UAE consolidates its position as a global private wealth hub

UAE consolidates its position as a global private wealth hub

Dubai, U.A.E: The UAE has achieved a magical milestone by registering 1,000 Foundations – an integral part of the country’s success when it comes to wealth preservation and management solutions – thus cementing the nation’s position as a hub for local and international wealth. 2024 promises to be a year of continued growth and unprecedented opportunities, with a projected 50% growth in Foundations - making the jurisdiction THE Tier 1 regional financial/structuring centre to watch.

First introduced just over six years ago to address the needs of local affluent families, UAE Foundations are now a well-proven wealth management and succession planning tool that has gained substantial momentum among both regional families and new entrants, thanks to the benefits it provides when compared with more conservative consolidation tools such as companies, or arrangements such as trusts.

As the Gulf region prepares for an estimated transfer of USD 1 trillion from gen-2 business families to millennials within the next decade, the significance of inter-generational planning and use of the Foundation tool has surged. In addition, the UAE continues to see a steady inflow of ultra-high-net-worth individuals, with Dubai’s centi-millionaire population projected to grow by a staggering 78 per cent over the next decade (one