As Abu Dhabi's finance hub grows, companies building permanent operations face spending on specialist staff, regulatory work and cybersecurity, executives interviewed by Gulf News said in discussing 2027 budgets.
In the first six months of 2026, Abu Dhabi Global Market (ADGM) had 276 funds run by more than 190 asset and fund managers, etoro Market Analyst Nagham Hassan said. The value of the assets they managed was 54% higher than a year earlier, she said. Hassan said that value has risen each year since 2022.
A report by CPX, IDC and Microsoft says 80% of chief information officers in the United Arab Emirates expect artificial intelligence spending to produce a return within two years. It says 98% of security teams have faced risks tied to AI in systems already in use, while only 10% of organizations establish security requirements before selecting an AI product.
Karl Naim, who leads XBTO's Middle East business, told Gulf News that digital asset firms may spend on licensing, specialist hires and regulatory checks before earning revenue. Each addition of a product, client group or market brings more oversight, he said. Staff with expertise in both financial regulation and digital assets are scarce and expensive, according to Naim.
Hassan said international managers who previously handled capital from London or New York are now establishing Abu Dhabi offices and managing investments there. The executives interviewed by Gulf News described the costs of building those local operations as extending beyond office space.
CPX CEO Hadi Anwar said firms can underestimate cybersecurity costs when they focus on software rather than the people and recovery capacity needed to use it. He identified staff training, continuous monitoring and recovery exercises as items for 2027 budgets. Investigations, legal and regulatory obligations and lost business can add to the expense of an attack, he said.
For digital asset firms, Naim advised funding the obligations needed to maintain regulatory approval before setting spending tied to expansion. He also urged finance leaders to allow for the time it takes to begin earning revenue and the cost of hiring specialists.
