ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Global Diversification
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Megatrends
    • Modern Alpha
    • Multi-Asset
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About Us
    • Swag Store
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Index Insights
  2. Riding the ESG Wave by Investing in Water
Index Insights
Share

Riding the ESG Wave by Investing in Water

Stacey Morris, CFAApr 13, 2021
2021-04-13
04.14.2021 Thematic Banner


Riding the ESG Wave by Investing in Water

As the world increasingly focuses on climate change and sustainability, water accessibility, supply, and conservation are central focus areas, particularly given estimates that worldwide water demand could climb by more than 50% by 2040. Water infrastructure has also been in focus. In the US, the recently released American Jobs Plan earmarks tens of billions of dollars for upgrades to water systems and infrastructure. Corporations are also recognizing the importance of water responsibility. Executives from 16 major companies pledged on World Water Day last month to better manage their water usage. Microsoft (MSFT) has even established a goal of becoming water positive by 2030 on a global basis – replenishing more water than it uses. Could “water positive” or “water neutral” become the next “carbon negative” or “carbon neutral” in terms of corporate climate aspirations? It certainly seems possible given the essential nature of water and expectations for rising demand coupled with increasing consciousness around water management for various businesses and industries.

While so commonplace it is easy to overlook, water could be an ESG-friendly investment opportunity with a solid outlook. Though a California water futures contract has recently begun trading, investing in the stocks of companies generating revenues from water-related businesses will likely be a better fit for most investors wanting to gain exposure to the water industry. The S-Network Global Water Index (JGI) is a composite index of the top 60 water companies globally. Index constituents must derive 30% or more of their revenues from water activities. As shown in the diagram below, JGI includes a subindex of water utilities – the S-Network Global Water Works Index (JWW) – and a subindex of companies focused on the development of water supplies and related activities – the S-Network Global Water Tech Index (JWT). Water treatment and purification, desalination, wastewater treatment, and enabling technologies such as water piping are all examples of Water Tech. In addition to being ESG-friendly, water-focused companies also tend to provide defensive performance given the necessity of water and the inclusion of water-focused utilities. The table below shows steady long-term performance for JGI and its subindexes. For more information on the S-Network Global Water Indexes and the investment case for water, please see this note.


Content continues below advertisement

This is the image alt text

This is the image alt text


Related Research:
Index Highlight: Diving Into the Global Water IndustryIntroducing Sector Classifications for the Space IndustrySPACE: The Benchmark Index for the Global Space IndustryHow is Digitization Impacting Businesses and Creating Opportunities for Investors?

Underlying Index Associated Product / Direct-Indexing Platform Availability
   
Healthcare  
S-Network Medical Breakthroughs Index (PMBI) ALPS Medical Breakthroughs ETF (SBIO)
S-Network Healthcare Innovation Index (PHIX) SmartTrust Healthcare Innovations Trust (SMHCJX); Available on the C8 platform and the SMArtX platform
   
Technology  
S-Network Healthcare Innovation Index (PHIX) SmartTrust Healthcare Innovations Trust (SMHCJX); Available on the C8 platform and the SMArtX platform
S-Network North American Disruptor Index (SNNADX) SmartTrust Technology Revolution Trust (STTRFX) – Includes 30 stocks from SNNADX
S-Network US Disruptor Index (SNUSDX) Available on the SMArtX platform
S-Network Tech Target Index (SNTECH) Available on the SMArtX platform
   
Water  
S-Network Global Water Index (JGI) Invesco Global Water Portfolio – Includes 25 stocks from JGI; Available on the C8 platform
   
Smart Climate Risk  
S-Network Smart Climate Risk 50 Index (SNSC50) Available on the C8 platform and the SMArtX platform
S-Network Smart Climate Risk 250 Index (SNSC250) Available on the C8 platform
   
Other  
S-Network Infrastructure Builders Index (EIBI) Available on the C8 platform
S-Network Space Index (SPACE) Procure Space ETF (UFO)
S-Network MicroSectors Gold Miners Index (MINERS) MicroSectors Gold Miners 3x Leveraged ETN (GDXU), MicroSectors Gold Miners -3x Inverse Leveraged ETN (GDXD)

 

This is the image alt text




 

» Popular Pages

  • Tickers
  • Articles

Jan 27

ETF Issuer League: JPMorgan ETFs Almost $100 Billion

Jan 27

Main Management Market Note: January 27, 2023

Jan 27

As Recession Signals Grow, Turn to Risk-Managed ETFs

Jan 27

HGER Acts as a Compelling Solution for Inflation

Jan 27

Mutual Fund-to-ETF Conversions: The Future in 4 Charts

Jan 27

American Century ETF Duo Hits Key Buy Signals Friday

Jan 27

ACES and AMLP Aid Investing in the Energy Transition

Jan 27

Target Long Duration, High Quality Fixed Income

Jan 27

The Sharpe-r Way to Invest

Jan 27

Structure Matters: Volatility May Make 60/40 Unclear

QQQ

Invesco QQQ Trust

SPY

SPDR S&P 500 ETF Trust

VOO

Vanguard S&P 500 ETF

VGT

Vanguard Information...

SMH

VanEck Semiconductor ETF

XLK

Technology Select Sector SPDR...

VTI

Vanguard Total Stock Market...

SOXX

iShares Semiconductor ETF

BLOK

Amplify Transformational Data...

META

Roundhill Ball Metaverse ETF

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X