Phone: +64 6 7583688
Phone: +64 6 7583688
Phone: +64 6 7583688
Frequently Asked QuestionsClick on any question to read the answer... What is the Financial Markets Authority? What is the Financial Markets Authority? The Financial Markets Authority (FMA) is New Zealand's's main investment regulator. The FMA investigates; scams, misleading advertisements for investments, insider trading. It bans deceitful, misleading, or confusing investment documents. It encourages good practices in the financial markets. The FMA do not take the risk out of investing, but promoters of investments are required by law to explain the risks properly so that the investor can make an informed decision. An investor should also seek advice from a professional investment advisor. You can read more on www.fma.govt.nz Farm Venture is also an Anti Money Laundering compliance business that all investors must qualify with. What questions should I be asking about these investments? What questions should I be asking about these investments?
All of these questions are clearly answered in an accompanying Information Memorandum for the investment prior to comittment. Investors are also required to seek advice from a registered professional investment advisor. What sort of investment is this? What sort of investment is this? This is a long term investment, but you can exit at any stage so long as there is a willing purchaser of your ownership after initiating the Exit Clause in the Limited Partnership agreement. The investment is in rural farm and orchard property, with relative industry shares, stock, and associated plant & machinery, and also includes trees on less productive land. The majority of the investment money is in real assets of farm property. Who and what company stands behind this? What are the risks and returns? What are the risks and returns? RisksA further detailed list of risks is in the relative information memorandum. Exiting: A prudent method for exiting is to incorporate a process agreed to, thereby binding partners to the exit value, in the Limited Partnership agreement, and the use of Syndex online trading. Biological factors: are somewhat out of our control, but sustainable environmental, animal, and social practices help to minimise these risks. People & Governance: Having a Ltd partnership with a general partner and board of directors ensures professional governance; having the on-farm operator invest also, creates an environment where everybody is focused in similar directions. Debt: Having a policy of no less than 75% equity for the short term, but otherwise closer to 100% equity reduces the chance of debt limiting performance. ReturnsReturns result from commodity price flucuations with the degree of diversification counteracting each product. The board of the general partner either distributes surpluses to partners, or pays down bank debt used for growth. The long term returns are made up of both cash and potential increases in the capital value from productivity improvements. Returns are not guaranteed. The investment is about creating capital value while providing a comparable return on investment. The capital growth is gained from creating value where there is opportunity not fully utilised. Increasing the productive capital at a cost less than the market capital value, creates a margin of productivity capital gain, while at the same time providing higher returns from a lower capital base. This can also be somewhat dependant on product prices. How do I exit this investment? How do I exit this investment? Exiting is by a pre-agreed method included in the Limited Partnership Agreement. You can exit at any time but there must be a purchaser for your shares/units. The company is under no redemption risk. Sale of the Limited Partnership is by a 75% majority vote. Syndex online trading is also used as tool of liquidity for individual inestors. What is Farm Ventures' selection criteria when purchasing a farm investment? What is Farm Ventures' selection criteria when purchasing a farm investment?
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