Many people are looking for alternative investments that can offer a higher return than traditional stocks or bonds. With the recent volatility in the stock market, alternative investments are becoming even more popular.
One alternative investment that is gaining popularity is investing in cattle. Of course, cattle investing is not for everyone, but it can be a profitable way to invest your money if you are willing to take on some risk.
Cattle investing is a bit like investing in real estate. You are essentially buying a piece of property (in this case, a cow) and hoping it will appreciate over time. Of course, there are always risks involved with any investment, but if you do your research and invest wisely, cattle investing can be a very lucrative way to make money.
What is Agridime?
Agridime is an online platform that allows you to invest directly in cattle.
With Agridime, you can choose the specific cows you want to invest in and how much you want to invest. How cool is that?
Agridime takes care of the rest, including the actual feeding and caring for the cows via the farmers that they partner with.
Agridime essentially allows you to participate in the investment of cattle without getting into the actual day-to-day care of the cattle itself, all while being able to take profits at the end of it all.
How much does it cost to buy one cow with Agridime?
It currently costs $2,000 to buy one cow through Agridime.
Who knew? Investing in cattle doesn’t have to be ridiculously expensive. Me personally? I had no idea what a head of cattle would even go for normally prior to looking into it.
Is there a minimum to invest with Agridime?
Agridime’s requirement is that you have at least $2,000 to invest with them. Beyond that, there are no other requirements or qualifications. You can buy 1 or 100 cows. It’s up to you.
How much can you sell the cattle for through Agridime?
If you sell the cattle, you can expect to get around $2,300 to $2,400 for it. Simply put, that’s a $300 to $400 profit on each head of cattle.
If you buy ten cows at a total of $20,000, you would earn a profit of $3,000-$4,000.
That means that Agridime earns you a 15-20% return on your investment. That’s quite the healthy return.
Keep in mind that the exact amount of profit you make will depend on the price of cattle when you sell them. Cattle prices can fluctuate, so you could be earning a little more or less than the estimated profit.
During times of inflation, you’d likely be earning more since the price of cattle would be going up as a result.
How long do you have to wait before you can decide to sell your cattle?
Great question. Cattle takes time to raise properly and ensure that it is ready to be sold onto the market.
If you’re the type who doesn’t like to wait too long, then you’ll be happy to know that it only takes a year for your purchased cow to be ready for sale.
When you combine the potential return of 20% on your investment and couple it with the timeframe of one year, that’s a 20% return on investment each and every year you invest.
This is a very attractive return, especially when comparing it to other investments. For example, the stock market has averaged a return of around 10% per year over the long term.
With Agridime, you’re pulling in twice that return. You’re doing in one year what the S&P 500 generally does in two years.
How does Agridime pay you?
When you sell your cattle, you will be paid by bank wire ten days after the sale. That means you don’t have to wait all that long to get your money.
This is a huge advantage because it allows you to reinvest your profits quickly and continue growing your investment if you so choose.
Does Agridime take any fees for buying or selling cattle?
AgriDime doesn’t charge any fees for buying or selling cattle. That means you get to keep all of your profits. There are no hidden fees or charges.
This is a nice plus, especially when comparing it to other investments. For example, mutual funds and ETFs often charge fees of 1% or more depending on who’s managing the fund.
That means you could lose a significant portion of your profits to fees alone with other investments. It may not sound like much, but in the long run, even a 1% fee is a big deal and can really put a damper on the full power of compounding working for your money.
Does Agridime insure your investment?
Agridime insures every investment against death, disease, and theft.
There’s no worry about a cow dying and you losing your investment as a result. If anything happens to the cow you’ve invested in, you will be compensated for your loss in full.
This gives investors peace of mind and allows them to focus on making money rather than worrying about their investment. At no point do you have to worry about the health or safety of your specific cattle.
What are the risks with investing in cattle through Agridime?
As much as Agridime does its best to ensure you get your money’s worth of investment through them, there are still some inherent risks to watch out for.
One risk is the possibility that cattle prices could drop. However, you can minimize this risk if you diversify your investments and don’t put all your eggs in one basket.
The other risk to consider is that Agridime isn’t like an institutional bank. It isn’t FDIC insured by the government in case they go underwater.
If say you invested $100,000 to invest in 50 heads of cattle, you could potentially lose all of it. That’s right, it’s possible you would not see a cent of it if the company were to disappear one day for whatever reason.
Why use Agridime to invest in cattle?
