Thursday 12 February 2015

Agriculture Sector – A Lucrative Investment

Cash Flow Vs Agriculture Sector

Investment in agriculture has a huge possibility for healthy dividends from multiple sources. The steep hike in farmland prices has been of major concern over a few years. World has witnessed prices have doubled, tripled, and even quadrupled of farmland since 2004. Prices of almost every commodity and basic needs have risen multiple times due to inflation. Under these circumstances cash flow that branches from leased agriculture and from the commodities can provide a sustainable and solid return. Investment companies can cut down the trouble by renting land to the farmers who handle the farmland and pay monthly lease to owners of the farmland. In addition, cash flow can also be driven by contracting land owners or investing in funds for the management of farms. It may catapult the risk, but the great returns in cash flow make it an attractive opportunity.

A Haven In Inflation

Inflation is all time high in the recent years and lavish lending trends has resulted in critical global economy. Increase supply of money can be the partial solutions practiced by government of different nations. In addition, rat of interest have gone down to almost nil. This all will lead to a higher inflation in the near future. Under these circumstances farming appeared to be a lucrative option. It has performed extremely well in high inflationary times. Agricultural investment also can protect from inflation as well as it also pays you for the same.

Diversification

Farmland also gives the investors the opportunity to diversify from bonds and stocks, as agriculture is not highly related with these volatile asset resources. It also offers the stability to the portfolio in the vulnerable markets in an effort to enhance a portfolio’s risk adjusted return.

Synopsis
The above scenario has established that under the heat of rising inflation and reducing resources, investment in agriculture is the most lucrative industry attractive investors.

3 comments:

  1. We are direct providers of Fresh Cut BG, SBLC and MTN which are specifically for lease, our bank instrument can be engage in PPP Trading, Discounting, signature project (s) such as Aviation, Agriculture, Petroleum, Telecommunication, construction of Dams, Bridges, Real Estate and all kind of projects. We do not have any broker chain in our offer or get involved in chauffer driven offers.

    We deliver with time and precision as sethforth in the agreement. Our terms and Conditions are reasonable, below is our instrument description.

    The procedure is very simple; the instrument will be reserved on euro clear to be verified by your bank, after verification an arrangement will be made for necessary bank documents and stock testing expenses, the cost of the Bank Guarantee will be paid after the delivery of the MT760,

    DESCRIPTION OF INSTRUMENTS:

    1. Instrument: Bank Guarantee (BG/SBLC) (Appendix A)
    2. Total Face Value: Eur 5M MIN and Eur 10B MAX (Ten Billion USD).
    3. Issuing Bank: HSBC Bank London, Credit Suisse and Deutsche Bank.
    4. Age: One Year, One Month
    5. Leasing Price: 6% of Face Value plus 2% commission fees to brokers.
    6. Delivery: Bank to Bank swift.
    7. Payment: MT-103 or MT760
    8. Hard Copy: Bonded Courier within 7 banking days.

    ReplyDelete
  2. We are direct providers of Fresh Cut BG, SBLC and MTN which are specifically for lease, our bank instrument can be engage in PPP Trading, Discounting, signature project (s) such as Aviation, Agriculture, Petroleum, Telecommunication, construction of Dams, Bridges, Real Estate and all kind of projects. We do not have any broker chain in our offer or get involved in chauffer driven offers.

    We deliver with time and precision as sethforth in the agreement. Our terms and Conditions are reasonable, below is our instrument description.

    The procedure is very simple; the instrument will be reserved on euro clear to be verified by your bank, after verification an arrangement will be made for necessary bank documents and stock testing expenses, the cost of the Bank Guarantee will be paid after the delivery of the MT760,

    DESCRIPTION OF INSTRUMENTS:

    1. Instrument: Bank Guarantee (BG/SBLC) (Appendix A)
    2. Total Face Value: Eur 5M MIN and Eur 10B MAX (Ten Billion USD).
    3. Issuing Bank: HSBC Bank London, Credit Suisse and Deutsche Bank.
    4. Age: One Year, One Month
    5. Leasing Price: 6% of Face Value plus 2% commission fees to brokers.
    6. Delivery: Bank to Bank swift.
    7. Payment: MT-103 or MT760
    8. Hard Copy: Bonded Courier within 7 banking days.

    ReplyDelete
  3. Farms that are able to weather the climate and have access to the right kinds of crops year-round can keep you in business year-round. For more ideal details about agriculture etf, visit this site right here.

    ReplyDelete