'Ideas keep popping up like a rabbit from a magician's hat'



There aren't too many furniture designers who can claim their first commercial success before the age of 10, but for Lodovico Acerbis, the lure of a shiny red bicycle ignited a rare talent - for both design and business - that has spanned more than half a century. "Life was hard in my region of Italy in the years following the Second World War and money was tight, especially for childhood luxuries," he recalls. "I knew that the only way to get my bicycle was to earn money myself and so I built a miniature table for a children's playhouse and took it to the town's toy shop. They said they'd take it if I could make some chairs to go with it so, with the help of my father, I painstakingly crafted four."

The shopkeepers were so delighted with the young Acerbis that they commissioned as many as he could produce ("I've never had an order like that since," he chuckles.) Roping in his brothers and sisters to help, he paid them piecemeal until, eventually, he earned the bicycle he'd so coveted. However, despite that early venture, the young Acerbis had no interest in joining the family cabinetry firm that had been founded by his paternal grandfather in 1870 in Albino, a small town in Italy's Lombardy region. Indeed, he says, as a child he was more interested in following his maternal grandfather into clock-tower building. But, in the mid-1960s at the age of 25, after studying economics and sociology at university, Lodovico somewhat reluctantly took his place in the family firm.

"To be honest, within a couple of months I tired of absurd commissions from the region's bourgeoisie," he admits, referring to the affluent Acerbis clients who doggedly hung on to heavily designed pieces in traditional shapes and woods when the rest of Europe was embracing pared-down living solutions. So, with his father's permission, he began to busy himself towards producing a new line for the company, with a more minimal aesthetic, while his brother took over the more traditional arm of the business.

Working from the company's new headquarters in nearby Seriate, Lodovico concentrated on investing in new design techniques and materials - notably the modular pieces and high gloss finishes that were introduced in 1968 and remain an Acerbis signature to this day. In 1971 the transformation of the brand's style was completed with the launch of the first design from Lodovico's own drawing board, the avant-garde Parioli system - a futuristic cabinet that immediately caught the attention of the design world and put the Acerbis name on the international map.

"We craved creativity and it was a revolution," he remembers. "At that time the Italian companies were starting to collaborate with young, unknown designers and were inspired by Scandinavian furniture; we looked to Knoll and to Herman Miller. "But as well as raw talent we had centuries of refined culture and a passionate craft system to draw upon all around us. It was the period of the pioneering 'Made in Italy' movement and very exciting to be a part of it."

Humbled by the great design talents Acerbis worked with over the years - Norman Foster, Gianfranco Frattini and Massimo Castagna among many others - Lodovico waited a long time before putting his own signature to his work However, since a collaboration with the designer Giotto Stoppino had ended in 1966, Acerbis had designed alone and, today, is happy to take credit for his part in the contemporary Italian furniture movement.

"I've enjoyed being involved in design. It takes effort, but it's also highly stimulating and fun, as is always the case when one is creative," says Acerbis. He admits that he would like to take a back seat in the company now and leave more room for others, including his son Marco (the creator of the much lauded Superego sideboard) but, "ideas keep popping up like a rabbit from a magician's hat. And they're ideas - though I shouldn't say it - that are fresh, original and practical."

So it is in his secret room, in an office that overlooks tranquil parkland at the company's headquarters, that Acerbis prototypes his ideas: "I always like to analyse the need of the user when I design," he says, "then try to facilitate its function as my creativity flows and becomes a powerful experience." The piece of furniture that is his pride and joy is the Ludwig Sideboard, designed in 2005. "It's so minimalist and elegant, yet conceals innovations and technology that took such a long time to conceive and develop," he says. "It's as if, in that one piece, all my personal history as both a designer and a manufacturer is embodied."

Acerbis furniture is available at Boutique 1 Living, Boutique 1, The Walk at Jumeirah Beach Residence www.boutique1.com

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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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Favourite place in Dubai: The neighbourhood of Khawaneej. “When I see the old houses over there, near the date palms, I can be reminded of my old times. If I don’t go down I cannot recall my old times.”


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