The Bright Future of Almonds and Farmland Investment in Europe
Farmland investment is quite new for investors who invest in real estate or stocks. Agroinvest Spain is offering fully managed almond farmlands for investing in agriculture in Europe. For the first time in the agricultural real estate industry, investors can have a hassle-free and profitable business without becoming farmers themselves.
Why should you consider including agriculture in your portfolio?
Agribusiness assets provide diversification benefits in investment portfolios.
Agriculture is not new, and experienced investors have added it to their portfolio for many years. Still, the difference is that today farmland investment has become more accessible.
In Spain, Agroinvest is offering managed Almond farmlands in the Extramadura region. Spain is Europe’s largest almond producer, but still, there is over 75% shortage in the production of almonds in Europe. Spain produces approximately 202,339 tons of almonds annually for the moment.
Agri Business Assets for Farmland Investment
A detailed study by Dr. Malcom from Melbourne University showed that agribusiness assets provided diversification benefits in both the mixed-asset and diversified share portfolios. The study also showed that agribusiness assets enter the efficient portfolios at lower levels of risk, with allocations declining at higher risk levels.
The mixed asset portfolio included agribusiness, shares, bonds, and property. The addition of agribusiness in the mixed-asset portfolio resulted in a significant improvement in positioning the efficient frontier and the performance of the efficient portfolios along the frontier. It demonstrated the significant diversification benefits of agribusiness through improved portfolio returns and/or decreased portfolio risk compared to the original portfolio.
Effects of The Covid-19 Crisis on Almond Farmlands and Farmland Investment
As COVID-19 shakes markets globally, the almond industry has been sustained by strong demand, and machine harvesting is unaffected by social distancing rules. Domestic sales are strong with supermarkets showing a massive need for the longer shelf life of almonds and almond-related products, as shoppers stay and cook more at home during the coronavirus crisis lockdown. Almond products are shelf-stable products with long life and health benefits.
Agroinvest Spain is the first agriculture business model in Europe proposing safe and stable investment packages.
The Almond industry is expected to expand at a growth rate of 4.9% over the next five years, to reach 8.18 billion US$ in 2024, from 6.14 billion US$ in 2019. Almonds are simply the most desired superfood and dry fruit in the world. Our managed almond farmland investments in Spain provide a high income with over 20% ROI with the ownership of the freehold of the farmland.
Our almonds are cultivated in Extramadura. The Penta and other late flowering almond varieties will be cultivated from October 2020. The first harvest is expected in September 2022.
Our experts have carefully selected this almond variety for its high productivity and excellent resistance to diseases. Visit our detailed website for all information about investments in Spain.
If you want to find out more, you can Contact Us anytime you want.
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