Further supporting an investment in food-focused funds is the heatwave in Russia which gave way to drought conditions. About 35% of the soybean crop was destroyed and 45% of the corn crop was demolished. The U.S. Department of Agriculture is projecting that Americans will pay 3%-5% more on groceries in the coming year.
Other ETFs that can help hedge the rising cost of your Thanksgiving meal:
- UBS ETRACSCMCI Food TR ETN (NYSEArca: FUD)
- SPDR Consumer Staples Select Sector Fund (NYSEArca: XLP)
- PowerShares Dynamic Food and Beverage ETF (NYSEArca: PBJ)
PowerShares DB Agriculture ETF
Tisha Guerrero contributed to this article.