US first lady Michelle Obama (L), is pictured with her mother, Marian Robinson (C), and daughter Sasha (R) as they arrive in Bariloche, Argentina, on March 24, 2016. Analia Garelli / AFP / Telam
US first lady Michelle Obama (L), is pictured with her mother, Marian Robinson (C), and daughter Sasha (R) as they arrive in Bariloche, Argentina, on March 24, 2016. Analia Garelli / AFP / Telam
US first lady Michelle Obama (L), is pictured with her mother, Marian Robinson (C), and daughter Sasha (R) as they arrive in Bariloche, Argentina, on March 24, 2016. Analia Garelli / AFP / Telam
US first lady Michelle Obama (L), is pictured with her mother, Marian Robinson (C), and daughter Sasha (R) as they arrive in Bariloche, Argentina, on March 24, 2016. Analia Garelli / AFP / Telam

Contrary to reports, no pension for Obama’s mother-in-law


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WASHINGTON // A story widely shared online that claims president Barack Obama’s mother-in-law will receive a lifetime government pension is false.

The post published by The Boston Tribune, a satire website that mimics an actual news publication, is headlined “First Grandma Marian Robinson to Receive Lifetime $160K Government Pension.” It was relayed by a number of other conservative sites, portrayed as a credible news story.

The story refers to congressional budget statements, allegedly obtained through a Freedom of Information Act request, showing that Marian Robinson earned a US$160,000 (Dh587,680) lifetime pension for being a “full-time/in-home caregiver” for the president’s two daughters.

It does not provide evidence of the FOIA request or the budget documents, and ignores the fact that congress is not subject to the Freedom of Information Act.

Ms Robinson, the mother of first lady Michelle Obama, moved into the White House with the first family in 2009 and frequently looks after her granddaughters. She also joins the family when they travel and for other official appearances. Ms Robinson spent most of her life in Chicago, working as a bank secretary and a stay-at-home mother.

She has never been a federal employee and is not eligible for such retirement benefits.

The report claims that Ms Robinson “likely qualified for her lifetime pension under the ‘optional’ eligibility requirement for the Civil Service Retirement Act.” The act covers federal employees who entered government service before January 1, 1987. It was replaced by the Federal Employees Retirement System. Both of those plans require past or current employment by the federal government, meaning Ms Robinson would not qualify for their benefits.

The Former Presidents Act spells out the benefits awarded to ex-presidents and their families.

As of 2016, former presidents receive a pension of $205,700 and secret service protection. Their spouses and children (until age 16) also receive secret service protection. The widow of a president can receive $20,000 annually, as long as she declines other available pensions.

Other family members, including Ms Robinson, do not have official status and do not qualify for pensions.

* Associated Press

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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UAE’s revised Cricket World Cup League Two schedule

August, 2021: Host - United States; Teams - UAE, United States and Scotland

Between September and November, 2021 (dates TBC): Host - Namibia; Teams - Namibia, Oman, UAE

December, 2021: Host - UAE; Teams - UAE, Namibia, Oman

February, 2022: Hosts - Nepal; Teams - UAE, Nepal, PNG

June, 2022: Hosts - Scotland; Teams - UAE, United States, Scotland

September, 2022: Hosts - PNG; Teams - UAE, PNG, Nepal

February, 2023: Hosts - UAE; Teams - UAE, PNG, Nepal

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