Olivier Combastet’s Pergam Finance provides investors with innovative product offerings within the profitable South American agricultural sector
As the global population continues to rise and the demand for food skyrockets, agricultural investments are quickly becoming “the new gold” for intelligent financial investors. Why? Unlike other commodities, agricultural assets are completely disconnected from the ups and downs of the erratic financial market.
Case in point: On Wednesday June 15, 2011 the financial markets had an off day with the Dow closing below 11,900 and the Nasdaq and the S&P 500 ending about 1.75 percent lower, according to Smart Investing Daily. Analysts indicated the first thing that started to climb in after-hours trading was none other than grains—agricultural commodities such as corn, wheat, and soybeans. China also presents a growing incentive to pay attention to the agricultural sector, as Pergam Finance points out. Research indicates China has a mere 10 percent of usable agricultural land and yet must feed 22 percent of the world population.
This imbalance has resulted in land and agricultural commodities increasing, and the trend is continuing ad infinitum. On July 8, 2011 Market Watch substantiated Pergam Finance’s research and reported that corn futures rallied, adding more than 3 percent on reports of strong demand from China following recent price declines.At Pergam Finance, Olivier Combastet and his team are swiftly proving that during a financial downturn, the “real assets” lie in agricultural land. Olivier combastet says the acquisition of agricultural land has changed the equation of farming, adding that an increase in agricultural productivity, especially in the southern hemisphere, is the only solution to meeting the food challenges of tomorrow.
Leading investors support Pergam Finance’s position. In an economic downturn, renowned author and global commentator Jim Rogers said in a keynote speech delivered to the esteemed Chartered Financial Analysts Association that he prefers “hard assets like commodities and farmland” over financial assets “because of likely continued ‘money printing’ on the part of the U.S. Federal Reserve.” Mr. Rogers concluded: “Agriculture will be the next huge industry in the decades to come.”