HSBC launches onshore asset management business in UAE, debuts 10 local funds

Dubai: HSBC will establish a new onshore asset management operation in the United Arab Emirates and roll out a suite of locally domiciled investment funds, the bank said on Monday, expanding its presence in one of the world’s fastest-growing wealth markets.

The London-based lender said its asset management arm received regulatory approval to open a UAE branch, creating a base for products governed by local rules. The business will start by offering 10 onshore funds from Dubai.

HSBC named James Grist as general manager of the new entity. The bank did not disclose planned staffing levels or the size of the operation.

The move targets rising private and institutional wealth in the UAE, where an influx of high-net-worth individuals has drawn global asset managers in recent years. International firms have cited business-friendly regulation, time-zone advantages, and the country’s tax framework as drivers of the trend.

Dinesh Sharma, HSBC’s regional head of international wealth and personal banking for the Middle East and Turkey, said the investment aims to build a locally regulated platform to serve long-term client demand.

Daisy Ho, chief executive of HSBC Asset Management for Asia and the Middle East, said the funds would give retail and institutional clients access to globally diversified strategies.

HSBC Asset Management oversaw $852 billion in assets at the end of September, the bank said.

The expansion comes as HSBC reshapes its global footprint. The group has been scaling back operations in parts of the West and reorganising along East–West lines since 2024, while directing growth capital toward Asia and the Middle East under Chief Executive Georges Elhedery.

The bank has increased its focus on the region across corporate banking, investment banking, and wealth management. It recently opened a new wealth centre in Dubai and said it had doubled frontline staff serving affluent clients.

HSBC joins a growing list of financial firms building regional hubs in the Gulf, from large asset managers to global banks, as competition intensifies for capital flowing into the Middle East.