'Return of a legend' - Ronald Koeman announced as Barcelona coach and there will be 'drastic measures'


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New Barcelona coach Ronald Koeman is expected to oversee a massive overhaul of the squad after being appointed on Wednesday.

The former Barca star leads them into a new era after their weaknesses were exposed in the 8-2 thrashing by Bayern Munich in the Champions League quarter-final.

"More than 30 years after his arrival as a player, Koeman arrives once again as coach at the club that he helped win their very first European Cup back in 1992," Barcelona said in a statement headlined "Return of a Barca legend".

"Koeman, the hero of Wembley, is back," the club added, a day after president Josep Maria Bartomeu revealed the Dutchman would take over from Quique Setien.

That night back in 1992, Koeman secured his place in Barca history, scoring the winning goal to claim the Catalan club's first success in Europe's top club competition.

In his six seasons as a Barca player Koeman made 264 official appearances, scoring 88 goals as he shone in Cruyff's 'Dream Team', winning four consecutive La Liga titles between 1991-94.

Lionel Messi will remain the "cornerstone" of Barca with Koeman's arrival, Bartomeu promised.

Setien and sporting director Eric Abidal were both sacked after the Bayern Munich humiliation and Koeman will inherit a side which finished second to arch-rivals Real Madrid in La Liga with five points separating the teams.

But after constant talk that Messi was looking for a way out after spending his entire career at Barca, Bartomeu insisted that Koeman would build his side around the Argentine.

"Messi remains the best player in the world. He is No 1 and he is with us," said Bartomeu.

"Every project we do, we do it knowing that we have the best player in the world ... And in the new project, Koeman can absolutely count on Messi.

"Messi wants to end his career at Barca, he has said it several times. I spoke with Koeman, who told me that Messi was the cornerstone of his project."

Dutch national coach Ronald Koeman. EPA
Dutch national coach Ronald Koeman. EPA

The future is not so certain for other players. "The technical secretary and new coach will take drastic measures and they will affect certain players, who we should give a proper farewell to," Bartomeu added.

Bartomeu did not say which players would depart but referred to seven players who were not for sale: Messi, goalkeeper Marc-Andre ter Stegen, defenders Clement Lenglet and Nelson Semedo, plus recent signings Antoine Griezmann, Frenkie de Jong and French winger Ousmane Dembele.

Gerard Pique and Sergio Busquets, who have been at the club since 2008 and are the longest-serving players after Messi, were omitted from Bartomeu's list, meaning they could face an exit after 12 trophy-laden years in the first team.

Jordi Alba, Ivan Rakitic and Luis Suarez, crucial members of the team that won the treble in 2015 as well as the La Liga titles in 2016, 2018 and 2019, were also absent.

"These are players who have given their best days to the club and been part of the club's best years. They have won a lot of trophies and had a lot of success," added Bartomeu.

"Some of those decisions have already been taken by others and some will be taken soon by different people. The players will not be consulted on these decisions. It's very important to listen to opinions but the coach and technical secretary will take the decision together."

Koeman has said coaching Barcelona would be his "dream" job, and he leaves his country's national team after two-and-a-half years in charge to grab the opportunity.

His coaching career has been mixed and he arrives at Camp Nou with the Catalans in crisis, finishing the season trophyless for the first time since 2007.

Why Koeman got his chance

Bartomeu's own position is also under threat according to reports with June's presidential elections moved forward to March 15.

Mauricio Pochettino was also considered as a replacement for Setien but his previous comments dismissing Barca due to his links with rivals Espanyol counted against him.

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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.”