In today’s rapidly evolving and highly regulated financial environment, hedge funds are under increased scrutiny from regulators and investors alike. The need for a robust compliance department is now more important than ever, as non‑compliance can result in severe financial penalties and reputational damage. To keep pace with the increasing regulatory requirements and technological advancements, hedge fund managers must embrace the latest compliance technology and tools – including generative artificial intelligence – to build a robust compliance department. This guest article by Brian Meyer, COO, CCO and GC of Fir Tree Partners (Fir Tree), is a case study that explores how Fir Tree embarked on a multi-year process to create a compliance department that leverages advanced regulatory technology (RegTech) solutions to ensure the highest level of compliance and risk management. Fir Tree determined that the use of RegTech could bring about an array of substantial benefits, effectively transforming the landscape of its compliance operations. For a look at Fir Tree’s application of many of the same processes and technology solutions used by large corporate law departments, see “How Fund Managers Can Use Technology to Transform and Streamline Complex Legal Operations: One Manager’s Example” (Jul. 18, 2019).