What makes ADGM different from other UAE free zones?
What makes ADGM different from other UAE free zones?
Abu Dhabi Global Market (ADGM) differs fundamentally from other UAE free zones because it was established under Abu Dhabi Law No. 4 of 2013 as a financial free zone with its own civil and commercial laws, built on English common law with its own independent courts, rather than relying on the civil law framework used across the rest of the country. This gives foreign investors and financial institutions a strong sense of legal familiarity and predictability, which is the main reason financial services firms, investment funds, and holding companies concentrate there in particular, more than it serves as a general trading hub.
Setting up in ADGM runs through its own online registration portal and involves choosing the entity type (an ordinary commercial company, a holding structure, or a regulated financial institution under the Financial Services Regulatory Authority, FSRA), then submitting the documents relevant to that activity. Regulated financial activities need additional FSRA approvals and typically take longer than a standard commercial licence. RASEEKH advises clients building a holding structure or entering a regulated financial activity to weigh ADGM from day one, precisely because of this distinct legal framework.