The decline in technology shares that’s hit Baillie Gifford risks exposing a group of U.K. pension funds to volatility because they have more money tied up with the Scottish fund company than any other stock picker.
The world’s pension funds are growing as an ageing population puts more money aside to pay for retirement. The global total has doubled in the past decade to almost $57 trillion. But the biggest pool of savings risks missing out on both diversification and returns by restricting its investments to its domestic markets.