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Old 04.01.2017, 13:02
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Re: Low cost Investment Funds in Switzerland

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Ok, fair enough, not a hedge fund.

I have indeed researched him and his prior performance. He has a reasonable track record at Tullett Prebon, although the details of his investments there are not widely available from what I could tell - for example taking a high-risk position around 2008 could've easily covered massive losses prior to that. He has done well with Fundsmith so far.

It is still not at all clear to me that over the long term he has an edge. There's nothing special about him that contradicts all the usual arguments against actively managed funds. If you wanted to go down this path, why not stick with Berkshire with its much longer track record?
Berkshire is essentially an insurance company, so very different animal, Fundsmith will not invest in insurance companies or Banks where Berkshire has large holdings. Pre Fundsmith I had a large holding in Berkshire, Fundsmith has been a better investment to date, I still have some exposure to Berkshire.

If you look at historic share price growth of the type of companies in the Fundsmith portfolio, you will notice a higher compound growth figure stretching back. (I researched going back 50 years). I think Terry showed research showing 16.6% compound over 35 years. Thats the edge that I bought into 4 years ago.
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