Historically speaking, farmland has consistently had high returns. It is and has been among the safest investments – at least for the long term. Suppose you’re looking for a long-term, relatively safe investment to help diversify your portfolio. In that case, agriculture and farmland might be your best bet. You don’t have to buy a farm – consider an online agriculture investment opportunity.
These opportunities include everything from ETFs or farm-centered Mutual Funds to crowdfunded offerings. There is still sole ownership bespoke offers, but you will need hundreds of thousands of dollars at the very least. Having sole ownership does not mean that you will have to do any of the farming yourself. You can still get high returns as long as you lease to the right people who will know how to take care of the farm and maintain the land.
The Exchange Traded Funds and Mutual Funds are an option. You can consider them if you want to buy some stocks relating to the industry but don’t know which stocks will yield the highest return. Mitigate the risk in online agriculture investment by purchasing a farming-funding ETF / Mutual Fund. Make sure it covers a wide range of assets in the farmland and agricultural industries.
A Real Estate Investment Trust is another possible option. Make sure it involves purchasing a farmland portfolio and then releasing that farmland to farmers. Do plenty of research on all different REITs to determine which ones have the most stability. Also, check which ones are the likeliest to perform well. REITs offer real estate asset exposure without management requirements. They also don’t have high transaction costs that come with a direct purpose / sole proprietorship.
Online Agriculture Investment With Crowdfunding
The best online agriculture investment is probably the crowdfunded offerings for the average investor. They have much lower minimums than a sole proprietorship. The companies that make these offerings often have the most profitable farming properties. They also have farming experts as part of their network. These companies use leverage to help improve the returns on the offerings.
The company should be transparent about its income, such as from land value appreciation and crops. How do the payouts work? Will the investor have the ability to access and monitor their investments? Their performance? What about documentation, projections, payout comparisons, and so forth?
The one organization that offers all these online agriculture investment services and transparency is FarmTogether. The investor gets to choose the ideal method(s). It can be individual entities, Solo 401K accounts, self-directed IRAs, LLCs, etc. Also, the crowdfunded offerings are among the best.