The ADGM is one of the two Financial Free Zones within the UAE with its own civil and commercial laws. At the heart of the ADGM model is an independent risk-based regulator, the Financial Services Regulatory Authority (FSRA), which grants licenses and regulates the activities of all banking and financial institutions in ADGM. As a financial free zone with an independent jurisdiction, ADGM has three independent authorities:
- Financial Services Regulatory Authority (FSRA);
- Abu Dhabi Global Market Registration Authority (ADGM RA) and;
- ADGM Courts operating under English common law;
These three authorities ensure that ADGM offers a highly professional yet business-friendly environment operating with the best practices and recognized by all the major financial centers across the world.
The ADGM Regulatory regime for Funds has been designed to meet international standards for regulation and, where required, to provide adequate investor protection.
The FSRA has provided a facilitative, business-friendly regulatory framework while remaining compliant with the International Organisation of Securities Commission’s (IOSCO) principles for regulating Funds.