In this image provided by The White House, President Joe Biden speaks as he meets virtually via a secure video conference with Russian President Vladimir Putin from the Situation Room at the White House. AP
In this image provided by The White House, President Joe Biden speaks as he meets virtually via a secure video conference with Russian President Vladimir Putin from the Situation Room at the White House. AP
In this image provided by The White House, President Joe Biden speaks as he meets virtually via a secure video conference with Russian President Vladimir Putin from the Situation Room at the White House. AP
In this image provided by The White House, President Joe Biden speaks as he meets virtually via a secure video conference with Russian President Vladimir Putin from the Situation Room at the White Hou

Biden warns Putin of severe consequences if Ukraine attacked


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US President Joe Biden said on Wednesday he has warned President Vladimir Putin that Moscow will face economic sanctions "like none he's ever seen" should Russian troops massed on the Ukrainian border launch an attack.

The warning came a day after Mr Biden and Mr Putin talked for two hours by video link, and the US leader said his Russian counterpart got "the message".

"I made it very clear if in fact he invades Ukraine there will be severe consequences, severe consequences -- economic consequences like none he's ever seen or ever have been seen," Mr Biden told reporters at the White House.

But Mr Biden added that sending US troops to confront Russia was "not on the table".

Adding to diplomatic pressure on the Kremlin leader, new German Chancellor Olaf Scholz spoke of "consequences" for the Nord Stream 2 pipeline, a huge Russian project to deliver natural gas to Germany.

I made it very clear if in fact he invades Ukraine there will be severe consequences, severe consequences -- economic consequences like none he's ever seen or ever have been seen
US President Joe Biden

The White House has suggested that stopping the Nord Stream 2 pipeline could be part of an economic response, although the issue is controversial in Europe, which relies heavily on Russian energy resources.

France's foreign ministry said in a statement that Russia would face "strategic and massive consequences".

And US Secretary of State Antony Blinken said he had heard a similar message during talks with the president of the European Council, Charles Michel.

They "agreed on the need to impose swift and severe costs on Russia if it escalates its aggression in Ukraine", State Department spokesman Ned Price said.

Mr Putin, however, justified Russia's movement of up to 100,000 troops to the border of Ukraine as a defensive measure amid fears in the Kremlin that the one-time Soviet republic is being pulled into Nato's sphere.

"Russia has a peaceful foreign policy, but has the right to defend its security," Mr Putin said at a news conference with Greek Prime Minister Kyriakos Mitsotakis.

"We cannot but be concerned about the prospect of Ukraine's possible admission to Nato, because this will undoubtedly be followed by the deployment of appropriate military contingents, bases and weapons that threaten us."

The Russian leader stressed that Nato expanding eastward is a "very sensitive" issue for Moscow.

Ukraine's western-leaning government wants to join the Nato military alliance but is nowhere close to being admitted.

Russian troops already occupy Ukraine's Crimea peninsula and Russian-backed separatist forces have carved out a pro-Moscow territory covering a section of eastern Ukraine.

Mr Biden said that in addition to economic measures, a new Russian attack on Ukraine would trigger a bolstered US military presence on the territory of Nato allies in Eastern Europe.

"We would probably be required to reinforce our presence in Nato countries to reassure particularly those in the eastern front. In addition to that, I made it clear that we would provide a defensive capability to the Ukrainians as well," he said.

The US already works closely with the Ukrainian military and has provided millions of dollars in weaponry. However, Mr Biden said that sending US troops to defend Ukraine without Nato agreement was ruled out for now.

"The idea the US is going to unilaterally use force to confront Russia invading Ukraine is not on the cards right now," Mr Biden said.

"We have a moral obligation and a legal obligation to our Nato allies under Article Five. It's a sacred obligation. That obligation does not extend to ... Ukraine.

"But it would depend upon what the rest of the Nato countries were willing to do as well."

Regarding Russia's contention that Nato expansion into its former Soviet strongholds poses a threat, Mr Biden said Moscow and the major Nato allies were working at a high level on "whether or not we could work out any accommodations as it relates to bringing down the temperature along the eastern front".

Ukraine's President Volodymyr Zelenskiy, who has said he is ready to negotiate with Mr Putin, welcomed Tuesday's video summit.

"I think it's positive that the president of the United States spoke with the president of Russia," said Mr Zelenskiy, who is due to hold talks with Mr Biden on Thursday.

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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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Gulf Men’s League
Pool A – Dubai Exiles, Dubai Hurricanes, Bahrain, Dubai Sports City Eagles
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Gulf Men’s Open
Pool A – Bahrain Firbolgs, Arabian Knights, Yalla Rugby, Muscat
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Updated: December 09, 2021, 11:06 PM