Leading the restructure of a forestry asset

Leveraging existing positions and manager relationships to optimise future investment exposure is a key part of our portfolio management process.

In the 2022/23 financial year, we ensured that a restructuring of one of our existing hardwood forestry assets met with our investment and ESG requirements. 

The Tasmanian Forestry Trust is a mature 170,000-hectare hardwood plantation in Australia. By forming and leading a consortium of three pension funds in buying out the interests of existing investors with liquidity requirements, we were able to secure long-term direct exposure to this important asset.

Forestry is a key element of our responsible investment strategy as it can help to mitigate CO2 emissions by storing carbon. It’s one of the few viable nature-based investment solutions in the journey towards a net-zero carbon world.

Well-managed forests can also increase biodiversity and are more resilient to climate change.