The Rise of Interest in Forestry Investments

Forestry investment has grown steadily over the past 35 years to become a core part of many institutional investment portfolios. Traditionally seen as part of an allocation to private real assets, or alternative assets, forestry provides exposure to a wide range of underlying markets for construction timber, pulp and paper, furniture and energy, as well as rural property values.

While most institutional forestry investment to date has been in the United States, the forestry sector operates in all regions of the world, and investors have been steadily expanding into Australia, New Zealand, Europe, South America, Asia and Africa.

This paper provides a history of forestry investment, an explanation of the current investible universe of assets available to investors, the role of forestry assets in a diversified portfolio, the investment and asset management process, and the emerging opportunities for the asset class.

To read a copy of the full paper, please download here