Our investment philosophy is driven by two key questions
1. What Makes An Effective Agricultural Investor?
In order to be an effective agriculture investor, direct farming expertise is needed. Successful farmers must be expert agronomists, economists, meteorologists, engineers and financial hedgers. Knowledge from each of these disciplines is necessary to maximize agricultural returns. IFC and affiliates have been active in the farming community since 1871. Its professionals have extensive direct farming experience in North America, South America and Eastern Europe.
Farming can be an insular industry. Successful investors need to have relationships with professionals who consistently interface with farmers. Since over 60% of all farms are sourced off market, it is important to have key working relationships throughout the agricultural industry. IFC and affiliates utilize their day-to-day interactions with entry, middle and senior management of all the major agricultural firms including: John Deere, Monsanto, DuPont and Potash Corp. This is an effective component of its sourcing and management strategy.
2. How Can A Farmer’s Performance Be Monitored?
Farmers must be able to benchmark their performance against similar farmers utilizing similar farmland. IFC management provides an extensive track record of maximizing yields above surrounding county averages through innovative and progressive farming techniques. Mastery of precision agriculture, including variable-rate applications, extensive soil fertility management and remote sensing/monitoring, helps provide preventative and corrective measures for our farming partners. These are but a small number of the value-added areas of expertise of our management team.