diff --git a/src/pytorch_lightning/strategies/deepspeed.py b/src/pytorch_lightning/strategies/deepspeed.py
index e7fbcf91967fc..2d32503dd406a 100644
--- a/src/pytorch_lightning/strategies/deepspeed.py
+++ b/src/pytorch_lightning/strategies/deepspeed.py
@@ -152,7 +152,8 @@ def __init__(
 
         Arguments:
 
-            zero_optimization: Enable ZeRO optimization. This is only compatible with precision=16.
+            zero_optimization: Enable ZeRO optimization. This is compatible with either `precision=16` or
+                `precision="bf16"`.
 
             stage: Different stages of the ZeRO Optimizer. 0 is disabled,
                 1 is optimizer state partitioning, 2 is optimizer+gradient state partitioning,