Dubai changes financial rules to lure richest investors

Dubai is changing its financial rules in an effort to attract more asset managers – particularly those serving the richest and most risk-tolerant investors, such as hedge funds and private equity funds – to base themselves in the emirate.

The rules create a new class of funds that can be domiciled in the Dubai International Financial Centre DIFC, facing less stringent regulation and thus lower costs than existing funds.

Authorities hope this will boost the DIFC’s growth as a domicile for funds, which has lagged other areas of the emirate’s rapid financial development over the past decade.