Funds in agriculture? Q for Dunstoh?

zzzLazyDaisy

Hi, I think wheat is worth a punt at the moment and would like to include it in this year's ISA, but can't find any funds that invest in agriculture. I don't necessarily want a pure agriculture fund - a global fund, or something like jpm natural resources that invests in a number of commodities including agriculture.

I know that Black Rock/Merrill Lynch has a fund like this for institutional investors, but I can't find anything for personal investors.

Any ideas??

Many thanks

wombat42_2

Vis is wot u wont:

http://www.h-l.co.uk/fund_research/security_details/sedol/B1XGDS0.hl

wombat42_2

I dont think jpm natural resources or any other fund have any agriculture.

zzzLazyDaisy

wombat42 wrote: »

I dont think jpm natural resources or any other fund have any agriculture.

Thanks. Just to be clear, I wasn't suggesting the JPM NR fund invests in agriculture - I know it doesn't - I was just using it as an example of the type of fund that might have agriculture as an underlying investment.

Unfortunately my 2007 ISA is with Fidelity Fundsnetwork, and they don't offer the agriculture fund that you recommend through H-L. But yes, you are right, that is the sort of thing I am looking for, although the fund doesn't necessarily have to invest ONLY in agric.

Many thanks

jon3001

Another option is to use ETCs (tradeable on the LSE) which invest directly in commodity futures contracts (rather than in businesses producing commodities)

See
http://www.etfsecurities.com/en/welcome.asp

So you could choose just wheat:
http://www.etfsecurities.com/csl/etfs_wheat.asp

A more diversified 'grains basket'
http://www.etfsecurities.com/csl/etfs_grains.asp

Or diversify further to an 'agrigulture basket' to include softs such as coffee, sugar and cotton:
http://www.etfsecurities.com/csl/etfs_agriculture.asp

dipsomaniac

have a look here; http://www.dawnaydayquantum.com/

pjala

CF Eclectica Agriculture, I recently heard a baker complaining about the cost of agricultural produce, and we all know how much milk has increased in price at the moment. He said we had some shocks in store for food prices going forward, wheat was getting to be a daft price.
Apparently normal agricultural produce has been replaced by oil seed growth for renewable oil resources, with the consequent result of a reduction in output of foodstuffs and increase in prices.

Anyway every cloud has a silver lining, and the above fund has consequently been doing well. Do a search for it on the H-L.co.uk site for Hargreaves Lansdown.

I would transfer your ISA over to h-l, they seem to have a wide variety of funds, and their recommendations always make you think....

cloud_dog

Thought I'd jump on this post rather than start a new one.

Jim Slater is currently in the process of liquidating 'Galahad Gold' so that they can switch invesment focus in to agriculture and businesses which will benefit from rising agriculture values.

His new company (to be listed on AIM early next year) is called 'Agrifirma'. Jim Slater was a speaker at a recent Minesite event and you can read a transcript of his talk:

http://www.minesite.com/nc/minews/singlenews/article/jim-slater-speaks-at-minesites-christmas-forum/1.html

(need to register)

Makes for interesting reading (obviously if you're in tune with his thoughts).

cloud_dog

nrsql

Have a look at CF Eclectica Agriculture A Acc GBP (KLAAAG)
I took that on when I sector aligned a fair bit of my portfolio.
Have a careful look at the mandate though as it might not be investing in what you are looking for - i.e. it's not just a commodoties fund.

I think UK is too risky at the moment in spite of what a lot of people say about it being low risk.

dunstonh

I think UK is too risky at the moment in spite of what a lot of people say about it being low risk.

Its not low risk. Its lower than than the high risk areas. It is still medium/high.

Remember risk is about potential losses and not potential gains. Whilst the UK may not have the best outlook for gains, it is unlikely to suffer the same short term losses that the higher risk funds could suffer. i.e. China suffering a 70% loss in a year is something that you would expect to be repeated in the UK.

RayWolfe

dunstonh wrote: »

China suffering a 70% loss in a year is something that you would expect to be repeated in the UK.

Just to avoid confusion ... you missed out a "not". ;-)