Many of the richest Asian families are rethinking their exposure to Dubai due to the Iran war, Bloomberg reported.
Several consultants said their clients requested to postpone their relocation plans, while others are looking to scale back their investments in the region, the report said.
Those already located in Dubai have started formulating contingency plans in case the tension escalates, they added.
Some Asian investors once headed to the Middle East for investment opportunities and tax benefits, but are now planning to reallocate assets to Hong Kong and Singapore after reassessing the landscape, said Nick Xiao, chief executive of Annum Capital.
Dubai has attracted the global rich, with a large amount of assets flowing into the city. The United Arab Emirates ranked among the world's fastest-growing booking centres for financial assets in 2024, according to Boston Consulting Group.
It's estimated that about US$700 billion (HK$5.47 trillion) from overseas investors was booked in the UAE, while Dubai alone controls more than US$1.2 trillion from family offices, among which Asian wealth acts as a significant driver of the expansion.
