Another approach to the agriculture sector is to play not only the food side, but the production side. A fund that holds the equipment, fertilizer and seed stocks that grow the crops is ideal. These prices will rise with the agriculture prices and present less volatility. Market Vectors Agribusiness ETF (NYSEArca: MOO) has seen net inflows of $3.6 billion this year.
PowerShares DB Agriculture ETF has been lagging U.S. stocks in 2011, however. The fund is down about 7% year to date.
PowerShares DB Agriculture ETF
Tisha Guerrero contributed to this article.