Schafer Cullen
Schafer Cullen Water Impact Strategy
Jun 2025 → Dec 2025
Our archive holds 3 letters from this strategy, behind 4 investment theses and positions in 16 companies. Every quote below is copied verbatim from the letter it came from.
3 letters in a year · follow all of Schafer Cullen for every strategy.
What it bought and sold
the strategy added to the largest water utility in Brazil, as the privatization of water utilities in Brazil should continue to drive stockholder returns in our view.
The position in French multi-utility Veolia was trimmed as we saw better investment opportunities to allocate capital.
American Water Works and Essential Utilities – Both names were reduced after their announced merger, which left us underwhelmed.
American Water Works and Essential Utilities – Both names were reduced after their announced merger, which left us underwhelmed.
The strategy initiated a position in this world’s largest distributor of pool equipment, as explained further in this letter.
The strategy added to water test, analytics and treatment leader Veralto as the stock showed potential upside to our risk adjusted returns following underperformance, despite continued strong operating performance.
Also held
Its investment theses
- Companhia de Saneamento Básico do Estado de São Paulo - SABESPDec 2025Sabesp is Brazil’s largest water utility benefiting from post-privatization efficiency gains, accelerated capex-led growth, and potential valuation re-rating amid ongoing privatization tailwinds.
- Pool CorporationDec 2025Pool Corporation is the leading U.S. pool equipment distributor with resilient repair/replacement demand, stabilizing earnings, and an attractive trough valuation with potential strategic interest.
- H2O AmericaSep 2025H2O America is investing in growth by expanding its operations in fast-growing regions of Texas, enhancing its valuation after a decade and improving its long-term growth outlook.
- Select Water SolutionsSep 2025Select Water Solutions is expected to more than double as its capex program winds down, potentially leading to significant free cash flow generation.