Abu Dhabi will be the hosting location for a new $2 billion investment platform, jointly established by Lunate and Brevan Howard.
In a significant move, alternative investment manager Lunate has joined forces with hedge fund Brevan Howard to establish a new investment platform. The partnership, which is subject to regulatory approval, marks Lunate's expansion into hedge funds.
Under the terms of the agreement, Lunate will acquire a minority ownership stake in Brevan Howard. The committed funds will be directed towards a suite of newly created funds exclusive to the partnership. As of now, Lunate manages over $110bn in assets under management (AUM), while Brevan Howard manages $34bn in AUM.
The new platform will be based in the Abu Dhabi Global Market (ADGM). This move comes after the investment firm BlackRock established its regional headquarters in the Abu Dhabi Global Market at the beginning of 2023, making it their largest office globally in terms of assets under management.
Alan Howard, founder of Brevan Howard, expressed a deep and ongoing commitment to the region in the partnership with Lunate. He stated that the partnership will leverage ADGM's infrastructure, global connectivity, and regulatory framework to deliver value to its clients. Brevan Howard has already established its regional headquarters office in ADGM, which is now its largest office globally in terms of assets managed.
Khalifa Al Suwaidi, managing partner of Lunate, stated that the partnership reflects their commitment to work with top investment firms worldwide. He also mentioned that the partnership with Brevan Howard is not the first for Lunate. In April, they announced an agreement to acquire a minority stake in Azura Partners, a firm catering to high-net-worth and ultra-high-net-worth individuals, entrepreneurs, and family offices globally.
The new platform is expected to debut with a long-term commitment of $2bn from Lunate. Further capital is anticipated to be raised from both regional and international investors as it progresses. The funds created under this partnership will benefit from Brevan Howard's established strategies and expertise, particularly in the realms of macro investments and digital assets.
This collaboration between Lunate and Brevan Howard is set to bring about exciting opportunities in the investment landscape. With the combined strengths of both firms, the new platform promises to deliver value and growth to its clients.
