Salient to Investors:

Kyung-Ah Park at Goldman Sachs said:

  • Water utilities, infrastructure and water rights offer stable, long-term investment.
  • Water supply is very inelastic, and 1 in 8 people lack access to safe water.
  • Demand for water is growing twice as fast as the global population, and much of the developed world’s water infrastructure is aging faster than it can be replaced.
  • Municipalities are constrained by what they can charge so need to seek alternative financing.

Matthew Diserio at Water Asset Mgmt said:

  • Managing or buying aging municipal water systems offer some of the best opportunities for private investors in water infrastructure – returns as high as 12 percent annually.
  • The water business is phenomenal because water rates go only up.
  • You don’t get rich off rates, you get a decent return.

Read the full article at http://www.bloomberg.com/news/2013-02-11/investing-in-water-good-long-term-bet-goldman-head-says.html

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