LPs think it is important for GPs to demonstrate their capabilities in artificial intelligence (AI), according to a new report.
The latest 2026 Global Limited Partner Survey by Edelman Smithfield found that 100 per cent of LPs think it’s important for GPs to demonstrate AI capabilities across sourcing, diligence, portfolio value creation or firm operations when they’re making allocation decisions.
The report said LPs ‘expect concrete evidence without overstating AI’s role in decision-making’. It also found that just under one third – 30 per cent – of LPs indicated that GPs are very effective in demonstrating their differentiation from their peers, a decrease of 17 per cent from 2025.
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The majority (61 per cent) said they are only ‘somewhat effective’, suggesting many managers are not communicating well enough to create a compelling market position.
“The information environment around private markets has changed materially. Our latest research shows that LPs are forming views of managers through business and trade media, social platforms, owned channels and AI search tools, not just formal meetings and diligence materials,” said Alex Simmons, head of EMEA at Edelman Smithfield. “That makes a consistent presence across multiple channels critical to being found in the places LPs use to form their views.
“However, the research also tells us that being known is not the same as being understood. Visibility alone will not differentiate a GP in a crowded market. The real test is whether a firm has a clear, ownable position, supported by evidence, on how it invests, creates value, manages risk and why that is different from its peers“.
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