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A. Traditional Assets:

1. Stocks

2. Bonds

3. Mutual Funds4. Cash

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B. Alternative Assets:

1. Precious Metals (Gold, Silver)

2. Gemstones

3. Real Estate` Commercial and Residential Units

` Raw or Developed Land

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` Demographics

` Interest Rates

` The Economy

` Government Policies/Subsidies

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` Throughout history land has been the most basicrepository of wealth and value through good timesand bad.

` Many investors are now taking an interest in landbecause it offers particularly appealing portfolioplanning characteristics under current marketconditions.

` Furthermore, supply and demand fundamentals

could make land even more attractive for the long-term investor than historic performance implies.

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1. Land provides a high level of capital security anda low level of risk

` Although desiring outstanding performance duringthe good times, many investors are now placing agreater emphasis on capital preservation duringperiods of severe market turmoil.

` An investment in land is backed by a rock solid assetin finite supply which is unlikely to depreciate invalue.

` Historically, data shows that land has exhibited strongcapital protection characteristics over prolongedperiods of time.

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2. Land is an effective inflation hedge

` As an aggregate asset class, land has been shown to

have a positive correlation with inflation.

`

Historically, land values generally increase fasterthan inflation, making land an effective inflation

hedge and capital preservation vehicle.

` This may be especially appealing to investors

concerned about inflationary government policies

(low interest rates and and increases to the money

supply).

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3. Land is a stable income producing asset

` Unlike other popular inflationary hedges such

precious metals, land also provides a regular

income to the investor, making it a usefulreplacement for lost 'risk free' income on cash

deposits due to low interest rates.

` An asset that is unlikely to depreciate in value,

with strong capital growth potential

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4. Land investment delivers lower income

volatility

` By including land in a mixed asset portfolio

investors are able to reduce the possibility ofshortfalls in income during times of market

volatility when other assets may produce little or

no income.

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5. Land investment delivers high total returns

` On a historic basis total returns from land have

repeatedly outperformed mainstream assets

including stocks, bonds and commercial realestate across a wide range of markets and

timescale's, despite relatively low levels of risk

(measured in terms of the standard deviation of

annual rates of return).

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6. Land investment delivers superior risk

adjusted returns

` Studies have repeatedly demonstrated that land

delivers higher risk adjusted returns (asmeasured by the 'Sharpe Ratio') than other

mainstream asset classes.

` In other words, land rewards investors with a

higher level of excess return ('risk premium') perunit of risk.

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7. Land is an attractive portfolio diversificationtool

` Land returns have a low or negative correlationwith traditional asset classes such as stocks andbonds and only a modest positive correlationwith commercial real estate.

` These characteristics make land an attractivediversification tool that can help reduce the

impact of broader market volatility on adiversified portfolio.

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8. Land performs well in times of market

turmoil

` Historically, land has repeatedly demonstrated

its 'flight to quality' appeal, performingcomparatively well during times of market

uncertainty.

` The 'recessionary hedging' potential of land is

particularly attractive to investors concernedabout the strength of the emerging 'recovery'.

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9. Direct investment in land is simple and

transparent

` In an environment of bankruptcies, accounting

irregularity, corporate fraud, complex and opaque

investment structures and institutionalised greed

expressed in the extortionate fees charged by under

performing investment managers, the simplicity of

direct freehold ownership of renewable resource real

estate has a refreshing appeal for a growing numberof investors.

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10. Land over other real estate investment

` Fundamental Limits to Supply - Unlike other

forms of real estate where the supply to the

market can be increased artificially by buildingnew units, the supply of land is inherently fixed.

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