Investment Products

New Forests services institutional and private equity investors in commingled funds and works directly with individual clients seeking exposure to timberland and environmental markets. New Forests has investment products targeted to Asia, Australia-New Zealand and the United States, and in some cases makes carbon offset or REDD investments in other parts of the world, including South America and Africa.

Forests and Timberland

Forestry investment products are structured around forestry investment fundamentals, specifically discounted cash flow analyses, growth and yield, optimisation modelling and market research. Combined with an understanding of the regulatory and financial drivers behind environmental markets, particularly carbon, New Forests manages investments to deliver core returns from sustainable forestry activities with upside exposure to eco products.

Eco Products

New Forests believes that investors with direct or indirect exposure to environmental assets will see significant valuation uplift. The underlying driver of this is fundamental economics - as the world's natural habitats become increasingly scarce, their value will appreciate. New Forests' investment products align investors with these trends, as externalities are priced through government regulation and, to a lesser extent, voluntary action.

New Forests co-manages the Eco Products Fund, which invests in US forest carbon and conservation and mitigation banking instruments. New eco product investments around domestic forest carbon and international REDD are being developed in line with emerging legislation in California, the US, New Zealand, Australia and internationally through the United Nations Framework Convention on Climate Change (UNFCCC). These policy developments suggest that forest-based offsets will play a significant role in global climate agreements in the future. This creates a new carbon asset class that may be accretive to forestry returns or provide completely new investment models.