diff --git a/SETUP.md b/SETUP.md
index 5715402..45c531a 100755
--- a/SETUP.md
+++ b/SETUP.md
@@ -28,6 +28,7 @@ Depending on the type of NLP system and the notebook that needs to be run, there
 * A machine running Linux, MacOS or Windows.
 * Anaconda with Python version >= 3.6. 
     * This is pre-installed on Azure DSVM such that one can run the following steps directly. To setup on your local machine, [Miniconda](https://docs.conda.io/en/latest/miniconda.html) is a quick way to get started.
+    * It is recommended to update conda to the latest version: `conda update -n base -c defaults conda`
 
 ### Dependencies Setup
 
@@ -64,4 +65,4 @@ We can register our created conda environment to appear as a kernel in the Jupyt
     conda activate my_env_name
     python -m ipykernel install --user --name my_env_name --display-name "Python (my_env_name)"
     
-If you are using the DSVM, you can [connect to JupyterHub](https://docs.microsoft.com/en-us/azure/machine-learning/data-science-virtual-machine/dsvm-ubuntu-intro#jupyterhub-and-jupyterlab) by browsing to `https://your-vm-ip:8000`.
\ No newline at end of file
+If you are using the DSVM, you can [connect to JupyterHub](https://docs.microsoft.com/en-us/azure/machine-learning/data-science-virtual-machine/dsvm-ubuntu-intro#jupyterhub-and-jupyterlab) by browsing to `https://your-vm-ip:8000`.