Fundsmith Emerging Equit... Share Discussion Threads

[deltrotter] 17/6/2015 12:02

My investment horizon here is a couple of decades, so this drop does more than not concern me, it means my monthly purchases get me more shares.

Luvverly jubberly as someone used to say.

[jl9] 17/6/2015 11:58

mad foetus

Thanks for your thoughtful angle. I'll be looking into this one and keeping it on my radar for possible investment in due course.

[mad foetus] 17/6/2015 09:06

FT front page reports that nestle are laying off staff in Africa. The growth in the middle class hasn't been as big as expected and has mainly been exploited by smaller firms with products tailored for regional markets rather than multinationals with global products.

In terms of tailwinds, I think the migrant crisis will become increasingly important: unless the lot of the average African improves sharply the crisis will get worse and worse. There will be a concerted effort by the west to lift living standards in Africa, just to stop the problem ending up in our cities, and that could be a major trend over the next 10 years. I've worked with the Botswana authorities and they are a fantastic example of what a functioning African state looks like, so it can be achieved. I cannot see the type of companies FEET invests in failing to prosper over the next decade.

[jl9] 16/6/2015 14:34

Prices in India shot up a long way just before he could get to invest, leaving him in a dilemma over whether to invest or to wait. I'd agree you can't do much about a sinking market now.

It will likely be a while before the Fundsmith concept is seen to work here or not. And in the meantime these could go on sinking.

[edwardt] 15/6/2015 16:18

he is the fund manager - he surely is one person who could do something about the direction of the nav..

[trytotakeiteasy] 15/6/2015 16:08

not a lot Terry can do if the investment performance is weak.....

[edwardt] 11/6/2015 15:22

terry is no chump - he will sort it out. however when it goes to a discount, i will sharpen me pencil. retailer investors will be getting bored here - drip drip of sales will push this down in near term.

[edwardt] 11/6/2015 15:22

terry is no chump - he will sort it out. however when it goes to a discount, i will sharpen me pencil. retailer investors will be getting bored here - drip drip of sales will push this down in near term.

[ch4mois] 10/6/2015 13:35

Not just market sentiment against them, the nav is moving down so still quite a way till trading at a discount.

[trytotakeiteasy] 10/6/2015 00:01

Hmm.. market sentiment now against these guys... make come good in the long-run but stock could go to a discount to NAV.... the magic of emerging markets and consumer staples have both clearly yet to come good... on the plus side there was 21% in cash at the end of May.... so they can buy more stocks at the lower valuations.....

[mad foetus] 29/4/2015 08:59

the indian market has had a wobble recently: I suspect it may be the pullback Terry was waiting for, as we know it is the long term market he wants most exposure to. The next couple of months factsheets will make things clearer.

[masurenguy] 17/4/2015 11:00

While I still like the longer term potential here I think that the current price is rather rich based on a premium to NAV of almost 4%, a PER of nearly 30 and no yield. I would look at this with greater interest at sub £10 shareprice.

[jonwig] 11/4/2015 19:33

It's emerging markets without financials: a positive for me (also hold UEM).

I wonder - was this sold down last month by people applying for Woodford's Patient Capital IT?

[topvest] 11/4/2015 19:19

Poor investment performance since launch, no yield and ongoing costs too high for what they do. Will stick with my holding, but not that impressed so far!

[jhan66] 11/4/2015 18:29

This is very nearly back on level terms with NAV. Annual report just arrived looks okay with a good spread of value businesses, all a long way from UK elections. I expect to replenish my holding next week

[strollingmolby] 20/3/2015 07:25

Top 50 investments have been disclosed in the Annual Report yesterday:

[masurenguy] 16/3/2015 09:36

If you're interested in some alternative EM exposure then you might like to checkout CLIG !

[wirralowl] 11/3/2015 13:15

His original fund has done me proud, so was looking to add FEET as well, if I got the chance at what I deemed a reasonable entry. I'm looking to hold both for the very long term in my SIPP, in line with Terry Smith's own approach.

Hopefully this is just some of the froth coming off from the IPO days and the premium falling more in line with similar investments eg MYI.

Agree with you, mad, by holding 38% cash, he surely is trying to time the market! Its not really something I have any issue with (certainly not at the moment!) though having such high cash levels will clearly impact any progression in NAV terms, as you say.

[mad foetus] 11/3/2015 11:01

I think a lot of the fall was concern at the approach here - it has taken a lot of time to invest the money and Terry's explanation has been that he was concerned the Indian market was overvalued and he was waiting for valuations to come back. All the time, they were roaring ahead.

I'm a holder but I am a little concerned - nine months on and no move in NAV during a period where Indian funds in particular have gone ballistic. Terry says he doesn't believe in market timing but that appears to be exactly what he's ended up doing.

[envirovision] 11/3/2015 10:52

Odd how it began to crater before the record high on the DOW and FT indexes though don't you think ?

[wirralowl] 11/3/2015 10:29

Couldn't resist a little nibble this morning, for the SIPP. At £10.30 premium to NAV has narrowed to a little under 3%, which I can just about stomach. If it comes down to NAV, will double up.

[ifthecapfits] 28/1/2015 16:48

Too much of a premium to NAV. If it closes I'll take some.

[mad foetus] 23/1/2015 13:15

Not wishing to tempt fate but the NAV here finally appears to be moving.

[jhan66] 16/1/2015 14:40

NAV
04/11/2014 997.3 1079
12/11/2014 1002.66
20/11/2014 1003.24
26/11/2014 1008.68
02/12/2014 1001.63 1115
09/12/2014 991.58
12/12/2014 977.87
19/12/2014 978.43
24/12/2014 987.35 1067
31/12/2014 996.95
06/01/2015 994.86
11/01/2015 1006.56
15/01/2015 1010.27 1054

just a little aide-memoir for myself. Share price down 5% since start of Dec, NAV flat over same period. I sold 1/3 holding at the top but always intended to buy them back once the premium was eroded. I'm still very confident about Fundsmith. Looked after me very well on the original fund which has been my largest holding since it began.