A pause in the agricultural commodity bull run does not mean that the fundamentals are dead for this sector of the market. In fact, as the world population continues to grow at a pace of 1% per year, this equals 70 million more mouths to feed. Plus, dietary changes in emerging middle classes worldwide have added to the grain demand. Meat-based diets also put further strain on the grain supply and puts demand higher.[Will Rain Help Ag ETFs?]
Focused ETFs can give investors the right type of targeted exposure or broad sector exposure to this area of the market. The futures contract-based nature of these funds is something investors should bear in mind, as the spot prices will differ from the front-rolling contracts.
- Teucrium Corn Fund (NYSEArca: CORN)
- Teucrium Agricultural ETF (NYSEArca: TAGS)
- Teucrium Soybean Fund ETF (NYSEArca: SOYB)
- Teucrium Wheat Fund (NYSEArca: WEAT)
- US Commodity Agriculture Index (NYSEArca: USAG)
Teucrium Corn Fund
Tisha Guerrero contributed to this article.