NAFIT

 

New Fund for Investment in International Forestry

Demand for forestry investment by Irish pension funds and charities has increased significantly over the life of IForUT. The growth of demand for investment opportunities in Ireland has been much greater than the growth of supply of available forest properties suitable for institutional investors.

Mountain scene

IForUT have taken the decision to establish a new international investment fund — the North American Forestry Investment Fund (NAFIT) — to meet this demand while continuing the risk-averse investment strategy which has been a key investment characteristic for IForUT unitholders.

It will have an investment term of approximately 13 years (with a provision to extend to facilitate orderly exit strategy) and is intended to provide income and capital growth to unitholders over the life of the fund.

NAFIT will itself invest in a number of collective forestry investment funds in North America. These funds will themselves hold growing forest assets generating both income and capital gains.

The specific investment funds chosen will be matched as closely as possible to fit into the term of NAFIT. Income and capital distributions will be made as these underlying investment funds undertake ongoing timber sales together with appropriate property sales and will continue to maturity.