Messages
over the past five years have suggested investing in water.
This philosophy has some good numbers to support it. $1,000
invested in water utility stocks at the end of 1981 grew
$39,980 at the end of 2001, more than double the growth
of S&P 500.
Investments in water have outranked most other investment sectors yet
remain unrecognized by most investors so water stock prices remain good
value. Well not every investors has missed this trend. Warren Buffett
and Berkshire Hathaway, Inc.,each own more than 10% of a class of stock
in Great Lakes Chemical Corporation. Great Lakes Chemical Corporation
which develops and delivers specialty chemical solutions that treat and
purify water, keep surfaces in and around the home shining, protect against
and extinguish fire, and make consumer products perform better. This
company is listed on NYSE: Code GLK. Learn more at www.e1.greatlakes.com/corp/common/jsp/index.jsp
There are other solid reasons to invest in water:
The first is obviously supply and demand. Water will become scarcer
in the future because there is a growing global population that will
consume and pollute more water.
Second, government
regulations about water everywhere create
opportunity. In the US the Clean Water Act and Safe Drinking Water
Act are creating an entire new water treatment industry.
Municipalities and industries are being forced to clean
up drinking water and wastewater.Even China is now testing
a new system of rewarding its bureaucrats who not only
meet economic but environmental goals. Opportunities exist
in many areas of the water industry from bottling to replacing
water infrastructures to water line and water main replacements
that create growth in pipe companies.
The increasing demand, reduced supply and enhanced value of water
worldwide is a most basic fundamental even more important than oil!
Here are five URLS from my archives about water. Read more tomorrow.
garyascott.com/archives/2001/02/22/221/index.html
garyascott.com/archives/2001/07/08/314/index.html
garyascott.com/archives/2001/04/22/267/index.html
garyascott.com/archives/2004/04/12/1031/index.html
garyascott.com/articles/683/index.html
Until then, good investing!
Gary |
