Terry Smith Fundsmith LLP
Terry Smith is the founder and CEO of Fundsmith, a firm known for a concentrated portfolio of high-quality global companies. His approach favors simple, understandable businesses with high returns on capital and the ability to reinvest at attractive rates. Smith’s annual letters and plain-spoken commentary have made Fundsmith a frequent reference point for long-only quality investors.
Top Buys
| Rank | Stock | Value |
|---|---|---|
| 1 |
Microsoft
MSFT
|
+$313M |
| 2 |
BCR
CR Bard Inc.
BCR
|
+$198M |
| 3 |
eBay
EBAY
|
+$51.1M |
| 4 |
Waters Corp
WAT
|
+$37.1M |
| 5 |
Philip Morris
PM
|
+$36.8M |
Top Sells
| Rank | Stock | Value |
|---|---|---|
| 1 |
McDonald's
MCD
|
+$284M |
| 2 |
SIAL
SIGMA - ALDRICH CORP
SIAL
|
+$156M |
| 3 |
Choice Hotels
CHH
|
+$24.8M |
Sector Composition
| Rank | Sector | Weight |
|---|---|---|
| 1 | Healthcare | 30.16% |
| 2 | Consumer Staples | 29.51% |
| 3 | Consumer Discretionary | 15.77% |
| 4 | Technology | 14.29% |
| 5 | Financials | 5.38% |
| Name | Market Value | Portfolio Weight | Shares or Principal |
Change in Stake | Capital Flow | |
|---|---|---|---|---|---|---|
|
1
Microsoft
MSFT
$3.59T
| $290M | 9.4% |
+7,185,480
| New | +$313M |
|
2
Keurig Dr Pepper
KDP
$43.6B
| $276M | 8.93% |
3,514,615
| – | – |
|
3
Becton Dickinson
BDX
$52.3B
| $257M | 8.33% |
1,836,637
+78,765
| +4% | +$11M |
|
4
Stryker
SYK
$126B
| $249M | 8.05% |
2,694,794
+103,904
| +4% | +$9.67M |
|
|
5
eBay
EBAY
$46.3B
| $229M | 7.42% |
9,444,811
+2,141,196
| +29% | +$51.1M |
|
|
6
Philip Morris
PM
$293B
| $222M | 7.18% |
2,942,293
+453,586
| +18% | +$36.8M |
|
7
Domino's
DPZ
$11.3B
| $215M | 6.95% |
2,134,570
| – | – |
|
8
PepsiCo
PEP
$196B
| $208M | 6.72% |
2,170,265
+202,368
| +10% | +$19.6M |
|
|
BCR
9
DELISTED
CR Bard Inc.
BCR
| $193M | 6.25% |
+1,155,034
| New | +$198M |
|
10
Johnson & Johnson
JNJ
$651B
| $190M | 6.15% |
1,902,103
+272,120
| +17% | +$27.7M |
|
11
Visa
V
$693B
| $166M | 5.38% |
2,546,503
+155,511
| +7% | +$10.3M |
|
12
Automatic Data Processing
ADP
$112B
| $151M | 4.89% |
1,762,562
+112,786
| +7% | +$9.71M |
|
13
3M
MMM
$92.3B
| $151M | 4.89% |
1,101,333
+65,041
| +6% | +$8.96M |
|
14
Procter & Gamble
PG
$336B
| $132M | 4.26% |
1,618,689
+76,770
| +5% | +$6.6M |
|
15
Colgate-Palmolive
CL
$72.6B
| $74.6M | 2.42% |
1,081,946
+109,348
| +11% | +$7.56M |
|
|
16
Waters Corp
WAT
$40.4B
| $38.6M | 1.25% |
+310,736
| New | +$37.1M |
|
|
17
Choice Hotels
CHH
$4.93B
| $35.5M | 1.15% |
553,589
-408,168
| -42% | -$24.8M |
|
18
Marriott International
MAR
$92.9B
| $3.96M | 0.13% |
+49,424
| New | +$3.94M |
|
19
Idexx Laboratories
IDXX
$43.9B
| $3.94M | 0.13% |
+50,986
| New | +$3.97M |
|
|
DNKN
20
DELISTED
Dunkin' Brands Group, Inc.
DNKN
| $3.81M | 0.12% |
+80,148
| New | +$3.72M |
|
|
21
McDonald's
MCD
$192B
| – | – |
-6,116,468
| Closed | -$284M |
|
|
SIAL
22
DELISTED
SIGMA - ALDRICH CORP
SIAL
| – | – |
-936,922
| Closed | -$156M |
|
Similar funds
Terry Smith's Q1 2015 Portfolio in Review
As of Q1 2015, Terry Smith held 22 positions worth $3.09B, up 10% from $2.8B the previous quarter. Its ten largest holdings account for 75% of the portfolio.
Terry Smith deployed $294M of net new capital in Q1 2015, opening 6 new positions and adding to 11 existing holdings. Its largest new stake was Microsoft: 7,185,480 shares worth $290M.
By sector, the portfolio is most concentrated in Healthcare at 30% of assets, up from 23% a quarter earlier, followed by Consumer Staples and Consumer Discretionary.
On the sell side, the largest reduction was Choice Hotels, an estimated $24.8M trimmed.
- Terry Smith's largest Q1 2015 buy was Microsoft: 7,185,480 shares worth $290M.
- Terry Smith added most to eBay in Q1 2015, an estimated $51.1M increase.
- Terry Smith's biggest Q1 2015 reduction was Choice Hotels, cutting an estimated $24.8M.
- Terry Smith fully exited McDonald's in Q1 2015, selling an estimated $284M.
- Terry Smith's ten largest holdings make up 75% of its $3.09B portfolio in Q1 2015.
- Terry Smith opened 6 new positions and closed 2 in Q1 2015.
- Terry Smith's portfolio value rose 10% quarter-over-quarter to $3.09B.
Based on Fundsmith LLP's 13F filing for Q1 2015, filed 3 Jun 2015.