Israeli Sephardi chief rabbi, Yitzhak Yosef, with Pope Francis at the Heichal Shlomo Centre in Jerusalem. Jack Guez / AFP
Israeli Sephardi chief rabbi, Yitzhak Yosef, with Pope Francis at the Heichal Shlomo Centre in Jerusalem. Jack Guez / AFP

All distortions of faith deserve our condemnation



In my last column, noting that the Middle East region continued to be ravaged by conflict, I referred to what I described as a few fragile hopes for a better future, citing in particular the lessening of fighting in much of Syria and the ceasefire in Yemen that was due to come into effect on Sunday. Somewhat battered by recent events, those fragile hopes remain, although something resembling normality, in terms of a lack of strife and an end to the displacement of millions, is surely many years away.

Meanwhile, on the edge of, but just outside, the conflict zones, Israel watches and waits, the beliefs, policies and practices of its government having slipped largely from the global public eye. It is, perhaps, time to draw attention to a remarkable statement made late last month by one of the most influential Israeli figures, the Sephardi chief rabbi, Yitzhak Yosef.

In a public sermon, he declared that, according to Jewish religious law, “gentiles (all non-Jews) should not live in the Land of Israel”. Should a gentile fail to agree to live according to a set of seven laws, the Noahide laws, prescribed in the Jewish scriptures, the Talmud, he said, “we should send him to Saudi Arabia. When the true and complete redemption arrives, that is what we will do.”

Rabbi Yosef went on to say that the only reason for allowing them to stay was that the Messiah had yet to arrive. “If our hand were firm, if we had the power to rule, that’s what we should do. But the thing is, our hand is not firm, and we are waiting for the Messiah,” he added.

Rabbi Yosef, though, had words of reassurance to offer the millions of Muslims and Christians, Palestinians and others, who live in the lands over which Israel's government rules. Those who agreed to live by the Noahide laws, he said, would be allowed to stay.

“Who, otherwise be the servants? Who will be our helpers? This is why we leave them in Israel, ” he said.

It's fair to note that his statement has attracted severe criticism.

Jonathon Greenblatt, the chief executive of the Anti-Defamation League, which normally concerns itself with attacking those who are deemed to be hostile to Israel and Jews, said that Rabbi Yosef's remarks were "shocking and unacceptable".

“It is unconscionable that the chief rabbi, an official representative of the state of Israel, would express such intolerant and ignorant views about Israel’s non-Jewish population – including the millions of non-Jewish citizens,” he said.

“As a spiritual leader, Rabbi Yosef should be using his influence to preach tolerance and compassion towards others, regardless of their faith.”

Such “intolerant and ignorant views” emanate not only from the Sephardi chief rabbi, however. One of the main strains of modern Judaism is Reform or Liberal Judaism, estimated to count among its adherents over a third of the 5.3 million Jews in the United States, although probably fewer than 5 per cent of those in Israel itself.

Last year, Israel's religious services minister said: "Let's just say there's a problem as soon as a Reform Jew stops following the Jewish law. I can't allow myself to say that such a person is a Jew." One member of the Knesset, the Israeli Parliament, compared Reform Jews to mentally ill patients, while another said that "Reform Jews are a group of clowns who stab the Holy Torah".

The Sephardi chief rabbi's brother, Rabbi David Yosef, has said that the Reform Judaism movement "is a collaboration with idolatry. Reform are idolaters – simply and literally."

The fanaticism that characterises such statements is not confined to a tiny and marginal minority. It is, rather, to be found at the highest levels in Israel.

The international community rightly condemns the fanaticism of ISIL and its distortion of Islam. Where, one wonders, is a similar condemnation of these views?

Peter Hellyer is a consultant specialising in the UAE’s history and culture

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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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