DIFC becomes top five global hub for hedge fund managers

Dubai International Financial Centre (DIFC) has registered its 100th hedge fund, reflecting its dominance in the sector and successful journey to becoming a top five global hub for the industry.

The number of hedge fund managers doubled from 50 at the start of 2024 and 81 are billion-dollar AUM managers.

During 2025, new arrivals include Baron Capital Management, BlueCrest Capital, Naya Capital Management, Nine Masts Capital, North Rock Capital, Pearl Diver Capital, Select Equity Group, Strategic Investment Group, Silver Point Capital, Squarepoint Capital and Welwing Capital Group.

They join the region’s largest roster of industry stalwarts, such as Balyasny, BlackRock, Blue Owl, Brevan Howard, Dymon Asia, Exodus Point, Hudson Bay, Millennium, Qube Research and Technologies (QRT), and Verition.

Managers continue to join DIFC at a record pace because they can trade Asian, European and American markets, tap the region’s deepest pools of talent and raise capital from ultra-high net worth individuals, family offices and sovereign wealth funds. DIFC Hedge Funds also trade Asian, European and American markets and leverage DIFC’s unparalleled banking and advisory ecosystem.

Arif Amiri, Chief Executive Officer of DIFC Authority, said, “Becoming a leading hedge fund centre reflects the maturity of the DIFC platform as well as the confidence of its participants. Our client focus and industry partnerships drive product innovation, which continues to fuel our growth.

"The breadth and depth of our alternative investments community strengthen our position as the only financial centre operating at scale across all sectors, which allows DIFC and our clients to influence the global financial landscape from Dubai.”

An example of DIFC’s innovation is the development of the DIFC Funds Centre, a unique co-working space offering in the asset management industry which allows managers to establish quickly, operate cost effectively and expand rapidly.

The centre houses some of the industry’s biggest names, complemented by mid-sized firms, spinouts and start-ups. More than 85 percent of DIFC based hedge fund managers have the ability to raise and manage private and sovereign capital from the centre.

DIFC’s recent report on the future of alternative investments highlights strong momentum in the sector. The report showed that technological innovation, regulatory reforms and wider investor access are accelerating flows into alternatives, which are now becoming core components of diversified portfolios.

High-net-worth individuals and family offices have doubled their allocation to alternatives since 2008, reaching around 15 percent.

DIFC’s wealth and asset-management sector continues to expand rapidly, now exceeding 470 firms.

Managers benefit from access to the Middle East’s highest concentration of private wealth, including more than 1,250 family-related business entities based in the centre.

The UAE’s position as the world’s top destination for wealth migration further strengthens this ecosystem, with Henley & Partners projecting that 9,800 millionaires will have relocated to the UAE by the end of 2025.

WAM