JPMorgan Asset Management Commits $500 Million to AI Hedge Fund Numerai

JPMorgan Asset Management has agreed to allocate up to $500 million to San Francisco-based hedge fund Numerai LLC, according to statements from the companies. The fresh mandate could more than double Numerai’s assets under management and marks one of the largest allocations the bank has made to an artificial-intelligence-driven equity strategy. Numerai, which crowdsources trading signals from data scientists worldwide, produced a 25.45% net return in 2024 with a Sharpe ratio of 2.75 and only one down month, outperforming many traditional quantitative rivals. The firm is already backed by billionaire investor Paul Tudor Jones and has grown its capital base from roughly $60 million in 2021 to about $450 million before the latest commitment. Founder Richard Craib said the partnership underscores confidence in Numerai’s open-platform approach to AI-powered stock picking. The hedge fund is expanding its research and engineering staff and recently repurchased $1 million of its NMR cryptocurrency to strengthen alignment with its contributor community.