Monday, 26 November 2012

Savills plc : Forestry continues to deliver strong returns -

http://www.4-traders.com/SAVILLS-PLC-4006034/news/Savills-plc-Forestry-continues-to-deliver-strong-returns-Forest-Market-Report-2012-launched-join-15550027/?goback=%2Egde_141485_member_189869653

Project: Paulownia Tree Plantation Investment






Global demand for hardwood has itself multiplied 25 times in the last 40 years, and with population growth rates higher than ever this trend will continue. On the other hand, timber has outperformed the stock market significantly over the last 30 years. The simple reason for it is that no matter what is happening on the stock market the trees just keep on growing. The conclusion is that timber investments are the best tool to diversify portfolios and they are an opportunity that every investor must consider.

The Unique selling points for our investments are: Freehold Land Ownership, Forward Purchase Agreement and Payment Plans available.

Business Objective: Plantation of quick growing trees for logging.

Location: European Union – Bulgaria

The climate in the country provides excellent conditions for growing Paulownia Tomentosa.

Why invest in Paulownia:

*quickest growing tree on earth,

*extra quality hardwood with various applications,

*the demand for timber is constantly growing,

*Paulownia absorbs more CO2 than any other plantation tree

Security for investors:

  • the investor owns 100% good quality farm land with all the trees on it,

  • the plantation is located within the EU,

  • the managing team has specialized in China – the origin of Paulownia tree,

  • installment plan payment options reduces the investor’s risk,

  • free exchange of any perished trees by the end of the first year

Payments:

There are several payment options with up to three years terms available via an installment plan. Overall costs will depend on the investors preferred payment option.

Key Facts

Asset Class Forestry plantation for logging

Location Bulgaria, European Union

Currency Sterling, Euro

Term 8 – 10 years cycle

Land The investor owns the land

Minimum Investment £5,900 inclusive of all costs

Payment options Up to 3 years installment plans, discounts available for payment in full

ROI 15% - 16% on annual base

Management Highly motivated and specialized team

Ownership 100% Freehold held via a Bulgarian Ltd Company with the investor owning 100% of the shares

For further information contact us info@silvinvest.co.uk or request a brochure using the appointment widget located top right.

Friday, 23 November 2012

Tree Farms Are Becoming a Popular Investment.


Tree Farms Are Becoming a Popular Investment.



An area that is planted with trees for the purpose of producing timber is known as a tree farm. Tree farms are usually owned on a private basis and can refer not only to forests but to plantations and tree nurseries too. Both plantations and tree nurseries refer to places where trees are grown, for sale to commercial endeavours or retail markets.

Tree farms start with the planting of saplings, which are leaves that are either harvested or have been naturally dropped from trees. The investors then wait for these saplings to grow into trees. 

When the trees mature, they are harvested for wood and also for more saplings, which are then used to replace the trees that have been cut down, to grow a new generation of trees. This
process of regeneration can be repeated indefinitely so that a constant supply of trees is produced without the need for adding more land to the tree farm. This, in turn, serves to protect the environment as the area surrounding a tree farm can be conserved and maintained for its original purposes.

Those who invest in tree farms have the choice of the size and type of trees they plant. Some investors prefer to plant larger trees as these trees yield more timber per sapling while most investors in tree farms prefer planting smaller trees as the amount of wood or trunk as compared to the amount of leaves is less, and all the wood can more easily be harvested from the ground.

There are many different types of trees that can be planted in tree farms and the type of tree that an investor plants depends on the needs of the investor and the type of return that is desired.

One of the more popular trees used in tree farms is the Eucalyptus tree . Eucalyptus has a high density and is used extensively for paper pulp and increasingly Biomass. The wood has a quick growth cycle and is perfectly suited to most tropical environments.

