1. First-time sponsors launching a debut fund
A sponsor with strong investment capability but no existing ManCo infrastructure. FaaS shortens the time-to-market from 18-24 months (for self-established ManCos) to ~3-6 months.
Services · Funds-as-a-Service
Funds-as-a-Service under CMA regulation.
For sponsors running their own investment mandate who need regulated fund infrastructure, NIFM hosts the fund on the CMA license. A duly authorised and regulated sponsor keeps investment control; NIFM provides the regulatory envelope.
What FaaS is
A regulated fund, without the ManCo overhead.
Funds-as-a-Service (FaaS) is a commercial arrangement in which a licensed Management Company (NIFM, in this case) hosts a fund on its regulatory license on behalf of a sponsor who provides the investment mandate. The sponsor keeps full control over the fund's investment decisions, strategy, and portfolio. NIFM provides the CMA license, the regulatory oversight, the operational infrastructure (fund administration, custody coordination, compliance), and — where the sponsor wants — the distribution channel into UAE investors.
For the sponsor, FaaS means the ability to launch a regulated fund in months rather than years, at a fraction of the cost of establishing an own-branded ManCo, with none of the multi-million-dollar capital requirements and regulatory overhead that come with holding one's own Category 2 license.
When FaaS makes sense
The five scenarios where sponsors choose FaaS.
2. Single-strategy managers
A sponsor with one specific strategy who does not want to run a ManCo. FaaS gets the strategy into a CMA-regulated vehicle without committing to the operational overhead of a standalone ManCo.
3. Asset managers entering the UAE for the first time
A foreign asset manager who wants a UAE-regulated fund structure for strategic reasons (e.g., access to UAE and GCC investors under a CMA umbrella) without the time and cost of establishing a UAE entity.
4. Specialist strategies with limited AuM
A niche strategy whose projected AuM does not justify the fixed costs of running a dedicated ManCo. FaaS amortises NIFM's regulatory infrastructure across multiple funds, making smaller-AuM specialist funds economically viable.
5. Pre-GP sponsors validating a strategy
A sponsor who wants to demonstrate a track record in a CMA-regulated vehicle before eventually establishing their own ManCo. FaaS provides the regulated vehicle without locking the sponsor into NIFM's infrastructure long-term.
What the sponsor keeps, what NIFM provides
A clean division of labour.
What the sponsor retains
- Investment strategy and portfolio decisions
- Branding of the fund (sponsor's name, not NIFM's)
- Investor relationships on the investment-strategy side
- Fund economics (carry, performance fee, management fee ownership)
- Long-term discretion to migrate to an own ManCo in future
What NIFM provides
- CMA Category 2 license under which the fund operates
- Regulatory oversight of the fund's activities
- Fund incorporation and CMA approval process
- Appointment and supervision of service providers (admin, custodian, auditor)
- Compliance, AML/CFT, regulatory reporting
- Optional: CMA Category 5 distribution to UAE investors
Commercial structure
FaaS engagement in practice.
NIFM's FaaS engagements are structured around a Fund Management Agreement (for the Category 2 side), an optional Distribution Agreement (for the Category 5 side), and a clear economic split between NIFM's management fee and the sponsor's performance fee / carry. Typical commercial terms are negotiated case-by-case based on the strategy, projected AuM, and scope of services NIFM provides.
The engagement is long-term but not captive. Sponsors who later want to migrate the fund to their own ManCo license (either onshore UAE or in another jurisdiction) can do so through an orderly transfer process — this optionality is built into NIFM's FaaS agreements by design.
UAE fund hosting — frequently asked.
What is fund hosting in the UAE?
Fund hosting in the UAE means launching a regulated fund on the licence of an existing CMA-regulated Management Company (ManCo) rather than applying for your own UAE ManCo licence. The sponsor retains investment decision-making while the host ManCo provides the regulatory wrapper, governance, compliance and reporting under its CMA permissions.
Is NIFM a CMA-regulated fund hosting company in Abu Dhabi?
Yes. NIFM is a CMA-regulated UAE ManCo headquartered in Abu Dhabi that hosts third-party funds under its Funds-as-a-Service offering. Sponsors can launch a UAE fund on NIFM's CMA licence without standing up their own UAE ManCo, while retaining full investment control.
What is the difference between fund hosting under ADGM (FSRA) and UAE mainland (CMA)?
ADGM fund hosting takes place in Abu Dhabi Global Market, a financial free zone regulated by the FSRA, and is generally aimed at international and institutional investors. UAE mainland CMA fund hosting takes place under the federal Capital Markets framework and is the route that gives access to onshore UAE retail and corporate investors. NIFM provides the UAE mainland CMA fund hosting route.
What is a CMA ManCo?
A CMA ManCo is a Management Company licensed by the UAE's Capital Markets Authority to act as the regulated Management Company of one or more collective investment funds onshore in the UAE. NIFM is a CMA ManCo holding Category 2 (Fund Management) and Category 5 (Distribution and Promotion) licences.