Your Quarterly E-Zine
Edition 11 • December 2019

This website contains the latest edition of Forsyth Barr Focus, a quarterly on-line magazine written by senior members of Forsyth Barr's investment team.

If you experience any difficulty in accessing Forsyth Barr Focus,
please call 0800 367 227, or e-Mail editor@forsythbarrfocus.co.nz for assistance.

 

2020 vision

In hindsight, 2019 has been another year of growth for investors globally, with Forsyth Barr also continuing to invest in the growth of its investment advisory services.

This time last year, few would have forecast that the S&P/NZX50 index would grow by more than 20% in 2019. With the exception of the United Kingdom, where Brexit uncertainties have perhaps weighed more heavily on investor sentiment, major equity markets globally have also enjoyed double-digit growth, year to date.

As we look ahead to the New Year, the benefit of “2020 vision” provides us with some insight as to the factors that have supported the growth momentum in financial markets, both in New Zealand and overseas. With New Zealand’s Official Cash Rate 75 basis points lower than at the same time a year ago, last month Reserve Bank Governor Adrian Orr noted that “interest rates will need to remain at low levels for a prolonged period” in order to achieve the Bank’s inflation and employment targets. The low interest rate environment globally has clearly encouraged many investors to consider investment alternatives, with sharemarket values reflecting this increased attention. Looking ahead, while low interest rates will continue to be supportive, continued earnings growth and corporate activity will both be key factors in determining the direction of financial markets over the coming period.  

2019 has also been a year of growth for Forsyth Barr, with the firm's national footprint now across 21 locations. We firmly believe that it’s important for our Investment Advisers to be located in the communities where they provide service and we will continue to consider new opportunities to expand our investment advisory presence nationally. We now have over 130 Authorised Financial Advisers working with clients across the country, making Forsyth Barr one of the largest providers of investment advisory services in New Zealand.

Investment in improving our services and in the communities which support us, continue to be important features of our growth. This year, we’ve refreshed our brand imagery to reflect a more contemporary feel, while acknowledging our heritage of over 80 years. This has extended to our new web-site where we hope clients will have the opportunity to enjoy a richer on-line experience in relation to accessing our research and their account information. Across the country, we’re also supporting local communities in many practical ways, acknowledging that it’s important for us to support the community goals of those who have entrusted us with their investment plans.

As we approach the festive season, I would like to extend the best wishes of all Forsyth Barr staff to you and your family. We hope that the Christmas and New Year period will provide you with an opportunity to reflect on the journey of the past year and on your plans for the coming 12 months, which we are pleased to be able to support.

 

Neil Paviour-Smith
Managing Director, Forsyth Barr

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