AI in Corporate Debt Fund Management 

Isabelle Luy-Landès, Head of Corporate Private Debt, and Frédéric Homs, Investment Director in the Corporate Debt Division at LBP AM, discuss the role of Artificial Intelligence (AI) in managing corporate debt funds in the first episode of LBP AM’s podcast,  Inspirations et Perspectives.

The core mission of LBP AM’s Corporate Private Debt team is to support SMEs and mid-cap companies in financing their evolving needs, whether for capital expenditure or external growth transactions. As of the end of April 2024, more than 115 companies had already been supported through eight funds, representing nearly €2 billion in commitments. However, corporate private debt extends beyond financing. LBP AM also aims to support companies operationally by sharing its expertise in areas such as digital transformation and artificial intelligence. In the first episode of the Inspirations et Perspectives podcast, Isabelle Luy-Landès and Frédéric Homs elaborate on this.

Easier access to AI is impacting all sectors – not only the most obvious ones, such as technology, but also industry, transport and healthcare.

“Generally speaking, AI contributes to improving issuers’ productivity and profitability by automating repetitive tasks, speeding up decision-making processes, and reducing administrative costs,” explains Isabelle Luy-Landès. “It thus enables all companies to make progress, reinvent themselves, and adapt to the transformations of the economy and technology.” Whether through a proactive or reactive approach, all companies must embrace this new paradigm.

According to Frédéric Homs, failing to do so could be a strategic misstep.  “AI will be a decisive and differentiating factor across many industries,” he says. “Those who adopt it early will be the first to master it and fully leverage its benefits, gaining a significant competitive edge over their peers.”