Year of the Wood Dragon bodes well for forest funds

By Tom King
The Asset
January 4, 2024
Category: Finance & Economics
Region: International

It is said that the Year of the Wood Dragon will bring great energy and transformation. And with the spotlight returning to the element of wood in Chinese astrology this year, it is also hoped that forestry funds and other nature-based real assets will bring more fortune as they move into the investment mainstream. In the wake of geopolitical uncertainties and interest rate hikes, investors in Asia have been re-evaluating their asset allocation strategies with many attracted to sustainable investing, according to the Schroders Global Investor Study 2023, “The findings of the [study] underlined the widespread but growing recognition of the importance of active ownership to sustainable investment,” says Andy Howard. And forestry funds could be an emerging star of alternative investments. …The long-term outlook for the forestry fund sector looks positive, driven by sustained demand, supply shortages, regulatory support, and a commitment to sustainable practices.

Read More