Smart Investors are Buying Tesla, Hedging with Bitcoin and Doing This

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Smart investors are getting into tech through Tesla, bitcoin through Coinbase and farming through AcreTrader. Let’s take a look at this strategy and how it wins in a potentially negative gross domestic product post-COVID economy.

Experts and financial authorities are telling us we are in for a turbulent economic decade. It’s not a secret that the U.S. is in massive debt and the dollar is in trouble. Traditionally safe investments have been rendered useless — both savings accounts and the bond market are yielding at or near record-low rates.

The solution? Find your investment chops quickly. In case you haven’t noticed, Tesla has been rocketing. Its 52 week low was $211, and the stock now stands above $1800 with no signs of slowing.

Tech stocks are notorious for fast reversals, though. If you didn’t get in early, getting in now is very risky.

Smart money is also using bitcoin as a hedge against the falling U.S. dollar. The trillions of dollars that the Federal Reserve is pumping into the market may be inflating stock prices in the short term. However, it is also debasing the value of the dollar. Goldman Sachs warned that the dollar’s reserve currency status could be threatened.

Bitcoin and other cryptos have also been good speculative investments for the past few months. As with Tesla, however, if you didn’t get in early, now may not be the time to start. Calling the top of the market is difficult, and you never know when fortunes may reverse in a volatile space like this.

Thriving in Tough Times

So if you got in early with Tesla or bitcoin, you got lucky. Kudos to you!

What if you didn’t?

Fortunately, there is still one investment with great upside and nowhere near the volatility of the tech or crypto worlds — farmland — and AcreTrader is your connection to it.

Unlike tech or crypto, food is something that everyone needs regardless of a pandemic. This makes farmland incredibly resilient in an economic recession, and most experts believe we are speeding headlong into a recession that could last for years.

So just how resilient has farmland been?

Unlike tech or crypto, which could correct more than 50% at any given time, farmland has given investors a steady return of 11.5% per year over the last 50 years. That’s a better percentage return than commercial real estate, AAA bonds, precious metals and the S&P 500. This consistent 11.5% return comes regardless of stock market performance — it produced during the biggest bull markets and the worst recessions and market shocks. Why? There are a few main reasons:

  • Population growth: The world’s population is growing and is expected to increase until the year 2050.
  • Fewer farmers: Because of many factors, the number of farmers is tapering off. Agriculture businesses that can withstand the pressure of producing for a larger audience have the potential to bring in consistently higher returns.
  • More information about food: The public is better informed than it has ever been about healthy eating options. Large corporate producers no longer block investors as middlemen. With a platform like AcreTrader, you can easily access, communicate with and invest in healthy, organic operations of your choice.

How Land Makes Money

Unlike many asset classes, land makes money in two ways. These dual streams of income, which occur concurrently, help to protect the surety of investment returns throughout the year while building on each other for a year over year returns as well.

Rent payments: When you invest in farmland through AcreTrader, you can profit from an annual cash rent payment. Many farmers prefer not to own the land they work. Freeing themselves of the business of ownership allows them to focus solely on working the land, improving efficiency. As an equity stakeholder, you take on the risk of ownership and reap the rewards.

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Land value: Alongside the cash rent payments that add to your returns, you also profit from the increasing value of the land. As the total amount of farmland shrinks, the farmland that stays is a scarce asset that is worth more over time. AcreTrader helps you find the farmland that is going to stick around.

With two streams of income, you are automatically diversified when you invest in farmland.

The Smartest Investment in a Pandemic

There is nothing wrong with investing in moonshot companies like Tesla or highly volatile industries like bitcoin — if your timing is perfect. If you are looking for peace of mind, AcreTrader can help you.

Farmland is a great investment regardless of when you enter the market. You never have to worry about unexpected corrections from market shocks or short term emotional trading. Your investment will do what investments should do — make you money while you sleep without a need to watch it constantly.

Doing business with AcreTrader ensures that you have a truly turnkey experience while enjoying the fruits (pun intended) of your capital. AcreTrader handles all of the details of farm management from insurance to accounting. You can count on timely disbursements of excess annual income, and you have a market to sell your shares within AcreTrader as well. All in all, you have all of the flexibility of a tier 1 investment without any of the hassle.

Scroll through the AcreTrader website for information on all offerings. You will find the minimum investment amount and estimates for the average net cash yield and net annual return. There are also plenty of educational materials for those who want to learn more about investing in farmland. AcreTrader has a reputation for expert customer service, so don’t be afraid to ask questions.

No matter who you ask, one thing is for sure: We are moving into tough economic waters. Make sure that you are diversified away from the weakening dollar into investments that you can count on. AcreTrader is your full-service connection to the stability of farmland investing.

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