The annual management fee is now as follows: 0.70% on the first £100m of net assets, 0.55% on the next £900m of net assets and 0.50% for net assets in excess of £1bn.

The fee will continue to be calculated and paid on a quarterly basis. Previously the £1,056.79m1 Trust, co-managed by Gary Robinson and Kirsty Gibson, was paying 0.55% on all net assets over £100m.

Launched in March 2018 raising gross proceeds of £173m, the trust has outperformed its index over the past two years. It aims to deliver investment outperformance by identifying exceptional US growth businesses, both public and private, and owning them for long enough that the advantages of their business models and cultural strengths become the dominant drivers of their valuations.

The move marks the fourteenth occasion Baillie Gifford has reduced fees across one or more of its range of funds and investment trusts since 2013. The most recent fee reduction came in July this year with the £6.4bn Diversified Growth Fund.

James Budden, director of marketing and distribution at Baillie Gifford, said: “The US Growth Trust assets now exceed £1bn, and this change will benefit shareholders as the trust continues to grow. Across our whole fund and trust range, we aim to be as competitive on fees as possible as they are the only element of investment returns which can be guaranteed. This latest fee reduction re-affirms our commitment to provide investors with value for money.”