The UAE-based global alternative investment manager has formed a strategic long-term partnership with Brevan Howard, one of the world’s most successful hedge fund managers with $110 billion in managed assets (AUM) and $34 billion in AUM, to establish an investment platform to register with Abu Dhabi Global Market (ADGM).
Through the partnership, Abu Dhabi-based Lunate has committed $2 billion to create new funds, including macro and digital assets, exclusively for the partnership, according to a press release.
These funds leverage Brevan Howard’s existing strategies and investment capabilities, including macro and digital assets. Additional capital is expected to be raised over time from local and international investors.
Alan Howard, founder of Brevan Howard, said, “Our long-term partnership with Lunate reflects our deep and continuous commitment to the region and we look forward to spending time building this foundation.”
Additionally, Lunate has acquired minority stakes in Brevan Howard. In other words, we are expanding to hedge funds as part of our product diversification and investment solutions for GCC (Gulf Cooperation Council) and Gloe clients.
“The new partnership with Brevan Howard represents an expansion into hedge funds and reflects our commitment to working with the world’s best investment companies, allowing our clients to access unique strategies to further diversify their portfolios.”
Brevan Howard has conducted a significant amount of crypto transactions from the UAE
Brevan Howard established the regional headquarters office at ADGM in early 2023. At an AIM conference in Dubai in 2024, Brevan Howard said he had made a significant amount of crypto transactions from the United Arab Emirates. Ryan Taylor, group head of Brevan Howard, said this was due to the country’s wise regulations.
Taylor said: “Regulators in the UAE are difficult, but they want the industry to fly, so they’re ready to write smart regulations and talk to the industry to evolve those regulations.”
Taylor said Brevan Howard’s Crypto Trading business accounts for about $2 billion of the company’s total strategy, which he said was over $30 billion. Brevan Howard became the first global hedge fund in the United Arab Emirates to employ 100 people.
Earlier this year, the UAE branch of Brevan Howard Digital deployed $20 million in assets to Kinto, the blockchain Defi Financial Portal, which rewards active participants, such as traditional financial entities, who chain their token emissions.
Kinto allows financial institutions to deploy capital-on-chain while meeting strict legal and compliance requirements.
