10 myths about forest investments – and why you should ignore them!

The financial markets are volatile and nervous, and most traditional assets are priced at record levels. Still, some people are hesitant to invest in Baltic forestry despite attractive risk-adjusted returns. Why is that? Investing in forestry is unknown to most, seems complicated and is associated with a lot of myths which hinder the decision to invest.

This paper will highlight and discuss some of the most common myths as we have met them in Dalgas. 

Three myths

Some of the most common myths as we have met them in Dalgas are:

1. Investing in forestry is complicated
2. Forest investments are very obligating – I cannot get out!
3. Trees take 70 years to grow. I cannot wait that long

Below we will try and puncture the first myth. It really is not that difficult to invest in forestry!

1. It is complicated – how do I do it? A common misconception is that forest investments are complicated. This does however not have to be true. Our investment setup is simple and direct – you own your own forest and are therefore in full control of decisions regarding additional investments, divestment, and annual budgets. We will assist and advise you, but the decision is yours. You sign a management contract with us covering all aspects of the forest management, bookkeeping, and administration. We report to you on a quarterly basis on economy and activities in your forests, we prepare your mandatory annual report and are always ready to answer any questions or comments you might have regarding your investment.

Watch us deflate the other mentioned myths, and see seven other myths getting punctured by downloading the whitepaper below. You can also contact us, if you wish us to answer your curiosities and questions.