Shifting UAE values require attention


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A change in men’s expectations regarding their prospective spouses illustrates how societal values in the UAE have shifted over the past two decades.

As The National reported yesterday, a study published in the Mental Health, Religion and Culture journal shows a remarkable reversal in the attributes requested by men who use khatabaat – female matchmakers – to help them find a marriage partner. According to five khatabaat from Abu Dhabi and Ras Al Khaimah, male ideas about a suitable wife 20 years ago focused less on physical attributes and more on traditional virtues. Most men sought pious and moral partners who were from a good family, knew how to cook and neither had nor wanted a job. In recent years, however, men have been placing a greater emphasis on the looks of potential partners and many of them are keen to marry a woman who has a job.

The study opens a window into how the values of Emirati society have been affected by global culture – both positively and negatively. On the positive side, as women begin to join the workforce and prove their ability to do more than housework, more men are endorsing and supporting their ambitions. This is significant because, for women, work can mean more than a daily job: it also means engagement in public life. Working allows women to meet other people and have a larger social circle than was possible in traditional society. Above all, it helps them to be financially independent and socially empowered.

On the other hand, the openness of the UAE and the globalisation of ideas and culture has come at the cost of some important long-held traditions and beliefs. In the past, Emiratis – both male and female – placed great value on character, morality and piety in themselves and in others. Nowadays, more emphasis is placed on personal attractiveness and material values.

These changes are not exclusive to the UAE. Many societies have gone through the same process. The best way to move forward is to embrace the positive impacts of globalisation but to hold on to the strong values and traditions of the past.

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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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Muslim Council of Elders condemns terrorism on religious sites

The Muslim Council of Elders has strongly condemned the criminal attacks on religious sites in Britain.

It firmly rejected “acts of terrorism, which constitute a flagrant violation of the sanctity of houses of worship”.

“Attacking places of worship is a form of terrorism and extremism that threatens peace and stability within societies,” it said.

The council also warned against the rise of hate speech, racism, extremism and Islamophobia. It urged the international community to join efforts to promote tolerance and peaceful coexistence.

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