ADGM posts stellar Q1 with 33% surge in assets under management
With a 33 per cent surge in assets under management (AUM), 119 fund and asset managers now oversee 184 funds, a significant leap from last year. The number of operational entities soared by 43 per cent to 2,781, while financial services firms grew by 26 per cent to 367.
New licences issued jumped 67 per cent compared to Q1 2024, highlighting ADGM's growing appeal to global businesses.
This growth reflects Abu Dhabi's status as a trusted destination for investors, driven by ADGM's transparent regulatory framework, which directly applies English common law — a rarity in the region. This legal clarity, combined with strategic initiatives, has attracted top-tier firms like Skadden, Investindustrial, and Polen Capital to set up shop. The expansion to Al Reem Island has been a game-changer, with over 600 new businesses established and 500 existing companies transitioning to ADGM licences, bringing the total to 1,100 new entities.
A revised fee structure, slashing commercial licence costs by 50 per cent to a flat Dh1,000, has made it easier for small and medium enterprises (SMEs) to thrive.
ADGM's workforce on Al Maryah Island grew by 17 per cent to over 29,000, with 3,509 new work permits issued for Al Reem Island businesses. New Employment Regulations introduced in Q1 enhance workplace protections while maintaining business flexibility, solidifying ADGM's appeal as a talent hub. The ADGM Academy furthered this by creating 800 job opportunities for UAE nationals across nine specialized tracks, supported by 23 global certifications. Strategic partnerships with Arab Youth and the Federal Tax Authority are empowering young talent and aligning with national goals.
Globally, ADGM's outreach has strengthened its role as a financial bridge. In January, a delegation engaged hedge funds and private equity leaders at iConnections Global Alts Miami, highlighting Abu Dhabi's access to sovereign wealth capital. In February, ADGM joined a high-level mission to China, fostering ties as UAE-China trade is projected to boom. In April, meetings with Japanese financial institutions focused on wealth management and family businesses, signaling ADGM's growing influence in Asia.
Innovation is at ADGM's core. A new mobile app launched in Q1 offers real-time regulatory updates, compliance tools, and networking features, while a digital platform for real estate transactions enables fully virtual processes—a first in the region. ADGM's focus on blockchain is evident through a partnership with Chainlink to develop compliant tokenisation frameworks and the integration of firms like Stacks Asia into its Distributed Ledger Technology framework, positioning Abu Dhabi as a blockchain hub.
Sustainable finance is another priority, with the Abu Dhabi Sustainable Finance Declaration gaining 170 signatories, including Aquila Capital and PwC, promoting environmental, social, and governance (ESG) principles. The ADGM Research Centre's six papers on AI's role in finance underscore its commitment to cutting-edge technology.
Ahmed Jasim Al Zaabi, ADGM chairman, said, 'ADGM's Q1 2025 performance reflects the trust global institutions place in us, boosting Abu Dhabi's status as a financial and innovation hub. As the world's safest and most dynamic jurisdiction for asset management, we're driving sustainable growth and digital transformation.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Gulf Business
44 minutes ago
- Gulf Business
IBM's Lula Mohanty on why UAE businesses are ahead in AI adoption
The UAE has emerged as a surprising but confident frontrunner in AI governance, according to a new Developed by the IBM Institute for Business Value (IBV) in collaboration with the Dubai Future Foundation, the report reveals that UAE businesses lead the world in appointing Chief AI Officers (CAIOs), a sign that organisations here see AI not just as a tech upgrade, but as a critical enabler of future growth. In an exclusive interview with Gulf Business , Lula Mohanty, managing partner for IBM Consulting across the Middle East and Africa, shared her insights on the regional implications of the study and how IBM is helping organisations operationalise AI at scale. Read the full story
Khaleej Times
an hour ago
- Khaleej Times
Dubai to convert used cooking oil into clean, renewable fuel
Used cooking oil in Dubai will soon be transformed into clean fuel, as part of a new environmental initiative led by Dubai Municipality in collaboration with BiOD Technology FZCO. The project aims to reduce pollution, ease pressure on the sewage infrastructure, and advance Dubai's transition to green energy. Under the agreement, used cooking oil (UCO), along with fats, oils, and grease (FOG), will be collected from across the emirate and processed into B100 biodiesel — a renewable, cleaner-burning alternative to traditional diesel. Aside from producing clean, renewable energy, the initiative is also expected to lower the operational costs of wastewater treatment and prevent sewer blockages caused by improper disposal of grease and oil. Dubai Municipality has authorised BiOD, a subsidiary of DUBAL Holding, to manage the city-wide collection and processing operations. "This partnership marks an exciting step forward, and we are eager to expand our efforts into broader initiatives that promote sustainable waste management and innovative recycling solutions," said Shiva Vig, CEO of BiOD Technology. 'This partnership represents a significant step in our mission to advance Dubai's environmental agenda through innovative and sustainable waste-to-energy solutions," said Adel Al Marzooqi, CEO of the Waste and Sewerage Agency at Dubai Municipality. Adel Al Marzooqi, CEO of the Waste and Sewerage Agency at Dubai Municipality, added: "By turning waste into a valuable energy resource, we not only protect vital infrastructure and reduce environmental risks but also contribute effectively to achieving the goals outlined in Dubai's Vision 2030 for environmental sustainability. Meanwhile, Ahmed bin Fahad Al Muhairi, Chairman of the Board of BioD Technology, stated: 'Our focus is on implementing practical, impactful solutions that contribute to tangible environmental improvements and advance Dubai's circular economy goals. Moreover, in partnership with like-minded entities, we strive to build a service ecosystem dedicated to making a positive global impact.'
