Domain Capital Group announced that its subsidiary, Domain Timber Advisors, has been chosen by Fulcrum Asset Management to lead sustainable investments in U.S. forestland. The partnership, part of Fulcrum’s new illiquid assets initiative, aims to balance financial returns with environmental, social, and governance (ESG) goals.
Joe Sanderson, managing director and CEO of natural resources at Domain Timber Advisors, expressed excitement about the collaboration, saying, “Over the past two years, our teams have worked diligently to craft a unique investment platform focused on acquiring and managing U.S. forestland assets within an evergreen investment structure. This approach allows us to enhance biodiversity and other ecological qualities of forestland while delivering long-term financial success.”
The Fulcrum-Domain partnership is part of a broader effort by Fulcrum to build a “Panel of Illiquid Specialists” to manage private market investments for UK DC pension plans. The panel focuses on sectors including private equity, infrastructure, and natural resources, with Domain Timber Advisors leading the sustainable forestland segment. All properties acquired will meet the strict sustainability standards set by the Forest Stewardship Council (FSC).
Matt Roberts, Head of Fulcrum Alternative Solutions, commented on the partnership’s potential, saying, “This represents an exciting new strategy for our private markets offering. Domain's focus on sustainability and smaller lot size deals are very appealing facets of the mandate. We believe managers like Domain offer both a compelling return opportunity and can help contribute to biodiversity improvement through, for example, reintroducing native species and improving certification standards.”
The partnership is expected to have a lasting ecological impact, with investments geared towards increasing biodiversity, particularly through longleaf pine restoration and the preservation of high conservation value forestland. While the primary focus of acquisitions will be in the U.S. South, Domain Timber Advisors will explore opportunities across other timber-producing regions as well.
