Middle East private-capital firms are outbidding Asia on compensation, with senior professionals pulling in up to USD 750k a year as firms lean on pay to secure scarce talent, according to Heidrick & Struggles’ 2025 Asia Pacific & Middle East Private Capital Investment Professional Compensation Survey (pdf).

Firms are competing for a narrow pool of dealmakers with execution and fundraising track records, particularly as Abu Dhabi and Riyadh scale as talent hubs and absorb new funds and strategies.

The Middle East is increasingly pulling professionals from established hubs, as the appeal of the region as a private capital growth market grows. “Global and regional managers alike are increasingly optimistic, viewing the region as a growth market for capital formation, alongside a growing interest in the Middle East as a destination for investment deployment,” the report said, adding that Riyadh and Abu Dhabi in particular are emerging as talent hubs in terms of both an influx of international talent and the sustained dominance of regional senior talent.

Disclaimer: The report notes it was written before the war hit the region, and that today “market conditions have become markedly more uncertain.”

What the backdrop was like before the war: Capital was flowing into infrastructure, as well as private debt, real estate, and private equity, reinforcing the need for firms to staff up (and pay up) to deploy it.

Base salaries and bonuses have risen for two consecutive years, with around two-thirds of firms reporting increases across both. That signals a sustained reset in pay levels rather than a one-off bidding war. Managing partners are averaging around USD 750k in total direct compensation, with partners and managing directors close behind at USD 719k, and principals at roughly USD 503k.

Bonuses are doing much of the work and, at the very top, can swing outcomes enough that some partners out-earn managing partners.

After the war, it’s about who sticks and who manages to navigate the conflict: Judgment is being priced in, specifically operators who can read “geopolitical shifts, capital flows, and market dynamics as a single picture,” Shadi El Farr, regional managing partner at Heidrick & Struggles, told Arabian Business.

The outlook had been positive for MPs for the next 18 months: Nearly 78% of firms expect base salaries to rise further over the next 18 months, according to the report.

The good news: As we’ve recently noted, private capital has been holding up, even against the backdrop of regional conflict.

TASI

11,268

-0.1% (YTD: +7.4%)

MSCI Tadawul 30

1,517

0.0% (YTD: +9.3%)

NomuC

22,552

0.0% (YTD: -3.2%)

USD : SAR (SAMA)

USD 3.75 Sell

USD 3.75 Buy

Interest rates

4.25% repo

3.75% reverse repo

EGX30

46,399

-0.7% (YTD: +10.9%)

ADX

9,601

+0.2% (YTD: -3.9%)

DFM

5,485

-0.5% (YTD: -9.3%)

S&P 500

6,583

+0.1% (YTD: -3.8%)

FTSE 100

10,436

+0.7% (YTD: +5.1%)

Euro Stoxx 50

5,693

-0.7% (YTD: -1.7%)

Brent crude

USD 109.03

+7.8%

Natural gas (Nymex)

USD 2.80

-0.7%

Gold

USD 4,680

-2.8%

BTC

USD 67,264

+0.5% (YTD: -23.2%)

Sukuk/bond market index

911.81

-0.3% (YTD: -0.8%)

S&P MENA Bond & Sukuk

149.14

-0.3% (YTD: -1.8%)

VIX (Volatility Index)

23.87

-2.7% (YTD: +59.7%)

THE CLOSING BELL: TADAWUL-

The TASI fell 0.1% on Thursday on turnover of SAR 5.8 bn. The index is up 7.4% YTD.

In the green: SSP (+10.0%), Emaar EC (+10.0%), and MESC (+10.0%).

In the red: Raydan (-6.9%), SPCC (-3.9%), and Saleh Alrashed (-3.9%).

THE CLOSING BELL: NOMU-

The NomuC remained unchanged on Thursday on turnover of SAR 26.7 mn. The index is down 3.2% YTD.

In the green: Wajd Life (+8.1%), Yaqeen (+7.5%), and Group Five (+6.8%).

In the red: Time (-13.5%), Alhasoob (-10.0%), and NGDC (-9.8%).

CORPORATE ACTIONS-

The Capital Market Authority greenlit Seera Group Holding’s 8.7% capital reduction to SAR 2.7 bn, according to a Tadawul statement. The SAR 259.5 mn cut will trim shares to 274.05 mn from 300 mn. The move is still pending shareholder approval.

Tags: