Marshall Wace Joins Abu Dhabi Hedge Fund Rush With New Office

(Bloomberg) — Marshall Wace, one of London’s biggest hedge funds, has joined the flurry of global investment firms expanding to the United Arab Emirates capital. 

The $69 billion firm has opened an office in Abu Dhabi that will initially host about six employees, according to a person with knowledge of the matter. It’s also considering moving a partner to the city, the person said, asking not to be identified because the details are private.

The news comes as Abu Dhabi hosts its annual finance conference, which has drawn some of the world’s most prominent executives. Paul Marshall, the hedge fund’s co-founder, is among speakers slated to make an appearance Tuesday.

Marshall Wace’s expansion to Abu Dhabi coincides with a broader shift in wealth and asset managers to the capital of the UAE, which is home to one of the world’s richest families and sovereign wealth funds that manage about $1.7 trillion in assets.

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In Abu Dhabi, Marshall Wace will join London-based peer Brevan Howard Asset Management that’s made the emirate its biggest trading hub and has sent dozens of staff to help run billions of dollars from there. 

Hedge fund billionaire Ray Dalio, Czech tycoon Radovan Vitek, Egyptian magnate Nassef Sawiris and the richest man in crypto Changpeng “CZ” Zhao are among the high net worth individuals who are setting up firms in the city.

Neighboring Dubai, too, has made a push to draw some of the biggest names from the industry. The city now hosts local offices of close to four dozen firms with assets exceeding $1 billion each, and the industry employs more than 1,000 people. 

Marshall Wace, founded by Marshall and Ian Wace and part owned by private equity firm KKR & Co., is best known for running equity long-short strategies. Its flagship $22 billion Eureka hedge fund was up about 14% through November this year.

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