I looked through the annual reports of the Op Metsänomistaja (Op Forest Owner) fund for 2022 and 2023 and made a few observations on how the fund’s value development has primarily been formed:
The fund’s total timber sales revenue for the two-year period was €21.9m, and the change in value of forest properties was €41.1m. Dividends and profit shares from the fund’s securities amounted to €8.0m over two years, and the change in value of securities for the same period was €51m, of which the Tornator ownership accounted for €45.9m. The value of the fund’s Tornator ownership increased by 73% in two years. These combined revenues total €122m, of which 24.5% was realized timber sales revenue and securities income, and the remaining 75.5% was revaluations.
The fund’s realized profits for these two fiscal years totaled €17m, leaving an annual return of less than 2%.
However, the value of the fund’s forest plots and securities has apparently continued to rise, at least in Excel, as according to the fund review on 31.12.2024, the fund’s value increased by 9.8% in 2024. The return for the last three years is indeed 12.1% p.a.
Finally, I must state: RUN! 