In the latest Bond movie, Quantum of Solace, the bad guy tries to
exploit Bolivia's water supply. Fortunately for Bolivia, Bond saves
the day. In reality, the entire globe is facing a water crisis that
may prove to be the greatest health problem the modern world has
yet to face. If humanity prevails, water exchange traded funds
(ETFs) could be left in a solid position.
David Fessler of Investment U
, water pipes across the United States are bursting at a rate of
nearly one per minute. That equates to 540,000 bursts per year. If
you include drippy faucets and leaky pipes, all told, the United
States is losing about six billion gallons of fresh water every
One of the main problems is that the water pipe infrastructure
is getting way too old. In many of the major cities like D.C. and
Chicago, the age of pipes stretches back 80 to 100 years. In Boston
and New York, you can even find 200-year-old wooden pipes! [
Your Guide to Green ETFs.
The American Society of Civil Engineers forecasts the cost for
upgrading the water infrastructure at $14 billion for potable water
systems and $19 billion for sanitation systems. In addition to
material cost, imagine all the havoc that will ensue when cities
have to tear up streets and disrupt traffic.
Worse, cities are underfunding water budgets at an estimated $5
billion per year. Sooner or later, the United States is going to
have to face its looming problem. [
Water ETFs Are Sitting Ducks.
Fortunately, there are a number of companies trying to tackle
the problem head-on. One such company is TaKaDu of Israel that
develops software to monitor water infrastructure systems, allowing
utilities companies to proactively deal with potential pipe
In short, water is the new gold and ETFs are a direct way to
bank on that potential.
For more stories on water, visit our
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Sumin Kim contributed to this article.