Fundsmith Equity: a setback for a high-quality portfolio

Rupert Hargreaves explains why investors should focus on Fundsmith Equity’s process rather than its losses

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Funds allow you to spread your investment across a number of assets
(Image credit: © Getty Images)

The Fundsmith Equity fund consistently ranks as one of the most popular equity funds among investors in the UK, and it’s easy to understand why.

Managed by star fund manager Terry Smith, since inception on the 1st of November 2010, the fund has produced an annualised return of 15.6% compared to 11.3% for the MSCI world index (in sterling).

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Rupert Hargreaves
Contributor and former deputy digital editor of MoneyWeek

Rupert is the former deputy digital editor of MoneyWeek. He's an active investor and has always been fascinated by the world of business and investing. His style has been heavily influenced by US investors Warren Buffett and Philip Carret. He is always looking for high-quality growth opportunities trading at a reasonable price, preferring cash generative businesses with strong balance sheets over blue-sky growth stocks.

Rupert has written for many UK and international publications including the Motley Fool, Gurufocus and ValueWalk, aimed at a range of readers; from the first timers to experienced high-net-worth individuals. Rupert has also founded and managed several businesses, including the New York-based hedge fund newsletter, Hidden Value Stocks. He has written over 20 ebooks and appeared as an expert commentator on the BBC World Service.