Some prefer to invest in farmland, not Wall Street

"Pension fund managers, hedge-fund operators and hungry investors," weary of the vagaries of the stock market, are investing in farmland, reports P.J. Huffstutter of the Los Angeles Times. Average U.S. farmland prices have nearly doubled in the last decade to $2,140 an acre, according to the Department of Agriculture's National Agricultural Statistics Service. Those with the resources are buying up apple orchards, corn fields and sugar plantations, says Huffstutter. After the purchase, the land is generally turned over to someone else to manage the day-to-day operations. "If all goes well, investors can receive rent, proceeds from crop or livestock sales, or some combination of both."

Like Scarlett O'Hara, investors know the value of arable land, which is dwindling and is affected by nature. The growing interest in knowing where food comes from is also motivating these investors. While investing in farmland does not guarantee a return on investment, one investor said, "Why can't you make money by doing the right thing?"

Some of the land deals have "sprouted a backlash and raised concerns of speculators becoming wealthy at the environmental and economic expense of local communities. John Peck, executive director of the anti-corporate farming group Family Farm Defenders, said institutional investors could distort global food production patterns by planting crops for profitability rather than nutrition." (Read more)