Blending instinct with insight: AI’s role in due diligence
AI is prevalent throughout modern business, primarily tasked with streamlining mundane and repetitive tasks to free up workers to focus on high-level cognitive tasks.
AI in due diligence
AI error rates are a concern, particularly when it comes to due diligence where accuracy and reliability are critical. At Liquidity, we recognise that AI models can occasionally generate incorrect or incomplete outputs. To mitigate the risks, our R&D and data science teams follow strict processes and procedures that combine technology-enabled insights with human intelligence.
“We view AI as an augmentation tool rather than a standalone decision-maker.”
– Oron Maymon, Co-Founder and Chief Science Officer, Liquidity.
Human oversight, layered verification and robust validation processes remain essential in ensuring data integrity and minimising risk. AI brings speed and scale to due diligence, but human judgement is still the final safeguard.
AI tools to cut time and costs of due diligence
One of the key benefits of AI is its ability to process vast amounts of unstructured and structured data at scale and speed. Liquidity is actively exploring AI-powered tools to streamline parts of the DD process.
AI tools can streamline processes such as document analysis, financial data extraction, market benchmarking and risk flagging.
“Leveraging these tools can significantly reduce the time and cost of routine tasks, allowing our analysts to focus on higher-level judgement, negotiation and decision-making,” says Maymon.
Mitigating the liability risk of AI tools in due diligence
Mitigating the liability risk of AI’s inclusion in due diligence processes is a major consideration. Liability risk arises if AI-driven outputs are used without sufficient human validation. To address this, Liquidity approaches AI as a complementary resource rather than a replacement for traditional third‑party providers.
Third party validation continues to remain an essential part of the risk‑management process, especially in cases where legal, regulatory or reputational risks are high.
“Our AI adoption strategy is focused on enhancing efficiency while maintaining accountability and risk controls. Trusted third-party validation and AI insights together provide our strongest risk defence.”
– Oron Maymon, Co-Founder and Chief Science Officer, Liquidity.
Liquidity is the world’s leading pioneer of bespoke technology for private credit, powered by advanced infrastructure with AI at its core. It defines a new standard in capital allocation through a nexus of the sharpest minds in private credit and technology.
Proven at scale in Liquidity’s own multi-billion-dollar private credit business, this technology deploys capital faster than any firm in capital markets history—with unmatched speed, precision, and adaptability across North America, Europe, APAC and MENA.
Liquidity develops bespoke technology infrastructure for banks and asset managers, embedding intelligent decision science across the full credit lifecycle from origination to compliance, while serving visionary growth-stage and mid-market companies in 45+ sectors through its own structures and funds.
Built on trust and backed by leading institutions including MUFG Bank Ltd., Spark Capital, KeyBank, Cross River Bank, Meitav Dash, IDB Bank, and others. Visit liquidity.com.
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