Nurseries closed to stop swine flu spread


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ABU DHABI // All nurseries and special needs centres will be closed indefinitely as a precaution against the spread of swine flu, officials said yesterday. The Ministry of Social Affairs made the announcement as the Health Ministry said the number of deaths caused by the H1N1 virus had risen to six.

The latest victims were an eight-month-old Emirati baby and a 75-year-old Emirati woman. The British School-Al Khubairat said it was suspending lessons for a class in which one pupil had swine flu. Parents of children in the year six Cambridge class were all spoken to by the school yesterday. They were told to keep their children at home until next Wednesday. According to Mariam al Roumi, the Minister of Social Affairs, the decision to close the nurseries was based on recommendations from the National Committee to Combat Swine Flu "since children and people with chronic diseases are among the high-risk categories".

She said the measure was preventive and urged people not to panic. Her statement, issued on WAM, the state news agency, did not provide any more details on when the nurseries would close nor for how long. Dr Hanif Hassan, the Minister of Health, hosted a public meeting in Abu Dhabi yesterday to discuss the expected impact of the virus. Along with education and labour officials, he spoke about plans for haj and the nation's vaccination programme.

The UAE has ordered enough vaccine to cover between 10 and 15 per cent of the population, as recommended by the World Health Organisation. He said people should be aware of the symptoms and what action to take if they became sick. "The point is [the virus] is here, it is wherever you go in the world," he said. "So we must remember that it does not need to be dangerous if it is found and treated early. The death rate is very low."

Dr Hassan did not say where or when the two latest victims died but said they had pre-existing health conditions. An advice booklet for pilgrims performing Haj and Umrah will be printed soon. Haj pilgrims will have to fill out forms on their arrival and return. Dr Hassan said about 120 pupils had suffered influenza-like illnesses at the New Filipino Private School in Sharjah. The school was closed last week by Humaid al Qattami, the Minister of Education.

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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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