NNot so long ago, anyone from this region who faced a funding shortfall in achieving their artistic aspirations was limited in their options.
They could either plead to a wealthy benefactor to help them out, or go through the protracted process of applying to an arts fund.
It all changed in July 2012, when Vida Rizq and Lotfi Bencheikh launched Aflamnah, the first crowdfunding platform in the Middle East.
Following the model of companies such as Kickstarter and Indiegogo in the West, it aims to give filmmakers, artists, graphic novelists and other creative types the means to raise the cash in small amounts from numerous donors.
Gaining momentum
Rizq said the first few months of running Aflamnah, which takes its name from an Arabic word meaning “our stories” or “our films”, had been “a roller-coaster ride of emotions” with as many disappointments as successes. But they gradually bore down on their key targets and aims.
“The challenges are that crowdfunding is a full-time job. You have to work so hard to achieve the word out there because we’re a new concept in the region,” she says.
Crowdfunding, or crowd-sourcing as it’s also known, is becoming increasingly prevalent worldwide, especially in North America. Even high-profile film industry figures, such as the director Spike Lee and the actor Zachary Quinto (Spock in the recent Star Trek movies), have used the method to kick-start their cinematic ventures.
Rizq says it is gaining momentum here, too. In their 16 months of existence the number of new projects that they start each month has risen from two in July 2012 to six in October 2013.
“We were recently at the Abu Dhabi Film Festival, where we held a seminar, and we struggled to find someone who hasn’t heard of us, which was heartening,” she recalls.
Pitching for support
One would think that in the Gulf, which statistically has a wealthier population than elsewhere, artists seeking help via crowdfunding would have no difficulties accumulating money.
Rizq says this is true to some extent – the average donation on Aflamnah is US$200 (Dh734) as opposed to $70 (Dh257) in the West – but there are other challenges.
“Because crowdfunding is so new here, it takes an average of seven communications [between the artist and potential donor] before someone takes their wallet out.
“[Donors] need to hear about it, they need to hear other people are getting behind it and they need to believe you’re going to do what you promise.
“We’ve found projects that offer some kind of tangible, physical something tend to get more support.”
This “something” could be a walk-in part in the proposed film, a signed copy of a script or graphic novel, or a mention in the credits.
She cited one project, the Playhouse Theatre in Dubai. Its would-be founders, Tiffany and Kemsley Dickinson, are promising seats marked with benefactors’ names in the proposed community theatre for $300 (Dh1,102) each.
Anyone who is generous enough to hand over $3,000 (Dh11,020) will have the honour of seeing a play about their life staged at the venue.
That said, Rizq says people should not be ashamed if they cannot afford such grand amounts.
“The idea of crowdfunding is that you have lots of people giving small amounts of money,” she contends.
“We want to feel comfortable if people give $10 [Dh37] and not feel pressured to give more, just because they live in the UAE and have a more disposable income.”
Success story
While there have been many projects she’s proud of, one that stands out for Rizq is When I Saw You, the award-winning feature film about the plight of Palestinian refugees in the aftermath of the 1967 Arab-Israeli War.
“We were really, really proud to have been associated with this film,” enthuses Rizq.
“This was one of our launch projects. It got theatrical release and won all these awards so it’s a success story all around.
“They raised the money for marketing and distribution, and this really helped to get the word out about this great film.”
While not all their projects have achieved such acclaim, Rizq says she’s also proud of the effect they’re having on the cultural scene in the UAE and beyond.
“People in the region have been used to having content and culture delivered to them. But now they can suddenly have a say on what kind of content and culture they want delivered to them,” she says.
Visit www.aflamnah.com for more information
in figures
47
projects so far
17%
have reached 100 per cent or more of their funding target. The international average is 25 per cent
10.6%
have achieved more than their goals. One project, When I Saw You, more than doubled its target
40%
have reached more than half their targets
On average, projects reach
40%
of their targets
Almost $200,000 has been raised in
16
months
The average contribution is over
$200
as opposed to $70 internationally
The largest contribution in cash has been
$10,000
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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.”
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Name: Dr Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
The smuggler
Eldarir had arrived at JFK in January 2020 with three suitcases, containing goods he valued at $300, when he was directed to a search area.
Officers found 41 gold artefacts among the bags, including amulets from a funerary set which prepared the deceased for the afterlife.
Also found was a cartouche of a Ptolemaic king on a relief that was originally part of a royal building or temple.
The largest single group of items found in Eldarir’s cases were 400 shabtis, or figurines.
Khouli conviction
Khouli smuggled items into the US by making false declarations to customs about the country of origin and value of the items.
According to Immigration and Customs Enforcement, he provided “false provenances which stated that [two] Egyptian antiquities were part of a collection assembled by Khouli's father in Israel in the 1960s” when in fact “Khouli acquired the Egyptian antiquities from other dealers”.
He was sentenced to one year of probation, six months of home confinement and 200 hours of community service in 2012 after admitting buying and smuggling Egyptian antiquities, including coffins, funerary boats and limestone figures.
For sale
A number of other items said to come from the collection of Ezeldeen Taha Eldarir are currently or recently for sale.
Their provenance is described in near identical terms as the British Museum shabti: bought from Salahaddin Sirmali, "authenticated and appraised" by Hossen Rashed, then imported to the US in 1948.
- An Egyptian Mummy mask dating from 700BC-30BC, is on offer for £11,807 ($15,275) online by a seller in Mexico
- A coffin lid dating back to 664BC-332BC was offered for sale by a Colorado-based art dealer, with a starting price of $65,000
- A shabti that was on sale through a Chicago-based coin dealer, dating from 1567BC-1085BC, is up for $1,950