Multi-strategy hedge fund major Citadel has received regulatory approval to begin operating in Dubai, marking a significant step in its expansion into one of the fastest-growing global centres for hedge fund activity, according to a report by Bloomberg.
The report cites unnamed people familiar with the matter as saying that the firm is now set to establish a presence in the Dubai International Financial Centre (DIFC), where its first traders are expected to begin operating imminently.
As part of the buildout, Yash Gupta, who joined Citadel in 2023, has already relocated to the emirate. Gupta previously worked at JPMorgan Chase and had at one stage accepted an offer from Millennium Management before ultimately returning to Citadel.
The approval represents the culmination of plans first outlined last year, when Citadel signalled its intention to open a Dubai office—making it one of the final major multi-strategy hedge funds to establish a foothold in the United Arab Emirates.
Dubai, alongside neighbouring Abu Dhabi, has attracted a wave of hedge funds and trading talent in recent years. Firms have been drawn by a combination of favourable tax policies, business-friendly regulation and access to deep pools of regional capital.
The expansion comes despite lingering geopolitical uncertainty, with some market participants monitoring whether regional tensions could disrupt the pace of inflows. However, authorities in the UAE have continued to position the country as a stable and attractive destination for global asset managers.
Regulators have shown increasing flexibility, with measures aimed at easing compliance requirements and supporting firms navigating market volatility. In Abu Dhabi, officials at the Abu Dhabi Global Market have indicated they stand ready to take proportionate steps to support the industry if needed.
While neither Citadel nor the Dubai Financial Services Authority commented publicly on the approval, the move reinforces Dubai’s status as a key hub in the evolving geography of the hedge fund sector.
