KEY POINTS:
What is it called and what sort of savings product is it?
The KBC Global Water Fund is an open-ended Australian unit trust.
What is the company behind it?
The fund is being promoted in New Zealand by capital protected investment specialist Liontamer. The actual fund is run by Belgian bank KBC, which took a controlling stake in Liontamer last year. KBC is Europe's 10th largest bank and presently manages more than A$2.4 billion (NZ$2.74b) on water mandates.
Who is the target market?
This fund is suitable for investors wanting some specific international share exposure.
What return does it offer?
The fund has returned 18.15 per cent annually over the past three years. This is a 7 per cent outperformance of the global MSCI index. However, past returns are no guarantee of future returns.
When was it launched?
November 20.
What other products is it like or is it competing with?
This fund fits within the international shares sector. However it is what is known as a sector-specific fund in that it only invests in one sector - businesses related to water.
Is it long term, short term or medium term?
This is a medium-term investment of five years.
What is the fund's unique selling point?
Sector-specific or themed funds, such as this one, give investors excellent exposure to businesses that are in one area. Having a fund based around water - a necessity for human existence - makes a lot of sense.
How strong a stomach do you need for it?
Being an international share fund, the risk is medium.
What's the hitch?
Being share-based, there is likely to be some volatility - from time to time - in its unit price.
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