DUBAI // The UAE will be required to license its trade in the endangered scalloped hammerhead shark for the first time following the introduction of a new measure designed to protect the species.
Scalloped hammerheads are regularly caught in Omani waters and brought to Deira Fish Market, where the fins sell for high prices. The fins are exported to China where they are used to make a soup that is regarded as a highly prized delicacy. Those of hammerhead sharks are particularly valued.
Until now the trade has gone unregulated, even though the species is listed as endangered by the International Union for Conservation of Nature (IUCN).
However, the scalloped hammerhead was included in appendix III of the Convention on International Trade in Endangered Species (Cites) last month.
News of its inclusion caused a stir among delegates at the Shark Conservation in Arabia Workshop in Dubai yesterday, as the development had gone largely unnoticed.
It means the UAE and Oman will have to establish licensing systems for the international trade in scalloped hammerheads. Oman and other countries in the region that export scalloped hammerhead fins to the UAE will have to prove that the sharks were legally caught.
The requirements are binding on all Cites member countries, and the UAE has been a member since 1990.
"This could be a game-changer here in UAE and the region," said Nick Dulvy, co-chair of the IUCN's shark specialist group, who took part in the workshop. "Many hammerheads at the fish market in Dubai come from Oman. The scalloped hammerhead fins re-exported from the UAE come from other countries in the region.
"The implication of this is that all exporting countries need to provide a certificate of origin and a statement that the species was caught legally. Any re-exporting country must also have certification."
The species was included in Appendix III on September 25, and all countries involved in the trade have 90 days from that date to introduce the required arrangements. "This measure, once implemented, will go a long way to getting vital statistics on the trade in scalloped hammerheads," added Mr Dulvy.
In a separate move, a proposal to include the scalloped hammerhead and two other hammerhead species in Appendix II of Cites will be considered next March. If the proposal is successful, the sharks will receive even greater protection.
The shark conservation workshop was organised by the International Fund for Animal Welfare in partnership with the Ministry of Environment and Water and Sharkquest Arabia.
csimpson@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.”
North Pole stats
Distance covered: 160km
Temperature: -40°C
Weight of equipment: 45kg
Altitude (metres above sea level): 0
Terrain: Ice rock
South Pole stats
Distance covered: 130km
Temperature: -50°C
Weight of equipment: 50kg
Altitude (metres above sea level): 3,300
Terrain: Flat ice
Nayanthara: Beyond The Fairy Tale
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Company name: Dharma
Date started: 2018
Founders: Charaf El Mansouri, Nisma Benani, Leah Howe
Based: Abu Dhabi
Sector: TravelTech
Funding stage: Pre-series A
Investors: Convivialite Ventures, BY Partners, Shorooq Partners, L& Ventures, Flat6Labs
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This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
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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Number of tracks: 11
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Stars: Cate Blanchett, Kevin Kline, Lesley Manville
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