AGRICULTURAL NEWS - Glenneis Kriel asked a number of investment officers about the opportunities available, and what advice they had for would-be investors.
Traditionally, agricultural and food companies have been treated as the stepchildren of the stock market.
Today, however, global supply constraints, combined with rising demand for food and technological developments, have turned many of these companies into attractive components of a well-diversified investment portfolio.
According to Andrew Dittberner, chief investment officer at Old Mutual Private Client Securities, annual shareholder returns for listed energy companies and information technology companies since 2004 have averaged 13% and 10% respectively, whereas returns of more than 100 global listed food and agri companies have averaged about 17% a year.