DUBAI // Gundeep Singh leads the way through his spacious showroom on Sheikh Zayed Road, past aisles of organic food, sustainable clothes, non-toxic cleaning products and solar-cell lamps.
His demonstrations of a collapsible bicycle that is allowed on the Dubai Metro and a stylish sink that captures used water for flushing toilets are interrupted by greetings from suppliers, staff queries and phone calls.
But the former banking executive keeps his cool.
"We are focusing on what is real, what is practical and what has real impact," says Mr Singh, founder and chief executive of The Change Initiative, the country's first shop dedicated to environmentally friendly products.
The store is expected to be open for business in Al Barsha by next Thursday.
While UAE consumers have been offered the choice to buy organic food and cosmetics for a good few years, this is the first time a wide array of "green" products has been available under one roof.
Environmental issues can be too complex for people to understand and some key challenges do not have easy solutions, Mr Singh says. This is why people are too often deterred from making the change.
"Instead of trying to debate something that is bigger than us, let us focus on the things we can do," he says.
In many cases, sustainable products are superior. They last longer and are healthier.
Their successful marketing lies in "demonstrating to people and giving them the right choice". It is also about making sustainability fun.
"You can live your life but you can still do things right," Mr Singh says.
He walks around the showroom where about 100 employees are hard at work. It is 10am but they look as if they have already been busy for more than a few hours.
There is a frenzy of cleaning, wiping, arranging, supervising, making phone calls and last-minute repairs. At the entry, a few staff are placing a ceremonial white-and-green ribbon with a bow across the sliding glass doors, preparing for the shop's launch.
The 5,109-square-metre space features products from about 60 companies. Goods are evaluated on several criteria measuring their environmental and health impacts, and the overall record of their makers.
A first step is knowing the company behind a product, says Valerie Hawley, the organisation's chief sustainability officer.
There are also various green labels, such as Ecocert, which evaluate a company's claims.
The company says customers should look for products that rely on renewable materials and safe, non-toxic ingredients.
The energy and water used in making the products is also important, as is the ease with which it can be recycled after use.
"Sustainability is so complex," Ms Hawley says. "We need to educate people in a more general sense. "For example, on the need to save energy and water, people need to understand principally why these are good for the environment."
All of the technologies and products on offer are demonstrated within the showroom, says Mr Singh.
A total of 30 per cent of the building's electricity comes from solar panels on the roof.
There is solar-heated water and solar lighting, non-toxic paints, recycled materials and air-quality monitors.
A sophisticated building-management system monitors the building's energy demands and makes adjustments, such as reducing the energy output of the air-conditioning system when the store is closed.
For Mr Singh, these are all a part of walking the talk: if the business offers sustainable solutions, it should be the first to use them.
The former yacht and sportscar owner has also had to adopt this thinking into his personal lifestyle. Out went the Porsches and in came the hybrid cars and solar-powered home.
"I worked very hard to change myself," Mr Singh says. "I am 20 per cent there."
He explains that while he enjoyed luxury earlier in his life, he eventually realised acquisition in itself is not happiness.
"I suddenly realised none of this made any sense," Mr Singh says. "What really matters is relationships and what you do every day."
But he is first and foremost a businessman, and at the heart of this venture is a willingness "to make sustainability commercially viable".
Mr Singh is eager to see the response upon the store's opening.
"Fingers crossed, I think people will be curious about us," he says. "We will find out very soon."
vtodorova@thenational.ae
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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Skewed figures
In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458.
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
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A MINECRAFT MOVIE
Director: Jared Hess
Starring: Jack Black, Jennifer Coolidge, Jason Momoa
Rating: 3/5
The specs
Engine: 4.0-litre flat-six
Torque: 450Nm at 6,100rpm
Transmission: 7-speed PDK auto or 6-speed manual
Fuel economy, combined: 13.8L/100km
On sale: Available to order now
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Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
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