Aug 03

I just heard on BBC this morning that the price of wheat is up 50% since last year June. Hitting a 22 month high.

Factors driving the price of wheat

The prices are being driven by crisis in Russia, the largest producer of Wheat. Failed rains have led to low production. The demand is now outstripping supply.

The second factor driving the price of Wheat is the wildfires swiping across Russia that have devastated the crops.

If you believe the price of wheat will continue to rise then you may go long wheat but if you think the current crisis are short term then you may consider your shorting strategy for wheat

written by Constantine Njeru \\ tags: , , , , , , , ,

May 14

A green investing idea have come across is investing in a rooftop farm or garden. I first heard about rooftop farms in New York in a BBC program. At first i thought this was something new but after researching on the subject I discovered it is an idea that has been around for some time.

Rooftop farming is urban agriculture

Rooftop farms are cropping up on top of storied building in New York and across America. The farm owners are not just hobbiest, they are serious farmers trying to make a buck.

A good example is a group farm in New York called Brooklyn Grange. They were profiled in New York times. The group grow peppers, tomatoes and green vegetables. The vegetables are sold to local restaurants.

Making money in a rooftop farm

According to the team leader of the group, for such a venture to turn a profit you need a large space.

I noticed the members of Brooklyn Grange have to work as volunteers to cut cost. At the moment rooftop farming is still in its infancy, trying to find a business model that is profitable. The members of the partnership draw much satisfaction from doing something noble.

If you are interested in rooftop farming you may consider joining a  farm group partnership around your city. You may also start one but first make sure to know whether its legal in the first place. You don’t want to be breaking the law.

written by Constantine Njeru \\ tags: , , , , , , , , , , , , , , , , , , ,

Apr 27

We know Greece in a financial hole and investors are already betting that Greece will default on its bonds sooner or later. The investosr who think a default akin to Russian default in the 1990s is on the cards are shorting Greece bonds.

When Greece Economic minister was asked by a BBC report about the possibility of a default this is what he said, They will lose their shirt!

But the reality on the ground is that Greece is a sinking ship. They are running out of time, they need to find 9 billion euros by 19th May just to pay off due debt. The public is strongly opposed to any attempts by the Government to cut spending to raise funds. They cant borrow money, lenders are demanding reforms first before any new lending. The greece government is dead broke.

Worse still, on April 26, Greece debt was downgraded to junk status by rating agency standard & poor.  In the report S &Pwarned holders of Greek debt that they only had an “average chance” of between 30% and 50% of getting their money back in the event of a debt restructuring or default.

written by Constantine Njeru \\ tags: , , , , , , , , , , , , , , , , , ,

Apr 22

According to Halifax, UK Mortgage lender, homes have been a good long-term investment for some people. The average home has almost quadrupled in value, having risen by 273% since 1959 in real terms.

UK Housing Booms

Four big house price booms have occurred in the last 50 years. They were: 1971-73, 1977-80, 1985-89, and 1998-2007.

House Price Rise England, Wales & Scotland

Over the last 50 years, the biggest rise in prices was in greater London, whereas the smallest increase was in Scotland.

Read the full detailed article at BBC Business

written by Constantine Njeru \\ tags: , , , , , , , , , , , , ,

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