AI Adoption in Investment Management Surges, Revealing Key Trends for 2026

AI Adoption in Investment Management: Key Insights

A groundbreaking study commissioned by SimCorp, a leader in financial technology, reveals that over 70% of buy-side firms successfully employ Artificial Intelligence (AI) to enhance their front office operations. This represents a dramatic increase from just 10% in the previous survey. According to the 2026 InvestOps Report, which gathered insights from 200 executives in the investment sector—including asset managers, pension funds, and insurance companies—the integration of AI has transitioned from mere exploration to critical business applications.

The Shift in Priorities

For the first time in three years, the focus on innovation has eclipsed operational efficiency as the primary driver of technology investments in the financial landscape. With 55% of firms prioritizing competitive differentiation through innovation, the investment community has shifted their mindset considerably. This is a significant change from previous years when controlling operational costs was at the forefront. The report indicates that nearly 40% of respondents believe that private markets and alternative investments are ready for technological innovation, highlighting the increasing recognition of AI's potential in streamlining processes in these complex domains.

Peter Sanderson, CEO of SimCorp, commented, "AI adoption is no longer just about pilot programs; it is fundamentally reshaping investment management. A unified and governed data structure is essential for harnessing AI's capabilities effectively." As these technologies mature, the focus has transitioned towards scalability, as firms emphasize the need to consolidate technology vendors and modernize data infrastructure, with 58% of firms considering this a priority.

Vendor Stability is Key

When evaluating AI solutions, the most critical factor for investment firms is vendor stability, with 57% of respondents highlighting the importance of working with established providers who offer robust data governance and cyber security. The insights reveal that companies are looking for partners that can support their comprehensive needs, particularly as AI models often rely on proprietary data.

Moreover, other significant factors influencing vendors' selection processes include access to innovative features (54%), analytical flexibility (47%), and the demonstrable return on investment (45%) prior to full deployment.

Opportunities for Future Innovation

Looking forward, executives in the study expressed a strong belief that AI, particularly generative AI and advanced analytics, presents the most significant opportunity for technological advancement moving into 2026, with 72% identifying this as a key area for future focus. Notably, there has been a 24-point increase in the number of respondents who consider private markets as ripe for technological innovation over the past year, climbing to 51% in 2026.

As firms continue to amplify their allocations in private markets, investing in top-tier technology solutions will not only improve operational efficiencies but also allow them to concentrate on identifying optimal investment opportunities rather than manual processes.

In response to these trends, SimCorp has introduced SimCorp Alternatives, a suite specifically designed to address the requirements of alternative investment firms, building on its existing offerings that have already garnered trust from several leading asset owners globally.

In summary, as the financial landscape evolves, the shift towards AI is not just a trend but a pivotal transformation that investment managers cannot afford to overlook. Through sustained focus on innovation, proper vendor partnerships, and strategic technology investments, firms are positioning themselves to unlock greater efficiencies and insights in the rapidly changing investments sphere.

To access the complete findings of the 2026 InvestOps Report, click here.

Survey Methodology

The 2026 Global InvestOps Report surveyed senior executives managing at least USD 10 billion in assets across North America, EMEA, and Asia-Pacific. The findings underscore significant shifts in priorities and perspectives on technology adoption that are reshaping the investment management landscape for the years to come.