Dustin Johnson makes his Middle East debut this weekend at the Abu Dhabi HSBC Championship. Sam Greenwood / Getty Images
Dustin Johnson makes his Middle East debut this weekend at the Abu Dhabi HSBC Championship. Sam Greenwood / Getty Images
Dustin Johnson makes his Middle East debut this weekend at the Abu Dhabi HSBC Championship. Sam Greenwood / Getty Images
Dustin Johnson makes his Middle East debut this weekend at the Abu Dhabi HSBC Championship. Sam Greenwood / Getty Images

‘He’s so exciting’: Dustin Johnson’s debut among Abu Dhabi HSBC Championship director’s things to watch


John McAuley
  • English
  • Arabic

The 12th edition of the Abu Dhabi HSBC Championship takes place in the capital this week, as it returns with another star-studded line-up. We spoke to tournament director Peter German on Sunday about the week ahead.

Major firepower

The event, which tees off this Thursday at Abu Dhabi Golf Club, has attracted three of the world’s top four: No 2 Rory McIlroy and No 4 Henrik Stenson return, while world No 3 Dustin Johnson makes his Middle East debut. McIlroy, a four-time major winner, heads the field, although Johnson, Stenson and Danny Willett are all reigning major champions. Rickie Fowler, the world No 13, defends the Falcon Trophy.

On changes to the National Course

The greens on the 7th and 9th have been extended to allow for tougher pin positions, while the contours on the par-3 4th have been altered slightly to bring the water more into play. “No major changes,” German said. “We’ve done things that can be best described as refinements. They’re changes that will increase the degree of difficulty of the golf course, but in a fair way. They’re in line with what we try to do every year, which is improve the course year-on-year. When you’ve got golfers of this quality playing you need to have a testing golf course.”

On what debutant Johnson brings

“Anybody new coming to the UAE and the tournament for the first time is a huge fillip for the tournament,” German said. “And Johnson is such a popular player — I think everybody was so relieved he won the US Open last summer. He’s played fantastically well and has such a big following, so I’m sure people will come out and really get behind him. He’s so exciting, he hits the ball so far. I think this golf course will be ideally suited to him.”

On continually showcasing new talent

“Part of our objective, and that’s also HSBC and the Abu Dhabi Sports Council, is to make the tournament better and make it different every year,” German said. “So we try to get better players — newer players — each time and often the player that’s achieved the most the previous year. That’s why last year we had Jordan Spieth and this year we have Dustin Johnson. It’s all part of the objective to provide the best, not only in the quality of the presentation of the tournament, but also the best in quality of players.”

On the tournament’s growing popularity Stateside

“Word of mouth is very strong and once the players get here and see how good it is, and how well they’re looked after and all the facilities that are provided by the Sports Council and HSBC, they go back to America and tell people,” German said. “When the guys hear from Rickie Fowler last year about how good the tournament is and how good the golf course is — that’s one of the reasons why Dustin agreed to come over. This is viewed as such a bigger deal.”

On personal highlights of the week

“This is my 12th tournament — I’ve been here since the get-go back in 2006, so every year I find it very exciting, seeing how the tournament has improved and grown and become such a big event worldwide,” German said. “Everything excites me about it. At the end of the day, all I want is to have a successful tournament with a great winner, who will go on promoting Abu Dhabi as a great golfing destination and a fantastic place.”

jmcauley@thenational.ae

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Monday, Oct 6 – Second T20I

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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.

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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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