Elton feels the PR love



Will you be having the steak or the vegetarian option ce soir, madame?" The steak, of course, and yes sir, you can refill my glass, but considering the level of luxury I'd been subject to for the past three days in Paris, this was one of those rare moments when even the vegetarian option seemed appealing. As one of two journalists ­invited to observe international real estate high rollers in action during the launch of the Dubai Pearl project in Paris, I took the opportunity to enjoy hotels, restaurants and modes of transportation I would never be able to afford myself.

So after the official announcement of this multi-billion-dollar development project, held in none other than the five-star Four Seasons George V, the group - consisting of investors, potential investors and the ever-charming Dubai Pearl sales team - spilt into the dining hall, in the centre of which was a crystal chandelier, big and heavy enough to crush at least a handful of the fat cats sitting beneath it.

As the most underdressed ­person in attendance, I was by no means disturbed by my ­placement at the table in the back corner. The immaculately dressed woman next to me leant in and whispers loudly, "Did anyone tell you who the entertainment was tonight?" With the PR team having kept me on a strict need-to-know basis (in which I seemed to need to know nothing), I replied, "No", excusing myself to the ­ladies room.

Upon my return, I pulled open the door to the dining hall to the sounds of Elton John's Your Song, and the sight of the one and only himself, sitting at a piano, comfortable in his signature sunglasses and suit. The man's become a parody of himself, I thought. How much he must have been paid became the question of the night. The performance itself wasn't bad - it included a 10-minute version of Rocket Man and such classics as Daniel, Tiny Dancer and I Guess That's Why They Call It the Blues - and he had the advantage of playing to a crowd for whom he could clearly do no wrong. (It isn't easy to get a 150kg man in a suit out of his padded chair and up dancing like he hasn't since the 1970s.)

Dubai Pearl needed to impress. And with Elton, they did. Yet with a net worth estimated at roughly $500 million (Dh1.8 billion), does the Rocket Man just do it for the money? Surely the cheque from Dubai Pearl was just another drop in the bucket. After his performance, applause lasted for about 20 minutes, though Elton John still couldn't be bothered to slither out for an encore. Either way, it doesn't matter. Decades later, Elton is still loved. His fans forgive him for his outfits, his rude behaviour, his involvement in Disney films. We could all feel the love that night.

@Email:jhume@thenational.ae

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

SERIES INFO

Afghanistan v Zimbabwe, Abu Dhabi Sunshine Series

All matches at the Zayed Cricket Stadium, Abu Dhabi

Test series

1st Test: Zimbabwe beat Afghanistan by 10 wickets
2nd Test: Wednesday, 10 March – Sunday, 14 March

Play starts at 9.30am

T20 series

1st T20I: Wednesday, 17 March
2nd T20I: Friday, 19 March
3rd T20I: Saturday, 20 March

TV
Supporters in the UAE can watch the matches on the Rabbithole channel on YouTube

Company%20profile
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Match info

Uefa Nations League Group B:

England v Spain, Saturday, 11.45pm (UAE)

FFP EXPLAINED

What is Financial Fair Play?
Introduced in 2011 by Uefa, European football’s governing body, it demands that clubs live within their means. Chiefly, spend within their income and not make substantial losses.

What the rules dictate? 
The second phase of its implementation limits losses to €30 million (Dh136m) over three seasons. Extra expenditure is permitted for investment in sustainable areas (youth academies, stadium development, etc). Money provided by owners is not viewed as income. Revenue from “related parties” to those owners is assessed by Uefa's “financial control body” to be sure it is a fair value, or in line with market prices.

What are the penalties? 
There are a number of punishments, including fines, a loss of prize money or having to reduce squad size for European competition – as happened to PSG in 2014. There is even the threat of a competition ban, which could in theory lead to PSG’s suspension from the Uefa Champions League.

Nayanthara: Beyond The Fairy Tale

Starring: Nayanthara, Vignesh Shivan, Radhika Sarathkumar, Nagarjuna Akkineni

Director: Amith Krishnan

Rating: 3.5/5

COMPANY PROFILE
Name: HyperSpace
 
Started: 2020
 
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
 
Based: Dubai, UAE
 
Sector: Entertainment 
 
Number of staff: 210 
 
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
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Disclaimer

Director: Alfonso Cuaron 

Stars: Cate Blanchett, Kevin Kline, Lesley Manville 

Rating: 4/5

The specs

Engine: 3.8-litre V6

Power: 295hp at 6,000rpm

Torque: 355Nm at 5,200rpm

Transmission: 8-speed auto

Fuel consumption: 10.7L/100km

Price: Dh179,999-plus

On sale: now 

Dolittle

Director: Stephen Gaghan

Stars: Robert Downey Jr, Michael Sheen

One-and-a-half out of five stars