SANAA // Rapidly escalating street battles between opponents of Yemen's regime and forces loyal to its embattled president spread to the home districts of senior government figures and other highly sensitive areas of the capital today. A third day of fighting, including a mortar attack on unarmed protesters, killed nine people, medical officials said.
The latest deaths took to at least 60 the number of people killed since Sunday, as anti-regime protesters step up their campaign to topple President Ali Abdullah Saleh and a key military unit supporting them was drawn deeper into the fighting. President Saleh's forces have hit back with attacks by rooftop snipers and shelling of protest encampments.
In Geneva, the United Nations said today that four children were killed by live ammunition during the unrest on Sunday and Monday. Marixie Mercado, a spokeswoman for the UN children's' fund, also said that 18 minors were injured.
Ms Mercado told reporters in Geneva that the casualties were confirmed by Unicef's local partners in Yemen.
Yemen's turmoil began in February as the unrest spreading throughout the Arab world set off largely peaceful protests in the deeply impoverished and unstable corner of the Arabian Peninsula that is also home to an Al Qaida offshoot blamed for several nearly successful attempts to attack the United States.
The government has responded with a heavy crackdown.
President Saleh went to Saudi Arabia for medical treatment after an attack in June on his Sanaa compound and has not returned to Yemen, but has resisted calls to resign.
After the dawn prayer today, President Saleh's forces lobbed mortar shells at Change Square, a plaza at the heart of the city where protesters have held a sit-in since the uprising began in February.
Medical officials said the shelling killed three protesters, three rebel soldiers and a bystander.
Clashes between protesters and security forces in the southern city of Taiz left two more people dead, they said.
Elsewhere in the capital, clashes between protesters and security forces erupted in several districts, with gunfire ringing out in areas close to President Saleh's residence and the office of his son and one-time heir apparent, Ahmed, commander of the elite loyalist Republican Guards and Special Forces.
In the upmarket district of Hadah, home to senior government officials as well as tribal leaders opposed to President Saleh, gunbattles were raging between forces loyal to the president's son and bands of tribal fighters opposed to the regime.
The violence is forcing more of the capital's residents to flee to the relative safety of rural Yemen. Scores of pickup trucks and sedans loaded with families and personal belongings could be seen headed out early this morning after a night in which loud explosions repeatedly shook the city.
Most of those staying put in the capital are not leaving their homes for fear of snipers or getting caught up in gunfights, leaving the city looking increasingly deserted tis morning, with most stores shuttered.
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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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