“Water may not be as shiny as solar energy or as picturesque as wind power, but it’s one sector in the green space that’s easy for investors to swallow. A growing number of funds now specialize in water, having ballooned to $1.8 billion in total assets, up by 40 percent in size in the last six months,” Chris Taylor Reports From CNBC.

“Water’s getting a lot of attention, and it has everything to do with sustainability,” says Jeff Tjornehoj, senior research analyst with fund-tracking firm Lipper. “There’s an expectation that critical water needs are not being met, and that it’s only going to get worse in future.”

“Indeed, demand is growing at an estimated 6 percent annually, as spiking population and ramped-up agricultural production strain current infrastructure,” Taylor Reports.

“It’s a flattening world,” says Paul Justice, ETF strategist with research firm Morningstar. “Emerging economies are continuing to develop, and there’s still a lot of progress to be made, so investors are focused on the growing need for potable water.”

“As a result seven funds have crowded into the space in recent years, dominated by two PowerShares exchange-traded funds, Water Resources (PHO) and Global Water (PIO), which track versions of the Palisades Water Index,” Taylor Reports.

See The Full Story: HERE

Here’s a look at the two water ETF’s below:

The investment (PHO) seeks results that correspond generally to the price and yield (before the Fund’s fees and expenses) of an equity index called the Palisades Water index. The fund normally invests at least 80% of total assets in American Depositary Receipts and common stocks of companies in the water industry. In pursuit of its objective, it may invest at least 90% of total assets in American Depositary Receipts and common stocks that comprise the Palisades Water index. It is nondiversified.

TOP 10 HOLDINGS ( 47.03% OF TOTAL ASSETS)

Company Symbol % Assets AECOM TECHNOLOGY COR (ACM) 5.17 AMERON INC (AMN) 3.93 DANAHER CP (DHR) 4.56 FLOWSERVE CP (FLS) 4.12 Itron, Inc. (ITRI) 4.6 ROPER INDUST INC (ROP) 4.16 Tetra Tech, Inc. (TTEK) 5.15 U R S CP (URS) 5.14 VALMONT INDS INC (VMI) 5.14 VEOLIA ENVIRONN ADS (VE) 5.06

The investment (PIO) seeks investment results that correspond (before fees and expenses) generally to the price and yield performance of the equity index called the Palisades Global Water index. The fund normally invests at least 90% of total assets in stocks that comprise the Palisades Global Water index and ADRs based on the stocks in the Palisades Global Water index. It normally invests at least 80% of its total assets in securities of companies that generate at least 50% of their revenue from water or water-related activities. The fund is nondiversified.

TOP 10 HOLDINGS ( 50.96% OF TOTAL ASSETS)

Company Symbol % Assets ARCADIS (ARC.AS) 4.96 Hyflux (600.SI) 5.05 Kemira Oyj N/A 5.49 Kurita Water Industries Ltd N/A 5.1 NALCO HOLDING CO. (NLC) 5.13 STANTEC INC (STN) 5.01 SUEZ ENVIRONNEMENT (SEV.PA) 5.04 Tetra Tech, Inc. (TTEK) 5.17 VALMONT INDS INC (VMI) 5.07 VEOLIA ENVIRONNEMENT (VIE) 4.94

 

 

Get 10 Trading Lessons FREE Click Here

GET A FREE TREND ANALYSIS FOR ANY ETF HERE!

Related posts:

1. Under The Hood: A Deeper Dive Into Dividend ETFs (HDV, DVY, JNJ, PG, VZ, PFE, T, CVX, KMB)
2. Supply and Demand To Boost These Three (3) Water ETFs (PHO, PIO, CGW, NLC)
3. The Commodity Trade Of Tomorrow: Trading H2O – Water (PHO, CGW, PIO)
4. Ten (10) Strange But True Facts About The ETF Industry (DBC, GDX, XLU, VOO, EEM, EFA)
5. The Steel Industry Is Looking At Hard Times (PKX, MT, SLX, X)

ETF BASIC NEWS, PHO, PIO