March 03, 2008 at 3:00 pm by Tom Lydon
The solution: grain exchange traded funds (ETFs). What’s the problem? A rising global population, a declining supply of fresh water, agriculture requiring more water (crops use about 80% of the U.S. supply) and a falling dollar are adding to the increasing global grain prices.
James Eckler for Seeing Alpha says that the grains, unlike gold and other commodities, don’t rely on crisis or new homebuilding to gain success. Emerging middle class families will want more and better food, and the grain ETFS are positioned to benefit from this.
For some exposure, take a look at:
For full disclosure, Tom Lydon’s clients own shares of DBA.
Tags: Agriculture, Currency ETFs, DBA, Water
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