DUBAI // UAE rugby administrators believe the impending revamp of the sport in the region will help breathe new life into the bid to attract Emiratis to the sport.
Rugby has been entrenched on the expatriate sporting landscape for more than 40 years, yet relatively few native Arabs have taken to the game.
However, for the first time in the nation's rugby history, a governing council - the UAE Rugby Association - is being headed by nationals.
The new governing body for the game in this country this week agreed a deal allowing Gulf Rugby LCC, the new name for the Arabian Gulf Rugby Football Union, to continue to run the club game here from this season onwards.
They hope that by outsourcing the administration of the club game back to Gulf Rugby, they will be able to focus their own attention on a development programme among UAE nationals.
"Rugby will be continuing as it was, but while that is going on we have a big job behind the scenes, to spread the word to the local community," Mohammed Abdulrahman Falaknaz, the chairman of the UAE Rugby Association, said. "Al Ahli is the only local club with a rugby team, and we want to encourage Al Wasl, Al Nasr and the rest, to go the same way."
It is hoped that the UAE will be ready to enter a sevens side into qualifying for the 2016 Olympic Games.
"There is a long-term plan to get UAE nationals involved in the game, in addition to keeping the traditional expat markets engaged," Matt Oakley, the International Rugby Board's West Asia project manager, said.
The expatriate dominated clubs of the UAE have also stated their intention to assist the two governing bodies in their aim.
"We embrace the changes and we look forward to working with the UAE Rugby Association," Michael Wolff, the chairman of Dubai Exiles, said.
"The challenge is going to be how we develop the game among the Emirati community, and that is something we have plans for as a club."
The Exiles have the biggest youth section in the UAE. They are set to welcome a new director of rugby to replace Wayne Marsters, before the start of the new season.
A big part of his job will be to oversee all facets of coaching at the club, including an Emirati schools programme.
Rugby clubs in the UAE should also find the financial strain caused by cross-border travel start to ease.
The new structure for competition in the region will mean that UAE sides, at least, will have to travel abroad as little as three times per season, rather than every other week as was often the case in the past which saw a record number of games forfeited.
"There is rugby for everybody, but importantly given the economic climate we have gone through, there is less travel for the UAE clubs in particular," Oakley said.
@Email:pradley@thenational.ae
What has changed?
The Arabian Gulf Premiership has been split into two new separate leagues, one for UAE clubs plus Muscat, and another for the northern Gulf clubs - Bahrain, Doha, Kuwait and the Beirut Phoenicians. The winners of each of the leagues will meet in a play-off final at the end of the season to decide the top side in West Asia club rugby. The top six clubs are also likely to play in a Champions League-style cup competition during the season.
Why has it happened?
Initially as a result of the IRB, rugby's ruling body, deciding to disband the Arabian Gulf - which, as a collective group of nations, was an anomaly among its membership - and split it into its constituent countries. The changes are also designed to ease the financial burden on the clubs who compete. More teams were forced to forfeit away fixtures last season than ever before, as the recession hit teams hard and made foreign travel tough.
The new format has yet to be finalised, but it is unlikely any UAE club will have to travel abroad any more than three times per season.
Who will be running it?
Gulf Rugby LLC, the new version of the Arabian Gulf Rugby Football Union, have been instructed to run recreational club rugby here as they have been doing until now, with the UAE Rugby Association overseeing. The UAE RA will thus be able to concentrate on their twin aims of spreading the game at the grass-roots level, especially among Emirati schoolchildren, as well as preparing a new national team to play in next year's HSBC Asian Five Nations.
* Paul Radley
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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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