The investment company founded by Terry Smith had been running an offer period for the Trust during June and is now ready to list it.
FEET, as Fundsmith is calling it, will use the same strategy as the Fundsmith Equity Fund but the difference will be all of the companies in FEET will have the majority of operations or revenue derived from developing economies.
As with the Equity Fund it will invest ‘almost exclusively’ in consumer stocks and avoid financials, heavily cyclical sectors such as construction and manufacturing, utilities, resources and transport.
“I am delighted that so many existing and new customers have supported the offer and that FEET will have a shareholder base that includes some of the UK’s largest and most sophisticated investors,” said Smith. “We undertook the majority of the marketing in-house, thus saving on initial placing fees, and we expect the total costs of the issue to be 0.4% of the funds raised, which I believe is a record in the investment trust sector if not the IPO market as a whole,” he added.
