Saurabh Sharma, Fund Manager on the Regnan Water and Waste Strategy, then took to the stage to talk us through the opportunity he sees in Water and Waste.
Saurabh explained that in our opinion, from a risk-return perspective, investing in Water and Waste is an appealing proposition. Compared to many other popular sectors, over the long term Water and Waste offers the opportunity for diversification and strong potential returns, but with lower volatility compared to cyclicals.
Water and Waste – Appealing long-term risk-return profile
With this in mind, what is the structural case for investing in Water and Waste? We believe that this represents a perpetual opportunity, as Water and Waste are so integral to human life and to a more sustainable future. We feel that there are five key drivers to the Water and Waste investment case.
Five key drivers to the Water and Waste investment case
Saurabh explained how it is clear that the way we approach the issues of Water and Waste and deal with them in the future will be hugely important to society. But what does this mean for investors, and how can they exploit the opportunities on offer here?
We see the Water and Waste sector as vibrant and diverse, with a wide variety of companies. The sectors are growing as the demand around these areas changes, with new entrants and increasing market cap.
Water and Waste long-term performance
We feel that this all contributes to a compelling investment case for the sector, and the long-term performance is a testament to this.
Saurabh Sharma – Fund Manager 12 years of industry experience, joined JOHCM in April 2021
Saurabh is part of the Thematic Investing strategy at Regnan. He is a Fund Manager on the Regnan Sustainable Water and Waste strategy. He joined Fidelity in 2014 as a Product Specialist before becoming an Assistant Portfolio Manager in February 2020. He has also held equity research analyst roles at Moody's Analytics and GlobalData. Saurabh has an MBA in Finance from IBS Hyderabad School in India and is an CAIA and ICFAI Charterholder.