With one of the worst droughts in China since records began 60 years ago, asset owners and managers are weighing more seriously the material risks of the water crisis.
In partnership with Federated Hermes
Impact investing aims to identify businesses and organisations pursuing purpose-led activities serving the needs of the global economy and environment. A thematic approach to impact investing seeks to identify opportunities created by pressing issues that can be identified as megatrends – including climate change, access to water and pandemics.
Water scarcity is emerging as a major climate challenge for institutional investors. While most attention is on the coronavirus impact, this stands to be a big longer-term concern.
SAM, an investment boutique focused exclusively on sustainability investing, expects the water industry to continue to grow faster than global GDP, especially in Asia.
The Clean Water Asia long-only fund will complement a long/short water fund and will be handled by the CRA Management unit of CLSA Capital Partners.
AmKonzen will manage a $320 million fund that will invest in water projects mainly in China and Southeast Asia.
With no alternative to water, its supply is one of the great challenges of the 21st century and therein lies the potential for investors to profit.
CLSA's mezzanine fund finances $60 million transaction as 136 cities in China face severe water shortages.
CLSAÆs new long/short water fund will focus on Asian listed and private-equity opportunities.
SG's asset management arm is launching a structured fund that gives Hong Kong investors exposure to growth in the water sector.
Atlantis Investment Management CEO Peter Irving explains that, despite the volatility, there is strong value in Korean stocks.