Arabian Post Staff -Dubai
The firm, one of the world’s biggest publicly traded hedge fund managers, has applied for a Category 3A licence at Abu Dhabi Global Market, the emirate’s international financial centre. The planned outpost remains subject to regulatory approval, but the move places Man Group among a growing roster of global investment houses seeking closer access to Middle East sovereign wealth funds, family offices and institutional investors.
Man Group managed about $228.7 billion in assets at the end of March, spanning public and private markets. The firm, led by chief executive Robyn Grew, has been expanding its global footprint while trying to deepen relationships with long-term capital pools at a time when the Gulf has become a central battleground for asset managers competing for mandates.
Abu Dhabi’s appeal rests on a combination of sovereign wealth, regulatory infrastructure, tax efficiency and proximity to some of the world’s largest pools of state-backed capital. The emirate is home to major investment institutions including Abu Dhabi Investment Authority, Mubadala Investment Company and ADQ, while its financial centre has sought to position itself as a gateway between Asia, Europe and the Middle East.
ADGM reported a 36 per cent rise in assets under management during 2025, with the number of asset and fund managers reaching 171 and collectively overseeing 244 funds. Active licences climbed above 12,000, while the workforce inside the financial centre increased sharply as banks, asset managers, fintech companies and professional services firms expanded operations across Al Maryah and Al Reem islands.
Man Group’s planned Abu Dhabi presence fits into a broader shift by hedge funds and alternative investment firms that had previously concentrated their regional activity in London, New York, Hong Kong or Singapore. Abu Dhabi has attracted firms including Brevan Howard, Marshall Wace, TCI Fund Management and Rokos Capital Management, while Dubai has drawn major hedge fund platforms and trading firms through the Dubai International Financial Centre.
The competition between Abu Dhabi and Dubai is becoming more complementary than zero-sum. Dubai remains a preferred base for portfolio managers, traders and private bankers because of its lifestyle, aviation links and established financial ecosystem. Abu Dhabi, by contrast, has built its appeal around institutional capital, sovereign wealth access and a regulatory framework designed to attract fund management, private credit and investment platforms.
For Man Group, a local office can help strengthen coverage of regional investors at a time when large allocators are demanding more direct engagement from managers. Gulf sovereign investors and family offices have moved beyond passive allocations into more complex strategies, including multi-strategy hedge funds, private credit, infrastructure, real assets and customised mandates. Their ability to write large cheques has made physical presence increasingly important for managers competing for long-term relationships.
The timing also reflects changes in the hedge fund industry. Global managers are facing fee pressure, volatile performance cycles and intense competition for capital. A presence in the Gulf offers access to investors that have continued deploying capital across market cycles, particularly in alternatives. Abu Dhabi’s sovereign wealth institutions have also become more active partners, using joint ventures, anchor commitments and strategic stakes to shape investment platforms rather than simply allocate to external funds.
Man Group enters the region from a position of scale, but not without challenges. The firm reported record assets for 2025, helped by strong inflows and investment performance, yet profit came under pressure from market volatility and lower performance fees. Its first-quarter assets rose only modestly after a large institutional withdrawal from a systematic long-only equity strategy. That underlined both the strength and vulnerability of a platform whose quantitative investment operations remain central to its identity.
Abu Dhabi’s financial centre has sought to convert such global industry shifts into local growth. Regulatory approvals, legal certainty, English common-law foundations and access to regional capital have helped it attract firms that want a regulated base rather than a representative office alone. The expansion has also supported demand for lawyers, compliance officers, risk specialists, fund administrators and technology staff.
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