Dubai aims to become a global hub for the hedge fund industry: star portfolio managers continue to flock to the emirate from New York, London, and Hong Kong.
Sofya Kuhno, ACCA
Oct 1, 2023The Director of Business Development at the Dubai International Financial Centre, Salman Jaffery, recently stated that currently more than 45 foreign hedge funds are in the process of being approved by regulators. Dubai is home to some of the world's largest funds, including Millennium, Balyasny, Sculptor, ExodusPoint, Hudson Bay, and King Street. The pandemic played a significant role in the recent influx of hedge fund managers to the UAE. During Covid, Dubai quickly closed and reopened very swiftly. While most international markets, such as New York, London, San Francisco, and Hong Kong, were closed for a long period during that time. There was a significant influx of professionals to Dubai, including hedge fund managers who later decided to stay in the country. An important aspect is the lifestyle. Many foreign managers say that cities like New York have somewhat lost their luster in terms of infrastructure, taxation, and quality of life. The same goes for London: the high cost of living and unattractive taxation make many consider relocating. Opportunities in capital and talent attraction, in sales management, are one of the key reasons for the influx of hedge funds. Currently, more than 330 capital and asset management companies operate in the Dubai International Financial Centre, including over 40 hedge funds from the USA, Europe, the Gulf countries, and the UK.
