Jockey Luke Nolen rides Black Caviar to a victory in Melbourne.
Jockey Luke Nolen rides Black Caviar to a victory in Melbourne.

Black Caviar to miss Dubai World Cup for Royal Ascot



Black Caviar will not come to Dubai for World Cup night after the owners of the world's best sprinter decided to give their mare a break ahead of a trip to Royal Ascot.

The six year old picked up her 19th consecutive success when winning the Group 1 Lightning Stakes over 1,000 metres in Melbourne on Saturday which teed up a possible run in either the Al Quoz sprint or Dubai Golden Shaheen at Meydan racecourse on March 31.

It was Black Caviar's third run in under a month and trainer Peter Moody will hand the nine-time Group 1 winner a well earned rest before she heads to England to contest the Diamond Jubilee Stakes over 1,200 metres on June 23.

"While both myself and the owners were very grateful for all the assistance shown to us by the Dubai Racing Club, what concerned me about taking her to Dubai was the fact that she would be away from home for four months leading up to the Diamond Jubilee," Moody said. "It was just too big an assignment. She will spend a couple of week's R&R, just enjoying herself roaming around the paddock. From there we get ready to take on the Poms at Royal Ascot.

"That's the Royal Ascot race the owners have had their sights on for some time and everything is being tailored like a Savile Row suit to have her cherry-ripe for that race.

"I can't wait, I reckon Black Caviar will show them a thing or two."

Black Caviar had been entered in both the Al Quoz sprint over 1,000 metres on turf and the Dubai Golden Shaheen over 200 metres further on Tapeta and Moody highlighted that the latter would have been the intended target.

"The artificial Tapeta surface wasn't a concern and sure the $1.2 million prizemoney was most appealing, but what is and always will be first and foremost is what is best for Black Caviar," he added, in a column for the Herald Sun newspaper.

The mare will, however, attempt to break the Australasian record at premier tracks by securing her 20th successive victory in the Robert Sangster Stakes on April 28 or the Goodwood a fortnight later.

The BTC Cup on May 12 is also an option.

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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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Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
 
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
 
Round 3: February 7-9, Dubai Autodrome – Dubai
 
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
 
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
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