Khaleej Times
an hour ago
- Khaleej Times
Office sales spur Dubai's commercial realty to Dh31b in Q2
Dubai's commercial real estate market surged to new highs in the second quarter of 2025, with total transaction value climbing to Dh31 billion — marking a 50 per cent year-on-year jump. This substantial growth, up from Dh20.75 billion in Q2 2024, reflects the market's strong momentum amid rising demand for Grade A office space, premium warehouse facilities, and off-plan investments, says CRC Property's latest market report. Leading the surge was the office segment, where sales skyrocketed by 93 per cent year-on-year to Dh2.62 billion. The volume of office transactions also rose by 26 per cent, highlighting a growing appetite among investors and end-users for ownership opportunities in Dubai's business hubs. Business Bay and Jumeirah Lake Towers (JLT) continued to dominate activity, while emerging commercial zones such as Barsha Heights and Motor City gained traction, offering competitive pricing and modern infrastructure. Behnam Bargh, managing director at CRC, said Q2 2025 represents a defining moment for both CRC and Dubai's commercial landscape. 'We recorded our most successful quarter to date, with a 75 per cent increase in sales deals. This performance is a direct result of our team's client-first approach and the continued confidence of investors in Dubai's economic story.' One notable trend is the growing share of off-plan office transactions. Developers such as Omniyat have launched landmark projects like Lumena in Business Bay — premium commercial towers that combine cutting-edge architecture with flexible floor plans and high-end amenities. This shift towards modern, future-ready workspaces is reshaping the preferences of institutional investors and long-term occupiers. 'The success of off-plan reflects a maturing buyer mindset — stakeholders are committing to spaces that meet the evolving needs of tomorrow's workforce, not just today's,' Bargh said. Property market analysts believe that as global investors recalibrate their portfolios for post-pandemic realities, Dubai's commercial property market is emerging as a safe, growth-oriented asset class — powered by innovation, transparency, and strategic vision. Dubai's industrial and logistics sectors also displayed strong growth, driven by high demand and constrained supply. Average warehouse sale prices more than doubled year-on-year, reaching Dh22.2 million, largely due to intense activity in prime industrial locations such as Dubai Industrial City, Dubai Investments Park (DIP), and Jebel Ali Free Zone (JAFZA). The sector saw an increase in larger transaction sizes, signaling consolidation and expansion among logistics and distribution players seeking strategic, scalable assets. These trends underscore Dubai's growing role as a regional logistics and supply chain hub, particularly as e-commerce, last-mile delivery, and regional warehousing requirements accelerate. On the leasing side, the market maintained robust momentum, with leasing transactions increasing by 30 per cent compared to the previous quarter. The average office leasing value rose to Dh480,768 — a 95 per cent surge year-on-year — as businesses competed for fitted, well-located, and high-spec workspaces. Demand for larger units is being driven by new business setups, regional expansions, and growing confidence across sectors such as finance, technology, consulting, and healthcare. According to CBRE, both Dubai and Abu Dhabi are experiencing sustained rental growth and high occupancy rates due to limited new supply and a steady influx of international firms setting up regional headquarters. JLL's recent analysis echoes this sentiment, pointing to high investor interest in strategic commercial assets such as last-mile logistics hubs, data centres, and mixed-use office-retail complexes. The ability to convert qualified non-freehold properties is also expected to unlock further investment potential across multiple submarkets. With the UAE's diversified economy continuing to attract foreign capital, the commercial real estate sector stands poised for further expansion in the second half of 2025. Market analysts believe Dubai's continued focus on infrastructure upgrades, business-friendly reforms, and sustainable development will support a healthy demand pipeline and long-term value creation.
