Agribusiness schemes raise 54% more
The agribusiness managed investment scheme (MIS) industry raised $1,024 million in 2004-05, up 54 per cent on 2003-04, according to an Australian Agribusiness Group (AAG) report.
Last year’s result follows a 93 per cent growth of capital in 2003-04, when $665 million was raised, lifting industry capital from $300 million in 2001-02.
The result exceeded the expectations of AAG managing director Marcus Elgin, who had predicted that the doubling of capital inflows of 2003-04 would be “tough to sustain in 2004-05 for a number of macro factors.”
Instead Elgin described 2004-05 as a “fabulous year for product managers. A number of projects sold out early — some even closed within a day of being released.”
The 2004-05 AAG report reveals there were 47 new investments released in 2004-05, compared to 42 in 2003-04.
Timber investments received 75 per cent of the investment dollars last year (76 per cent in 2003-04), with the balance relatively evenly spread amongst other agri categories
The capital invested in 2004-05 is expected to generate $4.3 billion of future assessable gross income at farm gate (up from $3.4 billion in 2003-04)
The average project investment was $63,000 per investor ($42,000 in 2003-04), with 56 per cent of investors gearing their investment.
Approximately 103,100 hectares (80,000 in 2003-04) of trees will be planted for timber production of which approximately 91,000 hectares will be for woodchip (71,000 in 2003-04).
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
