The sector has demonstrated strong defensive qualities through the cycle such as earnings and margin resilience linked to long term customer relationships.
There are a broad range of sub-sectors within Business & Technology Services, each with their own drivers and trends. Areas we are particularly focused on include testing, inspection & certification, intelligent or value added outsourcing, consultancy, education & training and industrial services.
In the sector we look to invest in businesses that provide value added services to attractive underlying markets with potential for international growth and further outsourcing penetration. The high quality of businesses with these characteristics is typically evidenced through strong client relationships, impressive margins and a high level of recurring revenue.