AI Arrives in the Private Markets Business

Private markets are riddled with inconsistent, unstructured, multimodal data sets.That’s how Don Muir, co-founder and CEO of native AI private markets platform vendor F2, describes the industry he’s aiming to transform with AI technology.Unlike public investing and credit, which are highly standardized, private equity financing and private credit are often opaque, and making sense of all the data requires substantial human labor.The role of the private equity or private credit associate is to take all that data, standardize and clean it and turn it into an investment thesis that informs investment decisions by senior teams, Muir explained on the Targeting AI podcast from AI Business.“All of that blocking and tackling that's done up front can be automated. The throughput of deal teams who are doing that work can be force-multiplied with AI,” Muir said. “Which in our view at F2, means accelerating the growth of the private markets economy on the back of AI-native rails.”Related:Improved Voice Mode Makes Working With Claude EasierF2’s aims to configure a client’s platform so it mirrors the same institutional knowledge set of firm standards that companies have been using to make investment decisions for decades.“We can just do it instantly with complete data access and powered by generative AI,” Muir said.F2’s go-to models for this work come from Anthropic, Google and OpenAI.The vendor has built MCPs (model context protocols) that enable its agents to communicate with clients’ agents for private markets, screening, underwriting, and portfolio monitoring.About the AuthorsSenior News Director, AI BusinessShaun Sutner, a journalist with more than 25 years of daily newspaper experience and 12 years at Informa TechTarget as an editor and writer, directs news coverage for AI Business. He was previously a senior news and features writer covering health IT and HR software at TechTarget and a senior news director overseeing coverage of AI, business analytics, data management and government tech regulation.Sutner's newspaper career included investigative reporting and covering the Massachusetts State House and politics for the Worcester Telegram & Gazette. He has written about snow sports as a T&G columnist and correspondent for 21 years. Sutner's interests also include tennis, standup paddleboarding, cooking and popular music.News Writer, AI BusinessEsther Shittu has covered AI technologies and industry trends since 2021. As co-host of the Targeting AI podcast, she talks with experts, thought leaders and practitioners exploring critical AI developments. Before AI Business, she wrote for SearchEnterpriseAI, the New York Daily News, Bklyner and the Brooklyn Daily Eagle. When she's not diving deep into the world of AI, she spends her time on passion projects and raising her three daughters.