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New Fund Targets Professional Investors Seeking Diversified Digital Exposure
Abu Dhabi-based investment platform AltNovel has partnered with global digital asset manager 3iQ to launch the AltNovel Digital Access Portfolio (ADAP), the first multi-strategy digital assets fund of its kind in the Middle East. Based in the Abu Dhabi Global Market (ADGM) and regulated by the Financial Services Regulatory Authority (FSRA), the fund aims to provide professional investors with institutional-grade access to diversified digital asset strategies.
The launch of ADAP adds a new dimension to the region’s evolving fintech and investment ecosystem, highlighting growing institutional interest in regulated exposure to digital assets.
A Multi-Strategy Approach to Digital Asset Investment
ADAP is designed as a portfolio of alpha-oriented digital asset hedge funds, targeting high absolute returns while aiming for lower correlation to traditional markets. The fund strategy focuses on delivering improved risk-adjusted returns compared to long-only exposures to assets such as Bitcoin, equities, and broader crypto portfolios.
Structured for qualified professional investors, ADAP seeks to minimize volatility and drawdowns while targeting annualized returns of over 20%. According to its sponsors, the strategy also integrates multiple risk-managed frameworks designed to stabilize performance in unpredictable market cycles.
The partnership combines 3iQ’s global asset management expertise with AltNovel’s regional structuring and investor access. Together, they aim to meet the growing demand among private clients for diversified, compliant entry points into the digital asset class.
Growing Market for Regulated Digital Finance
The ADAP launch comes as the UAE continues to position itself as a global hub for fintech innovation, particularly within the ADGM. Local regulation has increasingly supported the development of institutional-grade digital asset offerings, helping to attract both regional capital and global financial partners.
AltNovel, established in 2023, focuses on alternative investment solutions for accredited investors. Operating from ADGM, the firm offers access to private market opportunities via a technology-led approach that emphasizes transparency and portfolio diversification.
3iQ, based in Canada, has built a global footprint through a range of digital asset investment products, including actively managed funds and exchange-traded products. The firm is known for its focus on risk management, structured product offerings, and regulated fund frameworks.
Strategic Expansion Through Collaboration
The collaboration between AltNovel and 3iQ is part of a broader trend in digital finance, where regional platforms are joining forces with established asset managers to deliver localized, regulation-first offerings. By introducing a multi-strategy fund model tailored for the GCC region, the ADAP initiative reflects increasing investor appetite for more sophisticated and controlled access to crypto and blockchain-based investment strategies.
The new fund also aligns with broader efforts across the Middle East to deepen capital markets, modernize wealth management, and foster financial innovation that balances opportunity with oversight.
Outlook
As demand for digital asset investment continues to evolve, regulated frameworks and professional-grade structures are becoming key differentiators. The launch of ADAP under ADGM supervision signals a maturing regional market — one that is aligning itself with global standards while responding to local investor expectations.
AltNovel and 3iQ’s partnership represents not just a first for the region, but a potential blueprint for how fintech and asset management firms can collaborate to deliver next-generation investment vehicles in high-growth markets.
