clients in the UK and throughout the world (as at 30 December 2013).

Investment Trusts are UK public limited companies and are not authorised or regulated by the Financial Conduct Authority.

For further information please contact:

James Budden, Baillie Gifford & Co  

Tel: [phone] or 07507 201208

Roland Cross, Director, Broadgate Mainland

Tel: [phone]

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