BuddyPress.org

I saw a thread talking about how to iadd custom snippets into the bp-custom.php folder.

Unfortunately, I am not a coder or expert so I need to ask this probably silly question:

The thread says to create a folder and put these lines in it and then save it:

<?php
// hacks and mods will go here
?>

So where exactly would a code snippet like this go:
Where do I have to insert a code like this:

function remove_xprofile_links() {
remove_filter( ‘bp_get_the_profile_field_value’, ‘xprofile_filter_link_profile_data’, 50, 2 );
}
add_action( ‘plugins_loaded’, ‘remove_xprofile_links’ );

I mean what happenes to the start and end symbols: <?php + ?
Do I simply enter the code snippet in-between these two?