Unregulated timber investment schemes

The other week, I wrote an article for MoneyWeek on timber investing, looking at some of the interesting properties of timber as an asset class and what drives returns. It’s probably behind the paywall right now, but will be free in a few weeks – or you can get a free trial to read it now.

In the article, I focused on well-established investments such as the US timber real estate investment trusts (Reits) but I subsequently received questions about unregulated timber investments that promise retail investors rather eye-popping returns. I don’t want to comment on specific schemes, but here are some general points to bear in mind about arrangements of this type, which I’ll post here as a brief addendum to the article.