Scottish investment firm Baillie Gifford is preparing to axe dozens of jobs as part of an ongoing cost review, according to a Bloomberg report.

The new follows confirmation on Wednesday from Baillie Gifford’s Edinburgh rival Abrdn that it will cut 500 jobs — about 10% of its staff — as part of a “new transformation programme targeting an annualised cost reduction of at least £150m by the end of 2025.”

Baillie Gifford, which oversees almost £220 billion of assets, recently told staff it is preparing a round of redundancies, according to people familiar with the matter.

The review will affect departments across the Baillie Gifford partnership including fixed income, client services and back office.

The move is expected to affect dozens of the 2,000 staff at Baillie Gifford.

A Baillie Gifford spokesperson told Scottish Financial Review: “Following a review of our fixed income strategies and funds, we have decided to focus on supporting and growing our fixed income business exclusively in the UK market.

“We have taken the decision to close four funds where only a small number of clients are invested.

“As part of our regular business planning, we consider how to reduce our expenditure.

“However, our partnership structure ensures we can continue to invest in growing areas of the business while pursuing excellent long-term returns for our clients.”

It is understood Baillie Gifford is closing three funds from its Irish UCITS fund range and one OEIC.

The four funds have less than £50 million of external client assets. Baillie Gifford has over £2 billion of direct fixed income assets it manages for its UK client base.

The affected funds are: Worldwide Global Strategic Bond Fund, Worldwide European High Yield Fund, Worldwide Sustainable Emerging Markets Debt Fund and Emerging Markets Bond Fund (OEIC)

Baillie Gifford is maintaining its investment capabilities across the fixed income spectrum, but its focus will be on UK clients.