Water has become an increasingly important factor for performance across sectors, sub-sectors and companies, writes Petra Pflaum, CIO for responsible investments at DWS.
Water matters. Already, 25% of world economic growth is from countries facing chronic water shortages. That share is likely to rise in the coming decades. Water resources, in particular fresh water, barely represents 2.5% of all the world’s water. A little under 1% is available to sustain all terrestrial life and ecosystems. To make matters worse, pollution, the loss of natural wetlands and the increasing likelihood of droughts coupled with drastic climate change are adding further strains on the availability and quality of water resources. Moreover, population growth, climate change and our inability...
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