Abu Dhabi alternative investment manager Lunate said on Tuesday it will acquire a minority stake in global hedge fund firm Brevan Howard, marking its strategic entry into macro and digital assets. The two sides also announced plans to launch an Abu Dhabi Global Market–based investment platform with an initial $2 billion commitment from Lunate.
The new platform, subject to regulatory approval, will feature a suite of bespoke funds drawing on Brevan Howard’s established trading and portfolio expertise. Management teams based in ADGM are expected to roll out vehicles focused on interest rates, currencies, commodity strategies and crypto-asset exposure, with aims to raise additional capital from regional and international investors.
Lunate, which oversees roughly $110 billion in assets, has grown rapidly through private equity, credit and infrastructure deals across the Middle East and Europe. The firm sees hedge funds as a complementary pillar to its private markets franchise, offering clients enhanced diversification and access to uncorrelated return streams.
Brevan Howard, founded in 2002 and managing about $34 billion, has anchored its reputation on macro trading and risk management. Its ADGM office, opened in 2023 and now among the firm’s largest hubs by assets, will serve as headquarters for the partnership, leveraging Abu Dhabi’s regulatory framework and global connectivity.
Khalifa Al Suwaidi, Managing Partner at Lunate, said the deal reflects “our ambition to collaborate with world-class asset managers and deliver differentiated strategies to our clients.” Brevan Howard’s founder, Alan Howard, added that the arrangement “underscores our commitment to the region and ability to scale through long-term capital partnerships.”
Investors will watch for the platform’s first fund launches and subsequent fundraising rounds. Success could pave the way for similar tie-ups between sovereign-backed asset managers and established Western firms seeking fresh capital and Middle East distribution networks.
Regulatory approval is expected in the coming months, with initial fund offerings slated for early 2026. As global hedge funds navigate tighter returns and investor demands for innovation, Lunate’s backing of Brevan Howard may set a blueprint for future partnerships in the Gulf.
