4 Water Mutual Funds to Buy Now

by Chuck Epstein | November 24, 2010 2:26 pm

In addition to ETFs, investors can access the water industry sector through mutual funds.  Here is a list of some of the more noteworthy funds in this sector:

Calvert Global Water Fund (CFWAX[1])

• Managers: Craig Bonthron and Jens Peers
• Total assets: $42 million
• Total annual Fund operating expenses: 5.78%
• Load: 4.75%
• Status: open
• Minimum initial investment: $2,000

Calvert Global Water Fund holds 30% of its assets in water utilities, 40% in infrastructure companies, and 30% in water technologies. About 65% to 70% of the 100 to 105 water stocks in the Fund are identified worldwide are pure plays, which derive over 50% of their revenue from water-related activities. Individual positions tend to be small- and mid-cap stocks, while the larger-cap names usually include other components besides water.

Top Holdings (as of September 2010):

American Water Works (NYSE: AWK[2]), Severn Trent, Pentair (NYSE: PNR[3]), United Utilities Group (UUGRY[4]), Kurita Water Industries (KTWIY[5]), Danaher Corp. (NYSE: DHR[6]), Agilent Technologies (NYSE: A[7]), Aqua America (NYSE: WTR[8]), Tetra Tech (NYSE: TTI[9]).

Allianz RCM Global Water Fund (AWTAX[10])

• Managers:  Vipin Ahuja and Andreas Fruschki

• Total assets: $54 million
• Maximum Sales Charge: 5.50%
• Net Expense Ratio : 1.80
• Minimum initial investment: $1,000

Investment Objective: Focuses primarily on water utilities in view of the relative shortage of other pure-play water stocks. Invests in companies engaged in businesses related to the quality, availability or demand for water — a sector marked by rising demand and dwindling supply. The fund expands its investment universe beyond its benchmark, seeking opportunities across all stages of water-related technologies.  Fund uses a bottom-up stock selection of 25 to 50 stocks for the portfolio.

Top Holdings (as of September 2010):

Gerberit AG, Nalco Holding (NYSE: NAL[11]), Andritz AG, Danaher Corp. (NYSE: DHR[12]), ITT Corp. (NYSE: ITT[13]), United Utilities Group PLC, Kurita Water Industries, Severn Trent PLC, Arcadis NV, Aqua America (NYSE: WTR[8]).

PFW Water Fund (PFWAX[14])

• Managers: Ben Murillo Jr., Richard Capalbo, Rod Hagenbuch
• Total assets: $17 million
• Expenses: 1.50%
• Load: 5.75 %
• Status: open
• Minimum initial investment: $2,500

Investment Objective:  Seeks to invest at least 80% of assets in water-related companies that derive at least 50% of their income or profits from, or devotes at least 50% of its resources to the production or delivery of water-related products or services that influence the quality or availability of water.  Companies may be involved in the production, collection, treatment and distribution of water to domestic and industrial users; purification, desalination, or disinfection of water; the collection, treatment or disposal of domestic and industrial liquid wastes; or provide equipment, consulting and engineering services in connection with water.

Top Holdings: (as of August 2010):

J.G. Boswell (OTC: BWEL[15]), Nalco Holding (NYSE: NLC[16]) , Watts Water Technologies (NYSE: WTS[17]) , Calgon Carbon (NYSE: CCC[18]), Energy Recovery (NASDAQ: ERII[19]), Aqua America (NYSE: WTR[8]), Consolidated Water (NASDAQ: CWCO[20]), Ameron International (NYSE: AMN[21]), Met Pro Corp. (NYSE: MPR[22]), Entegris (NASDAQ: ENTG[23]),  Gorman-Rupp (AMEX: GRC[24]), Muller Water Products.

Kinetics Water Infrastructure Advantaged Fund (KWIAX[25])

• Managers:  James Davalos, Peter Boyle, David Kingsley, Murray Stahl
• Total assets: $ 26 million
• Expenses: 1.89
• Load: 5.75 %
• Status: open
• Minimum initial investment: $2,500

Top Holdings (as of June 2010):

Ameron International (NYSE: AMN[21]), URS Corp. (NYSE: URS[26]), Geberit AG, First American Prime Obligation, ESCO Technologies (NYSE: ESE[27]).

Source URL: https://investorplace.com/2010/11/4-water-mutual-funds-to-buy-now/

---