Water ETF

Filed Under » ,
Dictionary Says

Definition of 'Water ETF'

An exchange-traded fund that invests in companies operating in industries such as water treatment and purification, water utilities, water monitoring, and broader distribution and retail companies. Water ETFs invest the majority of their assets into publicly traded equities based on an underlying index, which may be created in house or by a third-party market service. 
Investopedia Says

Investopedia explains 'Water ETF'

There are water ETFs available that focus primarily on U.S.-based companies, while others have a more international focus. Underlying fund indexes are varied, but all include common stocks and American depositary receipts (ADRs) of foreign-based companies. The funds tend to be managed passively around their underlying indexes.

As the world's population grows, its finite water supply may become the most precious natural resource. This has led to heightened investor demand for companies engaged in creating potable water for consumers, irrigation supplies for farming, and other water-based goods and services.

Related Video for 'Water ETF'

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Commodity ETF

    Exchange-traded ...

  2. Exchange-Traded Fund - ETF

    A security that ...

  3. Commodity

    1. A basic good ...

  4. Dow Jones AIG Commodity Index - DJ-AIGCI

    A rolling ...

  5. China ETF

    Exchange-traded ...

  6. Index

    A statistical ...

  7. Reverse Gold ETF

    Exchange traded ...

  8. REIT ETF

    Exchange-traded ...

  9. Ultra ETF

    A class of ...

  10. Inverse ETF

    An ...

Articles Of Interest

  1. Exchange-Traded Funds (ETFs)

    This vehicle combines the diversification of a mutual fund with the flexibility of a stock. Learn more about them here.

  2. Water: The Ultimate Commodity

    Opportunities to invest in this scarce resource are flowing freely - dive in!

  3. Can Business Evolve In A Green World?

    Learn how global warming is starting to heat up America's corporate climate.

  4. Change The World One Investment At A Time

    Socially responsible investing allows you to express your political views in an unlikely way.

  5. Industry Handbook

    In this feature, we take an in-depth look at the various techniques that determine the value and investment quality of companies from an industry perspective.

  6. Build A Model Portfolio With Style Investing

    This sophisticated approach will add flair to your returns.

  7. 5 Common Misconceptions About ETFs

    The rise in these funds' popularity has contributed to misinformation about what they are and how they work. Learn more here.

  8. Using ETFs To Build A Cost-Effective Portfolio

    ETFs are a viable alternative to mutual funds, but before you invest, there are a few things you should know.

  9. Can Regular Investors Beat The Market?

    With the big name competition out there, hard-working people who invest have a tough time beating the market.

  10. Reinvesting Capital Gains In Leveraged Portfolios

    Don't get forced into action. Learn how to plan properly to avoid making rash decisions.
Sponsored links

comments powered by Disqus
Hot Definitions

  1. Love Money

  2. Shark Watcher

  3. Judo Business Strategy

  4. Dogs Of The Dow

  5. Chinese Hedge

  6. X-Mark Signature

Recommended
Loading, please wait...
See More »
Trading Center