Alternative investment manager Lunate has teamed up with the hedge fund Brevan Howard to establish a new investment platform, which will be based in the Abu Dhabi Global Market (ADGM).
The platform launch is subject to regulatory approval.
Under the terms of the agreement, Lunate will acquire a minority ownership stake in Brevan Howard, marking its expansion into hedge funds.
The partnership is set to debut with a long-term commitment of $2bn from Lunate, which will be directed towards a suite of newly created funds exclusive to the partnership.
These funds will benefit from Brevan Howard’s established strategies and expertise, particularly in the realms of macro investments and digital assets.
Further capital is anticipated to be raised from both regional and international investors as it progresses.
Brevan Howard’s evolution over the past two decades has seen it expand and enhance its capabilities across a variety of asset classes.
The firm established its regional headquarter office in ADGM at the beginning of 2023, which now stands as their largest office globally in terms of assets managed.
The collaboration will leverage advantage of ADGM’s infrastructure, global connectivity, and regulatory framework to deliver value to its clients.
Lunate managing partner Khalifa Al Suwaidi said: “Our new partnership with Brevan Howard marks our expansion into hedge funds and reflects our commitment to work with the best investment firms in the world, offering our clients access to unique strategies to further diversify their portfolios.”
Brevan Howard founder Alan Howard stated: “The long-term partnership with Lunate reflects our deep and ongoing commitment to the region and we look forward to building on this foundation over time.”
Lunate manages over $110bn in assets under management (AUM), while Brevan Howard manages $34bn in AUM.
In April, Lunate announced an agreement to acquire a minority stake in Azura Partners, a firm that caters to the investment needs of high-net-worth and ultra-high-net-worth individuals, entrepreneurs, and family offices around the world.
Sign up for our daily news round-up!
Give your business an edge with our leading industry insights.