Timberland Investment Resources Europe (TIR) has held a first close of its TIR Europe Forestry Fund, with an initial $74m (β¬66m) raised.
The company said a diverse but mostly European group of limited partners made initial commitments to the fund, including public and private pension plans, insurance companies and family offices.
TIR is targeting returns of 8-10%, with 3% annual distributions.
GianPaolo Potsios, managing partner, said the asset class was βwell establishedβ among US investors at a time where the world economy βcontinues on its uncertain pathβ.
βReal assets such as timberland have a compelling role to play in an investorβs portfolio given the bond-like characteristics with a solid source of alternative yield,β he said.
