Two fully-committed offerings FarmTogether holds up as representative showcase this diversity: an organic apple orchard in central Washington and a corn and soybean farm in northwestern Illinois. The team also looks for other types of opportunities, including annual row crops such as corn, wheat, and soy east of the Rockies. Rather than hold title to the farmland itself as one of dozens or hundreds of tenants-in-common, each investor purchases shares in a special purpose entity - an LLC - that directly owns the underlying farmland.įarmTogether targets permanent crops such as tree nuts and citrus, in West Coast subregions with good water availability, high-quality soils, and proximity to FarmTogether’s preferred farm operator networks. With investment minimums as low as $15,000, crowdfunded farmland offerings are close behind. However, they’re only eligible for tax-saving 1031 exchanges when investors commit at least $1 million to a single offering, putting them out of reach of lower-asset investors.įarmTogether performs extensive due diligence on every opportunity and selects only those that meet stringent criteria - and that it’s willing to invest its own money in.

The Sustainable Farmland Fund is the most accessible FarmTogether investment option, with minimum investments as low as $5,000 for Class I shares.

Sole ownership bespoke offerings (assets wholly owned by single individuals, households, or entities).

Shares in the Sustainable Farmland Fund, a diversified agricultural land portfolio.

Crowdfunded farmland offerings funded by multiple FarmTogether investors.

Types of FarmTogether InvestmentsįarmTogether offers three types of investment options: The FarmTogether team applies a standardized process to evaluate, purchase, solicit investments for, manage, and sell agricultural land. It’s not a beginner-friendly online stockbroker or a low-minimum equity crowdfunding opportunity.īut these shortcomings, if you can call them that, make FarmTogether no less valuable for investors seeking exposure to an often-overlooked asset class - relative to other types of commercial real estate, at least - that’s not closely correlated with equity markets.įarmTogether offers a predictable investment experience for accredited individual investors, corporate entities, wealth managers, and family offices. Key Features of FarmTogetherįarmTogether is built with sophisticated investors in mind. This team only presents investors with opportunities it plans to invest its own funds in.Īnd, although past performance is not indicative of future results, FarmTogether targets investment opportunities that can offer capital gains returns between 6% and 13% with 2% to 9% annualized cash yields after fees. The FarmTogether team has more than 70 years of collective experience in finance and agriculture.

While the accreditation requirement puts FarmTogether out of reach - for now - for middle-income investors, FarmTogether is much more than a portfolio diversification play for the ultra-wealthy.įarmTogether stands out from other farmland investment managers in other important ways. As with equipment manufacturers, some of these distributors only derive a portion of their revenues from agriculture-related activities.FarmTogether is a farmland investment manager that allows accredited investors to invest in fractional, sole ownership, or via their diversified sustainable farmland fund. Among those that transport, process, and distribute crops are Archer Daniels Midland Co. Many companies provide the infrastructure that moves crops from the farm to the local grocery store. Two firms heavily involved in farming equipment are Deere & Co. Farming's an equipment-intensive activity, so investors can gain exposure to the sector by making investments in equipment manufacturers with an agricultural focus. Among the publicly-traded companies selling fertilizer or seeds are Nutrien Limited (NTR) and The Mosaic Co. Many firms are involved in the production and sale of fertilizer and seeds, and investors will want to determine how much of each firm's revenue is actually derived from agriculture, as some also service a number of other sectors.

Farm together stock