1. You and Pauline over at Making Money Your Way are brilliant for alternative investing strategies. For me, it’s totally out of my comfort zone but I’d be interested in investing in coconuts, cattle… all these things that I have no experience with, but being in Canada I’m afraid of being ripped off by someone in Brazil or wherever these crops / herds happen to be.

    • Jim says:

      Thanks saverspender, I consider it quite a compliment to be mentioned in the same sentence as Pauline! Yea, don’t know much about coconuts in Brazil, but unless you are there and can oversee your coconuts, I would pass. I find it best to be able to oversee your investments and pay them a visit on a regular basis, that way it keeps everyone honest.

  2. Jim, how did you get into this racket? Did you just approach a farmer and say, wanna hook up? 🙂

    • Jim says:

      Well I actually fell into it. My friend is a cattle broker, knows all about raising cattle and he has access to land. He had the idea to get a few investors to buy them, he would raise them, and then sell them to the highest bidder. He gets a cut from all the investors.

  3. Marvin says:

    I would love to own a cattle farm but know absolutely nothing about it. But the numbers you suggest are quite good for an investor.

    • Jim says:

      I have to admit Marvin, I new very little about it, truth be told I still do. I am not sure that is the best investment strategy, but I knew what I had, as they were all tagged, and I knew where I could go see them, and I had a contract, so I thought it would work out. Totally a gut feeling investment!

  4. Jamie V says:

    I’m so glad that this investment is paying off for you! Did you by any chance get to keep any of the beef? Also, is this over now, or has your friend kept some cattle to reproduce to replenish the herd, and then retry again in another year or two?

    • Jim says:

      No I did not get to keep the beef, they were strictly to raise and sell. In a self-directed IRA I cannot have any benefit until I am 59 1/2 or else I could pay a penalty. May buy a couple in the future though, outside my IRA.

  5. You can’t argue with the numbers, Jim. Beating a bull market, yuk yuk, is no easy feat. Plus, now you’re forever immune from the insult of “big hat, no cattle”. 🙂

  6. I like this idea. We have a number of friends who own/raise cattle and we buy from them, but I never thought to see if they would be willing to cattle-sit for us. I think I’ll look into the numbers a bit more.

    Thanks for the suggestion. I might even score some inexpensive quality grass-fed beef for myself at the same time!

    • Jim says:

      That’s for sure, I am thinking of just getting a couple to grass feed and use as food rather than an investment! I think the price of beef will continue to increase, so raising your own can drastically offset the grocery store prices.

  7. Michael C says:

    Would you share who you went with as the IRA custodian? Also, did this investment generate any UBTI tax?

    Thanks for the information.

  8. Bret says:

    76% conception rate is pretty low; next go round, make sure you don’t have a trich problem.

Leave a Comment


What’s the Best Free Recipe App?

The Apple Store and Google Play together offer more digital cookbooks than you probably have room for on your mobile device. So which... more →
New tax law might slow down housing market.

What Will the New Tax Law Do to the Housing Market?

The new tax law will have a profound impact on the housing market, although in ways that go beyond the deductibility of mortgage interest... more →

4 in 5 Households Will Get a Tax Cut in 2018

Four out of five U.S. households will get a tax cut as a result of the legislation that President Donald Trump signed into law today. more →
Will bitcoin reach $100,000?

When Will Bitcoin Reach $100,000?

Bitcoin has accelerated its pace of appreciation in recent months, and if the current levels between $15,000 and $19,000 make you itch... more →
The Dow Jones topped 24,000 -- now what?

The Dow Jones Crossed the 24,000 Threshold. Now What?

Stocks appear to be increasing in volatility, yet the markets closed on Monday, December 4 with the Dow Jones Industrial Average is... more →
Peer mortgage

Should You Get a Peer-to-Peer Mortgage?

If you can’t get approved for a home loan from a bank, you might want to look into applying for a peer-to-peer mortgage. more →
Investment gifting is awesome.

4 Things To Know Before You Donate an Investment

While donations of any kind are appreciated, gifting investments benefits both the giver and the receiver. Here are four key things... more →
Are you wondering: What's the Relationship Between the Stock Market and Federal Debt?

What’s the Relationship Between the Stock Market and Federal Debt?

Wouldn’t it be wonderful if gains in the stock market could actually reduce U.S. government indebtedness? If that were true,... more →

Easy Ways to Increase the Value of Your Home

I recently lived in a house that was about to go on the market. Obviously, the homeowner wanted to get the most bang for his buck.... more →