Menu

Business and Biodiversity: ForestFinance Service GmbH

ForestFinance Service GmbH

Commitment

ForestFinance Group’s main concern is to find innovative ways for investors to use their money for biodiversity protection projects while at the same time reaping the benefits of a good investment. The ForestFinance Group has gathered many years of experience in developing ecological forest investments.

Finding the ideal symbiosis between attractive investments and ecologically meaningful activities is the basis for all of the ForestFinance products and the main goal for each of our employees. Under these premises the company is able to offer a number of forest investments. The ForestFinance Group has been especially successful with investment products such as its TreeSavingsPlan (BaumSparVertrag) and the ForestSavingsPlan (WaldSparBuch). They are attractive to even investors with a small budget and provide lucrative returns from renewable wood resources.

In addition to profits from wood sales, investors can expect to see yields from the sale of CO2 certificates and seeds from the forests. ForestFinance was awarded in 2010 with the “FSC Global Partner Award” in the field of “Financial Services” and is the first German company to be internationally recognized with this prize.

The forest investment company’s reforestations efforts support the enrichment of regional biodiversity at its various projects in Panama. They also create new pristine secondary forests that have secure, long-term productivity potential. Through reforestation activities in mixed cultivation forests that integrate at least 60 percent of native or non-invasive species, the overall ecological benefit is considerably greater than that of similar monoculture forests. Only degraded regions, such as fallow pasture areas that have not been able to naturally regenerate back into forests, undergo reforestation measures.

Pre-existing wooded areas within forests are permanently preserved and protected. Such wooded areas in combination with reforested pastures create nature reserve domains that act as stepping stone biotopes for rare plant and animal life. According to studies conducted by the Technical University in Munich on plant distribution methods found in ForestFinance forests, nearly 90 percent of the plants identified in the forests are spread around the area with the help of animals. This conforms to distribution patterns naturally existing in ecosystems and indicates that indigenous species accept the ForestFinance forests.

Benefit

Did you know that one formula for success and a way to reduce risk is to combine mixed woodlands, bug-eating birds, rich soils and ForestFinance? 

Mixed woodlands do not only offer rich habitats for many plants and animals, but they also provide advantages to those cultivating them. As opposed to monoculture areas, mixed forests do not leach the soil of minerals. Because of the substantial biodiversity found in ForestFinance mixed forests, the ecosystems are far less likely to be susceptible to insect infestations and other tree diseases. As an example, ForestFinance forests are the home to many bird species, which survive off the region’s harmful insects. This reduces the necessity to use large amounts of chemicals typically needed to maintain monoculture forests.

Additionally, investors profit greatly from ForestFinance’s ecological mixed forest systems. A ForestFinance forest has up to seven different timber types and precious woods, as well as a selection of 50 various native tree species. Such a portfolio model, unique to mixed wood forests, enables investors to react in a flexible manner on the wood market, thereby reducing risks.

FactBox Forest Finance Service GmbH

Headquarters
Bonn, Germany

Major products
(Agro)Forest Direct Investments 

Global employees 2019
approx. 150