Articles & Insights

Navigating Rough Waters: Businesses and Investors Must Adapt for a Water-Stressed Future

Water is a resource needed by everyone on the planet, but few fully appreciate the accelerating risk that a lack of water might mean to a company or an investor.

The white paper Navigating Rough Waters offers a number of suggestions and examples about how to address the investment and operational risks in a water-stressed future, as well as further analysis on the challenges facing companies and investors as water becomes a scarcer resource.

Environmental Productivity

Environmental productivity is an emerging idea to embrace in investment analysis.

Environmental productivity focuses on the efficiency with which companies use and impact natural resources. The more efficient a company is in using resources such as water, the greater the likelihood of higher risk-adjusted returns for investors. Environmental productivity is a game-changer for investors thinking about how to deploy capital.

This new investment approach is possible because of the growing availability of quality data about corporate greenhouse gas emissions and water usage, as well the other environmental impacts, such as waste output. The good news today is that investors now have an expanding body of actual data to gauge the usage of precious environmental resources. In the days and years ahead, more environmental impacts will be factored into investment analysis

Read full story at Environmental Leader »
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