Big Data and Artificial Intelligence: Legal and Compliance Considerations for Investment Managers

This new chapter of Investment Adviser Regulation: A Step-by-Step Guide to Compliance and the Law examines how investment managers use big data, alternative data, and artificial intelligence across core functions such as investment analysis, trading, marketing, and operations, and why these technologies raise novel legal and compliance issues. It then maps the evolving U.S. and international regulatory landscape, covering privacy, cybersecurity, insider trading, bias, AI governance, and compliance controls, and offers a practical framework for managing data- and AI-related risks within investment management firms.