Is Duxton Water (D2O) attractive?
Quite a while back I’ve asked for views on D2O, but haven't gotten anything back yet, not even, nah, not interested. Can we follow that up. Thanks Filip
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Hi Filip,
Sorry on the miss, at MM we do endeavour to tackle all questions warts and all but we are human and some do slip through – apologies to any subscriber that may have had a question missed. I’ve written this before however if that’s the case, please feel free to email directly and give me a nudge at [email protected]
Duxton Water (D2O) is a fund which invests in water entitlements, it’s not a company specifically I’m across however I did investigate the concept of investing in water rights a few years ago when Bluesky Alternatives were (according to them) making plenty of money in the space. They subsequently went bankrupt and it has tainted my view somewhat, however Duxton are clearly a better operator. Truth be told, I think this is an area that requires specialist knowledge & on the ground market insight – which we simply don’t have. On the positive side, a forecast 4.3% fully franked yield for this stable stock is appealing plus it does provide a high direct exposure to Australian agriculture which I like.
