Fascinating discussion. Terry needs to do more of these.
@ministry_of_love4 ай бұрын
5:50 Sectors avoided: banks, insurance companies, real estate, airlines, minerals, mining, utilities etc 6:38 Favoured sectors: consumer, healthcare and technology.
@wasilwestside4 ай бұрын
Love it. superb talk
@pt998104 ай бұрын
Excellent discussion. So much realistic, experience-based common sense and sound judgement.
@invierteconpepe_Ай бұрын
Great Interview! I also recommend his book "Investing fo Growth"! Lot of knowledge and insight there.
@matthewminors2363 ай бұрын
Well researched questions for terry smith (one of my favourite investors). Excellent interview and great length also. I have subscribed for more in the future
@codex871816 күн бұрын
when he talks about the free cashflow yield do you think he is talking about the free cashflow to the firm or the free cashflow to equity?
@SimonStormFrigon3 ай бұрын
Terry Smith's investment philosophy centers on harnessing the power of compound interest by identifying and holding high-quality businesses that can consistently generate strong returns on capital over long periods. His approach has led to VERY impressive long-term performance for his Fundsmith Equity Fund since its inception in 2010
@andypicken7848Ай бұрын
Gotta hand it to TS he certainly talks a good game. Thanks for posting
@varunjain57894 ай бұрын
Terry being as eloquent as ever...
@ddubsr58863 ай бұрын
Fantastic interview!
@jesusson7536Ай бұрын
💯💯💯💯💯🫡🫡🫡🫡
@brianbirnbaum97603 ай бұрын
Terry is a G
@wasilwestside3 ай бұрын
How do you know? and even if he is, that's his personal matter. Gays are also human beings.
@nh64uk783 ай бұрын
There is one "misleading" statement that Terry Smith declares within the Fundsmith monthly fact sheet - "There were no outright purchases of holdings made in the month". If you purchase one share or a million shares of a company, that is an outright purchase. Otherwise an "outright purchase" can be an ongoing & never-ending process.
@moreno34614 ай бұрын
Mr. Smith says that the companies he holds in his portfolio have a ROCE of 30%. I tried to calculate it according to the indications he gave in this interview, but it doesn't seem right to me. Many of the stocks he holds in his portfolio do not even reach 15%. Why is there this discrepancy between what he says and what he does? Does anyone know how to explain it to me? Take McCormick for example.
@lukenewton27214 ай бұрын
They post their AGM which shows these figures on their own youtube page
@moreno34614 ай бұрын
@@lukenewton2721 Even Emron was showing its numbers. It's like asking the host if the wine is good... better to do the calculations yourself and then cross-check. I find that many of the companies in its portfolio have a ROCE of less than 20%, and even well-known sites confirm my calculations. Try googling McCormick ROCE and see how much it is.
@tijilsingh86894 ай бұрын
their portfolio has roce of 30%.they calculate it on basis of weightage/position size of stocks in the portfolio
@Art-is-craft3 ай бұрын
@@moreno3461 So what you are saying is your method of calculating ROCE is superior is it is true and Terry Smith method is not.
@arranmacdonald68973 ай бұрын
My guess is that they strip out goodwill and intangibles, in effect making it 'return on TANGIBLE capital' - but I could be wrong.
@JaySharma4535315 күн бұрын
who's here after BM sr haha
@zuma4043 ай бұрын
great conversation!
@alanwerrell54114 ай бұрын
According to the Hargreaves and Lansdown website the cumulative performance of Fundsmith is 60% over the past 5 years. The 5 year cumulative performance of the Legal & General Global 100 Index Trust is 111%. Why would you pay Terry Smith 1% to underperform the index which only costs 0.09%??
@arranmacdonald68974 ай бұрын
Damn, how did I not know about this L&G fund?! Basically looks like a much better version of the index, and as you say, is very low cost
@markkanen39064 ай бұрын
Because the risk is much smaller... basic finance 101
@alanwerrell54114 ай бұрын
91.9% of large-cap active managers did not outperform the S&P 500 Index over five years. The cumulative performance of the S&P 500 over the past 5 years, as of April 2024, is 70.94%. - Do your research. Fundsmith cumulative return over 5 years is 60%.
@arranmacdonald68974 ай бұрын
@@markkanen3906 Zero understanding of what risk really is
@GavinLawrence7474 ай бұрын
I don't disagree with you in principle, but remember the last 5 years have NOT exactly what you would consider "regular" circumstances.
@eduard-adrian47783 ай бұрын
11:20
@bigbillyz15 күн бұрын
What’s Son E
@jesusson7536Ай бұрын
🫡🫡🫡🫡🫡🫡🫡🫡
@BorisGligorijevic4 ай бұрын
Small correction: China is the largest economy now. At least, judging by PPP, which is the more objective measure.
@mitesh85224 ай бұрын
In his recent AGM, Terry demonstrated he keeps losing against the market.
@michaeldempsey224 ай бұрын
Since launch in 2010, it has returned 607% compared with 345% for the MSCI World index and 231% for the average global fund. 'Keeps losing against the market' Absolutely
@Darudo_sandstorm3 ай бұрын
He unfortunately sold Amazon , adobe and intuit at the wrong time. All of them are up by almost 50 % .
@mitesh85223 ай бұрын
@@michaeldempsey22 I take it you didn't watch AGM then? Look at his track record over the last 5 years and then assess.
@vivekshivdasani95213 ай бұрын
If you fold a paper fifty times in half it’s thickness will reach the sun.