Tag Archives: plantations

Business

Support for Timberland investment welcomed by FRA

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A recent article advocating the selling of gold and the buying of timber as an asset class, has been welcomed by FRA.

Bainbridge Island, WA, January 18, 2013 – A recent article advocating the selling of gold and the buying of timber as an asset class, has been welcomed by Forestry Research Associates (FRA).

The article, written by Carl Delfield, the senior analyst at Investment U, claimed that although gold has had a “good run” it is timber that is looking like the big winner in 2013 for those interested in alternative investments.

Mr Delfield bases much of his argument on the fact that the price of lumber has outperformed the S&P 500 over the past century and is much less volatile at the same time. Prices have risen by an average of 5 per cent per year and timber is less affected by wider economic trends. It is, therefore, an attractive proposition in the wake of the financial crisis, which wiped millions from certain stocks and shares portfolios over night.

This long-term performance, together with its surging prices and demand right now, is getting investors excited, claimed Delfield. FRA, a research and analysis consultancy specialising in forestry investments, claims that the US housing recovery and the ongoing growth in the Far East and India are largely to thank for the growing demand for sustainable timber.

“Sustainability is the key, though,” added FRA’s analysis partner, Peter Collins. “If you are going to invest in timberland, make sure its sustainably managed – so there is always new growth coming up to replace the timber being harvested.” FRA claims that this is not only the ethical option, but the most potentially lucrative as sustainable timber is far more likely to be used in large developments these days – particularly ones paid for by governments.

FRA supports ethical investment in eco-friendly projects, such as the plantations run by Greenwood Management. The plantations grow fast-growing non-native species, such as teak and eucalyptus.

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com

Business

FRA welcomes Timber Investment Endorsement

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FRA has welcomed a recent endorsement of timber and forestry investment from Adam Waldman of GreenWorld, through an article written for Tecnorati.com.

Bainbridge Island, WA, December 07, 2012 – Forestry Research Associates (FRA) has welcomed a recent endorsement of timber and forestry investment from Adam Waldman of GreenWorld, through an article written for Tecnorati.com. He points out that, while many people may not have thought about timber as an asset class option before, institutional investors are starting to see the potential in timber and individual investors should too.

Mr Waldman gives the example of how Harvard University is investing large amounts into forestry and timber, along with a major Russian and Chinese joint venture, which has recently decided to invest $200 million in the asset class.

FRA, a research and analysis organisation specialising in timber investment, has welcomed the article and backs Mr Waldman’s claims that forestry investment can provide a very effective hedge against inflation. He even points out that timber can act as a more affordable hedge than precious metals as timber prices follow general price trends, in much the same way as gold and silver.

As well as this benefit, he also points out the returns on timber investment have been very good over the past decade, outperforming stocks and shares returns by a considerable margin. FRA’s analysis partner, Peter Collins, added that forestry also provides a very good means of diversifying a portfolio against risk at a time when the stock market remains extremely volatile.

“If your trees reach maturity but timber prices aren’t that great, you can simply leave them growing and watch your asset gain value in front of your eyes, ready for a market upturn,” stated Mr Collins, In this way, timber investment is a relatively risk-averse investment, claims FRA.

FRA supports a number of forestry investment schemes all over the world, including Greenwood Management’s sustainable plantations in Brazil. These offer individuals the chance to invest in their own section of timberland for as little as $15,000.

Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com

Business

AAA welcomes news that Investors are interested in Tasmania Plantations

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AAA, an alternative investment advocacy group, has announced that it is welcoming the news of potential buyers for plantations owned by a collapsed forestry firm in Tasmania.

Boston, MA, USA, October 12, 2012 — Alternative Asset Analysis (AAA), an alternative investment advocacy group, has announced that it is welcoming the news of potential buyers for plantations owned by a collapsed forestry firm in Tasmania.

