2 arrf exec summary - april 2012Document Transcript
THE ASIA RENEWABLE RESOURCES FUND “Invest in a Green & Sustainable Economy”THE ASIA RENEWABLE RESOURCES FUND The Asia Renewable Resources Fund is a Luxembourg domiciled and regulated SICAV SIF fund appropriate for institutions and ‘well-informed’ investors only. The Investment Objective of the fund isto provide good growth potential via a portfolio of diversified forestry assets whilst protecting the interests of investors, local communities and the environment. About Treedom Investments Ltd Investment Advisor: Treedom Investments Ltd. Treedom Investments Ltd (TIL) is a specialist investment advisor in the renewable resources sector and advisor to the Asia Renewable Resources Fund. The fund is designed to meet investors’ growing Global Investment Manager: need for good risk adjusted return potential whilst also addressing their desire to apply their capital KMG Capital Markets in a socially responsible manner. Luxembourg SA The fund generates returns for investors via renewable commodities specifically forestry related Fund Board: products; the prudent and sustainable management of which protects the interests of fund KMG SICAV-SIF SA investors, local communities and the environment. Custodian: TIL is part of the Treedom Group of Companies. http://www.thetreedomgroup.com The Group offers KBL European Private Bank expertise in forestry consultancy, plantation management, forestry product sales, forestry asset management and environmental welfare through reforestation projects. Fund Auditor: Deloitte SA Key Criteria: Minimum Subscription: 1. Selecting the right projects that can promote reforestation and the sustainable management of $10,000 existing forestry resources. 2. A diversified portfolio approach with diverse assets and countries to control risk appropriately. ISIN: LU0756853353 3. Own the operating platform to capture profitability effectively, while also having the ability to LU0756853866 integrate new opportunities. LU0756853601 4. Provide liquidity in the fund to accommodate our investors’ changing circumstances. LU0756853437 LU0756853940 5. To have a strong emphasis on capital preservation and protection allowing the fund to protect LU0756853783 the interests of both fund investors and local communities. 6. Acquiring realistically priced opportunities offering excellent potential to generate high yields Investment Horizon: and capital increases for the portfolio. Liquidity Monthly, Long term, 5 years plus 7. Maximise gains from capital growth and operating profits. All acquisitions and disposals of fund assets to be independently audited and further independent fund audits at 6-monthly Asset Class: intervals. Renewable Resources, 8. The right selection and assessment of value of our target acquisitions will be a critical success primarily forestry factor for ascertaining future income potential and growth. 9. Partner with local communities creating work opportunities and forestry industry training. 10. Offering investors the opportunity to donate a portion of their returns to support the PATT foundation’s reforestation efforts in SE Asia.
THE ASIA RENEWABLE RESOURCES FUND “Invest in a Green & Sustainable Economy”Why Forestry? Investments in timber by large institutional investors and Biological growth is considered to be the most significant factor endowment funds have increased significantly in the last few contributing over 60% of the total return. years. Forestry is now a widely accepted asset class. Asian forestry is also ideally located to meet the needs of the two Returns can be further enhanced by diversifying into species most significant growing markets for forestry products: China such as Agarwood which after refinement produces Oudh oil, a and India. highly valued and natural product used in the cosmetic and Timber price changes contribute approximately 30% of the total perfume industries. return. They are affected by macroeconomic variables such as The increased interest is driven by its behaviour as an asset, with GDP, house-building, construction spending, interest rates, and stable returns and low correlation to traditional financial assets population growth. Timber prices, historically, have risen 3% such as equities, fixed interest and other risky assets. above the rate of inflation. During periods of high inflation, Land prices in the US, Canada, Europe, Australia and New timber and forestry investments can act as an inflation hedge Zealand have risen strongly in recent years and many forestry and provide capital preservation. projects in those countries look overbought (decreasing The long-term industry outlook for timber and forestland forward-looking return potential). By contrast Asian emerging investment remains strong as the global demand for wood and markets such as Thailand, Laos and Cambodia offer better land paper products continues to exceed supply. The United Nations price value and lower labour costs. Food and Agriculture Organization previously estimate that the Timber and forest investment returns are driven by three factors: world consumption of timber and forestry-related products will biological growth, changes in timber product prices and changes rise more than 50% by 2030. in land prices.Level 19, Two International Finance Centre, 8 Finance Street, Central, Hong Kong | Email: email@example.com | Website: www.treedom.bizImportant Information:The Asia Renewable Resources Fund is a Luxembourg-registered “Sociétéd’Investissement à Capital Variable” organised under Luxembourg Law of 13th February 2007 relatingto specialised investment funds (SICAV-SIF) and regulated by the “Commission de Surveillance du Secteur Financier” (CSSF), the Luxembourg financial services authority. SIFshareholders must qualify as well-informed investors as defined in the Luxembourg Act of 13th of February 2007. Past performance of any investment is not always indicativeof future performance and investments are subject to fluctuations in exchange rates. The value of the fund and its share classes are calculated without taking into account anyplacement or redemption fees. The information given on this page does not constitute an offer nor a product recommendation, it is provided for individual informationpurposes only.