Generative AI for Private Equity

In today's rapidly evolving business landscape, private equity (PE) firms are increasingly turning to generative AI (GenAI) to gain a competitive edge for their funds and portfolios.

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The impact of AI on private equity can be transformative. In the deal process, GenAI can significantly enhance the ability to source, evaluate, and execute deals with greater precision and speed. For portfolio company value creation, AI enables firms to add and capture value more effectively by optimizing operations and identifying growth opportunities.

GenAI can also provide deeper insights and more robust strategies, ensuring that investment decisions are data-driven and forward-looking. Finally, in fund management, AI helps shape and manage the fund by providing advanced analytics and predictive modeling, leading to more informed decision-making and improved fund performance.

Getting started: GenAI strategy questions KPMG can help you answer

Portfolio impact

What are the opportunities and risks created by GenAI? How does it impact target portfolio company selections, valuations, and exit?
What are the GenAI capabilities impacting your deal and fund operation professionals?
What productivity gains can be expected by industry, function, and process—especially for knowledge workers?
What are the use case characteristics to consider when prioritizing GenAI initiatives? What POCs (proof of concepts) are best to prove the value of the investments and to share a roadmap?
What are the most impacted portfolio companies? What opportunities do companies have to gain advantages? How should reporting and growth/cost imperative change?

Technology adoption

What does the GenAI transformation journey look like? What are key accelerators and inhibitors for adaption?
What are GenAI development options in terms of time/level of effort to implement? What returns should be expected?
How can you enable successful change with GenAI disrupting the workforce?
How do you realize the value of technology at the enterprise level?
How do you ensure your AI systems are being designed and deployed in a trustworthy and ethical manner?

Dive into our thinking:

Generative AI for Private Equity

Learn how our experienced team of GenAI advisory professionals assist firms in leveraging GenAI to drive efficiencies and competitive advantages across the entire M&A lifecycle.

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