On this episode of Chit Chat Stocks, Ryan and Brett analyze the British investment fund called Fundsmith and its founder Terry Smith. We go through:

(00:00) Introduction and Background

(02:19) Buy Right and Sit Tight

(03:18) Don't Over Diversify

(04:16) About Terry Smith

(08:55) Margin of Safety

(16:14) Fundsmith Performance

(26:09) Criteria for Good Companies

(32:57) Businesses Resilient to Change

(39:55) Do Performance Fees Work?

(41:36) Fee Structures and Performance Fees

(44:50) 10 Rules for Investors

(49:43) FundSmith Holdings

(54:20) Portfolio Management and Strategy

(01:00:45) Fundsmith's Standout Features

(01:03:16) Replicability and Outperformance

*****************************************************

Subscribe to our YouTube channel: https://www.youtube.com/@ChitChatStocks

Follow us on Twitter/X: ⁠https://twitter.com/chitchatstocks

Follow us on Substack: ⁠https://chitchatstocks.substack.com/

*********************************************************************

⁠Public.com⁠ just launched options trading, and they’re doing something no other brokerage has done before: sharing 50% of their options revenue directly with you. That means instead of paying to place options trades, you get something back on every single trade.

-Earn $0.18 rebate per contract traded

-No commission fees

-No per-contract fees

By sharing 50% of their options revenue, Public has created a more transparent options trading experience. You’ll know exactly how much they make from each trade because they literally give you half of it. Activate options trading at ⁠Public.com/chitchatstocks⁠ by March 31 to lock in your lifetime rebate.

Options are not suitable for all investors and carry significant risk. Certain complex options strategies carry additional risk. Options can be risky and are not suitable for all investors. See the Characteristics and Risks of Standardized Options to learn more.

For each options transaction, Public Investing shares 50% of their order flow revenue as a rebate to help reduce your trading costs. This rebate will be displayed as a negative number in the “Additional Fees” column of your Trade Confirmation Statement and will be immediately reflected in the total dollars paid or received for the transaction. Order flow rebates are only issued for options trades and not for transactions involving other assets, including equities. For more information, refer to the Fee Schedule.

All investing involves the risk of loss, including loss of principal. Brokerage services for US-listed, registered securities, options and bonds in a self-directed account are offered by Open to the Public Investing, Inc., member FINRA & SIPC. See public.com/#disclosures-main for more information.

*********************************************************************

FinChat.io is The Complete Stock Research Platform for fundamental investors.

With its beautiful design and institutional-quality data, FinChat is incredibly powerful and easy to use.

Use our LINK and get 25% off any premium plan: ⁠https://finchat.io/chitchat/?lmref=J3bklw

*********************************************************************

Disclosure: Chit Chat Stocks hosts and guests are not financial advisors, and nothing they say on this show is formal advice or a recommendation.

World Insight with Tian Wei

Deciphering the role of youth exchanges

Remember Everything You Learn from Podcasts