Citroen are sorry for Loeb's loss



Olivier Quesnel, Citroen Racing chief, has apologised to his lead driver Sebastian Loeb after what he described as an "administrative error"' cost the Frenchman victory at Rally Australia and put a severe dent in his World Rally Championship (WRC) title hopes. The five-times champion had finished 12.5 seconds ahead of championship rival Mikko Hirvonen, a BP Abu Dhabi Ford driver.

Stewards put paid to Loeb's celebrations, however, after a post-event decision saw the final one-two reversed and Hirvonen crowned the winner. A one-minute penalty was handed out to the three Citroen C4 WRC drivers, who all finished in the top four in Kingscliff, after stewards ruled anti-roll bar links fitted to each car were too long and failed to conform to Federation Internationale de l'Automobile (FIA) technical configurations.

Quesnel was quick to distance his team from any allegations of cheating and apologised to Loeb and his teammates. Loeb would have closed the gap on leader Hirvonen to one point whereas it has been extended to five. "We accept the decision given that the photo on the homologation form does not match the part fitted to the car," said Quesnel. "The difference had no effect on either the performance or reliability of the car: it was simply due to an administrative error and does not stem from any desire to cheat.

"On behalf of the team, I would like to apologise to Sebastien Loeb and Daniel Elena who scored a superb victory on the stages this weekend." Had the result stood, Loeb's 53rd career win, and the team's first since Rally Argentina in April, would have moved him within touching distance of Hirvonen with two rallies left. The stewards ruling also dropped Sebastien Ogier into fifth place, behind Ford's Jari-Matti Latvala. Citroen's Dani Sordo stayed in third and occupies the same spot in the drivers' standings.

"I am obviously disappointed, but you've got to accept it when the regulations are applied," said Loeb. "I now have a five-point deficit to make up. That clearly complicates matters regarding our bid to win a sixth title, but this won't have any effect on our determination to win in Spain." The championship moves to Salou for the Rallye de Espana from October 2-4, before Wales plays host the season-finishing Rally Great Britain from October 23-25.

Hirvonen was disappointed the race was won in such a manner. "It's a shame that after such a thrilling battle for three days the result of the rally is decided in the stewards' room," he said. "I suffered a points loss in Portugal two years ago, so I know how Sebastien, in particular, must feel. This decision has a major effect on the championship standings and we now go to Spain with a five-point lead."

The 10th round of the World Championship had already been subject to controversy earlier in the event, as environmental protesters threw stones at cars and forced the cancellation of two stages. @Email:sports@thenational.ae The green debate is a grey area, s8-9

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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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Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

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Started: 2018

Founder: Aliyah Al Abbar and Hend Al Marri

Based: Dubai

Industry: Technology and talent management

Initial investment: Dh20,000

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