Strong Start to 2025: ADGM Delivers Exemplary First Quarter Performance
Abu Dhabi Global Market (ADGM), the international financial centre of UAE’s capital, has accomplished yet another quarter of strong growth along with a rise in global recognition, upholding momentum from a record-breaking 2024. Rising assets under management, a surge in new licences, and expanding human-capital expansion on Al Reem and Al Maryah Islands highlights Abu Dhabi’s strategic appeal to global financial firms.
Indicators of Growth
During Q1 of 2025, ADGM recorded substantial growth across key performance indicators, driven by sustained global investor confidence, constant regulatory advancements, and the effective execution of major initiatives within its expanded jurisdiction on Al Reem Island.
The asset management sector played a key role in the ADGM’s growth in the past year. During the First Quarter (Q1) of 2025, AUMs grew 33% compared to Q1 of 2024. By the end of Q1 2025, 144 asset and fund managers managed an
astounding total of 184 funds out of ADGM.
Strategic Highlights:
- The Number of new licences grew, representing an increase of 67% from Q1 2024
- A total of 144 asset and fund managers are based in ADGM
- Financial services entities grew 26% from Q1 2024, to 367 at the end of Q1 2025
- ADGM has 2,781 operational entities in its ecosystem, a 43% surge from Q1 2024
- A total of 184 funds are now managed out of ADGM
- The Al Maryah Island workforce surpassed 29,000 professionals, a 17 percent jump on Q1 2024.
Asset-management hub keeps scaling
Investor confidence drove a sharp uptick in discretionary mandates and fund launches. Institutional managers such as Skadden, Investindustrial, and Polen Capital chose ADGM for its familiar English common-law framework and deep regional capital base.
Al Reem Island integration drives ecosystem growth
The smooth integration of Al Reem Island added more than 1,100 entities to ADGM’s jurisdiction, widening the free zone’s sector mix and expanding available real estate for incoming firms.
Human-capital focus
More than 3,500 new ADGM work permits were issued during the quarter, reflecting sustained demand for talent across asset management, legal services, and digital-asset innovation. Updated Employment Regulations rolled out in February, strengthened workplace protections while preserving business agility.
Digital and sustainable-finance advances
Regulatory enhancements in blockchain and green-finance frameworks continued to position ADGM as a pioneer in future-focused financial services, attracting fintechs and ESG-oriented managers looking for clear, progressive rules.
Outlook
His Excellency Ahmed Jasim Al Zaabi, Chairman of ADGM, commented ‘ADGM continues to expand and diversify with purpose, welcoming leading firms, deepening international partnerships, and driving digital and sustainable transformation across sectors. ADGM remains committed to contributing towards capital formation and innovation in alignment with the UAE’s long-term economic vision.’
Looking into the Future
ADGM’s transparency, stability, legal certainty and familiarity with its established regulatory framework have been a key driver to the growing number of global and regional entities setting up. ADGM anticipates continued market growth driven by rising interest from international firms across Europe and Asia, while continuing to solidify its position within these financial markets.
If your firm is exploring an Abu Dhabi presence, VelthRad Consultants can guide you through every stage of the ADGM business setup, from licence selection and regulatory filings to ongoing compliance and operational support. Reach out to our team at info@velthrad.com to schedule a consultation and learn how we can make your entry into ADGM smooth and efficient.
