Hey PoppySeed,
this will always happen where nothing is visible as soon as you enable the Shroud.
We solve this in our levels by making sure there is always terrain or a water plane.
We also have some root templates with "infinite water". They're rectangular planes with a special shader to fake an infinite water vista. (We mainly use it for views like yours or to hide boats/levels that are placed next to it). Those Root Templates are named: "{something}_Ocean_Infinite". They are specific to levels though, so you'd have to use the same material on your own water plane to get a correct ocean plane.
Sincerely,
Kevin
