ABSTRACTMATTHEW MORRILL. Incentivizing farmland investments: expanding on an evaluation of portfolio performance when incorporating agricultural investments. (Under the direction of DR. CRAIG DEPKEN)Farmland investments have shown to have remarkably high returns when added to a portfolio for diversification. Previous research shows a trend of the continuous growth in the amount invested in farmland as a fraction of a well-diversified portfolio. The study replicates methodology used in Hennings, Sherrick, and Barry (2005) to determine portfolio performance adding ten years of new data. Farmland investments again prove to be a worthwhile addition to a portfolio of traditional assets. The research indicates that at higher levels of return, farmland begins to take over a portfolio, suggesting that it is a low-risk, high-reward investment.