FIM to introduce an easy way to invest in forests

11/16/2016

FIM is launching a new direct forest property investment fund. The fund enables investors to focus on enjoying the benefits of owning forest without any related management responsibilities.

Asset management house FIM is introducing a new property investment fund. FIM Forest Non-UCITS Fund will invest its assets primarily into forest properties located around Finland. Forest properties cover both the land area and the trees growing on the property.

– Forests are sound investment targets and offer a less risky alternative compared to, for example, equity investments. Trees keep growing even in times of economic downturn, says Fund Manager Timo Hakulinen.

The situation over the last few years in the stock and bond markets has sparked interest among Finns in investing in forests. Forests provide steady returns as long as the trees keep growing, as well as cash flow from felling operations. FIM’s new fund makes investing in forests simple.

Finns and forests – a perfect match

Hakulinen considers forests to be a perfect investment target for Finnish investors. Investing in forests is a very tangible investment and, traditionally, returns on forest investments have never been strongly linked to the overall performance of the securities markets.

- The fund is particularly well suited to long-term investors seeking to diversify their investments beyond fixed-income, equity and housing investments, says Hakulinen.

FIM, together with Finnish industry experts, will be responsible for acquiring, selling and managing the fund’s forest property. Forest management will be partly delegated to professional forest management company Innofor, which specialises in using non-clearcut methods in harvesting.

– The fund focuses on effective forest management that also takes account of the high ethical standards of modern investors regarding the use of natural resources. Our aim is to achieve a standard we can show to the world. We welcome all investors to come and enjoy their forests, says Marcus Walsh, Innofor’s Chairman of the Board.

According to Fund Manager Timo Hakulinen, small investors will benefit from economies of scale, as the fund actively seeks to achieve efficiency in forest investment by concentrating its forest purchasing and management and wood trading activities. Bigger forest purchase deals fetch a better price. The same is true also in wood trade.

- The Forest Fund provides a carefree and rewarding way to invest in forests. The fund enables investors to focus on enjoying the benefits of owning forest without any related management responsibilities.  FIM’s Forest Team, together with the soil, sunshine and weather conditions, will ensure returns on investment, sums up Hakulinen.

The fund is open to new investment on a quarterly basis. The subscription period for the current quarter ends on 15 December 2016. The minimum initial investment amount is EUR 5,000.

See additional information and terms and conditions of the fund (in Finnish)

The fund rules


For more information, please contact:

Fund Manager Timo Hakulinen, FIM, tel. +358 (0)41 4350 881, timo.hakulinen@fim.com

FIM offers a broad range of discretionary investment and asset management services. We have outlets in Helsinki, Jyväskylä, Kuopio, Oulu, Tampere, Turku and Stockholm, and also serve our customers extensively online. Our experienced professionals serve private investors, companies, organisations and key institutions. FIM is part of Finnish S Bank.