Digital wealth management platform StashAway is expanding its offerings for UAE-based high-net-worth individuals (HNWIs), providing greater access to private markets. The move comes as the firm experiences significant growth, with its affluent client segment accounting for over 75% of its growth in the UAE over the last year.
Tapping Into a Growing Affluent Market
StashAway’s expansion aligns with a broader trend in the UAE, which is projected to attract nearly 10,000 new millionaires by the end of 2025. As the country solidifies its position as a global wealth hub, its wealth management sector is increasingly digitizing, with a rising demand for alternative investment opportunities among affluent investors.
The new semi-liquid portfolios in private infrastructure and private equity are managed by Hamilton Lane, a leading global private market specialist with over US $956 billion in assets under management.
Democratizing Private Market Investments
With opportunities for wealth creation increasingly shifting from public to private markets, StashAway aims to make these asset classes more accessible. Globally, the number of publicly listed companies has significantly declined, while private businesses continue to expand, highlighting the growing importance of private equity and infrastructure.
The new offerings allow clients to access an asset class with target net annual returns of 10-12% (private equity) with significantly lower minimums and fees compared to traditional private banks. StashAway clients will pay a management fee as low as 0.5%, a stark contrast to the typical 3.5% charged by private banks.
Michele Ferrario, Co-founder and CEO of StashAway, commented, “We’ve seen tremendous demand from high-net-worth investors who value the transparency and unbiased wealth advisory that we offer. Now, we’re bringing that same trusted experience to private markets, making it simple for investors to access high-quality, institutional-class opportunities.”
A key feature of the new portfolios is their semi-liquid structure. Unlike traditional funds that often have lock-up periods of 10 to 15 years, StashAway’s offering allows investors to access their capital after a short initial lock-up, providing greater flexibility.
A Strategic Portfolio Diversification
Raaed Sheibani, UAE Country Manager at StashAway, highlighted the challenges many investors face. “A diversified portfolio with exposure to private markets is vital for high-net-worth investors seeking to build long-term wealth. But many clients tell us that high minimums and long lock-ups of traditional private market funds make it hard to get started or maintain the right allocation. We’re committed to making these opportunities more accessible.”
Both portfolios provide multi-manager and sector diversification through a single investment. The Private Infrastructure portfolio covers sectors like energy, transport, and digital networks, while the Private Equity portfolio is diversified across various life stages, geographies, and vintages.
Historically, both asset classes have shown stronger performance and lower volatility compared to public equities. For instance, adding a 10% private infrastructure allocation to a traditional 60/40 portfolio between 2014 and 2024 would have boosted returns by 5.3% while reducing volatility by 10.6%.
About StashAway
StashAway is a digital investment platform launched in 2017 to empower people to build and protect wealth in the long term. Offering simple, intelligent, and cost-effective investment and cash management solutions, StashAway has led the way in transforming how people invest and grow wealth. Today, StashAway operates in five markets: Singapore, Malaysia, Hong Kong, the UAE, and Thailand, with billions of dollars in assets under management. In the UAE, StashAway is regulated by the Dubai Financial Services Authority and is based in the Dubai International Financial Centre (DIFC).
Source: Zawya
