A fund management firm is hoping to cash-in on a growing global demand for clean water.
Pathfinder Asset Management of Auckland is launching the first New Zealand-based fund that tracks international water indexes on Thursday.
These indexes invest in internationally listed companies involved in any aspect of the water industry.
Only 1% of the earth's water is fresh. Executive director John Berry is betting it will become increasingly scarce.
Mr Berry says water funds have a strong performance record, with the top three indexes outperforming global equity benchmarks by 5% per year over the last six years.
The company, which is chaired by South Canterbury Finance executive, Sandy Maier, hopes to attract interest from both institutional and private investors, and aims to target Kiwisaver funds in the future.