Photo taken during Leg 5 of the Volvo Ocean Race onboard Dongfeng Race Team. Last miles in the Southern Ocean. Yann Riou / Getty Images
Photo taken during Leg 5 of the Volvo Ocean Race onboard Dongfeng Race Team. Last miles in the Southern Ocean. Yann Riou / Getty Images

Sport

Donfeng’s return to Leg 5 ‘would prove to be too risky’ as boat officially retires after breaking mast

Azzam led the fleet early on Wednesday as it sped towards the finish line in Itajai, Brazil, and with a first-place finish would take an eight-point lead over Dongfeng in the Volvo Ocean Race.

Agencies

April 01, 2015

ALICANTE, SPAIN // Dongfeng Race Team announced late on Tuesday that they plan to retire from Leg 5 after breaking their mast in the Southern Ocean.

That means the boat which began the leg tied atop the competition with Abu Dhabi Ocean Racing’s Azzam will be assessed eight points for failing to finish the leg.

Azzam led the fleet early on Wednesday as it sped towards the finish line in Itajai, Brazil, and with a first-place finish would take an eight-point lead over Dongfeng.

RELATED

Charles Caudrelier, the Dongfeng skipper, had considered attempting to re-join the 6,776-nautical-mile stage from Auckland to Itajai after successfully nursing Dongfeng to Ushuaia, Argentina, earlier on Tuesday.

But on Tuesday night, a statement from the team read: “The decision has been made to motor-sail to Itajai and not rejoin the race – although skipper Caudrelier has yet to officially retire from the leg at this time, it is just a matter of protocol now.

“He will not relish this part of the administrative process and if there had been any other timely and effective way to rejoin the race and get to Brazil, he would have undoubtedly taken it.

“But even under motor-sail the delivery trip is expected to take around 10-12 days and then add the days needed to refit the boat in time for the start of Leg 6 to Newport.

“Trying to rejoin the race, which would mean returning to the point they started using the engine at the western entrance of the (Beagle) Channel, then sail south around Cape Horn would prove to be too risky, especially with rig and sails not fully fit for racing.

“It wasn’t safe to enter the Beagle Channel without the engine, even if it would have left more options for a racing departure.”

By motoring to Itajai, they will buy some time to make the repairs ready to start Leg 6 to Newport - although the timings will still be tight. The fleet is due to depart on April 19.

Dongfeng Race Team plan to leave Ushuaia for Itajai on Wednesday evening.

Early on Monday morning, a sickening crack had signaled to Caudrelier and his crew that the top section of the mast had fractured, leaving the boat without full manoeuvrability.

Follow us at our new home on Twitter @NatSportUAE

The specs

Engine: 2.0-litre 4-cylinder turbo

Power: 240hp at 5,500rpm

Torque: 390Nm at 3,000rpm

Transmission: eight-speed auto

Price: from Dh122,745

On sale: now

The%20specs
%3Cp%3E%3Cstrong%3EPowertrain%3A%20%3C%2Fstrong%3ESingle%20electric%20motor%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E201hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E310Nm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESingle-speed%20auto%0D%3Cbr%3E%3Cstrong%3EBattery%3A%20%3C%2Fstrong%3E53kWh%20lithium-ion%20battery%20pack%20(GS%20base%20model)%3B%2070kWh%20battery%20pack%20(GF)%0D%3Cbr%3E%3Cstrong%3ETouring%20range%3A%20%3C%2Fstrong%3E350km%20(GS)%3B%20480km%20(GF)%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh129%2C900%20(GS)%3B%20Dh149%2C000%20(GF)%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%3C%2Fstrong%3E%20Now%3C%2Fp%3E%0A
Abu Dhabi card

5pm: Handicap (TB) Dh100,000 2,400m

5.30pm: Wathba Stallions Cup Handicap (PA) Dh 70,000 2,200m

6pm: Abu Dhabi Fillies Classic Prestige (PA) Dh110,000 1,400m

6.30pm: Abu Dhabi Colts Classic Prestige (PA) Dh110,000 1,400m

7pm: Handicap (PA) Dh85,000 1,600m

7.30pm: Maiden (PA) Dh80,000 1,600m

The National selections:

5pm: Valcartier

5.30pm: AF Taraha

6pm: Dhafra

6.30pm: Maqam

7pm: AF Mekhbat

7.30pm: Ezz Al Rawasi  

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.”