ADGM, the international financial centre (IFC) of the UAE’s capital has reported a surge of 226% in assets under management in H1 2024 compared to H1 2023, alongside 1271 new licences.
This results in 112 asset and fund managers now operating in ADGM, managing 141 funds as the number of new licences grew by 20.5% compared to H1 2023.
The workforce grew by over 2,500 at the end of H1 2024 compared to the same period last year and ADGM Al Reem Island expansion fuelled a residential surge with the island’s occupancy rate reaching more than 92% at the end of June 2024.
ADGM said that it has bolstered the financial sector’s contribution to Abu Dhabi’s non-oil economy, which grew to 9.7% in Q1 2024.
Ahmed Jasim Al Zaabi, chairman of ADGM said: “As a catalyst for Abu Dhabi’s financial sector, ADGM’s remarkable growth in the first half of 2024 fosters Abu Dhabi’s position as a premiere hub and a destination of choice for global, regional and local corporations and financial institutions.
“ADGM’s strategies have been aligned with Abu Dhabi’s visionary leadership to position the UAE’s capital as a leading international financial centre. Through the establishment of a thriving ecosystem and our pursuit of innovation, excellence, and strategic development, we are proud to have propelled towards the exceptional success of realising the ADGM Growth Strategy 2023-2027 targets, underscoring the accelerated growth of Abu Dhabi’s financial industry.”
He added: “ADGM’s contribution to Abu Dhabi’s stature as a global financial powerhouse and its sustainable economic growth will continue to capitalise on opportunities that will further elevate Abu Dhabi’s Falcon Economy to unprecedented heights throughout this exceptionally successful year and beyond.”
One of the factors that has supported ADGM’s strong growth in H1 2024 is the significant increase in operational entities, which have risen to 2,088, including 231 financial services entities – a 31% increase in operational entities compared to H1 2023. This growth is also complemented by the number of Financial Services Permissions (FSP) granted in the first six months, equivalent to 42 – a growth of over 90% compared to the June 2023 numbers which stood at 22.
Some of the major names within the asset management sector that have been granted an FSP include AXA IM, Eiffel Investment ME, GQG Partners, SS&C Financial Services, and Morgan Stanley. Furthermore, several entities within this space have also received their In-Principle Approval (IPA) including Aspen Digital, Blantyre Capital, Blue Owl, Fiera Capital, Infini Capital, I Squared Capital, Ninety One Gulf Capital, Peninsula, Token Bay Capital, Triton, and Vizier. The pipeline of entities within the asset management sector remains strong across hedge funds, private equity, institutional funds and venture capital firms set to be anchored in ADGM.
Additional financial services entities across banking, payment services, wealth management and insurance sectors have also joined the ADGM ecosystem by receiving either an FSP or an IPA. The list of granted FSPs within these sectors includes Barrenjoey, Deutsche Bank AG, Fidelis OPCO, Laser Digital, and Paxos Issuance MENA. Prominent list of names that received an IPA includes Oyster Reinsurance Brokers, and SMBC Bank International, among others.
