Five Key Trends Shaping the Middle East Fund Landscape

Paced by the UAE, the private fund sector in the Middle East is experiencing rapid growth, along with some profound challenges – chief among them regulatory demands and increasing operational complexity.

In this paper, we examine the five key trends shaping the fund in the Middle East including:

  1. Increasingly complex regulation: regulatory compliance and reporting are arguably the biggest operational challenges facing Middle Eastern fund managers today.
  2. The rising importance of ESG in investment strategies: Environmental, Social and Governance (ESG) considerations have become increasingly important in the Middle East and with the UAE declaring 2023 as the “Year of Sustainability”, fund managers are likely to feel pressure to elevate ESG in their decision making and provide adequate ESG reporting.
  3. The surge in family wealth: The ultra-high net worth population in the Middle East is expected to rise, resulting in more family offices in the region.
  4. Start-ups and venture capital: The Middle East has become a hotbed of start-up activity and venture capital.
  5. Emerging technologies: There are many factors driving the growth in the technology sector in the UAE and surrounding region.