Forest and agriculture

For our investors from Munich Re (Group) we look for interesting investment opportunities in established markets in alternative asset classes such as forest and agriculture. Investments in forest and agricultural land have a long history at Munich Re (Group), making this one of its traditional investment fields.

Forest and agriculture investments diversify the investments of institutional investors, spreading the investment risks. The correlation with other investments that investment companies traditionally enter into is quite low. Forests grow irrespective of economic developments, and when wood prices are low, trees can simply be left standing. In the case of agricultural land, the crop chosen can be changed every year depending on demand, and most of the value of the investment is in the land itself.

Important for us is the sustainable farming of the forest and agricultural land after purchasing it. Munich Re (Group) holds the land for the long term and can use it to cover payment obligations incurred in its core business of insurance.