Macquarie to advise on agribusiness
Macquarie Adviser Services has made its first foray into the agricultural sector, launching the Macquarie Agri-investment Facility, an information-cum-investment service for advisors.
The facility aims at simplifying the agricultural investment process for “time-poor” advisers by offering information on a suite agricultural projects rated by specialist agricultural ratings firm, Adviser Edge.
Macquarie has also secured an investment allocation in all of the five initial projects, which can be accessed by advisors on behalf of clients through the facility.
These projects are: 2005 Swan Hill Almond Orchard Project; WA Blue Gum Project 2005; Willmott Forests Project — 2004; National Viticultural Fund of Australia Project 3; and Macquarie Forestry Investment 2005.
Advisors are provided with educational material, explaining the benefits and risks of agricultural investments as well as comparing cash flows of various horticultural and timber projects.
A calculator has also been installed on the Macquarie Adviser website to assist advisers in blending the featured projects into a suitable investment mix for clients.
Advisers can use the calculator to model potential investment outcomes and compare investments on a “like for like” basis in terms of potential cash and taxation flows.
Macquarie Division Director, Craig Swanger, said the facility was launched on the basis of “feedback from the market suggesting demand for agri-investments this year is strong” .
Swanger said consultations also revealed advisers “do not have sufficient time to compare the numerous agricultural investments that are on offer in the market, and work out if they fitted into their clients' portfolio”.
Macquarie is not recommending any of the projects on the facility, he said, but rather provide advisers with tools, calculators and research information to make assessing agri-investments easier.
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