With 5 ETFs and over $2.51B in combined AUM, the Equity:Global Water segment provides exposure to the space with a focus on Theme securities.
Year-to-date, the best-performing ETF in the segment is the Invesco Water Resources ETF (PHO), with a total return of 2.49%. Meanwhile, the most popular ETF is the Invesco Water Resources ETF (PHO) with $1.09BB in assets under management.
Investors should take a look at the Invesco S&P Global Water Index ETF (CGW). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. CGW tracks a market-cap-weighted index of global water utilities, infrastructure and water equipment & materials companies. CGW has an expense ratio of 0.59% and tracks the S&P Global Water.
ETF.com Efficiency Insight
The average efficiency score in the Equity:Global Water segment is 72 out of 100, with the First Trust Water ETF(FIW) obtaining the highest rating of 87 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.58% per year, with the Tortoise Global Water ESG Fund (TBLU) having the lowest expense ratio, charging investors 0.40% yearly.
Investors should look for funds with tight tracking, such as the Invesco Global Water ETF (PIO), with a 12-month median tracking difference of -0.28%.
ETF.com Tradability Insight
The average tradability score in the Equity:Global Water segment is 73 out of 100, with the Invesco Water Resources ETF(PHO) obtaining the highest rating of 96 out of 100.
The Invesco Water Resources ETF (PHO) is the undisputed segment leader when it comes to liquidity. The fund trades 2.26M in daily average volume. Investors should also find ample liquidity in the First Trust Water ETF (FIW), with $1.53M in daily dollar volume.
Use limit orders to trade funds such as the Tortoise Global Water ESG Fund(TBLU), due to their double-digit market spreads.
ETF.com Fit Insight
The S&P Global Water has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.
Investors trying to match a broad market exposure should pay attention to . This fund obtains a high Fit score and investors should capture market-like returns.
Other funds diverge from the market, by nature of their investment mandates; for example, follows a strategy and obtains a low Fit score compared with our neutral benchmark.