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  • Investing in trees can help prevent deforestation

    2013 - 01.24

    If you’re looking for an investment project that can actually help the environment and society as a whole, especially in some of the world’s most vulnerable regions, you might think your options are somewhat limited. It’s true that most investment funds seem to focus on unsustainable asset classes – some even invest directly in fossil fuels and other carbon-heavy industries. However, a truly ethical investment option does exist and it will even make you money!

    No longer are ethical investment and profit mutually exclusive. Investing in sustainable, responsibly managed plantations of non-native trees in regions that are rich with natural forests, like Canada and Brazil, can actively help to reduce deforestation in these regions. It’s quite simple – if you provide an alternative source of timber to cutting down rainforests, it will help to reduce pressure on those natural resources. If the alternative timber grows more quickly and is available in a cyclical pattern (so it never runs out), even better.

    In Brazil, for example, Greenwood Management’s teak and eucalyptus plantations provide coal for the local steel industry. The steel firms used to use charcoal made from burning rainforests and many of them don’t need to do that any more. It’s not rocket science – just common sense.

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