Wednesday, October 24, 2012

Investing in agribusiness

Renowned investor Jim Rogers was quoted saying that farmers will soon be driving Lamborghinis and that high school students now should seriously consider a career in agriculture. I don't know about the Lamborghini part but he does have a point. With the global population tipped to grow a another 2 billion and rising Asian middle class wanting more meat in their diet, there seems to be a lot of upside to investing in agriculture. For an overseas Filipino such as myself, the easiest exposure to agriculture would be to invest in agribusiness stocks. This would include Agrinurture Inc., Universal Robina Corp. and Roxas Holdings. Second would be to buy an existing farm and be a passive owner of an agribusiness venture. As with all other investments, a careful study is required to manage risks. Agriculture in the Philippines is still largely underdeveloped and would require a massive injection of capital. For those who do it right, the returns may be worth it. Happy investing!

Friday, October 12, 2012

How wealthy are you compared to the rest of the world?

Ever wondered how you compare to the rest of the world in terms of wealth? Here it is in terms of net worth (that is total assets minus total liabilities):

1% have a net worth of US$710,000
10% have a net worth of US$71,000
50% have a  net worth of US$3,700

There you have it, if you have a net worth of US$71,000 you are wealthier than 90% of the seven billion people on this planet. If you ever have days where you feel like not having enough, think of the legions who have far less than you. Count your blessings and happy investing!

Friday, October 5, 2012

If MVP divests from the country, I will do the same

  Last month, there was an interesting news article about MVP or Manuel V. Pangilinan venting his frustration on being dragged into certain controversies being played out by our "honourable" politicians. He must have been really pissed off to the point of saying that if this goes on, he may move his business operations to Hong Kong. I don't know if that would mean simply moving operations or a complete divestment of his Philippine holdings. Either way, it would be a very bad sign for the country. In many ways, I do understand his disappointment. If you don't, try opening a business in the country and you'll know what I mean. If one of the country's top investors moves his money elsewhere, we should take notice.