AP2, Gothenburg, Sweden, and TIAA-CREF will form a joint venture to invest at least $500 million in grain farmland in the U.S., Australia and Brazil, according to the 220 billion Swedish kronor ($34.6 billion) fund’s website.
TIAA-CREF will serve as majority shareholder and administrator of the new company, according to AP2. TIAA-CREF spokeswoman Abby Cohen declined to comment.
AP2 is investing in farmland for stable returns that are uncorrelated to other asset classes.
Further information was not available at press time.