Fund Factsheet

Price Data

Share Class OCF* Minimum Price p
Historical Prices Link 

Standing Data

Since Inception
Portfolio Manager Terry Smith
Fund Type UK OEIC
Launch Date 1st November 2010
Accumulation Shares Dividends Retained
Income Shares Dividends Paid Out
Initial Charge None
Registrar SS&C
Depository State Street Trustees Ltd.
Auditor Deloitte LLP
Dealing Daily at Noon
Investment Association Sector Global
Dividend Dates On or about 28/2 & 31/8

Key Facts

As at 28 Aug 2020
Fund Size £21.5bn
Gross / Net Yield< 1.41% / 0.36%
2019 PTR^ -4.1%
7 Day Fund Liquidity> 60%
No. Holdings 29
Average Co. Founded 1928
Average Market Cap £142.2bn
Active Share as at 31.03.20" 90%
2019 Transaction Costs 0.01%

Fund Performance Analysis

To 28 Aug 2020, T Class Acc %
Annualised Rate of Return +18.4
Best Month +9.4 (Jan'13)
Worst Month -6.9 (Dec'18, Feb '20)
Average Month +1.5
% Positive Months 70

Geographic Split

As at 28 Aug 2020, By Country of Listing %
US 68.3
UK 14.4
Denmark 6.5
France 3.6
Finland 3.3
Spain 2.5
Cash 1.3

Sector Split

As at 28 Aug 2020, GICS® Categories %
Technology 30.1
Consumer Staples 29.3
Healthcare 22.2
Consumer Discretionary 6.2
Industrials 5.6
Communication Services 5.4
Cash 1.3

Security Identification Codes

SHARE CLASS SEDOL ISIN MEXID CITI
T ACC B4Q5X52 GB00B4Q5X527 FUEQUI LSX3
T INC B4M93C5 GB00B4M93C53 FUSMIT LSX4
R ACC B4LPDJ1 GB00B4LPDJ14 FUNDSM LSX2
R INC B4QBRK3 GB00B4QBRK32 FUDSMI LSX1
I ACC B41YBW7 GB00B41YBW71 FUQUIT LSX6
I INC B4MR8G8 GB00B4MR8G82 FUUNDS LSX5

Equity Fund Aim

The Company will invest in equities on a global basis. The Company's approach is to be a long-term investor in its chosen stocks. It will not adopt short-term trading strategies. The Company has stringent investment criteria which the ACD and Fundsmith Investment Services Limited as investment manager adheres to in selecting securities for the Company's investment portfolio. These criteria aim to ensure that the Company invests in:

  • high quality businesses that can sustain a high return on operating capital employed;

  • businesses whose advantages are difficult to replicate;

  • businesses which do not require significant leverage to generate returns;

  • businesses with a high degree of certainty of growth from reinvestment of their cash flows at high rates of return;

  • businesses that are resilient to change, particularly technological innovation;

  • businesses whose valuation is considered by the Company to be attractive.

Investors should be aware that the application of these investment criteria significantly limits the number of potential investments for the Company's portfolio. It is envisaged that the investment portfolio of the Company will be concentrated, generally comprising between 20 and 30 stocks. The Company will not invest in derivatives and will not hedge any currency exposure arising from within the operations of an investee business nor from the holding of an investment denominated in a currency other than sterling.

Performance, % Total Return

Aug 2020 2020 to 28.08.20 2019 2018 2017 2016 2015 Inception to 28.08.20 Annualised to 28.08.20
Fundsmith1 +4.2 +13.1 +25.6 +2.2 +22.0 +28.2 +15.7 +425.0 +18.4
Equities2 +5.1 +4.7 +22.7 -3.0 +11.8 +28.2 +4.9 +193.5 +11.6
UK Bonds3 -1.1 +3.8 +3.8 +1.2 +1.4 +6.5 +1.0 +46.3 +3.9
Cash4 +0.0 +0.3 +0.8 +0.7 +0.4 +0.5 +0.6 +6.3 +0.6

The Fund is not managed with reference to any benchmark.  Above are a number of comparisons of the Fund's performance:   1T class accumulation shares, net of fees priced at midday UK time, source: Bloomberg.  2MSCI World Index (£ Net) priced at close of business US time, source: www.msci.com. The MSCI World Index is a generic portfolio of global equities across all sectors and, as such, is a fair comparison given the Company is also global and sector agnostic.  3Bloomberg/Barclays Bond Indices UK Govt 5-10 yr., source: Bloomberg.   43 Month £ LIBOR Interest Rate, source: Bloomberg.

