Tor Svelland, the boss of shipping-focused hedge fund Svelland Capital, has predicted another bumper year for the industry on the back of China’s economy reopening and a lack of fleet expansion across the globe, according to a report by Bloomberg.
Svelland, whose fund focusses on investments in the commodities and freight markets, believes that all of the ingredients are present for a strong, and perhaps even a record, year.
In an interview with Bloomberg he said: “We are under invested in shipping, so the majority of the market is struggling on the supply side.” And even after a record year in 2022, he remains bullish that freight rates will climb even higher on average across vessel classes, driven mainly by oil tankers, dry cargo and LNG. “Freight rates should see some upside this year as long as there’s no deep global recession,” he said.
