Elliot Gulliver-Needham, Investment Reporter, CityAM, 18 December 2024:
US hedge fund manager Saba Capital has launched a campaign to oust the boards of seven top UK investment trusts today after amassing stakes in the firms over the past year..
Saba holds between a 19 to 29 per cent stake in each of the companies, making them the largest investor in every trust being targeted..
One of the trusts, the Baillie Gifford US Growth Trust, has fallen more than 50 per cent below its benchmark over the last three years. In August, investment trust expert James Carthew warned that investor patience “will wear thin” if performance didn’t improve.
At the meetings, which the hedge fund said should take place by February, Saba wants shareholders to kick out the current boards and replace them with their hand-picked candidates.
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