Fundsmith and Baillie Gifford dropped from ACE 40 list

Schroders fund added

Fundsmith Sustainable Equity and Baillie Gifford Global Stewardship have been dropped from interactive investor’s ACE 40 ‘best in class’ sustainable fund list.

The Fundsmith fund was axed for being one of too many global equity funds with a growth style bias on the list. Morningstar, which helps compile the ACE 40, also advised in favour of a broader approach than just the Fundsmith strategy through a sustainable lens. Baillie Gifford Global Stewardship lost out due to overlapping too much with the other two Baillie Gifford global equity funds on the list, which all have a distinct growth style bias, and similar return profiles. Asset managers struggle to evidence ESG considerations when taking positions Schroder Global Sustainable Value ...