There are many reasons to invest in cattle via Agridime. Let’s dive into some of those reasons:
Investing in cattle is a great hedge against inflation. That’s because beef prices, along with everything else like food and gas, tend to go up when inflation increases. By investing in cattle, you’re making sure that when inflation numbers go up, your investment is benefiting from it, despite the rest of the world being negatively affected by it. In short, your cattle investment will protect your money from losing value.
The beef industry is booming. As a result, the demand for beef is high, and it is only expected to increase in the coming years. This means that cattle prices are likely to continue to rise, leading to healthy profits for investors.
Beef is a staple in the American diet. It’s one of those things that everyone expects to be on the store shelf, and it’s not going away any time soon. The cows you invest in will be butchered, and the beef will be sold to grocery stores and restaurants the same way it’s always been for a very long time.
It’s a great way to diversify your portfolio. Cattle are not as volatile as stocks, so they can help offset some of the risks in your portfolio. And, since cattle can be bought and sold relatively quickly, they offer an excellent way to get liquidity into your portfolio if needed.
Agridime allows you to not have to raise the cattle yourself. You needn’t be a farmer or a rancher. That means you don’t have to worry about the nitty-gritty of caring for cattle, including feeding and watering them. It’s all taken care of by farmers who take part in Agridime’s program. You’re simply investing in the farmers who do the bulk of the heavy lifting.
Who should invest in Agridime?
The potential investor for Agridime is someone who is looking for options outside of traditional investment vehicles like stocks and bonds.
Perhaps you’re just looking for something different, or perhaps you truly believe that cattle investing will pay off better due to it being a higher-risk investment.
If you find the following to be true for you, you should further consider Agridime:
- You like the fact that it’s a simple, straightforward, and easy-to-understand investment.
- The basics are covered in your portfolio, but you still have some extra cash lying around.
- You’ve done some research and truly believe that Agridime as a company has strong financials and can stay afloat.
- You’re trying to add an inflation hedge to your portfolio.
- You’re sick of the fees you’re paying on your managed funds, and the fact that there are no fees involved in Agridime transactions really appeals to you.
- You know something about the farming industry that entices you to invest in cattle. After all, didn’t Bill Gates just buy up a lot of farmland?
- And lastly, you can afford to lose the money, and you really want that 15-20% return. Because hey, the S&P 500 sure doesn’t seem to be returning that this year.
No matter your reason for investing in Agridime, you need to make sure this isn’t your main investment vehicle.
I say this because no matter how good the return is, this money is not in any way, shape, or form covered or guaranteed by the government should the company go under.
However unlikely it is, $1 million invested in this could really turn to $0 given the right set of unfortunate circumstances. Money invested in the S&P 500, on the other hand, statistically would never turn to $0 unless the world were to burn, or something close to it.
Is Agridime legit?
All signs point to Agridime being safe and legit to invest with in terms of the trustworthiness of the company itself.
Again though, the biggest downside is that in the worst-case scenario, should the company go under, your money is not backed by the government. However, that is true for the majority of investment options out there and should be thoroughly considered in your risk-reward assessment.
Other interesting alternative investments to explore
Who knew you could be a cattle investor?
If you can be an investor in cattle, surely there are other commodities that could prove lucrative in a consumer-investor model that you haven’t thought of, right? And you’d be correct.
Here are some alternative investments to explore if you’re interested in these sorts of non-traditional investment opportunities:
- Vint – investing in fine wine
- OurCrowd – investing in pre-vetted startups
- NFTs – investing in digital assets in the Web3.0 space
- Metaverse ETF – investing in anything related to the metaverse via a traditional ETF by Fidelity
If you’re looking for an investment that’s different from traditional options, then Agridime is definitely worth considering.
Let’s summarize both the good and the bad of Agridime:
- It offers the chance to invest directly in cattle, which is a tangible asset with real value.
- It’s an easy-to-understand investment. Cattle are raised for food and sold on the market to be eaten by consumers.
- It’s a great way to hedge against inflation.
- There are no transactional or management fees.
- It’s got a great, guaranteed healthy return of 15-20% on your investment.
- That is, unless the company goes under, that investment could disappear completely.
- Cattle prices do fluctuate, and it takes about a year to get them ready to be sold.
If you never knew that you could literally buy a cow as an investment, well now you know. And the returns are quite appealing. Is it a good investment for you? Well, that’s for you to decide.
Have you ever used Agridime? If so, what was your experience like? Let us know!