By Gerelyn Terzo, Global AgInvesting Media
WisdomTree is planting its flag in the private markets while simultaneously tacking on nearly $2 billion in farmland assets. The asset manager best known for its ETFs announced plans to acquire Ceres Partners, a specialist investment firm focused on food and agriculture. Based in South Bend, Indiana, Ceres oversees 545 farmland properties across 12 states, with a strong Midwestern footprint. The acquisition adds 174,000 acres, mostly Midwest row crops, to WisdomTree’s portfolio. WisdomTree’s move coincides with a regulatory movement to bring individual investors further into the private investment landscape.
The deal signals a strategic shift as WisdomTree, with a reported $128 billion in public equities and bonds under management, looks to scale and capitalize on the rising demand for real assets like farmland. It also highlights a broader industry trend where investment firms are diving deeper into private markets, seeking diversification through alternatives due to volatile traditional asset classes.
WisdomTree’s move positions the firm to harness farmland’s appeal as a resilient, inflation-hedged play, reflecting an expansion into less liquid assets with a view toward long-term growth. For its part, Ceres has crafted a top-tier farmland platform. Its flagship Ceres Farms fund, launched in 2007, buys and oversees privately held farmland, while the private Ceres Food & Agriculture Opportunity Fund backs growth-stage companies in the food and ag chain. This hybrid strategy combines core real assets with private equity, attracting institutional investors chasing reliable, inflation-resistant returns.
Performance-wise, Ceres boasts a 10.3 percent net average annual return since inception, outperforming key farmland indices, according to the announcement. Historically, U.S. farmland values have climbed in all but nine years post-World War II, cementing its status as a steady, uncorrelated alternative asset class.
The deal, expected to close by year-end 2025, includes $275 million in upfront cash and up to $225 million in earn-outs tied to annual revenue growth of 12-22 percent over the next five years.
WisdomTree Founder and CEO Jonathan Steinberg stated, “Farmland is one of the largest yet most underpenetrated real asset classes in the U.S., offering both scale and scarcity. This acquisition expands our leadership in innovative, income-generating investment solutions, while strategically accelerating our entry into private asset markets with a high-quality, scalable platform.”
Ceres Partners Founder and CEO Perry Vieth commented, “We are proud of Ceres’ long-standing partnerships and legacy with farmers. Joining forces with WisdomTree marks an exciting new chapter for Ceres. For nearly two decades, we’ve built a differentiated farmland investment platform rooted in performance, operational expertise and a deep understanding of U.S. agricultural markets. This partnership brings product innovation, scale and distribution that will allow us to reach more investors seeking resilient, inflation-hedged and income-generating real assets.”
As institutions crave sustainable, low-correlation assets, farmland is gaining traction. WisdomTree eyes raising over $750 million in farmland assets in the coming years, eyeing synergies in solar, water and AI infrastructure for additional upside potential. By combining WisdomTree’s broad platform with Ceres’ deep agricultural expertise, this partnership could open farmland investing to more investors, transforming a time-honored asset class in today’s dynamic alternatives market.
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