What are the top five reasons to establish a foundation in the UAE?

Foundations have been trusted tools for wealth planning, legacy creation and philanthropic giving for a long time. They offer a way to ringfence assets, define long-term goals and support causes or family structures over generations – and today, wealthy individuals and family offices are increasingly turning to the UAE as their jurisdiction of choice. 

Thanks to considered changes in the country’s legal framework, the UAE is fast becoming a global hub for structuring and preserving wealth. Its attractive tax environment and forward-looking financial centres make it a compelling option for those seeking to establish a robust foundation structure. 

At Interpolitan, we work to deliver the global financial infrastructure UAE foundations need, including multi-currency accounts for secure cross-border payments. Below, we’ll explore five reasons why people decide to establish their foundations in the UAE. 

Key takeaways: 

• Thanks to common law systems in DIFC and ADGM, founders benefit from flexible structures, confidential registers and strong legal protections. 

• Foundations help internationally mobile families manage estates and pass on wealth efficiently across jurisdictions. 

• With confidential registers and independent legal status, UAE foundations offer enhanced protection from personal claims and external scrutiny. 

• From family governance to philanthropy, foundations in the UAE can be tailored to suit a wide range of long-term goals. 

Important: The information in this guide is general in nature, not legally binding, and should not be considered financial or investment advice.    

1. World-class legal frameworks in DIFC and ADGM 

Circling back to legal frameworks, the UAE is home to two of the most sophisticated free zones for foundations in the world. Both the Dubai International Financial Centre (DIFC) and the Abu Dhabi Global Market (ADGM) operate under common law systems modelled on English law, offering founders a high degree of legal certainty and flexibility. 

These frameworks are well respected internationally, with strong reputations for integrity and consistency. Foundations benefit from confidential registers, founder-friendly governance rules and the ability to tailor their structures to meet personal, family or philanthropic goals. 

2. Full ownership and control over foundation assets 

One of the key benefits of a foundation – especially when compared with a trust – is that it is a legal entity in its own right. This means the foundation owns its assets outright, rather than holding them on behalf of named beneficiaries or trustees. 

For founders, this translates into greater control over time. You can define the foundation’s purpose, appoint a council to manage it and set clear rules in its governing documents. Whether you’re looking to establish a philanthropic legacy or support long-term family governance, UAE foundations give you the tools to do it on your terms. 

3. Efficient cross-border succession and estate planning 

For internationally mobile families, estate planning can be a challenge – especially when assets are spread across multiple jurisdictions. UAE foundations offer a tax-neutral, cross-border solution that simplifies the succession process. 

They can help bring clarity where local inheritance laws are unclear or restrictive. Many founders also choose to set up perpetual foundations, ensuring continuity across generations. In some cases, UAE foundations can provide protection from forced heirship rules, giving families greater autonomy over how their assets are passed on. 

4. Enhanced privacy and asset protection 

Asset protection and confidentiality remain top priorities for wealthy families around the world. UAE foundations provide both. By holding assets separately from the individual, a foundation offers protection from personal claims and visibility. 

Confidentiality is built into both ADGM and DIFC regimes. Registers are not publicly accessible, and there’s no requirement to disclose the identity of beneficiaries (where relevant) or council members, unless legally required. This makes UAE foundations particularly suitable for individuals with business interests, political exposure or complex family dynamics. 

5. Versatile use cases – from philanthropy to family governance 

Foundations are incredibly flexible. In the UAE, they can be designed to serve a wide range of purposes, from managing family assets to supporting charitable causes or preserving cultural traditions. 

Some families use foundations to centralise decision-making, distribute family wealth, and ensure governance across generations. Others use them to hold company shares or oversee business succession. And for philanthropists, foundations offer a structured, lasting way to give, often working alongside charities or NGOs to deliver impact over time. 

Finding the right financial partner for your UAE foundation 

UAE foundations offer a powerful blend of control, privacy and international relevance. For global families, entrepreneurs, and philanthropists, they can form the backbone of a long-term wealth strategy. But to make the most of them, it’s essential to work with partners who understand the cross-border complexity involved.

At Interpolitan Money, we work with founders, family offices, advisors and law firms to support the smooth, secure operation of foundations based in the UAE. Our services are designed for flexibility and scale – whether you’re just setting up your foundation or managing long-established structures. 

Complicated cross-border financial strategies demand careful management. To learn more about how we support UAE foundations, get in touch today.