President Vladimir Putin demanded that Russia strengthen its air defences around Moscow after the biggest drone attack on the capital since he ordered the invasion of Ukraine.
The strike involved eight drones that were repelled “satisfactorily”, Mr Putin said in televised comments on Tuesday.
“It’s clear what needs to be done to seal the air defence in the capital,” he said.
The Russian Ministry of Defence blamed Ukraine for the assault, saying missiles shot down five of the drones while electronic jamming was used to divert three others from their intended targets.
The Ministry of Foreign Affairs threatened “the harshest” retaliation against Kyiv for the attack.
The drone strike was what one politician called the “worst attack on the capital since World War Two”.
Russia launched its own attack overnight, killing four people across Ukraine.
There was no immediate claim of responsibility for the attack on the Russian capital.
Ukraine is poised to launch a counter-offensive backed by western weapons to try to drive Russian occupiers out of territory seized since Moscow launched its “special military operation” in February last year.
Speaking at Bratislava’s GlobSec conference, Ukraine's State Secretary for Defence, Kostiantyn Vashchenko, said: “Now we have finished all preparation and we are really ready to go ahead.”
Ukrainian presidential aide Mykhailo Podolyak denied Kyiv was directly involved in attacking Moscow, although he said “we are pleased to watch” and forecast more to come.
White House spokeswoman Karine Jean-Pierre said the US did not support attacks inside Russia.
We “are certainly gathering information about what happened to get a better perspective and some clarity about what happened”, Ms Jean-Pierre told reporters.
“As a general matter, we have said this before, we do not support attacks inside of Russia. We've been very clear about that.”
The early morning raid was aimed at some of Moscow's wealthiest areas, including a western zone where Mr Putin and other elites have homes.
Two people were injured while some Russians in two lightly damaged apartment blocks were briefly moved to safety, said Moscow's Mayor, Sergey Sobyanin.
Residents said they heard loud bangs followed by the smell of petrol. Some filmed a drone being shot down and a plume of smoke rising over the Moscow skyline.
Russian politician Maxim Ivanov called it the most serious assault on Moscow since the Nazis, saying no citizen could now avoid “the new reality”.
“You will either defeat the enemy as a single fist with our motherland, or the indelible shame of cowardice, collaboration and betrayal will engulf your family,” Mr Ivanov said.
Andrey Vorobyov, Governor of the wider Moscow region, later said several drones were “shot down on the approach to Moscow”.
The incident comes weeks after two drones exploded over the Kremlin – an attack Russia blamed on Ukraine, although Kyiv denied responsibility.
It follows intense Russian drone and missile strikes on Ukrainian cities this month.
Moscow targeted by drones – in pictures
In Kyiv, more than 20 drones were shot down during a wave of strikes that followed a barrage of missiles in a rare daylight attack on Ukraine’s capital city on Monday.
Four people died across Ukraine, including one in the capital, due to the attacks, which wounded 34, including two children.
In Kyiv, the death resulted from debris from a destroyed Russian missile, which hit a high-rise apartment building causing a fire, officials said. Four people were injured.
Two upper floors were destroyed with people possibly still under rubble. Flames engulfed the top of the building.
Kyiv's military administration said that, unlike most previous raids, Tuesday’s strikes involved only Iranian-made Shahed drones and no missiles.
“Russia is trying to break us and break our will. To deprive peaceful citizens of sleep and prevent us, the security and defence sector, from preparing to implement important tasks,” said Ukraine's Interior Minister Ihor Klymenko.
Debris hit several other parts the capital including the historic Podil and Pecherskyi neighbourhoods.
It was not immediately known how many drones Russia launched and there was no immediate comment from Moscow.
Russia has repeatedly attacked Kyiv in May using drones and missiles, mostly at night, in an apparent attempt to undermine Ukrainians' will to fight after more than 15 months of war.
Drone attacks in Kyiv – in pictures
Tuesday's strikes were Russia's 17th air assault on the capital this month and came after the city was attacked twice on Monday.
“These missile attacks of a fairly dense frequency are aimed specifically at exhausting both our air defence forces and our physical and moral strength,” said Nataliya Gumenyuk, a spokeswoman for Ukraine's southern military command.
Ukrainian officials said most of the drones and missiles fired on Sunday and Monday had been shot down and President Volodymyr Zelenskyy praised US-supplied Patriot anti-missile defences.
“When Patriots in the hands of Ukrainians ensure a 100 per cent interception rate of any Russian missile, terror will be defeated,” Mr Zelenskyy said in his nightly video address on Monday.
Mr Vashchenko said on Monday he was not one of the few high-ranking Ukrainian officials who knew the exact date when the counter-offensive would be launched, but he said he strongly believed it would start in the “nearest future”.
“Nobody knows when the offensive will start, maybe three people know,” he said.
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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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Salman Khan’s father, Salim Khan, is one of Bollywood’s most legendary screenwriters. Through his partnership with co-writer Javed Akhtar, Salim is credited with having paved the path for the Indian film industry’s blockbuster format in the 1970s. Something his son now rules the roost of. More importantly, the Salim-Javed duo also created the persona of the “angry young man” for Bollywood megastar Amitabh Bachchan in the 1970s, reflecting the angst of the average Indian. In choosing to be the ordinary man’s “hero” as opposed to a thespian in new Bollywood, Salman Khan remains tightly linked to his father’s oeuvre. Thanks dad.
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