A fund manager says Fonterra is likely to attract international and domestic interest with the fund it's setting up so outside investors can share in the profits of the dairy product conglomerate.
The co-operative's shareholder fund plans to raise up to $525 million to strengthen its financial position.
Fonterra's farmer owners can trade shares on the stock exchange, while outside investors can invest in the dividend earnings from the shares, which are forecast to be 32 cents each next year.
Mint Asset portfolio manager Shane Solly says a wide range of investors will see this as a way of getting exposure to the dairy industry.
He says it's likely to attract international investors and domestic institutions, as well as private individuals.
He says it's important that potential investors do their homework and take advice because it's an unusual structure and like every other investment it's not as straightforward as it may appear on first glance.