The Second Irish Forestry Fund has reported 21 per cent growth in its underlying asset value from £618,000 (€785,000) to £753,000 (€956,000) in the 13 months to the end of January 1999.

Based on this appreciation, an investment of £500 in the fund is now worth £608, according to chairman, Mr Declan Kennedy.

The estimated growth is based on the combination of the cost of the land, the capital grants received and forest growth over that period.

Mr Kennedy says most investors in the fund had purchased the shares as part of their pension portfolio, while others invested for the long-term future of their children and grandchildren. Many are long-term investors, although Mr Kennedy says the board is now looking at introducing early exit mechanisms for those who may wish to realise their gains, and this may include a stock market listing.