Farmland Returns Outperform Inflation, Bonds: Omnigence Study
Omnigence Asset Management has published new research that applies the Information Ratio to the 18-year quarterly return history of its Canadian farmland platform, Veripath.
The study, titled 'The Information Ratio: Measuring Signal vs. Noise in Canadian Farmland Returns,' examines 72 consecutive quarters from Q2 2008 through Q1 2026 and assesses whether farmland's excess returns reflect a persistent pattern or statistical noise.
The researchers found that against inflation and fixed income, the signal is unambiguous: annualized Information Ratios of 4.24 versus CPI (t = 18.0), 5.29 versus T-bills (t = 22.4), and 2.33 versus Canadian bonds (t = 9.9) were significant well beyond conventional thresholds.
The study's author, Stephen Johnston, a director of Omnigence, said that the Information Ratio 'lets you put the question on a statistical footing.' He added that when they ran farmland against inflation, cash, and bonds over 18 years, the excess return clears the significance bar by a wide margin, it looks like a persistent pattern, not a fluke.