Dubai: ADIB Capital Limited, a subsidiary of Abu Dhabi Islamic Bank PJSC, has launched the ADIB Digital Infrastructure Fund at the Dubai International Financial Centre (DIFC). This new Sharia-compliant public fund aims to offer investors targeted exposure to high-conviction investments in companies within the data storage and transmission sectors, with a particular emphasis on North American and European markets.
According to Emirates News Agency, the fund is designed to provide Shari'a-compliant solutions, allowing investors to capitalise on the global digital transformation while diversifying their portfolios through digital infrastructure assets. Employing a bottom-up approach, the fund analyses individual companies and broader economic trends to invest opportunistically in a concentrated portfolio of 20 to 25 securities, which are priced at discounts to their intrinsic value, aiming for competitive risk-adjusted returns.
The digital infrastructure sector is experiencing significant growth driven by macro trends in Artificial Intelligence, Cloud Computing, E-Commerce, and mobile connectivity. The fund seeks to leverage these industry trends by investing in data centres, cell towers, fibre networks, and other critical assets. The increasing demand for connectivity, combined with a supply crunch in data storage and related assets, creates favourable conditions for targeted investments.
ADIB Capital is managing the fund in collaboration with DigitalBridge Group's affiliate, Liquid Accounts Adviser, LLC. DigitalBridge Group is a leading digital infrastructure firm with a global reach, owning and operating a wide range of digital infrastructure assets.
The fund has received approval from its Shari'a Supervisory Board, ensuring a strong Shari'a-compliant framework, which, combined with ADIB Group's robust governance and institutional infrastructure, provides investors with a high degree of confidence.
