Terry Smith - Fundsmith Investment Strategy & Portfolio Analysis
How Fundsmith allocates capital, manages risk, and constructs its portfolio — based on SEC 13F filings.
As of Mar 31, 2026, Terry Smith's Fundsmith portfolio reflects a balanced investor approach across 34 reported 13F positions. Portfolio returns are led by Marriott International (~9% of total exposure), with the top five holdings representing approximately 38% of reported value. The portfolio maintains structural breadth across 34 positions, with economic weighting tilted toward digital asset and data-center infrastructure names. Exposure to high-growth and technology-oriented segments is elevated relative to peers, with performance weighted across healthcare, consumer staples, and consumer discretionary. The portfolio exhibits extremely low turnover, reinforcing a patient, conviction-led investment approach. Distinctive traits include Long-Term Holder, Structurally Diversified.
Investment Style
Value, growth, quality, and behavioral classification from latest 13F holdings.
Primary type: Balanced Investor
Traits: Long-Term Holder, Structurally Diversified
Turnover profile
Moderate
Holding horizon
Long-Term
Portfolio Construction
Concentration and position sizing in the latest filing.
Portfolio construction is moderately concentrated: top three names represent 23.9% of assets, top five 37.8%, and the largest single position is 8.6%.
Top 3 weight
23.9%
Top 5 weight
37.8%
Top 10 weight
68.8%
Largest position
8.6%
Top holdings: Marriott International, Stryker Corporation, Waters Corporation, Visa Inc., Alphabet Inc. — view full holdings
Sector Preferences
Where capital is allocated by sector.
Capital is tilted toward Healthcare and Technology, with 7 sectors represented in the latest filing.
Leading sectors: Healthcare, Technology, Consumer Defensive
Risk Framework
Concentration, diversification, and turnover tolerance.
This investor accepts moderate single-name risk (largest position 8.6%, top ten 68.8%) and moderate economic diversification (HHI 0.03). Turnover tolerance maps to a moderate profile.
Largest position
8.6%
Top 10 weight
68.8%
Max sector
31.5%
Diversification
Moderate
Strategy Evolution
How the strategy changed between the two most recent filing periods.
Dec 31, 2025 → Mar 31, 2026
- Position count decreased from 37 to 34 (-3 names).
- Largest holding changed from Waters Corporation to Marriott International.
- Quarter-over-quarter portfolio weight turnover: 10.3%.
For trade-level changes, see the Activity page. View activity.
Similar Investors
Peer group with comparable portfolio behavior.
Similar-investor comparisons are coming soon.