Earlier in the year we asked four of our fund managers some questions about how they have viewed the last year; whether 2011 matched their expectations and what they expect from 2012. All agreed that 2011 had been a difficult year, with the NZ and global markets taking significant hits from the natural disasters and European sovereign debt turmoil. “We had hoped that 2011 would be stronger for world share markets given that companies generally started the year in good shape”, said Carmel Fisher of Fisher Funds.
However, the outlook for 2012 seems positive, but with the qualifier to expect more volatility: “There are no prizes for expecting continued volatility [but] this should be a positive support for both New Zealand and global shares in 2012”, commented Tyndall Investment Management NZ Managing Director Peter Lynn, adding “we expect the overall return from shares to be far better in 2012 than they were in 2011.” Mint Asset Management expects the property sector to gradually recover, which will “underpin returns from listed property securities”, with Harbour Asset Management’s Andrew Bascand adding , “..the NZ housing market has now bottomed. Anecdotal evidence continues to point to stronger section sales in Canterbury while the Auckland housing market is lifting.”
Please see below for more detailed comments from Fisher Funds, Harbour Asset management, Mint Asset Management and Tyndall Investment Management NZ.