Exploring the Strategy Behind Abu Dhabi’s Offerings to Attract Top Finance Professionals and Its Race Against Regional Competitors”
Abu Dhabi, sovereign wealth fund, hedge fund managers, financial hub, perks, elite schools, country club memberships, sovereign capital, economic rebound, ease of doing business, neutral political stance, global financial firms, competition, Dubai, 0Riyadh, ADGM (Abu Dhabi Global Market
Abu Dhabi, the capital of the United Arab Emirates, home to about 1.4 million people and an array of tourist attractions. But some would say Abu Dhabi’s most interesting attraction is its money, a sovereign wealth fund worth one and a half trillion dollars,
one of the biggest in the world. And the city is milking it. To lure hedge fund titans from across the world, it is offering hedge fund managers a range of unusual perks, from country club memberships to elite school admissions for their children.
Is this Abu Dhabi’s bid to become a financial hub, and will it work? Here’s a report. The richest emirate in the gulf is counting on getting richer. talking about Abu Dhabi, the capital of the United Arab Emirates. It’s rolling out the red carpet for hedge fund titans. Officials are formalizing a program for hedge fund managers.
Think of it as a package of perks tailored to lure in the big moneymakers. And the incentives range widely, from lifestyle support and visas to admissions in elite schools and even memberships at country clubs. So anything goes as long as the finance professionals move to Abu Dhabi. And chances are that’s exactly what would happen.
The perks will ensure a smooth onboarding. But more than that, Abu Dhabi itself is a big draw. Rather, the city’s sovereign wealth capital is it’s valued at $1.5 trillion. It’s one of the biggest sovereign capital funds in the world, enough to catch the attention of any big hedge fund manager.
On top of this, Abu Dhabi saw a quick post COVID economic rebound. It offers a relative ease of doing business, a neutral political stance, a relatively low rate of crime, and a time zone that allows workers to trade across european, american and asian hours. On top of this, Abu Dhabi is part of a country that loves the rich. In today’s climate, few countries welcome the wealthy.
In most nations, billionaires often come under scrutiny. But the UAE does not vilify capitalism. That, combined with other factors, makes its capital a giant appeal for the rich. And the city hopes it remains that way. Actually, Abu Dhabi is betting on it.
But why? Why is the city offering unlikely perks to finance professionals? In simple terms, to get even richer, Abu Dhabi has set its sights on an ambitious goal. It hopes to become one of the world’s biggest financial centers and draw professionals from the likes of New York, London, Hong Kong and Singapore.
The question is, will the plan work? If we are to believe the signs, it could. Let’s take a look at the Abu Dhabi global market, or ADGM. This is Abu Dhabi’s financial center as of last year, it had 1825 operational entities. That’s a 32% growth from 2022.
It had 102 asset managers as well, managing 141 funds. Today, ADGM is the fastest growing financial center in the region. Plus, top global financial firms are opening offices in Abu Dhabi, the likes of Goldman Sachs, Rothschilden Co. And Morgan Stanley.
So things are going well for the city. But there is one hurdle, competition. Abu Dhabi is competing with two financial hubs in the neighborhood, Dubai, which is a short car ride away, and Riyadh, which can be easily accessed via short.