Chicago-based alternative investment manager AIR Asset Management is making a move into the fast-evolving artificial intelligence sector. The firm announced plans to explore investment products focused on pre-IPO AI companies, signaling a strategic push to diversify its alternative investment offerings.

AIR is reportedly in talks to partner with a team of independent private-market specialists to help evaluate opportunities in the pre-IPO AI landscape. The collaboration is designed to provide AIR with granular insights, data, and market context—tools the firm believes are crucial for assessing long-term value for investors.

“Artificial intelligence is already driving tremendous returns across markets, and we see an opportunity to bring access to late-stage growth stories to a broader set of qualified investors,” said Rich Beleutz, CEO of AIR Asset Management. “By collaborating with experienced private-markets specialists, we believe we will be able to evaluate opportunities with deeper context and provide our clients with informed access to this evolving space.”

The move comes amid surging interest in AI investments, with private markets increasingly seeing massive valuations in late-stage startups before IPO. Firms like Sequoia Capital and Andreessen Horowitz have already doubled down on AI portfolios, illustrating the sector’s potential for outsized returns—and risks. AIR’s approach, by contrast, emphasizes informed access and data-driven evaluation rather than speculative bets.

Beleutz added, “AI is transforming how we live and work at a pace unmatched by any technological advancement in history. As we continue to expand AIR’s platform, we see an important role in helping facilitate thoughtful opportunities for investors to participate in this unprecedented era of innovation.”

The move aligns with AIR’s broader strategy of positioning itself as a multi-strategy alternative investment firm. The company aims to offer investors diversified exposure to innovative asset classes, a trend increasingly seen in the alternative investment space as firms seek to balance traditional strategies with high-growth technology opportunities.

While AIR has yet to finalize the product structure or launch timeline, the firm’s foray into pre-IPO AI marks a notable step for alternative investment managers seeking to capitalize on the next wave of tech-driven growth.