Terms and queries about investing in forestry
Secondary Market
This is the market Forest Enterprises operates to facilitate the sale and purchase of established Forest Enterprises forestry investments on behalf of existing clients.
Share
The name of the unit of investment in a company formed under the Companies Act 1993, in a Limited Partnership formed under the Limited Partnerships Act 2008, or in an Ordinary Partnership formed under the Partnership Act 1908.
Statement of Investment Policy and Objectives (SIPO)
A statement of investment policy and objectives (SIPO) is a document that sets out the investment governance and management framework, philosophy, strategies and objectives of a Managed Investment Scheme (MIS) and its investment funds or portfolios. Under the Financial Markets Conduct Act 2013, all Managers must ensure there is a SIPO for each MIS they [...]
Stumpage
The net payment to investors for a stand of trees. Normally expressed as $/hectare.
Supervisor
In relation to this Managed Investment Scheme, the Supervisor is appointed to look after Investors' interests under the Scheme, per the Financial Markets Conduct Act 2013 (FMC Act). The Supervisor acts on behalf of the Investors to supervise the performance of the Manager and ensure it complies with its obligations under the FMC Act and the [...]
Tender
See Open Tender.
Treecrop
The The Land and Treecrop on the Land are the primary assets of a Forest Enterprises Investment. The treecrop is the crop of Radiata pine trees growing on the Investment’s land that are being managed to harvest.
Unit
See Investment Unit.
Yield
The amount of wood recovered from an area of land in the forest, usually expressed as cubic metres per hectare (m3/ha).