PGIM Opens First Middle East Office in Abu Dhabi to Tap Wealthy Client Pool

PGIM, the investment management arm of US insurer Prudential Financial, opened an office in Abu Dhabi on Thursday, joining money managers flocking to the UAE capital to tap a growing pool of wealthy clients.

PGIM, which had $1.33 trillion in assets under management as of June-end, received a Financial Services Permit (FSP) to operate in ADGM, Abu Dhabi’s financial hub, serving regional institutional and professional clients.

Asset managers, banks, hedge funds and family offices have increased their presence in the UAE in recent years, driven by the post-pandemic economic recovery, the UAE’s relatively neutral political stance, convenient time zones and tax-free status.

In Abu Dhabi — state funds ADIA, Mubadala and ADQ manage $1.54 trillion in assets, a sovereign wealth fund watchdog Global SWF — some of the biggest names include Ray Dalio, the billionaire founder of hedge fund Bridgewater Associates. His family office last year, and Brevon Howard’s colleagues.

The oil-rich emirate has also attracted banks such as Goldman Sachs and Rothschild, which traditionally preferred neighboring Dubai as their regional hub but now set up smaller offices in Abu Dhabi and Riyadh.

Company registrations at ADGM increased by 31% in the first half of 2024, while assets under management rose by 226%, the financial center said. Morgan Stanley was one of the asset managers acquired by FSP during this period.

PGIM said it has been serving clients in the Middle East for “many years”, but Abu Dhabi will be its first office in the region.

“Abu Dhabi remains an important market,” said its Middle East head, Mohammed Abdulmalek.

The company said it has more than 1,400 employees worldwide, spread across 41 countries, without disclosing the number of employees it plans to hire in Abu Dhabi.