SpaceX performance, share buybacks drive Scottish Mortgage Investment Trust (SMT) higher
Strong performance from its private holding SpaceX and recent share buyback activity are driving Scottish Mortgage Investment Trust (SMT) shares higher today. The investment trust's stock is up 3.0%, trading at 1,494p on June 16, 2026.
SpaceX, a significant private holding within SMT's portfolio, has seen a successful initial public offering and a substantial increase in its share price. This has materially contributed to Scottish Mortgage's overall returns. Additionally, Scottish Mortgage announced on June 15, 2026, the purchase of 1,000,000 of its own ordinary shares to be held in treasury, a move that typically supports share value by reducing outstanding stock.
The gains mark a continuation of positive momentum for SMT, which closed at 1,450p yesterday. The trust's strategy of investing in high-growth, often unlisted, companies like SpaceX means its performance is closely tied to the valuation of these key holdings.
The buyback, executed yesterday, provides direct support to the share price by reducing the supply of available stock. This, combined with the uplift from its largest private asset, underscores the current upward trajectory for the United Kingdom-based investment vehicle.
How Scottish Mortgage's Private Bets Pay Off
Scottish Mortgage Investment Trust (SMT) operates as a fund that pools money from investors to buy shares in other companies, rather than running its own business directly. Its core strategy involves identifying and investing in innovative, high-growth companies, often before they go public, with the aim of benefiting from their significant long-term appreciation. Essentially, it's a way for everyday investors to gain exposure to promising, often privately held, firms that would otherwise be inaccessible, with its returns driven by the success and increasing valuations of these underlying investments.
Today's upward movement for SMT is primarily driven by the strong performance of one of its most significant private holdings, SpaceX. As a major component of Scottish Mortgage's portfolio, SpaceX's successful initial public offering and subsequent substantial increase in its share price have materially bolstered the investment trust's overall returns, with a share buyback announced yesterday providing additional support.
This direct uplift from its largest private asset has seen Scottish Mortgage's shares rise by 3.0% today, currently trading at 1,494p, up from yesterday's close of 1,450p.
Think of it like a venture capitalist fund that has invested early in a promising start-up. When that start-up goes public and its value soars, the fund's own value, and therefore the value of its units or shares, increases directly in proportion to the success of its underlying investment.
Scottish Mortgage Investment Trust
Scottish Mortgage Investment Trust PLC is an investment fund focused on long-term growth, managed by Baillie Gifford & Co Ltd. This UK-domiciled asset manager seeks out publicly listed companies globally, evaluating them on management quality, competitive advantages, customer prospects, and revenue and profit growth. Their investment strategy spans diverse sectors, with a keen eye on current and future valuations. The fund's performance is measured against the FTSE All World Index. Established in 1909, Scottish Mortgage Investment Trust PLC is headquartered in the United Kingdom.