AI is killing the cover letter — but here’s when it still pays to send one
“For really everyone other than AI providers, the process is broken.”
The cover letter, once a staple of job applications, is facing extinction thanks to artificial intelligence. As the article suggests, the traditional process of applying for a job, which includes submitting a cover letter, has become cumbersome and inefficient. With AI now capable of parsing and evaluating resumes and applications, the need for a personalized cover letter is diminishing.
However, there are still instances where sending a cover letter can be beneficial. For fund professionals, this might be the case when applying for a role at a smaller or boutique firm, where a more personal touch can make a bigger impact. Additionally, a well-crafted cover letter can still help to convey an applicant's passion for a specific investment strategy or their understanding of a firm's unique culture. In these situations, a cover letter can serve as a valuable differentiator.
As the job market continues to evolve, it's essential for fund professionals to stay adaptable. To watch next: how AI will continue to shape the hiring process in the fund industry, and whether firms will begin to place more emphasis on skills-based assessments and evaluations. It's also worth monitoring whether the decline of the cover letter will lead to more innovative and effective ways for applicants to showcase their qualifications and stand out in a competitive job market.
Originally reported by marketwatch.com. FundNews adds analysis for finance & markets readers.