Abu Dhabi’s sovereign investor Mubadala Investment Company has reported a significant increase in its assets under management, underscoring the strength of its long-term investment strategy at a time when global markets remain uncertain.
Mubadala’s assets under management grew 17 percent year-on-year in 2025, reaching $385 billion (AED1.4 trillion). The growth reflects strong portfolio performance across sectors and geographies, reinforcing the fund’s role as a central pillar of the UAE’s economic diversification strategy.
While sovereign wealth funds often operate at a distance from everyday economic life, Mubadala’s performance offers a window into how long-term capital is being deployed to shape future industries, both within the UAE and globally.
Growth Built on Long-Term Strategy
At the center of Mubadala’s performance is a strategy that prioritizes sustained investment in sectors expected to drive future economic growth. These include technology, infrastructure, healthcare, and energy transition industries.
Khaldoon Khalifa Al Mubarak, Managing Director and Group CEO, said: “The strength of Mubadala’s performance in 2025 reflects the long-term strategy to invest in key sectors of growth in the UAE and abroad. That strategy and our portfolio performance over the last five and ten years means Mubadala remains resilient and well positioned to weather the current challenges facing the regional and global economy.”
He added that consistent portfolio performance over five- and ten-year periods has positioned the company to navigate ongoing economic challenges with resilience.
The fund reported annualized returns exceeding 10 percent over both five- and ten-year horizons, highlighting the consistency of its investment model despite broader market volatility.
Capital Deployment and Returns Remain Strong
Beyond asset growth, Mubadala’s investment activity also expanded significantly.
Capital deployment rose 20 percent year-on-year to $39 billion (AED143 billion), while proceeds increased 27 percent to $38 billion (AED138 billion).
These figures point to a high level of portfolio activity, with Mubadala continuing to actively rotate capital across sectors and regions rather than taking a passive investment approach.
In practical terms, this means the fund is not only growing in size but also maintaining momentum in how it allocates and recycles capital, a key factor in sustaining long-term returns.
Expanding Role in Future-Focused Sectors
Mubadala’s recent activity reflects a growing emphasis on sectors tied to technological transformation, particularly artificial intelligence and advanced manufacturing.
In 2025, the company continued to expand its capabilities in AI and deepen its involvement in industries that are expected to play a central role in the UAE’s future economy.
This shift aligns with broader national priorities, as the UAE seeks to reduce reliance on hydrocarbons and build a more diversified, knowledge-based economy.
At the same time, Mubadala maintains a global footprint, with investments spanning North America, Europe, Asia, and emerging markets. A significant portion of its portfolio remains concentrated in international markets, reflecting a strategy that balances domestic development with global opportunity.
The timing of the results is notable. Global markets have faced a mix of pressures, from inflation and interest rate shifts to geopolitical uncertainty. Against this backdrop, Mubadala’s ability to deliver consistent returns and expand its asset base signals a level of resilience that extends beyond short-term market cycles.
More Than Just Numbers
While the headline figures, $385 billion (AED1.4 trillion) in assets and double-digit returns, capture attention, the underlying story is more about direction than scale.
Mubadala has spent years positioning itself as a long-term investor capable of identifying and supporting industries that may define the next phase of economic growth. That includes not only large-scale infrastructure and energy investments, but also emerging technologies and new business models.
The result is a portfolio that is both diversified and forward-looking, designed to absorb volatility while still capturing growth opportunities.
Mubadala’s performance also reflects the broader trajectory of Abu Dhabi’s sovereign investment ecosystem, which has become one of the most influential globally.
Together with other major funds, Mubadala plays a key role in channeling capital into sectors that align with national priorities, from clean energy and digital infrastructure to advanced manufacturing and life sciences.
In that sense, its growth is not just a financial outcome. It is part of a wider strategy to reshape the economic foundations of the UAE over the long term.
