English butlers wanted: China and Russia ask for Jeeves



BELFAST // English butlers, synonymous with Reginald Jeeves in the novels of PG Wodehouse, are answering more calls from super-rich Chinese and Russian clients as wealth shifts between east and west.

The Guild of Professional English Butlers has trained 20 per cent more butlers this year than last, placing them with clients as soon as they are ready, according to Robert Watson, head of the firm in southern England, last week. The number of domestic staff registered with Greycoat Placements has trebled over the past three years, said Debbie Salter, the managing director.

"Demand is outstripping supply," Mr Watson said. "We deal with people who often are cash rich and time poor. The credit crunch did affect things for a time, but before you get rid of the butler, get rid of the Ferrari."

Sara Vestin, the director of Bespoke Bureau, Peek-a-boo & Cupcakes Domestic Staff & Nanny agencies in London, said her company trained 52 butlers this year, up from 20 last year, and they all got jobs. The highest paid placement was for a £101,500 (Dh582,000) yearly salary in the UAE, she said.

"Everyone looking for a job who is accepted on the training with us, will get a job," Ms Vestin said. "There are a lot of people looking to hire butlers and there is a shortage of them, so for us it's a win, win situation."

As Europe struggles with a debt crisis and the US tries to revive its economy, burgeoning growth in emerging markets is boosting spending on luxuries like never before, and creating opportunities for more people to look after them.

"We have been doing a lot of business in China particularly," said Robert Wennekes, the chairman of The International Butler Academy, which trains students in formal white gloves and tails at a castle in the Netherlands. "Every month for the past 15 months, I have been travelling from Amsterdam to China to service our clients there."

Mr Watson estimated that his company trains more than 1,000 butlers per year and around a fifth of those go into personal service for the wealthy, with the remainder at hotels.

Demand for placing butlers in the homes and yachts of the wealthy increased about 20 per cent this year, according to Sebastian Hirsch, the owner of Butler For You, a company registered in Berlin placing household staff across Europe. Mr Hirsch has 30 per cent more butlers on his books this year.

Butlers undergo a month-long training programme that includes instruction on food and wine service and "second guessing" what their employer wants, said Mr Watson. It costs trainees about £8,000 pounds for the live-in package.

The role of the modern butler is now closer to that of a personal assistant, helping organise an employer's diary, as well as offering advice on etiquette, with discretion a must, said Mr Watson. Discretion is vital since Paul Burrell, butler to Princess Diana, revealed details of her life following her death in 1997, Mr Watson, a former butler, said.

Greycoat Placements, also based in London, has about 20,000 people on its books - three times more than in 2008, Ms Salter said. Butler placements by the company grew about 20 per cent this year over 2010, she said.

Demand has been driven partly because of a growing number of Chinese clients needing butlers for their second homes in London, said Laura Harrall, a director at Greycoats.

"Asia is coming up pretty strong now," Mr Watson said. "We are getting lots of enquiries from these Chinese who are sitting on piles of money. They are discovering that if you spend 8 million dollars on a villa with marble flooring, you need someone to come along who knows what they are doing."

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Based: Dubai
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Tickets for the August 3 Fight Night, held in partnership with the Department of Culture and Tourism Abu Dhabi, went on sale earlier this month, through www.etihadarena.ae and www.ticketmaster.ae.

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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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