Private Equity in the age of AI
The emergence of data-driven private equity firms shows the transformative effect AI is having on the industry. Primary targets are portfolio enrichment, risk management and investment research, where the advanced predictive and analytical capabilities of machine learning models can be the factor that unlocks profitable decision-making and gives investors an edge. See how ADSP is helping private equity firms to reap the rewards of embedded AI.
How can we combine personal opinion with AI in private equity?
When the stakes are high, human ingenuity and experience combined with impartial, fact-driven insights of AI win you the game. Data science and AI can help you to narrow down the field of investment opportunities to a few dozen, rather than thousands. Moreover, AI can help you identify cross-sell opportunities between portfolio companies at scale and give recommended actions to maximise incremental revenue. AI and human intuition are not incompatible - together they are driving decisions at the world's most successful PE companies.
Founding Partner, ADSP
91% of private equity firms believe AI will disrupt their sector by 2024
High value AI projects for Private Equity
Deal sourcing is a vital PE operation, as it ensures a healthy portfolio that will create value in the long-term. Through mining customer reviews, social media posts and financial information, we build the big data warehouses necessary for training accurate forecasting models that help surface promising companies.
Managing a rich and versatile portfolio is essential for preserving capital. We assimilate real-time data from portfolio companies and build interactive dashboards that help to support key strategic decisions, using established visualisation platforms such as Tableau and PowerBI.
Making a final investment decision is a complex, multivariate problem that needs to be backed by real-world data. We analyse historical records of candidate portfolio companies and build bespoke mathematical models that you can interact with using a scenario simulator in order to discover hidden opportunities.
Download our case study
Start a conversation
Take the first step by speaking with one of our data experts today.