| dc.description.abstract | The thesis offers a holistic success and failure factor analysis into the largely untapped area of
the shipping equity. The sample is comprised of 59 dry bulk and crude oil tanker companies,
representing a wide set countries in both developed as well as emerging shipping nations.
Shipping industry was found to be a money-losing investment for most of the investors since
2000 despite the boom of the mid-2000s ahead of the financial crisis. Digging deeper, it was
uncovered that the typical factors, analysed to identify the future potential of the shipping
companies have largely failed to explain the equity returns over time and offers a cautious
look into the practitioners’ analysis of the market.
On the other hand, the industry-wide factors, including the global economic growth, volume
of international trade as well as the shipping market data in terms of expected supply growth
and prevailing day rate levels, proved more insightful. This once again demonstrates the truly
international and commoditized nature of the shipping industry.
Despite the relative success of industry-wide factors in comparison to the company-specific
ones, the companies have differed in their equity performance by a great amount and thus the
overall predictor power of only the industry-wide factors is insufficient. However, in order to
improve the company-specific data in terms of fleet profile, corporate strategy and other
matters, the data set should be built based on prevailing and future market information as
historical detailed company data is in many cases hardly available, especially in case of
emerging country companies. | nb_NO |
