More on Water Investments

I recently posted an article on my favorite water investments based on infrastructure upgrades that are needed in the US and abroad.

The most recent report from the American Society of Civil Engineers (ASCE) shows the ratings for the country's water system just above failing - a grade of a D. The one silver lining is that the drinking water and wastewater did improve slightly as they went from D- to D.

A big issue are the pipes that are carrying the water underground throughout the country. Many of them were originally buried over a century ago. The intention was not for the pipes to be in the ground for over 100 years when they were originally installed. But due to a lack of future planning and now more than ever a lack of funds this is the situation the US has to deal with.

Because of the age of the current infrastructure there are an estimated 240,000 water main breaks each year and nearly 14,000 dams (or 1 out of every 7) is rated "high hazard" by the ASCE. This implies that if one of the high hazard dams breaks it will likely kill people.

According to the American Water Works Association the price tag for upkeep and replacement of the outdated water systems is about $1 trillion over the next 25 years.

You can spin that any way, the bottom line is that water-related companies are well positioned to profit from a need for increased spending.

Click here to read my article on my Favorite Water Stocks and ETFs.