Rockland, MA – August 10, 2026 – Cutter Associates, a global consultancy and research firm for the investment management industry, released the findings of its Trends in AI Usage in Investment Management Survey, revealing how firms are moving past AI adoption and into real use cases to achieve tangible goals. The survey report distills detailed responses from firms around the world that represent a cross-section of the investment management industry and examines where they are focusing time and resources on AI initiatives.
Just over half (54%) of firms report a defined AI strategy, split between coordinated firm-wide approaches and more targeted efforts, while the remainder are still bridging the gap between experimentation and strategy. Most firms describe themselves as “balanced” between “progressive” and “conservative” on AI, so adoption tends to be deliberate, structured, and dependent upon human-in-the-loop controls.
“The pressure to demonstrate the value of AI is intensifying as firms look to scale adoption,” said Kathy McDermott, senior research lead at Cutter and co-author of the survey report. “Although maturity levels vary widely between firms, and even between business units within the same firm, we see common challenges emerging around data, governance, and operating models as firms embed AI into the business and realize sustainable value.”
While firms are starting to see increased efficiency and accuracy from AI use cases, most (70%) say that it is too soon to determine if AI generates cost savings, and 64% say it is too soon to tell if AI reduces risk.
Data remains a constraining factor for firms, with 62% of firms citing security, confidentiality, and access controls as their top barrier to scaling and 42% citing data quality/data readiness. And, while nearly all respondents (92%) say they have some AI governance and format policies in place, about a third of firms (30%) cite restrictive governance as a barrier.
“The hard work for AI usage in the long term is establishing scalable, risk-informed governance, a robust operating structure, and firm-wide commitment from the top down to keep pace with expansion,” said McDermott. “We find that while some firms have live AI initiatives or are actively testing use cases and seeing pockets of success, many have not yet formalized a comprehensive approach that aligns governance, investment, and adoption.”
Firms are nearly unanimous in their intent to scale AI over the next 12 to 24 months, with only 8% of firms having no plans. Workflow automation (84%) and agentic AI (81%) near the top of the list of areas to expand.
“Cutter is on the same AI journey as the asset managers and asset owners we serve, and we see firsthand that intent alone is not enough,” said Stacia Graham, Head of Cutter Research. “For every firm, including our own, lasting progress depends on pairing ambition with operating discipline. The firms that build that discipline now will be best positioned to translate AI investment into meaningful, long-term results.”
The full Trends in AI Usage in Investment Management report is available exclusively to Cutter research members. The executive summary is available to all here.
Cutter Associates LLC serves the operational, technology, and client experience needs of the global asset and wealth management industry, providing companies with the tools and services they need to be successful. With deep industry and domain experience and expertise, Cutter Associates provides global consulting, independent research, exclusive members-only events, process benchmarking, and a vast peer network. Headquartered in Rockland, Massachusetts, and owned by Tokyo-based NRI Group, Cutter Associates offers services in the United States, Canada, Australia, the United Kingdom, the European Union, Singapore, and Asia. For more information, visit us at www.cutterassociates.com and connect with us on LinkedIn.
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