Founder and portfolio manager, Fundsmith Equity Fund
In Britain, Terry Smith is sometimes called the English Warren Buffett. For years he summed up his approach in three rules: buy good companies, don't overpay, do nothing. In his July 2026 half-year letter he walked back that third rule. After a run of years of underperformance, portfolio turnover reached almost 52 per cent in six months and he announced he would in future take more account of momentum.
Smith is closer to the ordinary investor than the hedge fund managers on this list: he runs a plain equity fund private investors can buy into, and he explains his reasoning at length and in plain language. His 2026 change of tack is also a story in its own right about what happens to quality investing in a market driven by index flows.
Reads history at Cardiff; starts at Barclays Bank.
Becomes an analyst and later head of research at UBS Phillips & Drew.
Publishes 'Accounting for Growth' on creative accounting, and loses his job for it.
Becomes CEO of interdealer broker Collins Stewart and later of Tullett Prebon as well.
Founds Fundsmith with his own money and three investment rules.
Begins a run of years in which the fund lags the world index.
Revises the 'do nothing' rule in July and turns over more than half the portfolio.
“Buy good companies. Don't overpay. Do nothing.”
Updated: 2026-07-23
← All profiles