Fundsmith secret of success

Investment criteria:
Pick stocks that:

● that can sustain a high return on operating capital employed;

● whose advantages are difficult to replicate;

● which do not require significant leverage to generate returns;

● with a high degree of certainty of growth from reinvestment of their cash flows at high rates of return;

● that are resilient to change, particularly technological innovation; and

● whose valuation is considered by the Fund to be attractive.

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