New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Thematic (Sector/Industry)

New zealand Industrials / Thematic (Sector/Industry)

<ul><li>The transport industry's road to normalisation, after the disruption of the past three years, is increasingly being influenced by the deteriorating economic cycle; A global de-stocking event is impacting freight flows, which has helped international freight rates fall as quickly as they went up. </li><li>Sea freight spot rates on many trade lanes are now below pre-COVID levels, while their corresponding contract rates and air cargo rates continue to fall, but remain above pre-COVID levels.</li><li>While cognisant of the exposure to operating deleverage in a weaker volume environment, we have a preference for the high quality Mainfreight (MFT; OUTPERFORM) which should help mitigate cyclical pressures through market share gains, pricing and its defensive industry vertical exposure. </li></ul>

The transport industry's road to normalisation, after the disruption of the past three years, is increasingly being influenced by the deteriorating economic cycle; A global de-stocking event is impacting freight flows, which has helped international freight rates fall as quickly as they went up. Sea freight spot rates on many trade lanes are now below pre-COVID levels, while their corresponding contract rates and air cargo rates continue to fall, but remain above pre-COVID levels.While cognisant of the exposure to operating deleverage in a weaker volume environment, we have a preference for the high quality Mainfreight (MFT; OUTPERFORM) which should help mitigate cyclical pressures through market share gains, pricing and its defensive industry vertical exposure. 

Transport Trends: Bare Feeling From De-Stocking