Marjut Falkstedt has led the European Investment Fund (EIF) for two years, during which there has been a notable increase in focus on defense spending.

In early 2024, the EIF launched a €175 million 'Defence Equity Facility' aimed at investing in venture capital funds that support defense technology, having already approved over €43 million for six funds.

Falkstedt clarified that while the EIF cannot invest in weapons and ammunition, it can support sectors relevant to defense, such as space, AI, and energy infrastructure.

Under her leadership, Falkstedt has advocated for increasing funding for mid-sized venture funds, identifying a critical funding gap that needs to be addressed to foster growth in the European ecosystem.

To address the scaling needs of European startups, the EIF is focusing on providing larger growth capital to prevent companies from relocating outside the EU.

The EIF remains committed to financing climate technology alongside its new focus on defense, with Falkstedt asserting that both areas are essential for impact investors.

Falkstedt is also working to attract private investors, particularly pension funds, to the EIF, acknowledging the challenges posed by a lack of performance data for investment decisions.

To overcome data access issues, the EIF has soft-launched Track VC in partnership with BlackRock, aimed at providing historical performance data to potential investors.

The EIF is developing initiatives to enhance diversity in venture capital without solely focusing on women-only funds, including mentoring programs and outreach to STEM students.

Under Falkstedt's leadership, women now hold 45% of management positions at the EIF, up from 15% when she started, demonstrating a strong commitment to gender diversity.

The EIF has also improved gender diversity among the VC funds it supports, with 42% of its portfolio funds having at least one female partner or senior investment role as of January 2025.

Additionally, the European Tech Champions Initiative, a €3.75 billion fund, has been established to support late-stage European VC funds, with plans for a second fund to raise even more capital.