I constantly talked about Risk-reward focus - if you have a stock or investment that has only a maximum capital gain upside of 10% but with a risk % of 5%, your probable return is only 5%. But if in the long run, you are quite certain of a 20% growth with very low downside risk , you should be considerably happy. And this is what I see with Duxton Water (D20), water entitlement is a precious intangible asset that is not depreciable and with our globe facing climate change issues, water is gold. It is not sexy, it doesn't move up or down by 5-10% daily but steady she climbs incrementally month after month, oblivious to the economic pressures the world currently faces. I am happy I found this stock - as a portfolio is always in need of a defensive stock with steady returns. Banks and telcos no longer fit this category and even healthcare property as good as they are may not enjoy the same rate of appreciation as in the last 5 years.
