Article: FundFire // Lots of AI Talk, But Private Fund Managers Are Way Behind: Survey

Allvue was recently featured by FundFire, highlighting new research conducted with Crisil Coalition Greenwich on AI adoption in private markets. The article underscores a clear gap between growing interest in AI and firms’ readiness to implement it, with data challenges emerging as a key barrier.

Insights from Allvue team members Ivan Latanision, Mack Santora, and Jack Levy emphasize the importance of building strong data foundations and a connected data ecosystem to unlock AI’s full potential.

“There’s a pretty big gap between people’s ambitions and their desire to use AI and their readiness. Everybody wants AI, everybody’s talking about AI, but most [general partners] just aren’t yet ready for it.”

-Ivan Latanision, Allvue’s Chief Product Officer

Based on interviews with more than 100 professionals from private equity, private credit and venture capital firms across North America and Europe, the research revealed a significant gap between ambition and readiness. Only 23% of respondents rated themselves as above average in their current use of AI, while nearly 40% considered themselves below average. These results come despite the fact that AI adoption is one of the primary priorities for the firm’s client base, said Mack Santora..

“It is a core focus, [a] core priority, yet the numbers don’t match here. So, there’s still a long way to go in terms of adoption.”

-Mack Santora, Allvue’s Head of Artificial Intelligence.

Many managers still are not thinking through what they want in a data ecosystem, and instead are relying on a “fragmented process,” said Jack Levy.

“I think the key really is being deliberate and intentional about the way you approach it.”

-Jack Levy, Allvue’s Head of Data Management Strategy

The report emphasizes that firms must focus on improving their data ecosystems, including creating a connected infrastructure and establishing a single source of truth. Without deliberate investment in data management and integration, industry leaders say AI adoption will continue to lag despite strong interest from private market managers.

Learn more in the full news piece provided by FundFire.