Re: Third Forestry Investment Plan
Hi Enquirer
This is what Brendan says in his book "The D.I.Y. Guide to Savings and Investments" (See link on top of this page) about Forestry Investment in general:
FORESTRY
"Forestry is an attractive investment to many people. There are generous grants available to plant trees commercially. The profits from forestry are tax free. The BIG disadvantage is that forestry is a very long term investment and the returns are just so uncertain. The best way to invest is through a forestry fund , such as the Seventh Irish Forestry Fund. This is like a unit linked fund in that you can invest as little as £500 in such a fund. In 30 years time, when the forest matures, you will get your money and profits back.
The problem is that most of us don't have a 30 year horizon for investing. If you want your money in 10 years time, there is very little you can do about it. The promoters will try to find a buyer for you, but you have no way of knowing whether or not there will be a demand for your shares.
Just in case you think forestry is a good thing to invest in from an environmental point of view, it is not very clear cut. Most of the commercially planted trees are evergreens and are not native to Ireland. They have often been planted in the wrong places and damaged rural communities and environmentally sensitive areas. They have been accused of acidifying rivers and contributing to the decline in salmon. On the positive side, trees are very important in processing carbon dioxide.
Unfortunately, planting environmentally valuable native trees such as oak or ash or rowan is not economically viable."
