Marc Schober is the editor of Farmland Forecast an educational blog devoted to investments in agriculture and farmland.
Sather Agriculture LP Top Hedge Fund in March
Apr 30, 2012
NEW YORK, NEW YORK, April 30, 2012 – Colvin & Co. LLP is proud to announce its farmland focused fund, Sather Agriculture LP, had the 4th highest monthly return in March for hedge funds, according to Morningstar. Sather Agriculture LP increased 20.0% in March, 2012, and is up 20.8% year-to-date.
Back-to-back years of record farm income, strong commodity prices, and tight global grain supplies, have driven agricultural fundamentals to the best in decades. Farmland has been one of the primary beneficiaries of the global agriculture boom. Midwestern US farmland values rose 22% in 2011 and 12% in 2010, according to the Federal Reserve Bank of Chicago.
“The global demand for grain and a value oriented approach to acquisitions has allowed Sather to capitalize on the demand for agriculture and outperform its peers,” said Greyson Colvin, Managing Partner at Colvin & Co. LLP. “Grain supplies are at decade lows and if the US stopped producing corn today, we would run out in less than 30 days.”
The world’s population is expected to grow from 7 billion to over 9 billion by 2050. Over the same time period, food production must double. Global grain supplies are already at record low levels. An investment in farmland will provide a steady stream of income and capital gains due to the increasing global demand for agricultural commodities which is driven by the rising world population, rapid growth in emerging markets, and the demand for ethanol and bio-fuels. Demand for agricultural commodities is outpacing supply, which positions farmland as one of the most attractive asset classes for the next decade.
About Colvin & Co.
Colvin & Co. LLP, with offices in Anoka, Minnesota and New York, New York, is an agriculture-focused investment manager seeking to combine its expertise in the capital markets and knowledge of the agricultural sector to provide investors unique investment opportunities. Colvin & Co. is the General Partner of two farmland funds, administers separately managed accounts, and is the publisher of Farmland Forecast (www.farmlandforecast.com), a daily source of news and research about investing in farmland and agriculture.