PARIS // France began picking itself up Friday from another deadly shooting claimed by ISIL, with president Francois Hollande convening the government’s security council and his would-be successors in the presidential election campaign treading carefully before voting this weekend.
On the iconic avenue in the heart of Paris, municipal workers in white hygiene suits were out before dawn to wash down the pavement where the assault happened, a scene now depressingly familiar after multiple attacks that have killed more than 230 people in France in little over two years. Delivery lorries did their early morning rounds; everything would have seemed normal were it not for the row of TV lorries parked up along the boulevard that is a must-visit for tourists.
Tourists were back on the Champs Elysees early in the day with a mixture of shock and defiance, less than 24 hours after an extremist shot dead a policeman on the world-famous avenue on the eve of the election. Some took snaps of shop windows now peppered with bullet holes.
“I needed to get out, to come back here and see the sunshine and that everything was OK,” said Lebanese tourist Zeina Bitar, 45, who was shopping on the boulevard with her children when the gunman struck.
Nearby, a police officer laid a white rose at the site where the shooter felled his comrade with an automatic weapon, unleashing a firefight in which the assailant was killed and two other officers were wounded.
“We heard the shots and people were running in every direction. My children were in tears,” said Ms Bitar. “But people were calm, we were well treated and they gave us hot chocolate.”
One of the key questions was if, and how, the attack that killed one police officer and wounded three other people might affect voting intentions. The risk for the main candidates was that misjudging the public mood, making an ill-perceived gesture or comment, could damage their chances. With polling just two days away, and campaigning banned from Friday at midnight, they would have no time to recover before polls open on Sunday.
Candidates cancelled or rescheduled final campaign events. .
Pascale Saad, 42, also from Lebanon, said she was worried about the effects the attack would have on France’s presidential election starting with its first round of voting on Sunday.
“I really don’t know what’s going to happen on Sunday,” she said. “I’m afraid that things will degenerate and that people will all vote for Marine Le Pen.”
The far-right presidential candidate, who is riding high in the polls, is seen as the most hardline on the issue of terror attacks and advocates harsh limits on immigration.
“I knew there were terrorism attacks in France last year, but I thought it was over,” said Indian tourist Chaintnya Veeraghanta, 25.
More than 230 people have been killed in extremist attacks in France since early 2015, leading to a ramping up of security, with thousands of troops deployed to patrol key sites.
Eric Winkler, 51, an American visiting the French capital from Boston, said, “It was scary. We heard the shots so we ran to our hotel ... and found out it was terrorism by watching the news.”
But he and his 16-year-old daughter Hailey took it in their stride. “It’s happening all over the world, also in America,” he said. “We have to deal with it, they’re not going to stop us from living and doing what we want to do.”
Scottish tourist Lesly Douglas, 55, had mixed feelings: “We’re convinced that Paris is the safest place in the world, but of course we were scared seeing the policemen with their guns.”
But her 62-year-old husband Michael was adamant that the couple would visit the French capital “for years to come”, adding: “Vive Paris!”
* Agence France-Presse
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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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