Bamboo is the wood of choice for many forestry related investors. One of the main advantages of using Bamboo for a sustainable source of energy is the rate at which it can grow. As the fastest developing land plant in the world, a bamboo stump can renew itself in just 50 days after harvest making it a far quicker source of material than alternatives such as tree stumps and branches.

Furthermore, the water efficient method that Bamboo uses to grow and its ability to regenerate for an average of 25 years ensures that management costs are significantly lower creating a greater opportunity for return.

In addition, Bamboo Biomass requires a relatively lower temperature to process therefore further improving cost efficiency of producing new forms of energy. With consistent and rising demand, and with a ready-made market for this wood, it is easy to see why the Bamboo tree is a popular investment.
One of the more popular trees used in tree farms is the Teak tree Tectona Grandis. Teak is a tropical tree renowned for its grain quality that produces durable hardwood used extensively in furniture; house building, and yachts. Growing demand for teak wood, coupled with limited international supply, suggests that increases in teak prices should continue steadily. 

New Teak Forestry Plantations generally have a growing cycle between 20-25 years as the plantation is fully managed and use new practices to help with biological growth. However, many Teak investors buy in to a standing teak plantation where the trees are already established and the cycle from purchase to harvest is 10 years.

When investing in tree farms, an investor needs to carefully investigate and research the situation in order to determine which size and type of tree best suits their investing requirements. Here at Silvinvest, we have numerous options to prosper from tree production. Request a brochure: Teak, Agarwood, Eucalyptus, Bamboo and Paulownia products available.

Thursday, 22 November 2012

Teak Investing - Key Facts and Opportunities



Look in the Right Places and Money Does Grow on Trees

Although few investors realise it, timber has outperformed the stock market significantly over time the last 30 years. Of course, there’s a simple fundamental driving this out-performance for timber – biology. No matter what’s going on in the world or the markets, trees keep growing. This annual growth provides a natural hedge against inflation. The conclusion for many is that timber investments provide a great tool to diversify portfolios and immediately owning trees becomes a very interesting proposition.

Teak is one of the most durable, robust and sought after tropical hardwoods. The global shortage continues to drive the supply/demand deficit and has lead to what is widely regarded as one of the few consistently high yielding low risk commercial opportunities. [The product provider] have pioneered a structure that not only offers a safe and secure purchase structure, but also further reduces what is already considered to be a low risk investment.

  • Purchase trees from existing company stock

  • 5 – 15 yr investment term

  • SIPP Compliant – Relationships with SIPP providers where necessary

  • 8-12% IRR

  • Harvest Flexibility 2018 onwards

  • Packages available from £20,000

  • Increase personal stock in the future – Additional trees can be purchased at any time

  • Asset based investment

  • Ethical, sustainable & green

  • Purchase directly from Plantation Owners

  • Highest level of customer security through exceptional corporate governance

  • Secure Ownership Structure – Protected by a UK trustee

  • Unique purchase order structure further de-risks the purchase (customers only receive mature elite trees of a predefined size)

  • Size Warranty on delivery – predictable returns from a known quantity of timber

  • Customer orders underwritten by company buffer stock

  • Widening supply demand deficit supports rising global prices

  • Perfect inflation buffer (inflation of 3%, tree grows in size/value 10%)

* Ideal balancing tool to diversity portfolio

Warren Buffet: Only buy something you would be happy to hold if the market shut down for 10 years.

For further information please view the full product brochure within our Members area or contact us info@silvinvest.co.uk. Alternatively, you can request a product enquiry appointment using the widget located top right

A Beautiful Investment in Oudh - Key Facts

Agarwood Forward Purchase Agreement: Key Facts

Why Agarwood has a widespread and varied use going back thousands of years and was recorded in the New Testament. When distilled oil is produced which is used in perfumes and can be sold for up to $20,000 USD per kg, the oil in its purest form is known as Oud or Oudh. Currently the demand for Agarwood and its products including Oudh oil, far exceeds the available supply. Oudh oil is used in some of the most expensive perfumes in the world, Lacoste, Tom Ford, Versace and Yves St. Laurent.

