The fund seeks total return in the long term by investing in companies across any size outside the United States.
The investment process starts with a list of companies in the benchmark index and the research team utilizes quantitative techniques and fundamental analysis to identify investment opportunities.
Next, the research team invests in securities of companies whose main business is in the water-related resource sector or that are significantly involved in the water-related resource sector.
Water-related resource sector activities may include water treatment, engineering, filtration, environmental controls, water-related equipment, water and wastewater services, and water utilities.
Such activities may also include water distribution, water infrastructure and equipment, water-related construction and engineering, environmental control and metering, and services or technologies that conserve or enable more efficient use of water.
As part of its process, the team incorporates four factors such as Theme Definition and Investment Universe, Research, Conviction-Based Portfolio Construction, and Continuous Challenge.
Also, the research team integrates environmental, social and governance factors as part of its process.
Then the manager constructs a portfolio of stocks from a list of companies favored by the research team and allocates capital based on its conviction level.
The portfolio consists of securities of 35 to 50 companies.
The fund seeks to invest in companies directly involved in the management of water-related resources and not in packagers or resellers of bottled water.
Also, the fund may invest in securities of U.S. and non-U.S. (including both developed and emerging market) companies.
The fund invests at least 25% of its net assets in the securities of companies in the industrials and utilities industries.
The fund may hold up to 20% of its net assets in cash and money market instruments.
In addition, the fund is non-diversified, which means that it may invest a larger percentage of its assets in a smaller number of issuers than a diversified fund.
