Ryan Giggs, the Manchester United interim manager, walks off the pitch after his team's 1-0 loss in the Premier League match against Sunderland at Old Trafford on May 3, 2014. Shaun Botterill / Getty Images
Ryan Giggs, the Manchester United interim manager, walks off the pitch after his team's 1-0 loss in the Premier League match against Sunderland at Old Trafford on May 3, 2014. Shaun Botterill / Getty Show more

Manchester United’s loss to Sunderland shows club’s problems did not leave with Moyes



MANCHESTER // Perhaps it is just as well for Ryan Giggs that this was not a job interview.

Manchester United were already intent on hiring a more experienced manager even before the Giggs bandwagon stalled a mere seven days after it started.

Sunderland are the side who have hit top gear and at a time when many expected them to reverse into the Championship.

A historic occasion has immediate consequences. Sunderland took themselves to the brink of Premier League survival by recording a first win at Old Trafford since 1968, meaning United have lost seven home league games in a season for the first time since the relegation season of 1973/74.

For Sunderland, it is the greatest of great escapes, a renaissance that should serve as an inspiration for United next season.

Yet it served as an immediate rebuttal of the theory United’s problems began and ended with a manager. David Moyes has been sacked and this was a Moyes-esque performance, but it highlighted the scale of their decline.

Restoring United to their old selves is not accomplished simply by removing Moyes. There was none of the pace, the urgency, the intensity and, above all, the creativity. United had possession without penetration. They were aimless. “We were flat,” Giggs said.

In contrast, Sunderland played with purpose. They have rediscovered their resolve when it mattered most.

When an eight-game run produced a solitary point, the second tier beckoned. Since then, they have claimed 10 from four. Most significantly, away matches at the Etihad Stadium, Stamford Bridge and Old Trafford have yielded seven points.

"Three easy games," Sunderland manager Gus Poyet said, smiling. It is a spectacular, sensational revival. "What we have done in the last four games is unique, incredible. You need to expect the unexpected with us."

Given their goal difference, they will be mathematically safe if Norwich City lose to Chelsea today. They can prepare for the Premier League, perhaps without the man who kept them there.

Sebastian Larsson is out of contract in the summer and likely to leave. His parting gift, a winner at Old Trafford, could be worth £60 million (Dh371m).

It was another addition to the list of all-too-avoidable goals United have conceded this season. Connor Wickham, seemingly penned in by the corner flag, was allowed to escape and cross. Larsson ran unchecked into the penalty area to dispatch a low shot past David de Gea.

Sunderland’s spirited breaks almost brought a second. They were denied by the woodwork twice. When one substitute, Jozy Altidore, centred, another, Emanuele Giaccherini, struck the post. Then Fabio Borini’s fierce effort rebounded back off the bar.

United were less potent. Javier Hernandez, granted a rare start, spurned two openings. Robin van Persie, out since March with a knee injury, returned as a substitute, but squad players such as Nani and Ashley Young illustrated why Louis van Gaal, United's probable next manager, is likely to mark his arrival with a spending spree.

“I still believe there is quality,” Giggs said. There was precious little evidence of it.

“In past seasons, there would be waves and waves of shots and saves and you could always sense a goal was coming, but this season it doesn’t seem to have happened,” the interim manager said. It was the story of a season.

Defeat may reap a dividend if it spares United Europa League football and enables them to concentrate on returning to the top four next season. Yet it is another indication of how far United have fallen that a lame loss has such compensations.

Sunderland’s reward of safety seems more tangible. “It would be crazy to lose this opportunity,” Poyet said.

As both teams can testify, it has been a crazy season.

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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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