The wood itself also has many other uses such as medical, religious and is carved into many different items. Today Agarwood is recognised as the most precious wood in the world, an extremely high value with being sold for as much as $5000 USD.1kg

The Opportunity is a forward purchase contract where you purchase saplings at a set price, the more you purchase the cheaper the saplings are. You are then given a forward purchase price at which the product provider will buy the trees back from you at maturity in 6yrs time. This means the returns of 72%+ for the 6yr term are guaranteed, backed by a company with a great reputation of plantation management and of producing quality grade Oudh oil.

Underlying Asset is the Agarwood trees, they are held by the customer, the returns are guaranteed by the current sale of the Oudh oil at today's price.

Security

 * A Guaranteed Return
 * Ownership and harvesting rights
 * Replacement of dead or damaged trees

Key Facts at a Glance

Asset Class                      Forestry

Location                           Trat Province of Thailand

Currency                          $ US Dollars Term 6 years

Exit                                   Defined, Trees are bought back at the end of the term

Minimum investment       $4,131 for 35 trees Return Minimum return is 72% on 35 trees.

The more trees bought, the higher the return.

Guarantee Return is from the date of purchase, by a forward purchase contract offered via the Product Provider. To conclude, the product provider accepts investment capital to continue to expand the Agarwood plantation and once the trees are ready to produce Oudh Oil from the inoculated trees they will return your initial investment with a guaranteed minimum forward purchase contract of 72% ROI. This is guaranteed but potential returns may well be higher.

For further information please request a brochure using the appointment widget located top right.

Black Gold - Supply and Demand

In many parts of the world the natural forests are the primary source of wood for heating and cooking. This places strains on the natural habitat and also indirectly accounts for large amounts of annual carbon emissions. With world population increasing at a rapid rate, deforestation will increase automatically. Supply and demand issues mean that investments into plantation forestry will have an important part to play, both now and especially in the future to meet demand for any wood related products or usage. It is important to note that Timber is the third biggest traded commodity and industry after Oil and Gas. Over $200 Billion and rising. Investing into forestry can be a wise choice for the adventurous investor and returns on investment are almost guaranteed due to natural economics.

Thursday, 15 November 2012

Points To Consider When Choosing An Agarwood Investment Company


The high returns of forestry investments in recent years have made such propositions much more attractive to a wider range of individuals and pension companies alike. 

As more traditional markets are burdened by volatility and low returns, the demand for more innovative prospects that are not correlated to the general stock exchange or bonds is becoming much greater. However, in finding the hidden opportunities that are available, such as investment in Agarwood, it is essential that every investor ensures the product provider chosen has industry recognised credentials.

Look For Recognised Affiliations

Though a company may operate in a niche market, a previous positive reputation is essential when making the decision to invest. By choosing a company that has a track record, it is possible to experience more certainty that the investment is a viable and profitable one.

Though many Agarwood Investment Companies are in their infancy, look out for organisations that are part of much larger corporations that provide the experience and backing that will generate more stability for the investment as a whole.

Be Specific In Agarwood Plantation Requirements

As investments can be made from anywhere in the world, it is vital that the people on the ground managing the Agarwood plantation have the expertise and know how to ensure that all returns are fully maximised. Though it is possible to choose an individual plantation manager to work on site, it is usually more beneficial to find an Agarwood plantation which has a qualified management team in situ who are experienced in the area and have a stronger vested interest in its overall success.

In the case of Oud production, most plantations will manage the entire process from the initial sowing of the seeds through to oil extraction. Only by selecting a team with a proven history of high quality oud oil production will it be possible to have confidence in the plantation and maximise the investment made. Furthermore, look at the location of the plantations themselves. Ensure it is in an area where the trees that create the Agarwood are going to thrive, native to its surroundings. This should be a warm, humid environment such as Thailand and Cambodia where the climate is perfect for this type of tree to grow. 

