Consulted by the Commission on the matter at hand
Forests, The New Hot Investment for Tax Reduction
© GettyTim82/Getty Images By Mireille Weinberg**
Escape the noise and splurge on a pice of serenity—a forest! Direct or through funds, investing in forests isn't just a peaceful retreat but a lucrative venture with substantial tax benefits. Forget typical investments; let's dive in and discover the green gold hidden in the woods.
Some crave a tranquil getaway, and buying mini forests (less than 5 hectares) next door is perfect, while the more affluent aim big, investing in vast landscapes of more than 50 hectares for hunting or that delightful, substantial tax break. Hold on to your land for a while, and prepare for exemption from inheritance tax (or donation) on 75% of the forest's value. Stick to the rules—conserve the land, and you're good to go!
The allure of forestry investments is about more than just the peace and quiet. As a versatile diversification asset, uncorrelated with financial markets, it has an average annual growth of +5.46% over the past ten years, according to industry experts. The entry fee? Starts at a modest 3,000 euros per hectare for a small pine forest to an extravagant 40,000 euros per hectare for the ever-enchanting, century-old oak forests.
But wait, there's more! If investing in a massive plot isn't your cup of tea, consider investing in shares of an Investment Forest Group (GFI)! With a minimum of 1,000 euros, you'll enjoy a mixed bag of different climates, tree species, and excellent management that takes the pressure off you. Gain tax reduction, but be cautious; the amount varies depending on the fund and the nature of the reduction will count towards the annual tax shelter ceiling, limited to 10,000 euros per tax household.
Fancy a different approach? There are funds that focus on long-term growth and inheritance tax benefits. Your initial investment will be returned in full, accompanied by the realized capital gain, making it a perfect choice for wealth preservation and tax planning. Their stellar performance speaks for itself—+4.17% in 2024 and a whopping +17% over the last three years!
From the beautiful article "Investments, Forest"
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- Investing in forests, particularly large ones, can provide exemption from inheritance tax on 75% of the forest's value, making it an attractive option for wealth preservation and tax planning.
- For those who prefer to invest in forestry without managing a vast plot, Investment Forest Group (GFI) offers shares starting at 1,000 euros, providing diversity in climate, tree species, and professional management.
- The affordability of forest investments varies, with small pine forests starting at 3,000 euros per hectare, while century-old oak forests can cost up to 40,000 euros per hectare.
- Forests are not only a peaceful retreat but also a lucrative investment, offering an average annual growth of +5.46% over the past ten years and significant tax benefits.
