Water Investment

An opportunity for investors to obtain
direct exposure to this most vital of assets.

Our open funds

The Murray-Darling Basin Balanced Water Fund

Australia’s only explicit impact water fund investing in southern Murray-Darling Basin water markets to deliver financial returns and environmental impact through water donations to culturally important wetlands and ecosystems.

Kilter Water Fund

Using our extensive networks we secure attractive investment opportunities that deliver strong capital growth with superior returns generated through the distribution of proprietary water products to irrigators.

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Why invest in water?

Australian water markets provide one of the very few opportunities globally for investors to obtain direct exposure to this most vital of assets.

In Australia, 70% of regulated water is employed in agriculture. As water is the limiting factor in virtually all agricultural systems, investments in water are positioned to benefit significantly from the positive structural trends having an impact on global food and fibre markets.

As an alternative real asset class, water provides opportunities for diversification and risk mitigation. Water has a return profile uncorrelated with traditional assets, making it one of the few asset classes able to provide a true source of alternative beta for Investors.

Responsible investment

The Murray-Darling Basin Balanced Water Fund has been certified by Responsible Investment Association Australasia according to the strict operational and disclosure practices required under the Responsible Investment Certification Program. The program helps investors by providing standardised and consistent information about certified responsible investment products, services and policies. The certification symbol signifies that an investment product, service or policy takes environmental, social, governance or ethical considerations into account along with financial returns. Visit www.responsibleinvestment.org for details.

What are water assets?

Water in the southern Murray-Darling Basin consists of two distinct assets – water entitlement and water allocation. Water entitlements are perpetual rights to access a share of a defined water resource such as a lake, river system or aquifer. They are issued, regulated and registered by state governments.

At law the rights of water entitlement owners are akin to the owners of land titles. Holders of water entitlements are allocated a volume of water each year (water allocation) that can be either used or sold to other agricultural, urban or commercial water users.

Water investment experience

Since 2006 we have been delivering yields from water entitlements and allocations through the development and deployment of innovative water solutions for irrigators. Investing in water enables investors to access the underlying soft commodities growth thematic, without direct exposure to the operational and production risks associated with direct farm ownership.

Our investment approach:

  • Has the ability to lift the overall yield achieved
  • Has the ability to significantly reduce volatility
  • Has the capacity to impact sustainability
  • Acts as a hedge against impacts of climate change.

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