Driven by UAE and Saudi, GCC Assets Under Management Surge 9% to US$2.2 Trillion Kuwait and Abu Dhabi have also taken the lead in the sovereign wealth fund space.
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The value of assets under management (AUM) across the Gulf Cooperation Council (GCC) region expanded by 9% to $2.2 trillion in 2024, according to Boston Consulting Group (BCG).
The growth highlights that the region is becoming a global financial hub and that asset managers in the Gulf are poised to compete with big global players in the future, the consultancy firm said on Wednesday.
Saudi Arabia and the UAE have been cited for driving the expansion of the retail mutual funds sector.
Kuwait and Abu Dhabi have also taken the lead in the sovereign wealth fund space, according to the consultancy firm.
"The region's 9% AUM growth in 2024 underscores its rising prominence as a hub for institutional and retail capital," noted Lukasz Rey, Managing Director & Partner and Middle East Head of Financial Institutions at BCG.
"With Saudi Arabia and the UAE anchoring regional momentum, the GCC's strategic diversification and SWF dominance signal a future where local asset managers could rival global giants."
The kingdom's Public Investment Fund (PIF) said on Wednesday that its AUM jumped by 19% to $913 billion by the end of 2024, with an annual average total portfolio return of 7.2% since 2017.
