Setting Up a Family Office in ADGM: Advantages and Benefits

Abu Dhabi Global Market (ADGM) is emerging as a premier destination for family offices, offering a robust regulatory framework, comprehensive services, and numerous benefits for wealthy families. In fact, 

ADGM is a key pillar of Abu Dhabi’s economic vision, designed to act as a catalyst for the growth of a dynamic financial services sector in the UAE. Established in October 2015, ADGM Free Zone  Registration Authority manages the ADGM Free Zone, the Financial Services Regulatory Authority (FSRA), and the ADGM Courts.

Like DIFC in Dubai, ADGM is an independent jurisdiction exempted from UAE’s civil and commercial laws. ADGM and DIFC jurisdictions are recognised as world-class financial centres for major financial institutions and venture capital organisations. They both offer access to funds and a safe regulatory environment.

At NH Management, we recognize the strategic advantages that ADGM provides for managing family wealth and ensuring long-term financial success. In this blog, we will explore why setting up a family office in ADGM is wise, highlighting the supportive infrastructure and favourable regulations that make it an ideal location.

Advantages of Setting Up a Family Office in ADGM

1. Robust Regulatory Framework

ADGM provides a well-regulated and transparent environment that ensures the security and compliance of family offices.

• International Standards: ADGM operates under a legal system based on English common law, offering familiarity and reliability to international families.
• Regulatory Clarity: Clear and comprehensive regulations that govern family offices, ensuring legal certainty and operational ease
• Regulatory Support: Access to a supportive regulatory authority that facilitates smooth establishment and ongoing compliance.

2. Comprehensive Services

ADGM offers a wide range of services tailored to the needs of family offices, ensuring efficient and effective wealth management.

• Wealth Management: Comprehensive wealth management services, including investment advisory, asset management, and financial planning.
• Estate and Succession Planning: Expert guidance on estate planning, succession strategies, and intergenerational wealth transfer.
• Legal and Tax Advisory: Access top-tier legal and tax advisory services to optimize family wealth structures.
• Corporate Services: We provide a full range of corporate services, including company formation, administration, and compliance support.

ADGM provides an attractive business environment with several advantages for family offices.

• Tax Efficiency: 0% tax rate on personal and corporate income, capital gains, and dividends, ensuring tax efficiency for family offices.
• Full Foreign Ownership: 100% foreign ownership allowed, providing flexibility and control over family office operations
• Repatriation of Profits: No restrictions on the repatriation of profits, ensuring ease of financial management.

3. Strategic Location

ADGM’s strategic location in Abu Dhabi positions it as a gateway to global markets and regional opportunities.

• Global Connectivity: Excellent connectivity to major global financial hubs, facilitating international business and investment activities.
• Regional Access: Proximity to key markets in the Middle East, Africa, and South Asia, offering vast opportunities for investment and business growth.

Lastly, ADGM provides world-class infrastructure and a business-friendly environment that supports the efficient operation of family offices.

• State-of-the-Art Facilities: Modern office spaces and advanced technological infrastructure to support business operations.
• Business Ecosystem: Access to a thriving business ecosystem with a network of financial institutions, professional services, and industry experts.
• Lifestyle Advantages: Abu Dhabi offers a high quality of life, security, and cultural amenities, making it an attractive destination for families.

Setting Up a Family Office in Abu Dhabi with ADGM

Setting up a family office in ADGM offers numerous advantages, from a robust regulatory framework and comprehensive services to tax efficiency and strategic location. At NH Management, we are dedicated to helping wealthy families leverage the benefits of ADGM for effective wealth management and long-term financial success. Contact us today for more information on how NH Management can assist you in establishing a family office in ADGM. Reach out to info@nhmanagement.com or call +97142221327.