The Imperative for Improving Women’s Lives and Outcomes
An ImpactAssets spotlight highlighting how impact investors and philanthropists can advance gender equality.
Around the globe, systemic barriers severely restrict women’s quality of life and their potential – contributing to a pronounced and persistent gender gap. These barriers take many shapes, such as unequal access to healthcare, education, economic opportunities and more, and they significantly impact women’s ability to participate fully in society.
One stunning example?
Despite a longer than average lifespan, women spend 25% more of their lives in poor health compared to men. Investing to close this health gap would not only improve lives for women but also potentially boost the economy by $1 trillion every year.
Striving for a more equitable future means working toward a world where gender no longer dictates one's chances and results. International research has proven again and again that when women are empowered, entire communities thrive economically, socially and culturally.
By investing to improve women’s lives and outcomes, impact investors can not only champion human rights but also unlock potential for economic expansion, innovation and resilience in communities worldwide. Investing with this focus not only addresses immediate disparities but also sets the stage for long-term sustainable progress.
Key Focus Areas to Improve Lives and Outcomes
The work to effectively improve women’s lives and outcomes requires a multi-sectoral approach in order to pave the way for a ripple effect of benefits that extend beyond individuals to their families and communities – driving towards a more equitable world.
Health & Wellbeing:
Health is a crucial determinant of long-term positive outcomes — and yet, significant disparities in healthcare persist, disproportionately affecting women around the world. Investors can have outsized impact by investing in health equity strategies that focus on access, affordability and specific health issues faced by women.
For instance, FemTech solutions — or digital health platforms which support maternal and reproductive health — can be especially impactful for women in underserved areas, and can help improve health outcomes for women. Yet FemTech only receives 1% of all healthtech-related investments.
By closing funding gaps such as this, impact investors can further parity in health treatment and outcomes such as reducing rates of maternal mortality, improving autonomy over health decisions and advancing reproductive rights worldwide. Such investments also contribute to the overall health and resilience of communities.
ZOOM IN: RH Capital*
RH Capital, a Rhia Ventures' fund, exemplifies a powerful model for targeted investments in health equity solutions. The impact-first fund invests in women’s health startups, aiming to close health disparities across treatment and diagnosis in reproductive and maternal health.
Co-founder & Managing Director Elizabeth Bailey describes the firm’s ambitious vision: "We wanted to invest in solutions that were really game-changing in terms of new science, technology, and business models. We wanted to take big swings to affect meaningful change.”
To that end, RH Capital identifies four core impact pillars—transformative innovation, access, affordability, and systemic change—to guide its investment strategy. The goal, Bailey says, is to “invest in companies that will change the trajectory of women's health for generations to come, especially for underserved communities.
Care Economy: The care economy is critical for economic growth and social stability. Globally, women bear a disproportionate share of caregiving responsibilities, often engaging in hours of unpaid care work daily. Investing in this sector means supporting infrastructure that empowers caregivers with the resources and tools they need to solve challenges for families of all shapes and sizes. This includes investments in childcare, eldercare and healthcare services that can improve caregiving jobs and support a healthier, more engaged workforce.
ZOOM IN: Magnify Ventures
Magnify Ventures is a venture capital firm that channels resources into early-stage technology companies reshaping essential aspects of how modern families live, work and manage caregiving duties. The firm invests in technological solutions such as digital childcare marketplaces, educational parenting resources and mental health tools for caregivers and children, that address widespread gaps in care and support services.
Water, Sanitation, and Hygiene (WASH): Access to clean water and sanitation is a fundamental human right and is crucial for health, reducing disease and improving quality of life. Lack of access to water, sanitation and hygiene (WASH) disproportionately affects women and girls, particularly in emerging markets and rural regions, where they are often responsible for water collection as water infrastructure may not be readily accessible or reliable. Globally, women and girls spend 200 million hours each day collecting water. Thus, investments in WASH infrastructure do more than improve health — they also free up women's time for more productive pursuits, such as attending school or participating in the workforce, effectively multiplying the benefits across their communities.
ZOOM IN: WaterEquity*
WaterEquity seeks to address the global water and sanitation crisis by providing loans to creditworthy financial institutions in emerging markets. These institutions, in turn, offer microloans to individuals and enterprises to help them install essential water and sanitation infrastructure, such as toilets and handwashing stations. Notably, approximately 95% of WaterEquity’s microloan end-clients are women.
Additional Noteworthy Sectors:
Energy Access: Bridging the gap in energy access can drive economic empowerment and reduce labor burdens, especially in emerging markets where women and girls are often responsible for collecting fuelwood and cooking, along with other tasks associated with managing household energy. Investments in infrastructure to provide reliable and clean energy, including in electrification and clean cooking facilities, reduce the health impacts of inhaling smoke and thereby significantly improve quality of life, particularly in underserved and rural areas.
Housing: Housing is foundational to human well-being. Safe, clean and affordable housing contributes to health, safety and economic opportunity. Yet Women can face higher risks of housing instability — for example, gender-based violence is one of the leading causes of homelessness or housing insecurity for women. Impact investments in safe, affordable housing can produce outsized benefits for women’s health and wellbeing — not only improving their immediate living conditions but can also lead to more stable communities, reduce public health issues, and decrease the risks of violence and insecurity.
Education: Education is a critical driver of economic empowerment. Investing in education can drive innovation, increase employment opportunities, and enhance social mobility. Barriers such as gender bias and violence prevent girls from accessing education, ultimately costing economies trillions: The World Bank estimates that closing the gaps in lifetime earnings between women and men could yield a ‘gender dividend’ of $172 trillion. Bridging educational disparities is vital to closing gaps in the labor market.
Improving Lives and Outcomes Fosters Broader Impact
The need to improve women's lives and outcomes through strategic investments transcends the direct benefits realized by individuals and families—it is necessary for advancing gender equality and catalyzes a transformative ripple effect across communities and economies globally.
By directing investments toward these pivotal areas, investors can pave the way for a more just society, where our contributions make a meaningful impact on the resilience and well-being of communities worldwide.
Improving Lives and Outcomes is a key pillar for ImpactAssets’ gender equality strategy. Learn more about how ImpactAssets Donor Advised Fund Clients can easily access and invest across impact themes including racial equity, climate solutions and gender equality.
*Designates an ImpactAssets portfolio investment.
Photo courtesy of WaterEquity.
LEGAL AND PROGRAM DISCLAIMER: This is not a solicitation to buy or sell securities, nor a private placement offering. Nor is this an endorsement of any of the featured financial institutions. It is intended for informational, educational and discussion purposes only.