The 100,000 hectares of plantation space is thought to still be managed by the insolvent Tasmanian firm, called Gunns. The firm entered administration in late September and potential buyers for the plantation land, which could be very lucrative and attractive to investors, are being looked into by receiver KordaMentha.

There is already interest from clients of the New Forests investment fund in Sydney, manager David Brand has claimed. Brand stated that the price of the plantation land is still unclear, however, with prices ranging from a few hundreds Australian dollars to as much as A$8,0000 per hectare being mentioned.

He added that the value of the plantation that will be manageable under the new certification from the forestry Stewardship Council, which shows that the plantations are managed sustainably.

AAA’s analysis partner, Anthony Johnson, said that the news that FSC-certified plantations are more attractive and possibly more valuable than forests that are not managed sustainably is great news for the environment. “Not only is it good news from an environmental perspective, but it also means that sustainable management may become increasingly popular in countries like Brazil, where the future of the local communities can rely on the industry.”

The government of Tasmania is, in the meantime, hoping that an investor from china may pay up to A$2.3 billion for the pulp mill that was owned by Gunns.

The popularity of sustainable forestry as an alternative investment choice is growing all the time, claims AAA, which supports plantation projects like the ones operated by Greenwood Management in Brazil. These projects provide alternative timber products to those produced using native forests, which are vulnerable and extremely valuable from a ecological point of view.

About Alternative Asset Analysis:
The remit of Alternative Asset Analysis is to analyse and provide news on the global performance of a wide range of alternative asset classes including, but not restricted to, commodities, real estate, forestry, foreign exchange, hedge funds, private equity and venture capital.

Media Contact:
Anthony Johnson
Alternative Asset Analysis
71 Commercial St
Boston, MA 02109-1320
617-939-9596
info@alternativeassetanalysis.com
http://www.alternativeassetanalysis.com

Business

FRA comments on Brazilian Deforestation Reductions

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Amazon rainforest deforestation rates have fallen to their lowest levels ever recorded and FRA is attributing this partly to the creation of sustainable forestry plantations in Brazil.

Seattle, United States, June 16, 2012 — Amazon rainforest deforestation rates have fallen to their lowest levels ever recorded and Forestry Research Associates (FRA) is attributing this partly to the creation of sustainable forestry plantations in Brazil.

New figures from the National Institute for Space Research in Brazil show that deforestation has reached the lowest levels since records began more than 20 years ago, and the results are being published just a fortnight before the Rio+20 Earth Summit.

In the 12 months to 31 July 2011, some 6,418 square km of forests were destroyed, which is the smallest area since 1988. The rate of deforestation has actually dropped by 75 per cent since 2004 and FRA, along with many other analysis organisations attributes much of the success to the measures brought in by the Brazilian government to try to limit deforestation.

Brazilian President, Dilma Rousseff, said the government was largely responsible for the improvement. She said, “This reduction is impressive; it is the result of changes in society, but it also stems from the political decision to inspect, as well as from punitive action by government agencies.”

FRA’s analysis partner, Peter Collins, said that the government’s measures have had a big effect. “An example is their move to discourage the steel industry from using illegally logged timber for the production of charcoal. Any firms that did so would not have been eligible for state handouts, so they all turned to sustainable plantations, such as those run by Greenwood Management and other similar investment firms, to source their charcoal.”

FRA claims that this means the market for sustainably produced timber and charcoal is growing, which is great news for anyone investing in timberland in Brazil.

Greenwood and other plantation management firms offer people outside Brazil the chance to invest in non-native timber plantations that help to provide alternatives to local illegally logged timber.

About Forestry Research Associates

Forestry Research Associates is a research and advisory consultancy that focuses on forestry management, sustainability issues and forestry investment around the globe.

Media Contact:
Peter Collins
Forestry Research Associates
620 Vineyard Lane
Bainbridge Island, WA 98110
(206) 316 8394
info@forestry-research.com
http://www.forestry-research.com