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For those of you who have shown interest and may even be invested in the water ETF, PowerShares Water Resources (NYSEARCA:PHO), here’s some good news to bring water investing into a broader global perspective. According to AMEX:

The American Stock Exchange [Amex] [has begun] publishing Palisades Global Water Index [PIIWI] over the Consolidated Tape. The index will be published daily every 15 seconds between approximately 9:30 AM and 4:15 PM starting on Monday, December 11, 2006.

Palisades Global Water Index - PIIWI

The Palisades Global Water Index [PIIWI] is a modified equal-dollar weighted index comprised of companies worldwide that are engaged in the water industry. The benchmark Index includes international companies traded on major stock exchanges around the world. The component companies are positioned to benefit from the rapidly accelerating water resource challenges associated with the demands of growing world economies in conjunction with human health and ecological sustainability. The Index was established with a base value of 1,000.00 at the close on December 31, 2003.

Palisades Indexes expects the introduction of an ETF to track the Palisades Global Water Index as soon as Q1 2007.

The latest PHO related article from Alligator Investor provides some pretty strong material for the marketing team at PowerShares, who I would speculate is working on the global ETF version to go alongside PHO. With the heavy “home bias” seen in many US domiciled ETFs, it would not be surprising to see further product development in terms of global versions of existing ETFs.

Case in point, the news of upcoming leveraged and inverse ETFs from Rydex to go up against those from ProShares which have reached the $2 billion mark after launching only in June of this year. According to the prospectus there are 96 ETFs. Amazingly, they’re all focused on the US market. They’ve sliced and diced the market thinner than any Ginsu knife could. And so the opportunity arises. What ProShares has started, Rydex has saturated. I’ll again state the obvious - the market will decide which of these funds are worthwhile. As an ETF user, I’d like to have seen Rydex go that extra mile and provide some international exposure. I have a strong feeling that a new Canadian based ETF manager may provide these globally oriented mandates. More on that if and when it happens.