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A handful of worshippers and clergy gathered in the Church of the Holy Sepulchre on Sunday, to mourn the thousands of Palestinians who have been killed in the Israel-Gaza war.
The sparsely populated crowd was a far cry from the teams of tourists, who usually stream through Christianity’s most sacred site and attend Mass at the place where Christians believe Jesus was crucified.
The Greek Orthodox Patriarch of Jerusalem, Theophilos III, said a prayer for the victims of the Israeli air strike that hit the St Porphyrius Greek Orthodox Church complex on Thursday, killing at least 16 people who had been seeking shelter in the church, part of which dates back to the fifth century.
“We appeal to you to awaken the longing for a peaceful life in all those who are filled with hatred for their neighbours, especially those now at war or preparing for war,” the Patriarch said.
At least 450 people had been sheltering at the church complex in Gaza city when it was hit by an air strike.
The Church, which caters to Gaza’s small Greek Orthodox community, served as a shelter for Christians and Muslims when it was hit.
The Greek Orthodox Church of Jerusalem issued a strongly worded statement on the attack, calling it a “war crime.”
“The survivors of this horrific bombing are resilient and filled with the spirit of Christ,” the Patriarchate said. “Together with them we continue to display faith through the aftermath of this horrific ordeal. We have come together as a community to support one another, praying for healing and strength in the face of adversity.”
For the handful of faithful who attended the service on Sunday, it was a sombre moment for reflection and devotion.
Church empty
“It's very sad,” said Louisa Varaclas, who was born and raised in the Old City of Jerusalem and attends mass at the Holy Sepulchre every Sunday. “It is a pity for all the victims from everywhere and we just pray for peace that this will be over soon and people will go back to their normal lives.”
Ms Varaclas said she had rarely seen the Church, which is visited by millions of people each year, so empty.
“Usually it is packed with tourists,” Ms Varaclas told The National. “There are less people and it is very constrained, people are sad and we don't know what to expect.”
As the war between Israel and Gaza enters its third week, many fear that the worst is yet to come
More than 4,300 Palestinians have been killed in Gaza since October 7, Gaza's health ministry said.
On Saturday, Israel said it would intensify air strikes on the densely populated enclave ahead of a widely anticipated ground invasion.
In that eventuality, analysts fear many thousands more will die following Israeli Prime Minister Benjamin Netanyahu's pledge to “wipe out,” Hamas.
About 2,000 Palestinians died during Israel's last ground invasion in the enclave in 2014, but it was a limited operation, compared with Israel's recent threat to move forces through the entirety of Gaza.
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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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