IMPACTASSETS 50™
An Annual Showcase of Impact Investment Fund Managers

ImpactAssets 50
An Annual Showcase of Impact Investment Fund Managers

WaterEquity, Inc.




Firm Overview
WaterEquity is an asset manager dedicated to mobilizing private investment into the water and sanitation sector in emerging and frontier markets. WaterEquity invests in financial institutions, enterprises, and infrastructure in emerging and frontier markets delivering safe water and sanitation solutions to vulnerable communities, while seeking financial returns for accredited investors. Founded by award-winning entrepreneurs Gary White and Matt Damon of Water.org, the success of WaterEquity is built on decades of experience investing in water supply and sanitation (WSS) in emerging markets. Since 2016, we have launched five funds, raised more than $460 million in committed capital for Sustainable Development Goal 6, and reached more than 6.2 million people with access to safe water or sanitation, of which women comprise 95% of microloan end-clients.
Years of Operation: 5 – 9 years
% of Capital from Top 3 Investors: 50% – 99%
Lack of financing is the key barrier preventing individuals from securing safe water or sanitation, and the infrastructure necessary to deliver it. WaterEquity identifies investment opportunities in the water and sanitation sector aiming to accelerate universal access to safe water and sanitation for millions of women, children, and men.
Economists estimate a $1 trillion market opportunity for providing water and sanitation services to all people worldwide by 2030. Our goal has always been to build a sustainable, global capital market for safe water and sanitation access that will directly reach those in need. We focus on two areas: Household Solutions: Among low-income consumers, at least 600 million people could access water/sanitation products, services, and upgrades if financing was available, equating to a $35 billion demand. Climate-Resilient Infrastructure: While infrastructure investments have grown by 350% in the last decade, only 1.9% of private infrastructure financing went toward WSS infrastructure specifically. There is an urgent need to expand and rehabilitate these systems globally to reach billions of people who are increasingly vulnerable to the impacts of climate change. WaterEquity believes that investment capital can bridge the financing gap that exists as a barrier to low-income clients solving for their families’ needs.
WaterEquity emerged out of Water.org, a non-profit organization that built the case for water and sanitation microfinance. Our genesis and deep experience in emerging markets and the water and sanitation sector uniquely sets us apart from our peers. WaterEquity’s team is comprised of individuals with decades of banking and water/sanitation experience, and an unparalleled understanding of the barriers low-income consumers face. This unique combination enables us to identify investment opportunities with an attractive mix of financial returns and social impact. WaterEquity and Water.org are on a mission to reach 100 million people with access to water and sanitation. Water.org’s network leverages investable opportunities for water and sanitation household solutions and climate-resilient infrastructure, as well as strengthens and expands WaterEquity’s pipeline by bringing technical assistance and advocacy activities to nascent markets. This shared goal further cultivates the most promising opportunities for both impact and financial return.
Investment Example
Located in the Philippines, Negros Women for Tomorrow Foundation (NWTF) is a renowned microfinance institution dedicated to empowering women living in rural communities with affordable financing to solve their water and sanitation needs. A long-term partner of Water.org, NWTF's track record in microfinance allowed an opportunity for WaterEquity to include the entity as an investee candidate within our pipeline building activities. In 2023, WaterEquity made a $3 million investment to NWTF, marking our first loan into the Philippines. This investee aims to reach 116,000 people with improved access to water and sanitation facilities, such as the construction and installation of a bathroom, private toilet, or septic tank. This partnership highlights WaterEquity's commitment to driving solutions that address the intersection of water and sanitation needs, gender, health, and economic development.
Leadership and Team
![]() |
Paul O’Connell – President More Info
Paul O’Connell oversees and manages WaterEquity’s day-to-day activities. He brings over 25 years of experience in the research and practice of international finance and asset management to the organization. Prior to WaterEquity, he spent more than 20 years as President and Managing Partner of FDO Partners, LLC, a quantitative asset manager providing currency and equity advisory services to sovereign wealth funds, pension funds, and other institutional investors. His research interests include exchange rate behavior, international capital flows, and labor migration, and he has published extensively on these topics. |
![]() |
Marlene Hormes – Chief Investment Officer More Info
Marlene Hormes oversees WaterEquity’s investments including strategy, due diligence, structuring, and monitoring. Her career spans more than two decades, highlighted by impactful investments and $85M in exits across private equity and debt instruments in emerging markets. Prior to joining WaterEquity, Marlene served as Chief Investment Officer at Annycent Capital, an investment management firm focused on renewable energy assets in emerging markets. She was also Managing Director of asset management firm Alphamundi, where she managed a sub-Saharan Africa-focused impact fund. |
![]() |
Catherine Colyer – Chief Operating Officer More Info
Catherine Colyer provides operational and compliance oversight of WaterEquity’s business and its funds. She manages teams that are collectively responsible for maintaining WaterCredit’s status as a Registered Investment Adviser with the SEC, domestic and international regulatory compliance, fund management, operational strategy, corporate governance, HR, and systems. Catherine brings to her role 25 years of experience in regulatory compliance, financial services, fair lending, and balancing business and legal objectives. |
Financial Performance
Impact Performance
Percentage of Total Assets Under
Management that are Impact Investments: |
100%
|












WaterEquity's funds have a single, overarching purpose: to end the global water and sanitation crisis. Specifically, our investment strategies address the crisis by making investments into high-performing investees, including financial institutions, enterprises, and climate-resilient infrastructure, that serve to increase access to safe water or sanitation among low-income households and communities in emerging markets. Our teams have integrated impact measurement into every stage of the investment cycle to proactively manage and funnel capital towards achieving dedicated impact goals. These steps include screening in five impact dimensions, impact scoring, identification of key impact metrics, and projection of impact in each metric. In addition, all investments contain covenants requiring that investment capital be used exclusively for water or sanitation, and key performance indicators are measured quarterly and monitored throughout the life of the investment to ensure compliance.
During due diligence, WaterEquity’s Regional Investment Directors conduct comprehensive risk assessment on investee candidates using an ESG scorecard, identifying any key issues and the potential risk associated with those items, such as compliance with local environmental laws. Findings are presented to the Investment Committee with specific short-term and long-term recommendations to address risk and enhance practices. Any candidates that do not have acceptable ESG risk levels and are unwilling to agree to action plans to close ESG performance gaps will be disqualified from WaterEquity funding.
Impact Tracking and Monitoring



Learn More
117 W 20th Street, Suite 204, Kansas City, MO 64108 USA
Apply for the IA 50 2022
The application period to become an ImpactAssets 50 2022 Fund Manager will open in September 2021!
To stay informed on the application process, sign up here.