Bush shoe-thrower detained by military



BAGHDAD // The journalist who threw his shoes at US President George W Bush was handed over to the Iraqi military, an Iraqi official said, as hundreds took to the streets today for a second day demanding his release. Muntadhar al-Zeidi was turned over by the prime minister's security guards to face further investigation by the military command in charge of enforcing security in Baghdad, the official said. Mr al-Zeidi was initially arrested by Iraqi security and interrogated about whether anybody had paid him to throw his shoes at Bush during a news conference Sunday in Baghdad, according to the official, who spoke on condition of anonymity because he was not authorised to talk to the media.

Mr al-Zeidi could face charges of insulting a foreign leader and the Iraqi prime minister, who was standing next to Bush. The offence carries a maximum penalty of two years in jail. In Mosul, Iraq's third largest city located north of Baghdad, an estimated 1,000 protesters carried banners and chanted slogans demanding Mr al-Zeidi's release. A couple of hundred more also protested on Tuesday in Nasiriyah, a Shiite city about 320 kilometres south-east of Baghdad, and Fallujah, a Sunni area west of the capital.

"Muntadhar al-Zeidi has expressed the feelings and ambitions of the Iraqi people toward the symbol of tyranny," said Nassar Afrawi, a protester in Nasiriyah. In Baghdad, the head of the Iraqi Union of Journalists described al-Zeidi's action as "strange and unprofessional", but urged prime minister Nouri al-Maliki to give him clemency. "Even if he has committed a mistake, the government and the judiciary are broad-minded and we hope they consider his release because he has a family and he is still young," Mouyyad al-Lami said. "We hope this case ends before going to court."

The protests came a day after tens of thousands throughout Iraq demonstrated in support of Mr al-Zeidi, whose action earned him hero status throughout the Arab world. It reflects Arab animosity toward Bush for the 2003 invasion of Iraq and dissatisfaction with the president's handling of foreign policy matters in the Middle East. Hostility persisted even though violence has dropped by more than 80 per cent in Iraq since car bombings and gunfights throughout the country were rampant earlier this year.

Nevertheless, Iraqi security forces and US troops continue to be targeted by insurgents. A roadside bomb targeting an Iraqi police patrol exploded in central Baghdad's Andalus Square today, wounding three police officers and three civilians, said Iraqi police officer Salam Mohammed. The US military said in a written statement that troops killed three suspected insurgents and detained three others in separate operations targeting al-Qaida networks in the northern Iraq.

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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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