The Best Investment of Our Times It's Farmland, Says Jim Rogers, Because the Demand for Food Will Soar

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Recently by Jim Rogers: Dow 1 Million? Sure, Why Not?

We have no shame here at Notes. When legendary underground investor Jim Rogers makes a call we listen. And we listen good. Rogers correctly predicted the commodities rally in 1999. And between 1970 and 1980, when he partnered with George Soros at the Quantum Fund, his portfolio made gains of 4,200% when the S&P 500 rose by 47%. To say he’s a legend is an understatement.

Rogers and Soros are snapping up farmland right now. These two old hands are betting that demand for food will soar, pushing up the price of arable land. This from MoneyNews.com:

Falling commodity prices aren’t bringing prices for farmland down with them. Even as the price of grain goes down, the cost of the land it’s grown on keeps going up, leading George Soros and other guru investors to bet big on agricultural land.

The fundamentals are easy to understand: Over the next 40 years the population of the world is projected to grow from 6 billion to 9 billion, hugely increasing the strain on arable farmland worldwide.

The spiking grain prices that caused food shortages and rioting in dozens of countries in spring of 2008 fell some 50 percent by December. Yet even after the correction, grain prices remain above their 20-year average, and food stocks around the world are still near 40-year lows.

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Jim Rogers has taught finance at Columbia University’s business school and is a media commentator worldwide. He is the author of Adventure Capitalist and Investment Biker. See his website.

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