MEAG increases forestry investment in Finland

Written by Michael Griffiths

23/12/2024

MEAG, the asset manager of Munich Re, has increased its forestry investment in Finland by acquiring an estimated 5,900 hectares of sustainably managed Finnish forests.

This is the second forestry transaction in Finland for MEAG and takes the total forest holdings acquired by MEAG in Finland to 39,000 hectares.

MEAG said the move forms part of its investment strategy of “developing well-diversified forestry portfolios” for its customers in established forestry markets. By focusing on professionally managed investments in selected regions – such as North America, Oceania and the Baltic Sea region – MEAG can offer its customers attractive risk-return prospects.

The sustainability of the forest areas is verified by third-party certification (PEFC), and 5% of the area is taken out of forestry use in order to focus solely on nature conservation aspects.

Head of illiquid assets natural capital at MEAG, Hans-Joachim Seyfarth, said: “With their stable value and proven resilience in difficult times, forestry investments are an ideal addition to a well-diversified portfolio of institutional investors.

“Finland is an attractive market for further investments and is one of the few countries in the eurozone where forests can be acquired at attractive conditions.”

Related Articles