BDU I

In 2011, the first publicly traded forestry financial trust, Bosques del Uruguay I, was launched in Uruguay with a total investment of USD 50 million.

BDU II

In 2015, Bosques del Uruguay II was created, the second forestry fund with assets in Uruguay and a total investment of USD 70 million.

BDU III

Bosques del Uruguay III was launched in 2016 with a total investment of USD 190 million.

BDU IV

In 2019, Bosques del Uruguay IV was created with a total investment of USD 330 million.


Because it is the first publicly traded trust on the Uruguayan Stock Exchange issuing 100% Participation Certificates.

This initiative allows Uruguayans to save for their future by participating in a national forestry enterprise.

Who manages and monitors the forest development?

AF is the property manager, a Uruguayan company, leader in forestry services and investment management, founded in 2000. In 2007, AF set up its company in Chile and, in 2010, began operations in Brazil. Today, it directly and indirectly employs about 700 people at the regional level. The company manages 86,000 hectares of forest land for more than USD 800 million on behalf of the trusts Bosques del Uruguay I, II, III and IV.

Who is the trustee?

The trustee is EF Asset Management, Administradora de Fondos de Inversión S.A. It was created in 2003 by Ferrere Abogados and CPA Ferrere in Uruguay. It is the main private trust manager in the country, operating the largest number of financial trusts in the Uruguayan market, such as UTE 2004, Transporte Colectivo Urbano de Montevideo, CFP, NZFSU I and Pronto! among others.


The return on investment is generated by the combination of the biological growth of trees and land value appreciation.

1. Biological growth of trees. As trees increase their volume every year, timber grows and therefore its potential use can change leading to significant increases in its sales value: for example, wood from a 10-year-old tree can be used for energy generation or pulp production, and from a 15-year-old tree for furniture production.

2. Land value appreciation. Value of land in Uruguay has increased 5-fold in the last 10 years, and this trend is expected to continue as land is a non-renewable resource.

Why invest in land and forests?

Returns in this asset class have historically been positive, stable and, given the level of risk, attractive compared to other traditional asset classes.

The forestry sector benefits from favorable long-term market fundamentals. Population growth, economic development, increasing urbanization, and the use of sawn wood in construction and biofuels to mitigate climate change are drivers of growth in demand for wood products.

Forest assets provide diversification to investors since they have no correlation with any other types of financial instruments. Additionally, this asset class has low beta, positive alpha and low cost of capital.

They are an ideal hedge against inflation risk.

They offer a stable income as harvest is planned according to market conditions. Besides, the long-lasting harvest window allows to adapt to different macro environmental conditions.

The biological growth of trees is predictable, tangible and independent of macroeconomic factors

Reliable structure

Bosques del Uruguay provides a reliable structure: Forestry Financial Trust regulated by the Central Bank of Uruguay.

Entry costs are low.

Management costs are low.

The investor is a shareholder of the project.

International guarantee of sustainability

Timber is produced under FSC standard (Forest Stewardship Council), an international guarantee of sustainability.

Business strategy

Which trees are planted?

Which trees are planted? The silvicultural model is based on planting Eucalyptus dunnii and grandis species. Eucalyptus species are widely planted in Uruguay. This country is ranked among the top five countries in the world with the largest planted area of this tree species, after India, Brazil, China and Australia. More than 200,000 hectares of Eucalyptus grandis and 100,000 hectares of Eucalyptus dunnii species have been already planted. The planting of both genus is growing significantly.

Trees are planted on forestry priority soils.

Life cycle of plantations


  • Tress grow more than twice as they do in the northern hemisphere (high rates of biological development).
  • Timber extraction increased by 3-fold in the last decade.
  • It is a solid business sector as there are 1 million hectares of planted forests in the country.
  • Some of the major forestry companies operating in the country are UPM, StoraEnso and Arauco.
  • There are tax advantages: projects that produce wood for sawmills are exempt from income tax.
  • The political, economic, and social rules of the game are clear and stable.