A Mubadala Investment Company, the strategic investment arm of Abu Dhabi, has announced a 9.5 percent increase in its asset base for the year 2024, rising to Dh1.2 trillion ($326 billion). The company’s growth has been driven by investments in cutting-edge sectors such as artificial intelligence (AI), healthcare, and advanced manufacturing, positioning it as a significant player in the global investment landscape.
Mubadala’s impressive asset growth was accompanied by strong annualized returns of 10.1 percent over the last five years. The company’s focus on future-focused investments and diversifying beyond oil revenue sources aligns with Abu Dhabi’s long-term economic strategy.
“We have built a portfolio that not only thrives across market cycles but also capitalizes on the growth of sectors critical for the future,” said Khaldoon Al Mubarak, the managing director and group CEO of Mubadala. “These sectors include AI, clean energy, life sciences, semiconductors, and advanced manufacturing, all strategically aligned with the UAE’s national priorities.”
A key milestone in 2024 was the creation of MGX, a technology company formed in collaboration with the Artificial Intelligence and Advanced Technology Council, G42, and Mubadala as founding partners. This partnership highlights Mubadala’s commitment to advancing the technology and AI sectors, with a focus on building sustainable, high-value partnerships in these rapidly growing industries.
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Capital deployment across sectors saw a substantial increase of 33.7 percent year-on-year, reaching Dh119 billion. Mubadala’s portfolio mix remained relatively consistent, with 40 percent allocated to private equity, 23 percent to public markets, and 17 percent to infrastructure and real estate. This diversification strategy has helped the company balance risk and seize opportunities across a wide array of industries.
“We deployed significant capital across both mature and emerging markets, targeting new global value chains and demographic megatrends, while reinforcing our presence in key investment destinations,” Al Mubarak added.
In terms of global standing, Mubadala was recognized as the world’s largest sovereign wealth fund investor in 2024, surpassing Saudi Arabia’s Public Investment Fund, according to Global SWF, an industry specialist. Mubadala’s efforts are key to Abu Dhabi’s broader strategy of reducing its dependency on oil by diversifying its investment portfolio across multiple sectors and asset classes, spanning six continents.
Investment Mubadala
Recently, Mubadala entered into a significant partnership with Fortress Investment Group, committing $1 billion to invest in Fortress’s existing private credit, asset-based lending, and real estate strategies. Additionally, Mubadala Capital, the investment firm’s asset management subsidiary, has formed a strategic alliance with TWG Global, a holding company led by US billionaires Mark Walter and Thomas Tull. The alliance involves a $2.5 billion commitment from TWG Global and reflects Mubadala’s ongoing expansion in global markets.
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Mubadala Capital has grown to manage Dh110.2 billion, with two-thirds of the assets managed on behalf of global investors. In addition, the company exceeded its target for private equity fund IV, closing with total commitments of Dh11.4 billion, surpassing its original goal by more than Dh3.6 billion. Mubadala’s private credit portfolio now stands at Dh73.5 billion, with support from major global players such as Apollo, Ares, Carlyle, Goldman Sachs, and KKR.
The technology sector remains a focal point for Mubadala, with significant investments in AI. In September 2024, MGX co-led a Dh110.2 billion AI infrastructure partnership alongside major players like Microsoft, BlackRock, GIP, Nvidia, and xAI. Mubadala has also made investments in high-profile companies including OpenAI, Anthropic, and Databricks, cementing its position as a leader in AI innovation.
Furthering its commitment to the UAE’s national goals, Mubadala has supported the growth of the life sciences sector, particularly in strengthening national drug security and addressing the global demand for essential medicines.
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Al Mubarak emphasized the company’s long-term approach to value creation through institutions such as Masdar, M42, Emirates Global Aluminium, and GlobalFoundries, all of which represent Mubadala’s strategic investments in sectors that will drive future economic growth.
Mubadala’s strong financial position is further supported by a conservative gearing ratio of 7.8 percent, which Chief Financial Officer Carlos Obeid believes positions the company well for continued success in future investments.
As Mubadala continues to grow and diversify its portfolio, its commitment to sustainable and high-impact investments in the AI, healthcare, clean energy, and advanced manufacturing sectors ensures its central role in shaping the future of global economies.
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