Terry Smith's Fundsmith has completely sold its position in Zoetis (ZTS), the world's largest producer of medicine and vaccinations for pets and livestock. An SEC disclosure filed on August 14, 2026, revealed the sale of all 3.88 million shares, a stake previously valued at $458.37 million and representing 3.57% of the fund's reported portfolio.
This filing reflects trading activity that occurred during the second quarter, between April 1 and June 30, 2026. In a semi-annual letter, Smith stated the sale was driven by his view of the company's management, citing an inability to respond to new generic competition and a lack of clear communication. The exit was part of a broader increase in portfolio turnover for the fund in the first half of 2026.