Two global alternative investor managers with almost $700 billion in assets have set up base in Abu Dhabi’s ADGM, despite the war-driven uncertainties.
The announcements in the past two days by Barings, which has $418 billion in assets under management, and Bain Capital, with $215 billion, reflect their long-term commitment to the UAE and the broader Middle East, the companies said.
Barings' office in Abu Dhabi is its second in the UAE after Dubai, which opened doors in 2024.
The new office will allow the Charlotte, US-based firm to deepen relationships with institutional investors, sovereign wealth funds and family offices across the Gulf region, it said on Thursday.
“The opening of our Abu Dhabi office reaffirms Barings’ commitment to the Middle East and our belief in the region’s growth trajectory,” said chairman and chief executive Mike Freno.
“Being on the ground enables us to better serve our clients and partner with them to unlock opportunities across global credit markets.”
Bain Capital, which invests in private equity deals and provides growth and venture capital solutions through its global investment platform, engages in credit and capital markets, as well as real asset transactions.
It said a presence in Abu Dhabi will help it expand investments and build new partnerships to boost growth across its priority sectors in the region.
The ADGM office will not only serve as Bain’s regional centre in the Middle East, but also improve investment channels and connectivity within the firm, it said on Wednesday.
“Bain Capital has built trusted partnerships across the Middle East over decades … [and] the region is playing an increasingly central role in global capital and company-building,” said managing partner David Gross.
“Establishing a presence in Abu Dhabi is a natural next step, strengthening our ability to serve investors, support portfolio companies and engage with stakeholders to create long-term value together.”
As a global financial centre with a strong regulatory environment and strategic connectivity, Abu Dhabi was an “ideal platform to deepen our presence”, he added.
Growing list
The move to choose ADGM “reflects an important alignment with markets defined by regulatory clarity, institutional strength, and long-term stability”, said ADGM chairman Ahmed Al Zaabi.
“Bain Capital’s presence reinforces Abu Dhabi’s role as a platform where international capital connects with regional opportunity.”
Barings and Bain are latest global investors to set up base in the UAE capital despite uncertainty caused by the Iran war and geopolitical turmoil threatening global growth.
US and Israeli strikes on Iran, and Tehran’s attacks on its Arab neighbours, have caused a global energy crisis. A fragile ceasefire is currently in place with diplomatic efforts under way to secure permanent peace.
The 40-day war, which began on February 28, has affected businesses and hit the travel, tourism and hospitality sectors. But cross-border deal-making, investment flows in out of the region and long-term capital commitments have continued uninterrupted.
Earlier this month, Hillhouse Investment Management, a $100 billion global alternative asset manager, also opened an office in ADGM, becoming the first to set up a base in Abu Dhabi’s financial centre since the war began.
The Singapore-headquartered company has obtained a Category 3C licence from the Financial Services Regulatory Authority, it said at the time.
Regional opportunity
An Abu Dhabi base provides investors and money managers opportunities to expand their regional operations and work closely with some of the world's largest sovereign wealth funds, as well as large family offices and institutional investors.
The UAE capital is home to the Abu Dhabi Investment Authority, Mubadala Investment Company and the newly created L'IMAD, which has taken control of the investment holding company ADQ.
ADGM, one of the fastest growing financial centres, is home to a rapidly-growing list of some of the world’s biggest asset and money managers, global lenders and investment banks, insurers and FinTech companies.
Last month ADGM, which is at the heart of Abu Dhabi’s ambition to diversify its economy away from hydrocarbons, reported a 36 per cent jump in assets under management as it marked a decade of operations, amid a sustained flow of capital and talent to the emirate.
More than 170 asset and fund managers, who together manage 244 funds, called ADGM home at the end of the last year. A total of 347 financial institutions are now based in ADGM, 80 of which were licensed last year, according to the latest data.
