TFS Indian Sandalwood Managed Investment Scheme

We were recently sent an Investment scheme from the TFS Corporation in association with Wise-Owl.

The TFS Corporation are offering ‘Growers’ (Investors) a chance to purchase Indian Sandalwood trees within a number of plantations and are paid a dividend when harvesting finishes in 14 years (first in 2011/12). Investors/Growers have the ability to divest after 4 years although keep in mind this is a long term investment on a product thats price has increased 21% P/A (compounded) for the last 17 years.

In the scenario below if John were to invest $50,000 into the TFS Investment scheme with a conservative estimate of a 5% growth per year we would see the following numbers;