AgraShares is focused on acquiring, leasing and operating diversified agricultural investment properties.
Farmland is a logical component of a well-diversified investment portfolio. Over a long history, farm acreage has produced strong investment returns, composed of both asset appreciation and income yield, with moderate levels of risk. Of particular importance to investors, the returns from farm properties have very low or negative correlations with financial assets and a low correlation to other real estate investments. In addition, agricultural based properties provide investors a hedge to U.S. dollar currency risks and inflation.
AgraShares specializes in row crop producing properties based in the Midwest. Investment opportunities and diversification exist, and are achieved through:
- geographic dispersion of land acquisition
- investing in different quality rated acreage
- incorporating transitional properties in the investment portfolio
- timber harvesting
- purchasing farms with additional sources of rental income
The timing is excellent for adding farmland to investment portfolios. As emerging economies grow, the demand for a higher caloric diet along with a decrease of viable agricultural land will put upward pricing pressure on the entire agriculture complex. In addition, the demand for alternative fuels is an increasingly positive factor for Midwest crop production. Other significant investment opportunities exist in the area of genomics and bioengineering; the production of corn and soybeans with specific traits. These products can be custom grown and delivered to the end users which will allow certain producers, such as AgraShares, economies of scale, superior pricing and the opportunity to by-pass traditional grain distribution channels.
The total market value of U.S. farm properties is estimated at over $1.5 trillion. As of now, institutional ownership comprises approximately .10% of the market. That portion is set to grow as agriculture based investments capture an increasing share of the allocations to alternative investments by large institutional clients.
AgraShares, LLC
 | Jon Brorson, CFA, has 26 years of experience in the institutional investment business, most recently at Lehman Brothers as Managing Director and head of the growth equity team. He also served on Lehman Brother's Asset Allocation Committee. Prior to Lehman, Mr. Brorson was Director of Equities at the Northern Trust Co., and founding principal of Hartline Investment Corp. He currently serves on the boards of directors of Swedish Covenant Hospital and National Covenant Properties, both in Chicago. Additionally, Mr. Brorson has owned and farmed 517 acres since 1998. Mr. Brorson has a B.A. degree from North Park University, an MBA from De Paul University, and obtained his Chartered Financial Analyst designation. |
 | Van Bitner has been farming in Central Illinois since 1988. He currently farms over 2,000 acres of row and specialty crops and is involved in the management of pasture and timber operations. Mr. Bitner is also a Certified General Real Estate Appraiser and an Accredited Rural Appraiser. In addition, he holds a Real Estate Brokers license. Prior to taking over his family's farm operations, Mr. Bitner worked at the Farm Credit Services as a loan officer and then as their Chief Appraiser. Mr. Bitner has a B.S. degree from the University of Illinois School of Agriculture. |
 | Geoffrey P. Lutz Mr. Lutz is responsible for sales, marketing, and client servicing at AgraShares, LLC, joining the firm in 2008. Mr. Lutz has over 25 years of experience in the investment management industry with prior employment at Northern Trust, Kemper Financial Services, and Mesirow Financial Services. From 1995 through 2007, Mr. Lutz was a partner at Skyline Asset Management, L.P., Chicago, where he was responsible for institutional marketing and client servicing. He holds a B.A. degree from Loyola University, and is FINRA licensed series 7, 63, and 24. |
 | Jie Wu Mr. Wu joined AgraShares, LLC in 2006 as head of financial analysis. He is actively involved in conducting industry research, modeling and financial analysis for the firm. Previously, Mr. Wu worked as summer associate at AIF private equity in Hong Kong, China. Mr. Wu also worked at Motorola Inc. headquarters in Chicago, and was involved in software development, marketing and customer relations. Mr. Wu holds a BA degree in Engineering from Tsinghua Univeristy as well as an MSC in Computer Science and Statistics from the University of Illinois at Champaign-Urbana. He is a candidate for graduation with a MBA degree in Finance from the University of Chicago in May 2008. Mr. Wu is proficient in Mandarin Chinese. |