Sustainable Investments at H&M Group

What first drew you into the world of sustainability investments, and what excites you most about your role at H&M?

My career has intersected sustainability and innovation, within various roles and parts of the fashion value chain. Meeting many entrepreneurs over the years, running pilots and trying to find ways to commercially support, it is starkly clear that supporting financially makes a big difference alongside commercial opportunities. This intrinsic link is what I love about my role, being able to navigate the financial and strategic case. I see my role as a translator between startup needs and a commercial business priorities.

In your view, what are the biggest opportunities for innovation in sustainability right now?

And what do you see as the biggest challenges for innovation in sustainability at the moment, and how could we overcome them?

Starting with the challenges first, to get those out of the way to focus on the positive!

We’re in undeniably tough times for sustainable fashion and climate tech more broadly. Valuations are trending down, finding a lead investor can be an uphill battle, due diligence cycles are getting longer, and that often puts real pressure on runway. Add to that the reality that technology development takes time, and patience in the ecosystem is wearing thin.

But from those challenges come real opportunities! The companies that will break through are the ones with razor-sharp focus - getting to product-market fit faster, running lean, and building strong, adaptable teams.

There’s appetite out there, including from us, but we’re looking for standout cases: those that deeply understand market dynamics, and aren’t afraid to pivot boldly when needed. That’s where the innovation will shine, and where sustainability can move from aspiration to impact.

When evaluating startups or new technologies, what are the top 3 criteria you look for before making an investment?

First and foremost, a strong team with resilience in both strategy and skill. And naturally, a female founder is always a big bonus!

Second, there needs to be a clear strategic case that aligns with the top priorities of the H&M Group.

And third, the business case itself has to make sense, especially in terms of how easily it could integrate into the fashion supply chain. The easier the better. At the end of the day, we’re drawn to smart, simple solutions that take on really hard problems - who can say no to that!

If you could change one global regulation or policy to accelerate sustainable innovation, what would it be?

I wouldn’t change regulation, I would just ask for more speed, clarity and decisions. Regulations that have incentivized sustainable innovation have taken too long or have been amended so much that they have little gravitas in an investment case nowadays.

As a female leader in the investment space, what has been your most important learning so far?

I have a lot of important ones! But I’d like to share two specifically. First regarding startups and founders - one of the most important lessons I’ve learned is that it’s never wise for a startup to oversell or overpromise. It happens often, and it almost always backfires down the line. What really builds trust and attracts strong interest are proof points - tangible evidence that the idea works and can scale. Investors lean in when founders can demonstrate real traction, however small, rather than leaning too heavily on hype.

The other big learning is around representation. Boards have historically been male-dominated, and while progress is happening, there’s still a long way to go. It’s encouraging to see initiatives like the EU’s Gender Balance on Corporate Boards Directive coming into force in 2026, which will require at least 33% of board seats to be held by the underrepresented gender.

That’s a step in the right direction, but we need to go further - increasing knowledge, training, and exposure for women in board positions, leadership roles, and of course as founders. With only 2% of VC funding currently going to female founders, it’s clear the system needs to change. Women bring diverse, fresh perspectives that are invaluable, and the more we see that reflected in decision-making, the stronger the outcomes will be.

What advice would you give to women who want to enter the fields of climate tech or sustainability investing?

Naturally, I’d say DO IT - but do it in a space that truly motivates and inspires you, because this field is a long haul and it demands resilience and tenacity (two strengths women already excel at!).

My advice is to build a strong network around you, not just for knowledge sharing, but also for the energy lift and the safe space it creates to exchange experiences. There are some fantastic communities out there, like WICT, designed exactly for this purpose. Join them, lean on them, and contribute to them! Having that support makes the journey not only more sustainable, but also a lot more rewarding and fun!

Imagine it’s 2030 – how do you hope the fashion and textile industry has transformed by then?

When I look back at the past 17 years in fashion, the progress has been remarkable - sustainable materials becoming more accessible and available at scale with price parity (still requires more work and smart thinking on cost savings to reach), second-hand adoption turning into a norm for many consumers, and a far deeper understanding of where the biggest issues lie and how to solve them. On top of that, thousands of startups are now tackling exactly the right problems, which is hugely encouraging.

Looking ahead to 2030, I hope to see all of this accelerated: even wider access to sustainable materials, circular models becoming fully mainstream, and innovation that truly matches product–market fit while aligning with the real needs of commercial companies. Just as importantly, the industry will need to keep building resilience - not only in supply chains but in business models - to weather geopolitical shifts and the uncertainties of our climate. If we can get there, the industry won’t just be more sustainable, it will be stronger, smarter, and better equipped for the future.

Why did you decide to partner with Women in Climate Tech?

At H&M Group, around 70% of our workforce are women, and fashion as an industry has always attracted incredible female talent - which is fantastic! But when you zoom out into areas like investment, technology, and especially climate tech, the balance still isn’t where it should be. Partnering with Women in Climate Tech felt like a natural step for us. WiCT has created a powerful platform that does two really important things: it brings visibility to the brilliant women already shaping the field, and it builds a strong community where knowledge, opportunities, and support are openly shared. It’s exactly the kind of network that helps women step into spaces where they’re still underrepresented, and thrive once they’re there.

Paulina Jänsch - Founding Partner Leanox Capital

Who are you, and what are you doing?

Hey there! I’m Paulina Jänsch, a passionate advocate for impact investing and gender parity. As one of Europe’s youngest founding partners at a VC fund, I aim to change the status quo and drive positive change. With a background in project finance, I mentor startups, family offices and NGOs to increase their impact. 

How would your perfect world look like in 2030?

Peaceful and clean. We are the smartest species and yet we are on a strong path to self-extinction. I hope by 2030 actions have been taken globally to prevent the self-destruction of this planet.

What are you currently excited about and what worries you (business or private)?

I am worried about geopolitics. Whether in the East, Europe or the United States, geopolitics are extremely tense. We have the collective intelligence to de-escalate geopolitical conflicts, however at the moment, these conflicts seem to get more intense by the day. 

I am super excited about wonderful personal news, which I look forward to sharing soon. 

Do you have a role model, if so, who is it and why?

Many role models. Sarah Blakely for her relentless optimism. Indra Nooyi for showing what is possible. Michelle Obama for keeping a cool head. And someone who inspires me daily, my co-founder Thore Vogel for being a visionary.

What are the top 3 trends for you in climate tech this year?

Energy (Renewable Energy Integration),  Carbon (Carbon Capture and Storage ), Agra (Sustainable Agra- and FoodTech). I expect to hear a lot more about solutions related to water and the ocean.

When making an investment decision – what is your number one criteria? 

Our startups have to be highly scalable and solve a social or environmental problem at its core. For us, it's not either return or impact - we want the best of both worlds.