It is not surprising that virtually all fund managers who participated in a study conducted by the Alternative Investment Management Association (AIMA) said they use generative AI (Gen AI) in their work – and most are increasing their use. This article distills key takeaways from the study regarding fund managers’ approaches to governance, policies and procedures, risks and limitations of Gen AI, training and hiring, choice of models, and use cases. It also covers institutional investors’ AI-related concerns and expectations. See “How Hedge Funds Are Approaching AI Use” (Jul. 31, 2024).