Assad's tanks roll south in latest offensive against Syrian protesters


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AMMAN // Syrian forces spread through southern towns yesterday and tightened their grip on two other cities, broadening a military crackdown on protests against President Bashar al Assad's government.

While Mr al Assad has promised reforms in the hope of dampening dissent, tanks advanced in the southern towns of Dael, Tafas, Jassem and al Harra before today. Friday - the Muslim day of prayer - has become a major day of Arab protest.

Friday prayers offer the only chance for Syrians to assemble in large numbers, making it easier to hold demonstrations.

Tanks are deployed in areas on the Syrian coast, the central region of Homs, outside the city of Hama to the north and now across the southern Hauran Plain, regions which cover large swathes of the country of 20 million people.

The official SANA news agency said yesterday army units were chasing "armed terrorist groups", backed by Islamists and foreign agitators, whom authorities have blamed for the violence. The government says about 100 soldiers and police have been killed, including two on Wednesday in the cities of Homs and Deraa.

The uprising against Mr al Assad's autocratic rule erupted on March 18 in the strategic Hauran region, bordering the Israeli-occupied Golan Heights to the west and Jordan to the south.

A prominent lawyer in Hauran said hundreds of people had been arrested in the area since Wednesday, when 13 people were killed in what a rights activist said was tank shelling of houses in Harra, about 60 kilometres north-west of Deraa city.

"The regime want to extinguish the centres of demonstrations in Hauran by reminding the people of its legacy of repression," the lawyer said, referring to the crushing of secular and Islamist challenges to Assad family rule in the 1980s.

There was no immediate comment from Syrian authorities, who have banned most international media from Syria, making it difficult to verify events.

In the besieged coastal city of Banias and nearby village of Baida, security forces arrested scores of residents yesterday, two Syrian human rights organisations said. "The sound of heavy gunfire was heard as security forces made the arrests," a spokesman for the Syrian Observatory for Human Rights said.

A main residential neighbourhood in Homs remained sealed by security forces after it was shelled by tanks on Wednesday and at least five people were killed, a witness said.

"I passed by a major roadblock at the main entrance to Homs off the highway to Damascus. Armed security men were checking names and they asked me what business I had going into Homs," a woman who travelled to Homs from Damascus to see relatives said.

Mr al Assad has responded to the protests with promises of reform, lifting a 48-year-old state of emergency and granting stateless Kurds citizenship last month. Rights groups say thousands have been arrested and beaten since he made the promises.

The 45-year-old president, who had been emerging from Western isolation before the uprisings and was strengthening ties with Nato member Turkey, has reinforced an alliance with Iran.

This week the Turkish prime minister, Recep Tayyip Erdoga,n criticised Syria's use of force "because it's not an armed group you're firing at … it's just people in this case".

Rights groups say at least 650 civilians have been killed in the crackdown while Mr Erdogan put the figure at 1,000.

Protests have continued for nearly eight weeks, but the two main cities of Damascus and Aleppo have not seen major turmoil.

In rare public remarks, the head of Israel's domestic security service, the Shin Bet, said Syria will be "soaked in blood" as a result of the demonstrations.

Spy chief Yuval Diskin referred to the fact that Mr al Assad, from Syria's minority Alawite sect, rules a majority Sunni country.

"The minority is fighting for its life. Therefore it will resort to almost any possible means to survive. I am convinced, however, that it will be very difficult to return this genie to the bottle," he said.

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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