By Ellen Cheng
December 13, 2021
Excerpt from article:
Farmland has been an attractive asset to own because of its potential for returns during inflationary periods.
Institutional investors and wealthy families are interested in investing in agricultural land because those returns have a low correlation with stocks and other asset classes and provide a steady return, Purdue University agricultural economist Todd Kuethe told Bloomberg this week.
As inflation has risen in 2021, more investors are drawn to allocating money to the sector as a hedge, according to asset managers.
During the past six months, every call with an institutional investor has included a conversation about inflation, said Stephen Johnston, a managing partner at Calgary-based Veripath Farmland Partners, which owns 90,000 acres in Western Canada across its portfolios.
Original article here