Our CEO, Rami Cassis, recently spoke to Schwab Network about why mid-market technology remains an attractive sector to invest in, despite a worsening economic outlook.
Statistics from the latest jobs report, policy volatility, and tariff threats may lead to lower investor confidence and reduced consumer spending. Rami’s concern is that markets are pricing in optimism the underlying data does not yet support.
Despite recent economic headwinds, Rami thinks mid-market technology remains structurally attractive, with valuations more reasonable than at the large-cap end. Buyers at that end of the market are not competing against the same weight of capital.
Smaller and mid-sized firms are the most exposed to a downturn, making disciplined management the differentiator. The gap between well-run and poorly run businesses widens sharply when conditions tighten.
Investors willing to be hands-on can find value in businesses others are avoiding. That approach requires genuine operational involvement rather than waiting for a multiple to expand.
Watch the full interview at Schwab Network here.
Featured image courtesy of Maranda Vandergriff via Unsplash.
