We Study Billionaires - The Investor’s Podcast Network

RWH054: Billionaire Brit w/ Terry Smith

282 snips

Feb 9, 2025

Terry Smith, a British investing titan and manager of the Fundsmith Equity Fund, shares his remarkable journey from poverty to becoming a billionaire. He discusses his knack for spotting great businesses, revealing why many of his favorites are over a century old. Smith candidly critiques sectors like tech, expressing skepticism about Tesla while praising Microsoft's business model. He explains the importance of understanding economic realities in investing and shares lessons learned from Sir John Templeton, all while emphasizing resilience in the face of professional challenges.

Ask episode

AI Snips

Chapters

Books

Transcript

Episode notes

ANECDOTE

Tough Upbringing

Terry Smith grew up poor in post-WWII East London, with bomb sites and outside toilets.
This upbringing fueled his desire for a better life.

ANECDOTE

Movie Inspiration

Watching "The Thomas Crown Affair" sparked Smith's ambition.
It showed him "another world out there" beyond his impoverished background.

ANECDOTE

Learning to Fight

Terry Smith's school uniform made him a target for fights.
His uncle, a boxer, taught him how to fight, sparking a lifelong interest in boxing.

Get the Snipd Podcast app to discover more snips from this episode

Get the app

Richer, Wiser, Happier

How the World's Greatest Investors Win in Markets and Life

William Green

In Richer, Wiser, Happier, William Green draws on interviews conducted over twenty-five years with many of the world’s greatest investors. The book highlights that the most successful investors are mavericks and iconoclasts who question conventional wisdom and think rationally, rigorously, and objectively. They maximize their odds of long-term success in markets and life by drawing insights from diverse fields such as neuroscience, economic history, psychology, philosophy, and more. Green explains how these investors can teach us not only how to become rich but also how to improve our thinking, decision-making, risk assessment, and resilience, and how to turn uncertainty to our advantage.

The Most Dangerous Enemy

A History of the Battle of Britain

Stephen Bungay

This book provides a detailed and balanced account of the Battle of Britain, drawing from both British and German sources. It challenges common myths by highlighting the efficiency, organization, and ruthlessness of the British forces, while exposing the amateurism, ill-preparedness, and poor engineering of the German forces. The book explores the strategic decisions, technological aspects, and personal experiences of the conflict, making it a classic of military history that looks beyond the mythology to reveal the tragedy, comedy, brutality, and compassion of war.

Investing for Growth

How to make money by only buying the best companies in the world – An anthology of investment writing, 2010–20

Terry Smith

This book is a collection of essays and letters written by Terry Smith between 2010 and 2020. It debunks common myths of investing and advocates for a simple yet effective strategy: buying the best companies in the world. Smith highlights businesses that generate significant cash and know how to utilize it effectively, leading to powerful compounding of returns. The book covers various topics, including why to avoid companies that abuse the English language, the risks of ETFs, and the pitfalls of ESG investing. It also includes Smith's ten golden rules for investment and practical insights on making money work for you.

RWH054: Billionaire Brit w/ Terry Smith

Tough Upbringing

Movie Inspiration

Learning to Fight

NEW TO THE SHOW?