JP Morgan is expanding into Dubai with a new private banking team, capitalizing on the city's rapidly growing reputation as a global investment and innovation hub. This move follows similar expansions by UBS, Deutsche Bank, and Lombard Odier, highlighting strong confidence in the region's potential as a haven for the world's affluent population. Dubai's appeal to high-net-worth individuals (HNWIs) has been bolstered by its tax advantages, strategic location, and political neutrality.
The UAE is projected to attract over 6,700 millionaires in 2024, more than any other country, maintaining its status as a top destination for wealthy individuals and investment firms. A JP Morgan team led by veterans Sebastian Botana de Beauvau and Carol Mushriqui from Geneva and London aims to serve a diverse clientele in the GCC from Dubai.
"The Middle East has been a fast-growing global hub for innovation, attracting global interest and investment. Our dedicated local team enhances our ability to serve our clients better," said Karim Rekik, JPM's head of Emerging Markets and Middle East, International Private Bank. The Wall Street bank plans to steadily grow the team in the coming years.
In June, UBS announced it was strengthening its wealth management team in the Middle East with 10 new hires, joining other Western banks and Asian wealth managers in expanding in the UAE. The UAE's appeal—neutral political stance, business-friendly environment, convenient time zones, and tax-free status—makes it a hotspot for investors.
Investment banking sources argue that the UAE's reputation as a reliable, safe, and appealing environment for high-net-worth families positions it well. Other factors contributing to the UAE's attractiveness include premium real estate, investor-friendly frameworks, large industrial goals, and a highly sought-after residence by investment initiative.
"The UAE's economic framework is a cornerstone of its increasing appeal to high-net-worth families. The country's future readiness, reform-driven transition agenda, and upbeat growth outlook are compelling reasons for the rich to locate here. Dubai Economic Agenda D’33 aims to double the economy by 2030 and elevate the emirate into the ranks of the top three global cities for investment, living, and working. This is complemented by Abu Dhabi’s Economic Vision 2030, seeking to revolutionize the emirate into a cutting-edge, globally competitive hub."
The World Bank's real GDP growth projection for the UAE for 2024 and 2025 at 3.9 per cent and 4.1 per cent, respectively, and a 'AA-' Long-Term Foreign-Currency Issuer Default Rating by Fitch reflect the country's moderate consolidated public debt level, strong net external asset position, and high GDP per capita.
