If I had to name my favourite fund manager, it would probably be Terry Smith of Fundsmith, not only because his fund beats all the other properly diversified funds to top the Investment Association's global growth sector but as much because he is absolutely clear on how he does it. He buys good companies, does not overpay… and then does nothing.
It is unnerving to be reminded that it is five years to the day since this column reported on the launch of Terry Smith’s fund management company and highlighted his modest aim of providing simply the best return you could get adjusted for risk. So how has he done?
When Terry Smith launched his boutique back in 2010 not everyone was convinced he could make it in the funds world.
Fundsmith today announces that personal finance and investment publication, Money Observer, has awarded the Fundsmith Equity Fund (“Fundsmith Equity” or the “Fund”) a Rated Fund status. Money Observer has also included Fundsmith Equity in three of their model growth portfolios, recognising the Fund’s “impressive performance”.
Here are two good online sources to foster clear thinking about equity investment and help build portfolios