Dubai’s financial hub has reported a remarkable 25% surge in company registrations in 2024, marking a record high for the city’s financial district. The Dubai International Financial Centre (DIFC) now hosts 6,920 active companies, up from 5,523 the previous year, as the city cements its position as a key destination for global business.
The technology and innovation sectors led the growth, with company registrations in these industries rising by 38%, reaching a total of 1,245 companies. The DIFC highlighted that the alternative investment industry, particularly hedge funds, has been growing at an even faster pace than the broader market.
The DIFC is now home to 75 hedge funds, with 48 of them managing assets of over $1 billion each. According to a statement from the Centre, it has become one of the world’s top ten hedge fund hubs and is on track to break into the top five within the next few years.
Dubai’s growing appeal to hedge funds is part of a broader trend in the United Arab Emirates (UAE), where favorable tax policies, a strategic time zone, and various incentives have drawn major players in the industry. Prominent firms such as Izzy Englander’s Millennium, Michael Platt’s BlueCrest Capital Management, and Balyasny have expanded their operations in the city.
As of last year, the hedge fund sector employed more than 1,000 people, with the overall workforce at the DIFC growing by 10% to 46,078. The boom in the financial sector has provided a cushion for Dubai’s commercial real estate market, with DIFC-owned properties boasting an impressive occupancy rate of 99.8%.
Meanwhile, neighboring Abu Dhabi, which manages over $1.6 trillion in sovereign wealth, has also attracted significant investment, including Brevan Howard Asset Management, which now handles more assets from the emirate than any other location.
As both cities continue to expand their financial ecosystems, Dubai is rapidly establishing itself as a central player on the global hedge fund stage.
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