ABU DHABI // All Ahmed Alanzi ever wanted was to become a fashion designer. But when it came time to choose a major in university, he dutifully elected to study sciences.
“Being a man, an Emirati man, it was quite unacceptable for someone like me to pursue a career or education in fashion design or design in general,” said the 30-year-old.
“It wasn’t that easy for me back then.”
But as the emirate’s arts and cultural scene began to blossom and attitudes evolved, more opportunities for young, aspiring artists and cultural entrepreneurs emerged.
For Mr Alanzi and 22 young Emirati creative professionals, the chance to pursue their passions and develop their artistic and cultural entrepreneurial talents came in the form of the Cultural Excellence Fellowship.
Offered by the Abu Dhabi Music and Arts Foundation and the British Council, the two-year programme was billed as the first of its kind.
It introduced students to arts and cultural experts who led training on topics such as business planning, audience development and marketing, community engagement and cultural sustainability.
The students were each paired with a mentor – cultural entrepreneurs or professional artists – who guided them throughout the two-year fellowship that began in 2014.
This month, the 23 students who completed the programme were honoured in a ceremony hosted by Sheikh Nahyan bin Mubarak, Minister of Culture and Knowledge Development.
“The fellowship has taught us the hands-on skills and valuable industry knowledge that we need to further grow and develop into cultural leaders,” said Waheeda Al Hadhrami, 23.
She said it had fostered a group of “young, ambitious Emiratis who are passionate, dedicated and skilled to contribute to making the industry grow further”.
Hoda Al Khamis-Kanoo, founder of Abu Dhabi Music and Arts Foundation (Admaf), said the UAE’s creative and cultural sector had flourished over the past 12 years.
It had become an “important element of the nation’s economy” and “a symbol of its dynamic spirit”.
“In order for it to continue, it needs skilled and knowledgeable people to drive growth,” said Ms Al Khamis-Kanoo.
She said Admaf invested in UAE youths’ artistic ability as well as the entrepreneurial talent of cultural professionals.
The fellowship provided a training ground “to bring together the best of the emerging Emirati talent with established cultural leaders from the UAE, UK and elsewhere to prepare the rapidly evolving UAE cultural and creative sector for the road ahead”, said Ms Al Khamis-Kanoo.
The fellowship has had a significant effect on Mr Alanzi.
“I don’t feel like a spectator any more. I’m involved with the creative community,” he said. “I feel a bit more confident and I’m no longer frustrated. It’s nice to feel that it’s never too late, you’re never too old to follow your dreams.”
Should the fellowship be offered again, Mr Alanzi said he would like to serve as a mentor.
“I just hope that one day I can give back to the community and help to empower Emirati youth to consider the creative industry,” he said.
“Because what we need now are people who are passionate about their jobs.”
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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.”