Private companies: backing tenacious trailblazers

In a special episode of Short Briefings on Long Term Thinking, Leo Kellyan interviews Alexander Nicolier, an investment manager at Baillie Gifford, about investing in private companies. Nicolier clarifies misconceptions about private companies, emphasizing they are real growth businesses, not just Silicon Valley startups, and highlights the importance of relationship building for accessing the best investment opportunities. He shares examples of successful investments like SpaceX, Bending Spoons and Cosm, explaining the advantages of Baillie Gifford's investment approach, which focuses on mature companies nearing a growth inflection point and leveraging the firm's extensive research capabilities. Nicolier also discusses the IPO market, the long-term potential of Epic Games, and the strategic investment by Disney, underscoring the significant opportunities within the private companies asset class and Baillie Gifford's unique position to capitalize on them.