Adding water to alcohol fuels does NOT improve performance it actually REDUCES the performance of it as a stove fuel more so in Methanol/water mixes than Ethanol/water mixes. I have not tested IPA water mixes.
Heet is 99% methanol, Iso-Heet is 99% IPA.
US Denatured Alcohol mixes depends on brand, the composition of them can vary quite considerably, they can contain from 20%-95% ethanol and 5%-75% Methanol with up to 10% IPA, up to 10% Methyl Isobutyl Ketone, water and many other additives I have found 13 different additives so far.
Australian Denatured (Methylated Spirits) much more consistent as it is usually 95%-96% ethanol with a water/methanol mostly making up the rest. I have not researched what is available in the UK and NZ.
As far as water added to alcohol stopping soot depositing on the pot I have not seen any evidence of this, besides a blackened pot can help the efficiency of the stove/pot system.
Tony