Investment Strategies

New Forests services institutional and other qualified wholesale investors through commingled funds and separate accounts in the timberland and environmental markets asset classes.

Forests and Timberland

The strategies supporting New Forests' forestry investment products are structured around forestry investment fundamentals, specifically discounted cash flow analyses, growth and yield, optimisation modelling and market research. New Forests' approach to investment is to start with a clear understanding of the market opportunities in the geographic region, define a strategy to benefit from those opportunities, and then resource and execute on the strategy successfully. We recognize that forestry returns come from buying well, managing well, and exiting well. Combined with an understanding of the regulatory and financial drivers behind environmental markets, particularly carbon, New Forests works to deliver upside from environmental markets opportunities. The company's core areas of forestry management expertise are in Australia New Zealand and Asia Pacific.

Environmental Markets

Investors with direct or indirect exposure to environmental markets for carbon, biodiversity and water will see significant valuation uplift in the coming years. The underlying driver of this is fundamental economics - as the world's natural habitats become increasingly scarce, their value will appreciate through government regulation and, to a lesser extent, voluntary action. New Forests differentiates itself by providing investors with direct access to this emerging asset class, primarily in the United States where biodiversity markets are established and forest carbon is a centerpiece of evolving emission reduction legislation. New Forests also works with a limited number of private accounts clients to develop leading-edge investment strategies in other parts of the world, with particular project and policy expertise in reducing emissions from deforestation and degradation (REDD).