The New Zealand Growth Fund returned -3.6% in March, compared to its benchmark of -2.4%. 

Mainfreight (-12%) and Xero (-9%) saw their share prices decline despite no meaningful company-specific news. Mainfreight’s domestic business is linked to concerns the New Zealand economy is yet to turn the corner (as the company enters its new financial year in April with expectations of a recovery), plus the present heightened uncertainty in the global freight landscape given the risks around US tariffs. Xero’s decline compares similarly to the -8% of the NASDAQ tech index in the US. 

Auckland Airport (+1%) announced the outcome of its duty-free tender process. This will see existing operator Lagardère (or ‘Aelia Duty Free’ as travellers may be more familiar) be the single duty-free operator under an 8-year concession, beginning 1 July 2025. Later in the month the Commerce Commission also delivered its final report for the current regulatory period (through to 30 June 2027), concluding that Auckland Airport’s proposed pricing would see it earn more than what it deems a fair return. The conclusions were similar to the draft report and saw the airport promptly announce it will trim its prices, as expected.