Ensure that the plantation is question has certification by CITES (the Convention on International Trade in Endangered Species of Wild Fauna and Flora) or a related accreditation which will allow it to market the Agarwood and resulting Oud oil across the globe and achieve the best possible results and grading.

Look For Guaranteed Investment Return

Due to the massive demand of Oud oil, many plantations requiring investment will offer a guaranteed rate of return. The companies seek development capital to expand the plantations and once the trees are ready for oud oil extraction, they will purchase the trees back from you, the investor. Look out for guaranteed minimum returns of 72% over a medium term of 6 years to achieve overall Capital Growth in such a rapidly developing and sustainable market.

For further information please contact Silvinvest. We have exclusive agreements in place with well respected agarwood and oud oil prodcuers to market their investments. You can book a telephone enquiry session or request a brochure using our appointment booking widget located top right.Investments can be made directly for international clients (including UK) or via a Self Invested Personal Pension (SIPP)for UK only investors.

Eucalyptus Plantations and How to Invest





Wednesday, 14 November 2012

Quality Teak - Such an Attractive Investment




Quality Teak - Such an Attractive Investment

Across the world, one of the most highly regarded of all the tropical hardwoods is teak. Its prolific use within the furniture and construction industry is renowned. And it is the same attributes that create outstanding furniture and strong construction materials that make teak equally as attractive to the informed investor.

Predictable Growth

The investment itself is one that grows both visibly and financially. As a tree turns from a teak sapling into a fully grown specimen, the value of the investment also develops, showing that money really can grow on trees! Thanks to the reliability of the Teak species, it is possible to be confident in the return that such an investment will bring. The solid structure and natural resilience to pests, disease and adverse weather conditions creates a strong and solid material for production which cultivates a degree of certainty for investors that is not available in many other natural products.

High Demand

The hardwood taken from the Teak tree is highly grained and offers a beautiful colouring which makes the wood highly sought after in the furniture industry. As demand for such a raw material is on the rise, so the value of any investment in teak also increases. Used in a variety of ways, the versatility of the wood is such that even when market conditions impact on the overall timber asset class, teak prices remains buoyant.

Readily Available Markets

There are markets for selling both raw teak and the final products that are made from it. The products that are created are readily demanded and can frequently be founded in local marketplaces across the world, but especially in Asia where in many countries it is the wood of choice. In a similar way, the markets for teak investment are also readily accessible by large stockholders and individual investors alike. Any investment in Teak can be liquidated simply by felling the mature trees and selling them on to the local or global timber market, or by dealing in futures for immature trees via forward purchase contracts.

Limited Supply

Due to the long term growth required to produce high quality teak, the supply of the wood itself is relatively limited. Changes in volumes require patience and hard work and the current existing shortage is estimated to continue until at least 2030. This limited supply enables producers to claim a much higher price for Teak than other similar hardwoods and ensures that the value of the wood is consistently maintained. Such a resource limitation provides a much greater opportunity for the return on any investment made and more confidence in the ability of the initial capital to maintain its value against market fluctuations and rises in inflation.

Most major teak producing Countries have applied Laws to completely ban the logging of natural teak forests and to criminalize any groups involved in illegal logging. Supply and Demand economics should continue to maintain Teak as an expensive hardwood.

Over the past 30 years, teak has consistently outperformed stocks, bonds and a range of other commodities to provide an estimated 5%-15% annualized ROI to its investors creating a valuable and attractive asset for all those involved.

For further information please contact Silvinvest. The investments we have access to are in standing teak. This means that the trees you purchase are already semi-mature and this offer a certain amount of flexibility when considering an end date for your investment.You can book a telephone enquiry session or request a brochure using our appointment booking widget located top right.Cash Investments can be made directly or via a Self Invested Personal Pension (SIPP)if you are a UK citizen.