Con Williams has been appointed as head of MyFarm’s newly formed investment research division as the company branches further into investment areas beyond its pastoral roots, including viticulture, orchard and kiwifruit investments.
Attending Mystery Creek Fieldays under the ANZ banner for the last time, Williams said he suspected the work he had done several years ago predicting the surging growth in some horticultural areas had been well received by MyFarm as it made its first foray into the sector, and intended to extend that further.
“And what we have been seeing is a capital gap opening up in these sectors where they have grown very quickly. MyFarm have been interested in these sectors due to the growth opportunity that is out there. In addition the ability to source foreign investment is getting restricted, it’s not so much a source anymore.”
There was also a demographic shift happening in sectors, where established owners were looking to exit, or for succession options for freeing up equity.
“I am not sure that the banking sector is quite as competitive in these areas.”
For investments in the primary sector to work for all parties it was important to have a counter party capable of doing a good job on the ground managing the biological assets it is made up of.
Acquiring the asset at the right valuation and at the right time were also both important.
MyFarm was one of the early movers into the dairy farm equity market, but more recently has focused efforts on primary sector investments beyond the more traditional pastoral areas.
“These are areas I have done quite a bit of work in, and a lot of what we worked on is playing out now.”
This includes significant growth in the kiwifruit sector, viticultural success on the back of the wine industry, and even growth in the low-profile hop industry.
At a personal level Williams said he had spent eight years in his current role with ANZ, achieving as much as was professionally possible there.
“I have always been interested in investing in businesses, despite choosing the career of an analyst, but it’s not just about being a good economist, it’s also about being a good investor.”
Williams will be re-locating to MyFarm’s head office in Fielding, putting him closer to the family farm in Hawke’s Bay.
MyFarm chief executive Andrew Watters said he believed Williams was the best primary sector analyst in the country.
“His work has been incredibly important for us as we have ventured into new primary sectors such as apples, kiwifruit and viticulture.”