Portfolio Comment for August 2020

There were no outright sales or purchases of holdings made in the month. The top 5 contributors in the month were Facebook, Microsoft, Intuit, Estée Lauder and Intercontinental Hotels. The top 5 detractors were Becton Dickinson, Diageo, L'Oréal, Stryker and Coloplast.

Top 10 Holdings

  • Microsoft
  • Paypal
  • Facebook
  • Idexx
  • Philip Morris
  • Intuit
  • McCormick
  • Estée Lauder
  • Novo Nordisk
  • L'Oréal

Our Values

  • No Fees for Performance
  • No Up Front Fees
  • No Nonsense
  • No Debt or Derivatives
  • No Shorting
  • No Market Timing
  • No Index Hugging
  • No Trading
  • No Hedging

    • Fundsmith Knows

    Just a small number of high quality, resilient, global growth companies that are good value and which we intend to hold for a long time, and in which we invest our own money.

    " Active Share measures how much the portfolio holdings differ from the benchmark index (MSCI World) i.e. a portfolio that is identical to the benchmark would have 0% active share.

    * The OCF (Ongoing Charges Figure) is the total expenses paid by the fund (excluding bank overdraft interest), annualised, against its average net asset value. The OCF will fluctuate as the average net assets and costs change. The OCF is updated following the publication of accounts for the periods ending 30th June and 31st December.

    ^ The PTR (Portfolio Turnover Ratio) has been calculated in accordance with the methodology laid down by the FCA. This compares the total share purchases and sales less total creations and liquidations with the average net asset value of the fund.

    > 7 Day Fund Liquidity is calculated based upon 30% of trailing 20 day average volume.

    < Gross Yield reflects the historic dividend income received by the fund in the preceding 12 months before the deduction of all expenses including management fees. Net Yield is Gross Yield less the deduction of all expenses including management fees i.e. Gross Yield less the OCF. In both cases we use the T Class Shares as reference. Please note that rates would vary for I Class and R Class shares.

    NB Where a position is being built for the fund the company name is not disclosed in factsheet data.

     

    2020 Fundsmith LLP. All rights reserved. Fundsmith LLP is authorised and regulated by the Financial Conduct Authority. It is entered on the Financial Conduct Authority's register under registered number 523102. Fundsmith LLP is a limited liability partnership registered in England and Wales with number OC354233. Its registered office address is 33 Cavendish Square, London, W1G 0PW.

    Disclaimer: A Key Investor Information Document and an English language prospectus for the Fundsmith Equity Fund are available via the Fundsmith website or on request and investors should consult these documents before purchasing shares in the fund. Past performance is not necessarily a guide to future performance. The value of investments and the income from them may fall as well as rise and be affected by changes in exchange rates, and you may not get back the amount of your original investment. Fundsmith LLP does not offer investment advice or make any recommendations regarding the suitability of its product.

    This document is communicated by Fundsmith LLP which is authorised and regulated by the Financial Conduct Authority.Fundsmith Equity Fund (the “Fund”), which is the subject of this document, does not relate to a collective investment scheme which is authorised under section 286 of the Securities and Futures Act, Chapter 289 of Singapore (the “SFA”) or Recognised under section 287 of the SFA. This document has not been registered as a prospectus with the Monetary Authority of Singapore (the “MAS”). Accordingly, this document and any other document or material in connection with the offer or sale, or invitation for subscription or purchase, of units in the Fund may not be circulated or distributed, nor may units be offered or sold, or be made the subject of an invitation for subscription or purchase, whether directly or indirectly, to persons in Singapore other than 1.To an institutional investor under section 304 of the SFA; or 2.To a relevant person pursuant to section 305(1) of the SFA or any person pursuant to section 305(2) of the SFA (and such distribution is in accordance with the conditions specified in section 305 of the SFA); or 3.Otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA. In particular, for investment fund that are not authorised or recognised by the MAS, units in such funds are not allowed to be offered to the retail public. This document and any other document or material issued in connection with the offer or sale is not a prospectus as defined in the SFA. Accordingly, statutory liability under the SFA in relation to the content of prospectuses does not apply and investors should consider carefully whether the investment is suitable for them. In particular, for investment fund that are not authorised or recognised by the MAS, units in such funds are not allowed to be offered to the retail public. This document and any other document or material issued in connection with the offer or sale is not a prospectus as defined in the SFA. Accordingly, statutory liability under the SFA in relation to the content of prospectuses does not apply and investors should consider carefully whether the investment is suitable for them.

    MSCI World Index is the exclusive property of MSCI Inc. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indices or any securities or final products. This report is not approved, reviewed or produced by MSCI. The Global Industry Classification Standard (GICS) was developed by and is the exclusive property of MSCI and Standard & Poor’s and “GICS®” is a service mark of MSCI and Standard & Poor’s.