BlackStork Paulownia
The main objective of the product is to generate revenue from the production of commercially available wood from the Phoenix One® Paulownia for approximately seven years from the investor’s acquisition of the investment product in 2022.
The return on investment depends on the amount of wood harvested, the average income per cubic meter, and any insurance claims from tree insurance.
The return calculation is based on the ratio of the amount of payment relating to the application for the share of income, less the purchase price concerning the purchase price of the claim of the share of income. The absolute yield in euros is the difference between the amount of payment in euros for the right to a share of income minus the purchase price of the right to a share of income.
For this purpose, the relevant right to a share of the income is based on the buyer’s number of trees, which will be planted and inventoried in Slovenia in 2022 and thus included in the product.
The purchaser does not acquire ownership of the trees or income regarding specific trees, but the net income from the sale of the selected number of trees at the net average value per tree of the total number of trees planted using the product.
The total number of planted trees – 16500.
The price per tree – 30 euros.
The average net income per tree is derived from the average revenue per tree received by the product producer minus processing fees. The average income from the tree is calculated for this purpose. The processing fee for one tree is 10% of the revenue. Therefore, the guaranteed revenue per 1 cube of wood is 140 euros.
The product is aimed at private clients who seek to accumulate/optimize assets and long-term target investments. This product is intended for investors with advanced knowledge and/or experience working with financial products. The investor can incur financial losses (up to a full loss of invested capital).
The product has an individual sales term of five to seven years from the moment of the investor’s acquisition in 2022. The term expires when all the trees with the rights to a shared income have been acquired and harvested, and the wood has been sold. But not later than December 31, 2030. Or earlier, when the insurance premium for the total loss of all trees replaced the sales revenue claimed by all investors. If the insured event does not result in the complete death of all trees to which the product belongs, the insurance premium will be added to the projected sales revenue to ensure that the sale of wood remains crucial for the development, but not later than December 31, 2030.
FIRST
Buying an investment product in the first year of planting. In this case, the investor can expect a return during 7 years.
SECOND
Purchase of investment products during the second year after tree planting. The investor can rely on income from trees sold within five years in this case.
The volume of wood from one tree in 5 years – 0.4 cubes
The volume of wood from one tree processed in seven years – 0.75 cubes
The need to cut trees during the fifth year of planting is due to the nature of the technological process. Future physical indicators cannot be accurately predicted. The presented scenarios only indicate some possible outcomes based on past developments. Actual results may be worse or better.
This table shows how much you could earn in the next 5-7 years under different scenarios with an investment of €10,000.
Years | Number of trees | Volume of wood per tree | Volume of all wood m cube. | Guaranteed value m cube. | € Earnings | € Cost | Revenue € |
5 | 333 | 0,4 | 133 | 140 | 18620 | 10000 | 8620 |
7 | 333 | 0,75 | 250 | 140 | 35000 | 10000 | 25000 |
The scenarios presented show how your investments can work. You can compare them with scenarios for other products. The scenarios shown are an estimate of future results based on past changes in the value of these investments. How much you make depends on how the market works and how long you invest.
Recommended ownership/payment 7 years.
These figures include all costs of the product itself but may not include all expenses you have to pay to your consultant or distributor. In addition, these figures do not consider your local tax policy, which may also affect your income.
Recommended period of ownership: 7 years. The return of a product is based on the successful sale of wood that occurs at the end of the project life. The sale will occur no later than 2030, and the calculation is no later than 31.12.2030.
Early termination is possible only after reasonable extraordinary cancellation or, if necessary, resale to third parties, provided that there are relevant potential buyers (there is no unique secondary market). In both cases, there is a risk that the potential benefits will not be realized and that the investor will receive significantly lower returns than after investing in the recommended minimum owning period.
There are no contract termination fees, but the investor must bear any additional third-party expenses incurred in connection with the termination.
Other relevant information is available on request at info@blackstork.si or at.: +386 69674307