How Private Market Investors Are Using AI, 2025 Edition

PE industry

The private markets are undergoing a quiet revolution. As competition intensifies, data explodes, and resource constraints persist, leading investors are turning to AI not as a buzzword, but as a force multiplier.

At Raylu, we work with top-tier private equity, growth equity, and venture capital firms who are using AI to transform sourcing, diligence, and outreach. Below are real-world examples of how the smartest investors in the world are using Raylu’s AI agents to drive a lasting edge.

1. Automating Origination: From Dozens of Tabs to Instant Market Maps

A global growth investor came to Raylu with a familiar bottleneck: their analysts were spending hours manually building market maps by toggling between various research tools, often opening 100+ tabs and spending countless hours just to vet a single space. This created an inefficient workflow.

With Raylu, they eliminated this friction entirely. Instead of manually gathering company lists and building spreadsheets, their team:

Typed in open-ended theses like “mechanical, electrical, and plumbing software” or “AI-powered scrap metal platforms”
Received AI-built market maps enriched with firmographics, customer counts, web traffic trends, and more
Asked dynamic follow-up questions like “do they sell to enterprise?” or “is this pure software?” via AI filter columns
Clicked one button to auto-send personalized outreach with 25 to 30 percent reply rates

Raylu didn’t just speed up research, it changed the game. What used to take a week of desk work was now a 30-minute conversation. With one click, their analysts could go from thesis to qualified company list to a founder call on the calendar.

2. One-Click Outreach: Full Email Automation Built for Investors

Many Raylu customers cite emails as their most time-consuming workflow, and one of the biggest sources of ROI.

With Raylu's new full email automation, firms can:

Connect their mailbox directly to Raylu
Auto-send sequences of personalized emails, researched and written by Raylu AI agents
Track opens, clicks, and replies, and pause follow-ups upon response
Tune outreach tone based on past edits, tailoring to each sender’s voice

The result is outreach that’s deeply personalized, fully automated, and more effective than human-drafted campaigns. Customers have reported 25 to 30 percent lifts in reply rates.

3. From Filters to Thesis-Led Sourcing: A New Way to Map Markets

A multi-stage venture firm wanted to move away from rigid filters and keyword searches. Instead, they sought a system that could start with a thesis, such as "AI for procurement workflows," and generate a complete picture.

Using Raylu’s agentic sourcing engine, they:

Defined the market in natural language (for example, "genAI tools for CFO workflows")
Discovered niche and bootstrapped companies by indexing tens of thousands of web pages
Filtered by bespoke signals like pure software, pricing model, and customer count
Auto-enriched each company with web data, funding, and AI-generated insights

Raylu delivered two to three times more qualified leads, uncovering many non-obvious companies that were previously missed. Unlike traditional data tools that rely on static databases, Raylu’s agents dynamically crawl, reason, and build market maps based entirely on your thesis.

4. Diligence, Reimagined: From Data Rooms to Decision-Ready

A growth equity fund was spending two to three weeks and several analysts to conduct pre-LOI diligence. The bottleneck was turning fragmented data rooms and customer calls into decision-ready insights.

Raylu helped them:

Ingest pitch decks, SIMs, KPIs, Excel models, and customer interviews
Auto-generate three-page investment memos with over 98 percent accuracy
Build quadrant-style comparisons of competing vendors
Tag and analyze customer interview transcripts in minutes

The fund slashed its diligence time in half, while improving memo quality and reducing partner iteration cycles.

Why It Works: Bespoke AI That Thinks Like Your Team

Raylu isn't a generic AI tool. It's engineered to operate like an investor:

You describe a thesis, and our agents build the market
You point to a company, and we generate deep-dive research from hundreds of sources
You click one button, and we send a personalized outreach campaign at scale

All with full compliance, zero data retention, SOC 2 security, and bi-directional syncing with CRMs like Affinity, DealCloud, and Salesforce.

The AI Advantage for Private Markets: Happening Now

Firms using Raylu are seeing:

Five times more sourcing output per person
Two to three times more qualified targets per thesis
50 percent faster diligence cycles
15 to 30 percent lift in email response rates

Private markets are too competitive to rely on static data and interns opening tabs. Raylu helps teams move from idea to investment with speed, scale, and confidence.

Ready to turn AI into your sourcing and diligence edge?
[Schedule a demo today]