There is "a wall of money" looking for a home in agricultural investments worldwide, say managers for BlackRock's London-based World Agriculture Fund.
According to BlackRock world agriculture fund portfolio manager and director Desmond Cheung there is a "wall of money" that is looking to back the world's growing appetite for a stable and growing food supply.
Rural land produced some of the best investment returns in Europe since the financial crisis began five years ago, appreciating by 51 percent across England
Investors are pouring into farmland in the US and parts of Europe, Latin America and Africa as global food prices soar.
BlackRock agriculture fund manager says they are investing in companies that own land and grow crops.
BlackRock funds take long-term positions in companies that own land, produce crops, raise livestock or sell agricultural equipment.
The companies the $100 million fund will target will be those involved with agrichemicals, equipment and infrastructure, as well as soft commodities and food, biofuels, forestry, agricultural sciences and arable land.
"In any resource sector, if you want to get involved, you always want to be in the upstream. It doesn't matter whether it's mining, whether its oil and gas or agriculture," says ABN AMRO's Tariono.
Because of the political sensitivity of the modern-day land grab, it is often only the country's head of state who knows the details. Der Spiegel investigates.
As world population expands, the demand for arable land should soar. At least that's what George Soros, Lord Rothschild, and other investors believe.
Los defensores del modelo de poner a producir las tierras desde los gobiernos, inversionistas o grandes corporaciones argumentan que se generan puestos de trabajo, que se hace rendir tierras ociosas y que se producen alimentos. Pero en ese análisis falta el principal elemento. La pobreza en el mundo reside en el campo, precisamente por modelos como éste.
The fund will invest 70 percent of its money in agricultural companies that make fertilizers, forest products or biofuels. Commodities such as corn and soybeans will account for 15 percent, with the remainder in farmland.