Abu Dhabi’s financial center, ADGM, saw a 31% increase in company registrations in the first half of the year, attracting major financial firms like Morgan Stanley.
The emirate has become a popular destination for banks, hedge funds, family offices, venture capital firms, and crypto traders, drawn by its wealth and prominent sovereign wealth funds such as ADIA, Mubadala, and ADQ.
Notable figures like Ray Dalio, founder of Bridgewater Associates, have established a presence there, along with institutions like Goldman Sachs and Rothschild, which are expanding into Abu Dhabi and Riyadh despite traditionally favoring Dubai.
ADGM is responding to the demand by expanding its jurisdiction, adding al-Reem Island to its existing location on al-Maryah Island. The financial center issued 1,271 new licenses in the first half of the year, a 20.5% increase from the same period in 2023.
By the end of June, the number of companies in ADGM reached 2,088, with assets under management increasing by 226% year-on-year. The financial center now hosts 112 fund and asset managers overseeing 141 funds. New entrants include AXA IM, Morgan Stanley, and GQG Partners, while firms like Blue Owl, Peninsula, and Infini Capital received preliminary approvals.
The asset management sector is expected to continue growing, with strong interest from hedge funds, private equity, institutional funds, and venture capital firms.
