Tilney adds soft commodity exposure to portfolios

The asset class has been accessed through exchange traded funds and actively managed portfolios that have been approved for inclusion on Tilney’s buy list. The viability of the sector had initially been doubted by Peter Bickley, chief economist of the fund manager and private client operation. However, following analysis of the sector, Bickley has become a convert. He cited demand, rather than supply, issues as the main factor behind his change in stance. “As incomes rise, people’s propensity to eat meat increases. As meat consumption rises, the demand for grain as the tradition...