KayDav has shown considerable operational resilience and an ability to fight its way out of trouble PUNTING an investment in timber is likely to draw a wooden response from a local investment community that has rarely been interested this specialised soft commodity.But last week wealth management specialists AlphaWealth were expounding the virtues of investments in timber and forestry assets — noting this alternative asset class had only five negative years in more than five decades.AlphaWealth wealth manager Andrew Flavell maintains that forestry investments are uncorrelated to global equities. “Trees do not care whether global stock indices go up or down, and the sources of their returns are quite different.”He says timber investments are an excellent hedge against inflation.The fact that local investors do not clamour enthusiastically for JSE-listed forestry and timber investments is perhaps shaped by perceptions of unsatisfactory returns. Counters like Sappi, York and Masonite h...
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