Abu Dhabi’s financial hub, Abu Dhabi Global Market (ADGM), reported a 32% increase in company registrations last year, fuelled by an influx of hedge funds, asset managers, and other investment firms seeking to establish a presence in the Middle East, according to a report by Reuters.

According to ADGM’s statement on Thursday, assets under management (AUM) in the financial centre more than tripled in 2024, reflecting the expanding footprint of hedge funds, private equity firms, and family offices in the region. By year-end, 134 asset and fund managers overseeing 166 funds were operating in ADGM, cementing its role as a key hub for alternative investment firms.

The financial centre has seen an influx of major global hedge funds, investment firms, and family offices, including Marshall Wace, BlackRock, General Atlantic, and a new family office branch for Apollo Global founder Leon Black. Abu Dhabi’s sovereign wealth funds, which collectively manage close to $2tn, have played a crucial role in attracting investment firms looking to tap into the region’s capital and deal flow.

The UAE’s pro-business regulatory framework, strong economic rebound post-pandemic, and growing investor appetite for Middle East-focused opportunities have further accelerated this trend.

ADGM’s total number of registered companies reached 2,381 by the end of December, up from over 1,800 in 2023. This growth follows Dubai International Financial Centre’s (DIFC) announcement of a 55% increase in operating profit for 2024, reaching $362m).