Integrating AI Effectively into Investment Processes: Key Insights from the 2025 InvestOps Report
The recent InvestOps Report 2025, commissioned by financial technology leader SimCorp, sheds light on how buy-side organizations worldwide are grappling with the integration of artificial intelligence (AI) into their investment processes. Conducted by WBR Insights, the survey involved 200 executives from the investment sector across regions including North America, EMEA, and APAC. A significant finding indicates that 75% of respondents are aware of the potential benefits of integrating AI but express the urgent need for more information on its effective application in investment analysis, decision making, risk management, data management, and client engagement.
Among the respondents, there is a clear signal that while they recognize the advantages of AI, they are not fully prepared to implement it. About 16% feel they lack readiness for AI utilization, while just 9% consider themselves well-prepared. This underlines a critical gap that requires addressing through education and resource provisioning. Speaking to the role of AI, Georg Hetrodt, CEO of SimCorp, clarifies that AI should be viewed as a tool to augment human capabilities rather than replace jobs. The integration of AI has the potential to enhance decision-making processes, streamline operations, and provide significant value to investment professionals, especially when supported by a unified data foundation.
To gauge the success of AI tools, survey participants highlighted improved operational efficiency in data cleaning (46%), enhanced data visualization (42%), and reduced time-to-insight (41%) as key indicators. Addressing data challenges emerged as a fundamental issue. Nearly 47% of executives reported existing data infrastructures comprised a mix of internal and external solutions, leading to persistent data problems. The three top priorities to tackle these issues moving forward, as per the survey, include developing standardized data models (67%), consolidating systems for a unified data layer (65%), and leveraging AI tools for enhanced insights and data forecasting (65%).
Laura Kayrouz, Global Co-Head of Investments at Alpha FMC, emphasizes the necessity of thorough data assessments to identify gaps and inconsistencies. Companies are advised to establish a strong data governance framework that ensures accuracy, consistency, and regulatory compliance, paving the way for a centralized data management solution that breaks down silos and fosters unified data access across teams.
Another significant finding reveals that enhancing data quality and operations for multi-asset investment strategies is a primary initiative for buy-side organizations (40%). Additionally, the inability to maintain a comprehensive view of investments, risk, and performance remains a pressing challenge for contemporary buy-side models, impacting the speed at which new products can be brought to market. Managing a multi-asset class portfolio necessitates a system architecture featuring a cohesive data layer that allows real-time visibility of all investments, ensuring immediate reflection of changes across the investment lifecycle.
The report also outlines broader trends shaping the landscape: operational efficiency improvement is set to be the top strategic priority for technological investments in 2025, with ESG investments recognized as pregnant fields for technological innovation—especially in North America, where 81% of respondents see potential for growth. Furthermore, transparency regarding outsourced operational data has been identified as the foremost measure that firms plan to take to enhance their operational models in the next 24 months.
The findings of the InvestOps Report prompt buy-side firms to rethink their data strategies substantially. The current diversification of portfolios across multiple asset types could lead to greater complexity in system landscapes if not managed properly. Establishing effective data initiatives is pivotal to avoid fragmented silos of investment positions, which can obstruct information flow and hinder scalability. Investment managers must seize this moment to invest in robust data strategies to meet their goals and expand their decision-making capabilities effectively.
For a deeper understanding of the report’s findings and to access the complete document, please follow this link: Global InvestOps Report 2025 | SimCorp.
Summary of Key Findings:
Among the respondents, there is a clear signal that while they recognize the advantages of AI, they are not fully prepared to implement it. About 16% feel they lack readiness for AI utilization, while just 9% consider themselves well-prepared. This underlines a critical gap that requires addressing through education and resource provisioning. Speaking to the role of AI, Georg Hetrodt, CEO of SimCorp, clarifies that AI should be viewed as a tool to augment human capabilities rather than replace jobs. The integration of AI has the potential to enhance decision-making processes, streamline operations, and provide significant value to investment professionals, especially when supported by a unified data foundation.
To gauge the success of AI tools, survey participants highlighted improved operational efficiency in data cleaning (46%), enhanced data visualization (42%), and reduced time-to-insight (41%) as key indicators. Addressing data challenges emerged as a fundamental issue. Nearly 47% of executives reported existing data infrastructures comprised a mix of internal and external solutions, leading to persistent data problems. The three top priorities to tackle these issues moving forward, as per the survey, include developing standardized data models (67%), consolidating systems for a unified data layer (65%), and leveraging AI tools for enhanced insights and data forecasting (65%).
Laura Kayrouz, Global Co-Head of Investments at Alpha FMC, emphasizes the necessity of thorough data assessments to identify gaps and inconsistencies. Companies are advised to establish a strong data governance framework that ensures accuracy, consistency, and regulatory compliance, paving the way for a centralized data management solution that breaks down silos and fosters unified data access across teams.
Another significant finding reveals that enhancing data quality and operations for multi-asset investment strategies is a primary initiative for buy-side organizations (40%). Additionally, the inability to maintain a comprehensive view of investments, risk, and performance remains a pressing challenge for contemporary buy-side models, impacting the speed at which new products can be brought to market. Managing a multi-asset class portfolio necessitates a system architecture featuring a cohesive data layer that allows real-time visibility of all investments, ensuring immediate reflection of changes across the investment lifecycle.
The report also outlines broader trends shaping the landscape: operational efficiency improvement is set to be the top strategic priority for technological investments in 2025, with ESG investments recognized as pregnant fields for technological innovation—especially in North America, where 81% of respondents see potential for growth. Furthermore, transparency regarding outsourced operational data has been identified as the foremost measure that firms plan to take to enhance their operational models in the next 24 months.
The findings of the InvestOps Report prompt buy-side firms to rethink their data strategies substantially. The current diversification of portfolios across multiple asset types could lead to greater complexity in system landscapes if not managed properly. Establishing effective data initiatives is pivotal to avoid fragmented silos of investment positions, which can obstruct information flow and hinder scalability. Investment managers must seize this moment to invest in robust data strategies to meet their goals and expand their decision-making capabilities effectively.
For a deeper understanding of the report’s findings and to access the complete document, please follow this link: Global InvestOps Report 2025 | SimCorp.
Summary of Key Findings:
- - Improvement of operational efficiency is the principal strategic focus for tech and operational investment in 2025.
- - Current buy-side models face challenges in creating comprehensive views of investments and performance while rapidly launching new products.
- - ESG investment holds the greatest promise for technological innovation in upcoming years, particularly in North America and APAC.
- - Strategies for improved transparency in outsourced data operations are prioritized for the next 24 months.
- - Focusing on core business processes remains the leading reason for outsourcing non-core functions.
Topics Financial Services & Investing）
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