ADGM removes nexus requirement for Special Purpose Vehicles

The Abu Dhabi Global Market has eliminated its nexus requirement for Special Purpose Vehicles, fundamentally transforming access to its established structuring regime. Historically, applicants seeking to establish an ADGM SPV were required to demonstrate a sufficient connection to the UAE or the wider GCC region through ownership by GCC residents, UAE-regulated entities, or asset holdings within the GCC. The jurisdiction has shifted regulatory emphasis away from geographic eligibility tests toward a governance-focused framework emphasizing transparency, compliance, and the legitimate purpose of holding structures. The removal reflects the ADGM's confidence that governance and oversight are now achieved through licensed Corporate Service Providers (CSPs) and a mature regulatory framework. Non-exempt SPVs remain subject to the requirement to appoint an ADGM-licensed CSP. The decision broadens access to ADGM SPVs for investors, family offices, multinational groups and private wealth structures regardless of whether their shareholders, directors, assets or investments have any pre-existing connection to the UAE or GCC.