Launch of Smithson Equity Fund

Fundsmith LLP is pleased to announce the launch of Smithson Equity Fund ( “Smithson” or the “Fund”) today, following the decision to transition Smithson Investment Trust to become an an Open-Ended Investment Company (OEIC). 

Continuity of Investment Approach
 
The transition does not alter Smithson’s investment process, or team. As an open-ended vehicle, Smithson will offer investors the opportunity to subscribe and redeem from the Fund daily at net asset value, while continuing to pursue its strategy of investing in a concentrated portfolio of high-quality global small and mid-cap companies with strong growth prospects and sustainable competitive advantages.
 
Portfolio Update
 
Since the announcement of the proposed transition, Portfolio Manager Simon Barnard has made a number of adjustments to the portfolio, taking advantage of recent market movements to refine positioning.
 
Commenting on the changes, Simon Barnard said:
“We have exited two holdings – Halma and Graco – that had reached high valuation levels. In addition, we initiated a new position in Badger Meter, a US-based manufacturer of flow measurement and control products for liquids and gases. Its largest business is the supply of smart water meters to the 50,000 water utilities and municipalities in the US, operating in an oligopolistic market structure with only two other major providers. Badger Meter’s share price had weakened over the past year, creating an attractive entry point. We have also undertaken a series of rebalancing trades, trimming several of the larger positions and adding to some of the smaller holdings to capitalise on recent market moves.

Our focus remains on owning high-quality small and medium sized companies capable of compounding value for shareholders over many years.” 

Further information on Smithson, including the Key Investor Information Document and Prospectus, is available at https://www.fundsmith.co.uk/sef/documents/.

The value of the Fund may fall and you may get back less than you invested. If you are unsure about the suitability of the Fund for you, please speak to a financial advisor.
 
-Ends-
 
For further information please contact:
Charlotte Balbirnie
+44 (0)7989 528421
CBalbirnie@keplercomms.com 
 
Caroline Villiers
+44 (0)7808 585184
CVilliers@keplercomms.com