ASML

What does the company do? ASML is a leading global supplier of photolithography systems used in the manufacturing of semiconductor chips. These chips are found in a wide range of electronic devices, data centres, automotive segments and communications infrastructure. Growth is supported by the increasing adoption of advanced technologies, such as Artificial Intelligence, and demand for more powerful and energy-efficient semiconductors. ASML’s strong commitment to research and development and technological innovation has driven its market leadership and allows the company to maintain strong pricing power and durable customer relationships. While there is a degree of cyclicality in ASML's end market, the Investment Manager anticipates a more positive outlook through 2024. As a long-term investor, the Investment Manager acknowledges the underlying structural drivers of the business and the implications for future returns. Why do we like the investment? ASML’s innovation is a key enabler of the semiconductor industry. The company is investing in leading-edge technologies that improves energy use and adoption of semiconductor chips in a range of industries.