Man Group Seeks Abu Dhabi Foothold In Expansion Push

(MENAFN- The Arabian Post)

Man Group Plc has moved to secure a regulatory licence to establish an Abu Dhabi office next year, signalling a deeper shift among global asset managers toward the Gulf as the region accelerates its ambitions to become a leading centre for alternative investments. The London-listed hedge fund confirmed the application, underscoring its intention to broaden its footprint in a market that has drawn some of the world's largest trading firms, private equity houses and quant specialists.

The decision marks a strategic extension of Man Group's global presence, which currently spans major financial hubs across Europe, North America and Asia. The firm, one of the world's largest publicly traded hedge funds with more than $170 billion in assets under management, is seeking approval from Abu Dhabi Global Market to set up operations that would allow it to strengthen ties with regional investors and tap into a fast-developing ecosystem of sovereign wealth funds, family offices and institutional allocators. Its application aligns with growing activity in the emirate, where authorities have encouraged international firms to build teams focused on quant strategies, digital assets, private credit and frontier market research.

Executives familiar with Man Group's plans said the proposed office would initially be modest in size but designed with the capacity to expand as demand from regional clients grows. Senior leadership has highlighted the Middle East as an increasingly important part of its investor base, particularly as sovereign funds in Abu Dhabi and neighbouring states continue to deploy capital into global hedge funds and alternative strategies. The establishment of an on-the-ground presence is viewed internally as a necessary step to enhance client servicing and secure long-term relationships in a jurisdiction that is reshaping its investment landscape.

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Abu Dhabi has been actively courting global financial firms by offering regulatory clarity, tax incentives and access to a deep pool of institutional capital. Over the past two years, a steady flow of asset managers and proprietary trading houses have announced plans to establish offices in the city, contributing to the expansion of ADGM's financial district. Man Group's move follows similar decisions by peers that have set up teams covering macro strategies, commodities, and systematic trading, reflecting the emirate's emergence as a hub for advanced financial market activity.

Market analysts note that the timing aligns with broader shifts in global capital flows. Heightened volatility in developed markets, coupled with an uptick in allocations from the Gulf's sovereign wealth funds, has prompted asset managers to position themselves closer to these institutional clients. At the same time, Abu Dhabi's increased investment in technology infrastructure and digital-market oversight has made it an attractive destination for firms looking to expand beyond traditional financial centres.

Man Group has stated publicly that its Abu Dhabi plans are rooted in long-term strategic alignment rather than short-term market cycles. The firm has continued to diversify across quantitative, discretionary and private-market strategies, placing renewed emphasis on research hubs that can support portfolio development. Its leadership views the Gulf region as a significant contributor to the firm's future fundraising efforts, particularly given the scale of assets overseen by Abu Dhabi Investment Authority, Mubadala Investment Company and other regional allocators.

The hedge fund sector's shift toward the Gulf has gathered momentum as Abu Dhabi positions itself as a gateway between Asian and Western markets. International firms have cited the emirate's stable business environment, regulatory sophistication and government backing as reasons for committing resources to the region. Several trading platforms and fintech firms have also expanded their presence, contributing to an ecosystem that blends institutional finance with innovation in areas such as artificial intelligence and blockchain-based market tools.

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For Man Group, the licence application represents an early stage in what may become a broader operational build-out. Discussions have focused on roles related to client servicing, risk oversight and research support, with scope for future trading functions as regulatory requirements and market conditions evolve. While the firm has not detailed the size or composition of its prospective team, people familiar with its strategy say the office is expected to serve both as a client interface and a regional intelligence base.

Abu Dhabi officials have emphasised the importance of attracting high-profile global investors to strengthen the emirate's status as a financial centre. Man Group's interest is likely to reinforce the narrative that international firms view the city as a credible long-term destination for sophisticated asset management activity. Local stakeholders say this trend is contributing to job creation in finance, technology and compliance, and boosting the emirate's profile among global allocators.

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