Menu
Share
Share this story
Close X
 
Switch to Desktop Site

Should ethical investors dip into water stocks?

Next Previous

Page 2 of 4

About these ads

Fernald: The low-hanging fruit is the water-efficiency side, where companies are focusing on technological developments to make improvements.

Brown: For example, Emerson Electric is a holding in the [Pax World Balanced] fund, and they provide uninterruptible power sources, surge protectors, which help the efficiency of wastewater-­treatment plants. So it keeps these plants running at a very efficient pace. Also companies that make valves and pumps, I think those are pretty exciting [and] probably the least of the controversial companies out there.

And water privatization?

Fernald: You have to tread very carefully and you have to keep close tabs on your investments. There are some high-profile NGO [nongovernmental organization] campaigns now on this very issue. And there have been some very-high-profile cases where companies have had to pull out or lost their contracts – the most famous one being Suez in Bolivia, after mass protests [about] raising the cost of water. South Africa is also going through a very similar conflict.

The issue is: Should private firms own people's water?

Brown: We really have to look at these companies: Are they more focused on profits rather than quality or service? We look at [environmental] violations. Mismanagement of that is an issue and that's something as an investor we have to focus on and make sure they're managing responsibly.

Any company that stands out?

Next Previous

Page 2 of 4


Follow Stories Like This
Get the Monitor stories you care about delivered to your inbox.

Loading...