Agriculture ETFs, Sowing the Seeds of Investments
Invest in an Agricultural ETF
Out of all the different types of commodity ETFs, there’s no doubt that the energy (mainly oil) and precious metals (mainly gold) get all of the attention. But there are plenty of other commodity ETF opportunities in the investing world as well. One being agriculture ETFs.
Agriculture ETFs can be used to diversify or stabilize a portfolio, hedge risk to certain countries dependent on an agriculture commodity, or even create a new investing opportunity. They are also a little easier on the wallet when it comes to commissions and fees. Instead of building a manual portfolio, which can result in stock broker fees or chasing and index basket, which drives up commissions, you can access a sector like agriculture with one easy transaction. And not only can ETF trading reduce costs, but they have a tax benefit as well, which can lead to less money for Uncle Sam and more money for your investments.
And there are two types of agriculture ETFs as well. You can invest in a broad agriculture fund or go for a specific commodity ETF that targets sugar, coffee, or grains, etc. The choice is yours.
So to set you on your way and help you seed your own portfolio, here is a list of broad agriculture ETFs and commodity-specific funds related to the agriculture industry.
General Agriculture ETFs
- ADZ - PowerShares DB Agriculture Short ETN
- AGA - PowerShares DB Agriculture Double Short ETN
- AGF - PowerShares DB Agriculture Long ETN
- DAD - PowerShares DB Agriculture Double Short ETF
- DAG - PowerShares DB Agriculture Double Long ETN
- DBA - PowerShares DB Agriculture ETF
- DIRT - iPath Pure Beta Agriculture ETN
- MOO - Market Vectors Agribusiness ETF
- RGRA - RBS Rogers Enhanced Agriculture ETN (recently closed)
- VEGI - iShares MSCI Global Agricultural Producers Fund
- TAGS - Teucrium Agriculture ETF
- USAG - United States Agriculture Index ETF
- BAL - iPath Dow Jones AIG Cotton TR Sub-Index ETN
- CTNN - iPath Pure Beta Cotton ETN
- CAFÉ - iPath Pure Beta Coffee ETN
- JO - iPath DJ-UBS Coffee Total Return Sub-Index ETN
- NIB - iPath DJ-UBS Cocoa Total Return Sub-Index ETN
- CHOC - iPath Pure Beta Cocoa ETN
Grain and Wheat ETFs
- GRU - ELEMENTS MLCX Grains Index Total Return ETN
- JJG - iPath DJ-UBS Grains Total Return Sub-Index ETN
- WEET - iPath Pure Beta Grains ETN
- WEAT - Teucrium Wheat Fund
- CORN - Teucrium Corn Fund
- SGAR - iPath Pure Beta Sugar ETN
- SGG - iPath DJ-UBS Sugar TR Sub-Index ETN
- CANE - Teucrium Sugar Fund
- SOYB - Teucrium Soybean Fund
- COW - iPath DJ AIG Livestock TR Sub-Idx ETN
- LSTK - iPath Pure Beta Livestock ETN
Wood and Timber ETFs
- CUT - Claymore/Beacon Global Timber Index ETF
- WOOD - iShares S&P Global Timber & Forestry Index ETF
- PBJ - PowerShares Dynamic Food & Beverage ETF
- SOIL - Global X Fertilizers/Potash ETF
As with any investment, mutual funds, a company stock, an ETF, Index or otherwise, please make sure you thoroughly research this exchange traded fund or any financial asset before making any trades (long or short). Conduct your due diligence, watch how these funds react to different market conditions, take a look under the hood and see what is actually in the funds. And if you have any questions or concerns, make sure you consult a stock broker, a financial advisor, or another financial industry professional.
But once you are ready to invest in any of these funds, then good luck with the trade!
Disclaimer: At the time of publication of this article, I do not have any open positions in any of the above agriculture ETFs and ETNs