Fundsmith Equity Fund

Return Versus Risk and Tips from Terry Smith

There was an interesting article by Fundsmith founder Terry Smith in the Financial Times on Saturday under the heading “Think globally and add a dash of small caps”. His articles are usually full of wisdom. In this case he first tackled the issue that the Capital Asset Pricing Model (CAPM) tells you that your returns relate to how much investment risk you are willing to take on. This might be seen as common sense – why would anyone take more risks if ...

Fundsmith Annual Shareholders’ Meeting – An ODD investment strategy

The Annual Shareholder Meeting for holders of the Fundsmith Equity Fund was held last night (20/3/2017). Here's a brief summary of manager Terry Smith's presentation and the question/answer session (summarised or paraphrased for brevity). You should be able to watch the whole 2 hour proceedings on the Fundsmith web site soon. He noted that there was not much happening since last year (Terry prides himself on investment inactivity). The Fund was up 28.2% last year which was similar to the MSCI World ...