US-backed Arabic TV news show mooted


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Alhurra, the US government-funded Arabic television channel, is planning to launch a news programme focused on events in the Middle East. The programme, which will be launched simultaneously from the channel's bureaus in Dubai, Beirut, Morocco, Jerusalem and its US headquarters in Virginia, is expected to begin in the next two months, according to industry sources. It signals an expansion of programming at a time when the 24-hour news channel is facing questions about its fate under the new administration of the US President, Barack Obama. Democrats have long been critical of the channel, which was launched by the administration of the former US president, George W Bush, in 2004 in a move to counter the influence of Al Jazeera in the Middle East. It has cost more than US$500 million (Dh1.83bn), according to a report by ProPublica and CBS's 60 Minutes that claimed the Arabic channel had failed to live up to its journalistic mandate, or attract an audience. Deirdre Kline, the director of communications at the Middle East Broadcasting Networks, the Virginia-based non-profit organisation that runs both Alhurra and its sister station, Radio Sawa, with a grant from the US government-backed Broadcasting Board of Governors (BBG), declined to comment on either the new programmes or the prospects of the channel under the new administration. "Alhurra is always looking for new and exciting programmes," she said. "However, we are not doing any interviews right now." Several media watchers have interpreted Mr Obama's decision to give his first interview as president to Al Arabiya, the Dubai-based news channel of the Saudi-backed satellite broadcaster, MBC, as a blow for the US government's own Arabic-language channel. One of those was Michael Rubin, the editor of Middle East Quarterly, who wrote on the National Review Online that he was "curious whether the choice of Al Arabiya signals the administration's abandonment of the US-funded Alhurra satellite channel". Marc Lynch, an associate professor of political science at George Washington University, wrote on his Abu Aardvark weblog that "Obama's choice to give his ground-breaking interview to the Saudi Al Arabiya and not to the American Alhurra is as clear a statement as it is possible to make of Alhurra's failure". Others have seen indications about the future of Alhurra in Mr Obama's choice of Ernest Wilson, the dean of the Annenberg School for Communication at the University of Southern California, to lead the transition team for the BBG and other public diplomacy initiatives in the state department. Last year, the Annenberg School for Communication conducted a study of Alhurra, commissioned by the US government, that concluded the channel's journalism was "sub-standard" and it had "failed to become competitive". In her report in December on the matter, ProPublica's Dafna Linzer wrote that Mr Obama was "contemplating major changes". khagey@thenational.ae

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.”

The biog

From: Ras Al Khaimah

Age: 50

Profession: Electronic engineer, worked with Etisalat for the past 20 years

Hobbies: 'Anything that involves exploration, hunting, fishing, mountaineering, the sea, hiking, scuba diving, and adventure sports'

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Saturday's results

Brighton 1-1 Leicester City
Everton 1-0 Cardiff City
Manchester United 0-0 Crystal Palace
Watford 0-3 Liverpool
West Ham United 0-4 Manchester City

'Nightmare Alley'

Director:Guillermo del Toro

Stars:Bradley Cooper, Cate Blanchett, Rooney Mara

Rating: 3/5

The Travel Diaries of Albert Einstein The Far East, Palestine, and Spain, 1922 – 1923
Editor Ze’ev Rosenkranz
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