Private Credit Funds are here (again)

ADGM - Final Rules in place:)

May 06, 2023

a petrol pump nozzle attached to a pump made out of credit cards. Sony a7R IV camera, Meike 85mm F1.8 lens

ADGM now permits Private Credit Funds

Perfect! So now we can finally have Credit Funds in the UAE…

Well, the DIFC has its existing regime for Credit Funds, so this is not new. But yes, more flexibility with this one.

3 sentences please.

No 90% threshold

Can invest in LCs and financial guarantees

Leverage unto 100% of NAV

Wait, can I have two more?

Yes.

Great.

Same fee and Base Capital requirements

No additional reporting

The Fund cannot lend to individuals, other lenders or speculators, btw.

That was an additional sentence, but it’s ok. This regime sounds good!