Pictet-Water I dy GBP

Specialist

Rated Fund 2017-2018. Invests in companies helping to improve water services

Water is expected to become one of the world's most valuable commodities in future, due to increasing demand and dwindling supplies. While some investors may feel uncomfortable making a profit from this situation, others argue that capital is needed to invest in companies involved in conservation and improving the efficiency of the sector.Pictet Water, launched in 2009, is the longest-established specialist water vehicle available in the UK. It invests in the shares of around 60 companies operating in the water sector worldwide, favouring those operating in water supply, processing services, water technology and environmental services.The fund's investment team, backed up by an advisory board of scientists, business leaders and academics, is led by Arnaud Bisschop. In constructing the fund, the team takes a bottom-up, high-conviction approach, choosing the most promising stocks from a universe of 360 water companies. They aim to combine defensive stocks such as traditional water utility companies with growth stocks, such as those involved in manufacturing pipes, pumps and metering.

Water quality monitoring is another growing area for the managers. Part of the fund is also invested in companies that provide environmental services, which help to reduce pollution through water treatment and processing industrial waste. The managers ensure there is geographical diversification by investing in developed and emerging markets. While the fund's largest exposure at the end of 2017 was to the US (50 per cent), it also had holdings in China and Brazil. Whitechurch Securities, the wealth manager, uses this fund in its ethical portfolios.

Narrative and ratings content all as of 01 January 2018.

See all Money Observer rated funds
Name
Pictet-Water I dy GBP
Manager
Pictet Asset Management (Europe) SA
Type
SICAV
ISIN
LU0448836600
Sector
Global
Launched
10/09/2009
OCF
1.2 %
Risk Rating
2
3 Year Sharpe
1.57
3 Year Alpha
0.72
Yield
0.4 %
Benchmark
MSCI World NR EUR
The fund aims to invest in equities issued by companies operating in the water and air sector worldwide. The compartments invest in depository receipts, namely ADR, GDR and EDR. The Compartment may invest up to 30% of its net assets in China A Shares through (i) the QFII quota granted to an entity of the Pictet Group, (ii) the RQFII quota granted to an entity of the Pictet Group (iii) the Shanghai-Hong Kong Stock Connect programme, (iv) the Shenzhen-Hong Kong Stock Connect programme, and/or (v) any similar acceptable securities trading programmes which may be available to the Compartment in the future as approved by the relevant regulators from time to time. The Compartment may also use financial derivative instruments, such as futures and swaps, on China A Shares.
Holding %
Xylem Inc 3.97 %
Danaher Corp 3.81 %
American Water Works Co Inc 3.61 %
Veolia Environnement SA 3.61 %
Suez SA 3.61 %
Pentair PLC 3.38 %
Waste Connections Inc 3.01 %
Severn Trent PLC 2.94 %
Thermo Fisher Scientific Inc 2.75 %
Aqua America Inc 2.26 %
Region %
United States 54.93 %
Eurozone 13.63 %
United Kingdom 8.05 %
Asia - Emerging 6.19 %
Europe - ex Euro 5.18 %
Sector %
Industrials 50.79 %
Utilities 25.01 %
Healthcare 10.57 %
Basic materials 8.34 %
Name
Pictet Asset Management (Europe) SA
Address
L-1855, Luxembourg, Luxembourg
UCITS
Yes
Legal Structure
SICAV

Managers

Philippe Rohner
Joined 02/08/2013
Arnaud Bisschop
Joined 02/01/2009
Hans Portner
Joined 05/01/2001

Data provided by Morningstar.

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