ADGM or DIFC Foundation?

Both of the UAE’s financial free zones offer foundations under common-law-based rules. The differences lie in cost, formalities and who has to be involved.

The UAE has two leading jurisdictions for foundations: Abu Dhabi Global Market (ADGM), where English common law applies directly, and the Dubai International Financial Centre (DIFC), with its own common-law-based legislation. Families and entrepreneurs from around the world use both. Which one fits depends less on the headline features than on the details below.

The differences at a glance

Legal basis

ADGM: Foundations Regulations 2017, with English common law applying directly.
DIFC: DIFC Foundations Law 2018.

Minimum assets

ADGM: initial assets of USD 100.
DIFC: no minimum.

Registered agent

ADGM: a licensed company service provider is required unless the foundation is exempt.
DIFC: no registered agent required; the foundation needs a registered address in the DIFC.

Protection

Both jurisdictions protect foundation assets against foreign forced heirship claims. The DIFC’s firewall provisions are often described as broader.

Costs

ADGM’s government fees are generally lower than the DIFC’s, and registration is fully digital.

Our view

For families who value low set-up costs, digital registration and a licensed partner on the ground, ADGM is usually the more practical choice. Where a structure already sits in Dubai, the DIFC can make sense; through our sister firm in Dubai, we know both jurisdictions.

Last reviewed September 2026. General information, not legal or tax advice.