"You mentioned the Phaunos Timber Fund plc on Friday - I analysed that fund a few months back and made it a key buy recommendation on my own site because of the outstanding value on offer at minimal risk.

Eoin Treacy's view Thank you for your informative article. I agree that timber assets are probably sound medium to long-tern investments. However, lumber prices have rallied substantially in the last few months and I suspect the time for 'picking low hanging fruit' in the sector is passing. I would be happier to see the fund deploying more of its substantial cash reserve and begin to pay a dividend which one would expect from a company holding timber assets.

In the meantime, the fund's price chart remains in an inconsistent base formation and a sustained move above 80¢ would be required to indicate demand is returning to medium-term dominance.