Terry Smith: Biography, Career, and Business Insights

Terry Smith’s Profile Summary

Company	Fundsmith
Position	Chief Executive Officer (CEO) and Chief Investment Officer (CIO) of Fundsmith LLP, the fund management company he founded in 2010
Source of wealth	Smith’s wealth primarily stems from management and performance fees from his firm Fundsmith’s investment strategies, along with his own investments in Fundsmith’s funds
Also known as	Author, Media contributor, Military history advocate.
Age	72
Education	Cardiff University – Bachelor’s degree in History
Citizenship	British
Residence	London, United Kingdom
Family	Terry Smith was married to Barbara and has two daughters.
Website, Social Media	https://www.fundsmith.co.uk/

Terry Smith’s biography

Terry Smith, born in 1953, is a highly regarded British fund manager and the founder of Fundsmith LLP, one of the most successful fund management firms in the UK. His career began in the finance sector, and he gained significant recognition in 1992 after publishing his controversial book Accounting for Growth, which exposed accounting malpractices in several high-profile companies. Following his departure from UBS due to the book's fallout, Smith moved to Collins Stewart, where he eventually became CEO. Under his leadership, Collins Stewart acquired Tullett Liberty and Prebon Group, forming Tullett Prebon, a global inter-dealer broker. Smith retired from Tullett Prebon in 2014 to focus entirely on Fundsmith. Fundsmith operates with a straightforward investment strategy of selecting high-quality companies, avoiding over-trading, and minimizing fees. Known for his long-term approach, Smith has drawn comparisons to Warren Buffett for his disciplined investment philosophy. Apart from his financial career, Smith has a deep interest in military history and was instrumental in campaigns honoring Sir Keith Park, a commander in the Battle of Britain. Smith's contributions to UK-New Zealand relations earned him the title of Member of the New Zealand Order of Merit in 2012

How did Terry Smith make money?

Terry Smith makes money in the following areas:

Smith’s wealth primarily stems from management and performance fees from his firm Fundsmith’s investment strategies, along with his own investments in Fundsmith’s funds
What is Terry Smith net worth?

As of 2025, Terry Smith’s net worth is estimated to be £220M.

What is Terry Smith also known as?

Terry Smith is known not only for his success in fund management but also for his contributions to literature and media. His book Accounting for Growth became a bestseller, revealing misleading corporate accounting practices. Smith regularly contributed to financial media, including the Financial Times. Furthermore, he is passionate about military history and led a campaign to erect a statue of Sir Keith Park, commemorating his role in the Battle of Britain

Prominent achievements of Terry Smith

Terry Smith has several notable achievements, including founding Fundsmith LLP, which now manages over £35 billion in assets. His book Accounting for Growth was a bestseller, selling over 100,000 copies. Smith was appointed a Member of the New Zealand Order of Merit for his contributions to UK-New Zealand relations and was recognized by Cardiff University with an Honorary Fellowship. His personal investments in Fundsmith exceed £250 million

What are Terry Smith’s key insights?

Terry Smith’s investment philosophy revolves around simplicity and long-term focus. He advocates for investing in high-quality companies, avoiding over-trading, and minimizing costs. Smith believes that owning a great company at a fair price is better than buying undervalued but lower-quality businesses. His strategy emphasizes buying strong, predictable companies and sticking with them, a principle he likens to endurance in a Tour de France race

Terry Smith’s personal life

Terry Smith, previously married to Barbara, has two daughters with her. They were a family unit for many years, but Smith is currently involved in legal disputes with a former partner following the end of a 13-year relationship

Useful insights

Understanding market forces

In my experience, to truly succeed as an investor, it’s essential to understand the driving forces behind market behavior. Market movements aren’t random—they’re influenced by a range of economic theories and dynamics. The following books provide valuable insights into these forces, offering a deeper understanding of how global financial markets operate and what shapes their trends.

Nassim Nicholas Taleb – "The Black Swan"
- Summary:
  
  Taleb explores the concept of rare, unpredictable events—so-called "Black Swans"—that can have massive impacts on markets and society. These events are often overlooked by traditional risk management models, leading to devastating consequences when they occur. Taleb illustrates how these unpredictable shocks shape our world, often more than gradual, expected changes.
- Why read it:
  
  This book challenges conventional thinking about risk and uncertainty, showing that many major historical and financial events were "Black Swans." It's a vital read for investors who want to build resilience in the face of market volatility.
John Maynard Keynes – "The General Theory of Employment, Interest, and Money"
- Summary:
  
  Keynes revolutionized economics by focusing on total demand within an economy and its effect on output and inflation. His theory suggested that government intervention could stabilize economic cycles through fiscal and monetary policy. The book also explains the consequences of under-consumption and the role of interest rates in managing economic stability.
- Why read it:
  
  For investors interested in macroeconomic trends and policy impacts, Keynes’ work is essential. Understanding the Keynesian framework can help investors predict how government actions might influence market performance.