"A 1970 4hp is certainly water
"A 1970 4hp is certainly water cooled but there is no telltale.
You should see some water, maybe just a few, droplets blown out with the exhaust gases from the relief port on the leg but all the cooling water really leaves under water through the main exhaust gas outlet.
Check that it not overheating. If you spit on the cylinder head and it sizzles it is definitely overheating. If you can keep a finger on there for a few seconds it isn't.
If you dont know the age of the pump impeller it would be prudent to change it.
Tell us the model number and we can tell you the exact year"