The how and why of investing in agriculture

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The how and why of investing in agriculture

Although Australia is a major agricultural exporter, the typical Australian investor’s portfolio tends to have relatively low exposure to agriculture or ‘soft commodities’. Indeed, the benchmark S&P/ASX 200 equity index has significantly less than 1% exposure to agricultural companies. There are solid reasons for local investors to consider some agricultural exposure as part of a well-diversified investment portfolio.

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