Former US president Donald Trump speaks to supporters at a rally for farming executive Charles Herbster running in the Nebraska gubernatorial race. AP
Former US president Donald Trump speaks to supporters at a rally for farming executive Charles Herbster running in the Nebraska gubernatorial race. AP
Former US president Donald Trump speaks to supporters at a rally for farming executive Charles Herbster running in the Nebraska gubernatorial race. AP
Former US president Donald Trump speaks to supporters at a rally for farming executive Charles Herbster running in the Nebraska gubernatorial race. AP

Trump's kingmaker status faces test in Nebraska and West Virginia primaries


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Voters in the US states of Nebraska and West Virginia pick their candidates for November's midterm election on Tuesday, in another test of former president Donald Trump's sway with Republicans.

Tuesday's primaries come a week after Hillbilly Elegy author and Trump-backed candidate JD Vance defeated six other Republican candidates for the US Senate race in Ohio.

In Nebraska, Mr Trump has backed multimillionaire farming executive Charles Herbster, who is accused of sexually assaulting eight women. State senator Julie Slama told The Nebraska Examiner last month that Mr Herbster sexually assaulted her in 2019, while the other seven women made accusations anonymously.

Mr Herbster denies the allegations but is facing a backlash from conservatives in the state, where he is vying to be the next governor.

“He's been badly maligned and it's a shame. That's why I came out here,” the former president said of Mr Herbster at a rally earlier in May.

“I defend people when I know they're good. He's a good man.”

Nebraska could be the first place where a Trump candidate is rejected, after the 55 candidates he endorsed in Texas, Indiana and Ohio all won their races or advanced to run-off elections.

The second may be in Georgia's gubernatorial race, where Trump-endorsed candidate David Perdue has fallen behind incumbent Brian Kemp.

Voters will also pick nominees for Nebraska’s 2nd Congressional District in the Omaha area. Three-term Republican Republican Don Bacon faces a long-shot challenge from Steve Kuehl, a consultant who received a shoutout from Mr Trump when the former president visited earlier this month.

Mr Trump blasted Mr Bacon as a “bad guy” during the recent rally in the state and previously criticised him for his support of a federal infrastructure bill that most Republicans opposed.

Mr Bacon also has been mildly critical of Mr Trump in the past, saying the former president bore some responsibility for the January 6 riot at the US Capitol.

In West Virginia, voters will decide between Dave McKinley and Trump-backed Alex Mooney for seats in the House of Representatives. Mr McKinley faced the former president's ire for backing the bipartisan infrastructure deal last year and for his support for the creation of the January 6 commission.

Mr McKinley is backed by Republican Governor Jim Justice and Democratic Senator Joe Manchin, who strongly backed the infrastructure bill.

Agencies contributed to this report

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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Founders: Tamara Hachem and Yazid Erman
Based: Dubai
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Sector: health technology
Stage: seed
Investors: Oman Technology Fund, angel investor and grants from Sharjah's Sheraa and Ma'an Abu Dhabi

F1 The Movie

Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem

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The specs
  • Engine: 3.9-litre twin-turbo V8
  • Power: 640hp
  • Torque: 760nm
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Updated: May 10, 2022, 8:01 PM