Using AI becomes mandatory at a $10B hedge fund

Re:Using AI becomes mandatory at a $10B hedge fund by techpineapple on Monday May 26, 2025 @10:40AM (#44097889)

This sort of can’t last though right? The whole advantage in a hedge fund is being on the opposite side of a trend. If everyone is using AI, those returns must start to diminish quickly.

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Re:Using AI becomes mandatory at a $10B hedge fund by akacrobat on Monday May 26, 2025 @10:56AM (#44098043)

I think at the hedge funds, AI will play out similar to how quant has in the past, i.e. as a technology that will still have alphas unlockable by good usage.

High-performing funds may "beat the market" at models, data, fine-tuning, RAG or even figuring out which AI tool should be deployed for which tasks.

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Re:Using AI becomes mandatory at a $10B hedge fund by severusdd on Monday May 26, 2025 @11:10AM (#44098199)

Interesting parallel, but as it is packaged today - "AI" looks much lighter on technical customization than quant.

What can you really meaningfully change on the large models today? a bit of RAG, some prompting - sure. But that sounds like a much lighter lift compared to the tasks done by large teams of top-tier CS grads in older quants firms.

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Re:Using AI becomes mandatory at a $10B hedge fund by daveguy on Monday May 26, 2025 @04:27PM (#44101343)

I agree. Hedge funds coming out with "hey! look at us!" this late in the game is a huge red flag.

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