Type: High Impact Investments, Real Assets
Topic: Agriculture, Water
Status: Current
Unsustainable water use, degraded quality, and aging infrastructure create opportunities for investors to rethink water and agricultural assets. RRG purchases land and attendant water rights in California, Australia, and Chile to optimize investment returns by improving water quality, quantity and end use.
Investment
$10 million; originated in 2019
Rationale
RRG invests in water and agricultural assets, which are increasingly precious as the changing climate adversely impacts our landscapes. RRG uses science-based conservation practices to catch and store more water and avoiding agriculturally marginal land. In an innovative nonprofit-sector partnership, The Nature Conservancy provides RRG with scientific expertise and comprehensive analysis of the environmental and social impacts of fund projects. If RRG doesn’t meet its environmental goals, it pays a portion of the managers’ earnings to the nonprofit.
Returns
Too early to evaluate; the fund is in the capital deployment stage.
Lessons Learned
Too early to report
Photo Credit: Matti Johnson on Unsplash.
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Last updated 10/2021