Impact investing – Where your dollars make a difference
World Tree Empress Investments
Many people are looking for green alternatives to conventional investment approaches. World Tree provides an opportunity to use your money to fight climate change while generating a return on investment.
World Tree’s programs are based on the fastest growing tree in the world: the Empress Splendor. When you invest in the Empress, you are investing in plantations of eco-timber across North and Central America. You are supporting farmers, protecting our forests and get to share in the dividends from the sale of lumber.
- Invest in eco-timber production in North and Central America
- Downside risks mitigated by dispersed plantations
- Management team with over 20 years experience
- Shareholders receive 50% of company profits
“As long as the sun shines and the rain rains, trees just keep on growing”
– Billionnaire timber investor Jeremy Grantham on why he invests in trees.
Canada Offering summary
Issuer: World Tree COP Inc
Early-bird share price: 0.90c (until June 30th)
Minimum Subscription: 2500 shares, $2250 CDN
Shares issued: World Tree COP 2018
Time to harvest: 10 years
Tax-deferred status: RRSP and TFSA eligible
Offering opens: 20th April 2018
USA Offering summary
Issuer: World Tree COP USA Inc
Early-bird share price: 0.90c (until June 30th)
Minimum Subscription: 2000 shares, $1800 USD
Shares issued: Series A COP 2018
Time to harvest: 10 years
IRA and 401k eligible: Yes
Offering opens: 3rd April 2018
Investors receive COP shares, a carbon offset certificate and a subscription agreement for the investment. World Tree uses this investment to purchase trees, support the farmers and take care of the program. Investors receive dividends in 10 years when the trees are harvested.
World Tree has over 20 years experience growing Empress Splendor trees. We work hand in hand with the farmers to ensure the best opportunity for a profitable experience for everyone. World Tree manages the program throughout the 10 years and is responsible for the harvest and sale of the lumber.
The farmers plant and care for the trees. Participating farmers are carefully chosen for their experience in growing Empress Splendor trees. The trees are only planted in appropriate growing areas in Canada, the United States and select parts of Central America.
How it works
Empress Investments has two primary objectives: To generate income from the harvest of Empress Splendor trees and to offset the carbon footprint of our investors. How we do that is by planting Empress trees for the purposes of timber production with our network of farmers in North and Central America.
Every year, World Tree brings in a group of investors who become part of a planting and harvest season. We grow trees with our farmers and when the trees mature, we all share in the profits.
This year, investors will receive shares in “World Tree COP 2018” and will receive dividends on the trees we harvest in 2028. Investors receive 50% of company profits upon harvest of those trees.
Empress Splendor trees are the fastest growing hardwood in the world and absorb 11 times more carbon than any other tree. Within just 10 years they can be harvested and sold for lumber. The farmers receive 50% of the income from the sale of the lumber. The other half comes back to World Tree and we share our profits with our investors.
We choose farmers based on their experience and the suitability of the land (rainfall, soil, elevation and temperature). Our farmers are based in Western Canada, select regions in the USA and Costa Rica. Planting in diverse locations allows us to spread our investment risk.
Why invest in trees?
Demand for wood is rising. The average North American consumes the equivalent of a 100 foot tree every year and the United Nations forecasts that world demand for wood will double by 2050. At the same time, the supply of wood is decreasing. Trees take a long time to grow and we are not keeping up with demand.
Timber, a best kept secret
Until now timber investing has been unavailable to the average Canadian investor. Most timber investments require significant funding to buy land and manage the trees and then you have a 20+ year hold waiting for your trees to grow. World Tree’s Carbon Offset Program allows regular people to invest in timber and receive returns in just 10 years.
Timber prices are historically strong
- Timber has been a historically strong investment option.
- Timber has increased in value at a rate 3% higher than inflation for the last 90 years
- Timber investments have outperformed the stock market (S&P 500) for the last 100 years
- The timber industry predicts a surge in prices
We sell the lumber you share the profits
Investors in the 2018 COP program receive 50% of the company profits from the harvest of the 2018 season trees. There are two factors that affect the income from the harvest:
volume of lumber x price = income
Volume of lumber
1 acre of Empress Splendor trees that have been well maintained produce approximately 30,000 board feet of lumber.
Price per board foot
The current selling price ranges between $3 and $14 per board foot, depending on the quality and finish of the wood.
The table below shows the potential total income to the company from 1 acre of trees, as a product of these two factors.
There may be expenses from the harvest, milling and prepartion of the lumber (although these costs are normally paid by the buyer).
Profits after harvest expenses will be shared: 50% to World Tree and 50% to the investors.
NOTE: We can’t predict the future or what will happen to the price of lumber in years to come. These figures have not been independently audited and show a range of estimated results. Please refer to our Offering Memorandum for more details on risks and results.
Protecting your investment
We all know that investments carry risks and we advise you to read our Offering Memoradum so that you can understand both the risks and rewards involved with the program.
One of the biggest risk factors is crop failure, either due to severe weather or because a farmer is unable to care for the trees. For this reason, World Tree plants the trees across dozens of farms many thousands of miles apart. If anything should happen to one stand of trees, this will not have a significant impact on the overall return.
World Tree has also created a contingency fund to deal with any unexpected issues that arise and will replace trees that get damaged.
Participating farmers are carefully chosen for their experience in growing Empress Splendor trees and their commitment to the long term success of the program.
World Tree visits every farmer. We are on site when they plant and we work hand in hand with them every step of the way to ensure a profitable experience for everyone involved.
Frequently Asked Questions
Who plants the trees and where do they grow?
What are the biggest risks in participating in this program?
How do I know I will get a good return on investment?
There are no guarantees when you make any kind of investment. Investor returns are dependent upon the amount of lumber produced and how much it sells for. A well managed 1-acre plot approximately 3,000 board feet of lumber. Currently Empress Splendor lumber currently sells for between $3 and $14 or higher, depending on the quality and finish of the wood. We can’t predict the future or what will happen to the price of lumber in years to come.
When do I get my return?
Are the trees genetically modified?
Are the trees organically grown?
This presentation is intended for information purposes only and does not constitute an offer to sell or a solicitation to buy securities. No securities regulatory authority or regulator has assessed the merits of the information herein or reviewed the information contained herein. This presentation is not intended to assist you in making any investment decision regarding the purchase of securities. Rather, the Partnership has prepared an Offering Memorandum for delivery to prospective investors that describes certain terms, conditions and risks of the investment and certain rights that you may have. You should review the Offering Memorandum with your professional adviser(s) before making any investment decision. This presentation and the accompanying Offering Memorandum are intended for delivery only to, and participation in the investment is restricted to, investors to whom certain prospectus exemptions apply, as described in the Offering Memorandum.
Forward Looking Statements
The information provided herein includes forward-looking statements and projections. These statements relate to future events or future performance. All statements other than statements of historical fact are forward-looking statements or projections. Forward-looking statements are often, but not always, identified by the use of words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “targeting”, “intend”, “could”, “might”, “continue” “projected” or the negative of these terms or other comparable terminology. These statements are only predictions. Undue reliance should not be placed on these forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By its nature, forward-looking information involves numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur and may cause actual results or events to differ materially from those anticipated in such forward-looking statements. These forward-looking statements and projections made as the date hereof and are expressly qualified by this cautionary statement. No obligation is assumed to update or revise any of the forward-looking statements after the date of the Offering Memorandum associated with this Offering to conform such statements to actual results or to changes in expectations except as otherwise required by applicable legislation. See Item 8 – Risk Factors and “Forward-Looking Statements” on page 4 of the Offering Memorandum associated with this Offering.
The World Tree Carbon Offset Program
Sustainability with Dividends
If you are interested in participating in the Carbon Offset Program please get in touch. We’ll get back to you right away.
Investing in a sustainable future
Call toll-free 1-888-693-TREE (8733)