Dr. Atie J. El Mouallem – Relationship between high Inequality and Corruption — atiejelmouallem.com
The world economic forum held this year reported that one of the top global trends that will affect global markets was the rising income and wealth inequality, along with other issues like climate change, terrorism, infectious diseases, cyberattacks, immigration, ageing population and loss of global cooperation under the weight of nationalism.
How serious is the problem of inequality in Lebanon?
As per the Carnegie Endowment scholar Lydia Assad, the richest 10% and 1% of adults accounted for 56% and 23% of the total national income respectively, and only 3,000 nationals, the Top 0.1%, accounted for a full 10% of the national income!
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Saudi Aramco Buys Valvoline’s Petroleum Unit for $2.65 Billion – Bloomberg — www.bloomberg.com
– Valvoline, based in Lexington, Kentucky, will use about $2.25 billion from the transaction to return money to shareholders, reduce debt and invest in its retail services. It will become a “pure-play automotive service provider” and target earnings-per-share growth of more than 20%.
– Goldman Sachs Group Inc. advised it on the deal with Aramco
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Abu Dhabi’s Wealth Fund Buys Stake in CVC-Owned TMF Group – Bloomberg — www.bloomberg.com
– The Middle East sovereign wealth fund will take a significant minority stake in TMF and a seat on the company’s board
– TMF provides services including bookkeeping, payroll, fund administration and compliance to multinational corporations and financial institutions.
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Abu Dhabi Investment Authority/ADIA Deepens Internal Shift – Bloomberg — www.bloomberg.com
– ADIA’s choices can have an impact around the world. It is one of the biggest investors in US real estate, and its recent deals include stakes in German railcars, North American energy and Indonesia’s biggest internet firm
– ADIA merged its internal and external equities departments into one. Even more striking was the launch last year of an in-house science lab, staffed with quants, physicists, artificial intelligence and computer experts recruited from hedge funds or academia.
– The net result of all these changes was a loss of 160 people, or almost 10% of the fund’s workforce, in 2021.
– Efficiency, agility and speed are now the characteristics for successful investors of all types – including those with long-term objectives,” the spokesman said
– ADIA was set up in 1976 to manage the oil surplus revenues of Abu Dhabi, one of the world’s top crude exporters. It’s the biggest sovereign wealth fund in the city, eclipsing Mubadala Investment Co. and ADQ, and one of the largest in the world
Dubai’s Metaverse Strategy Targets 40,000 Virtual Jobs in Five Years – Bloomberg — www.bloomberg.com
– The plan, launched by Dubai Crown Prince Sheikh Hamdan bin Mohammed, aims to support the government’s goal of increasing the number of blockchain companies by five times in five years. Dubai is already home to over 1,000 companies in the metaverse and blockchain sector, which contributes $500 million to the national economy, Sheikh Hamdan said.
Portugal Golden Visas: Rich Chinese Losing Their Favorite Escape Route to Europe – Bloomberg — www.bloomberg.com
– Investment migration consultancy Henley & Partners estimates that 10,000 high-net-worth residents are seeking to pull $48 billion from China this year. In the past, some have used the golden visa program as an escape route.
– The EU has increasingly made clear its disdain for residence and citizenship-by-investment programs, currently offered in some form by 10 member states, with Cyprus and Malta already scrapping their golden passport initiatives after coming under scrutiny from the bloc.
– Portugal’s program grants residency in exchange for a minimum 350,000 euro ($358,400) investment in real estate or 500,000 euros in an approved local venture fund.
– European Commission President Ursula von der Leyen is now warning that the region’s values “are not for sale.”
– Starting this year, Portugal restricted the golden visa program in Lisbon, Porto and high-density coastal areas, pushing investment to the less-developed countryside, which proponents see as an unrealized opportunity.
Russian Gas Shipments to China Will Ease Europe’s Energy Crunch – Bloomberg — www.bloomberg.com
– The biggest fields in Siberia, which currently feed Europe, will eventually be connected to China, giving Russia an alternative outlet for its vast resources as relations with the West deteriorate.
– Should Russia impose a complete halt on gas flows to Europe, prices may spike to five times the current level, according to Accenture.
– The risk of global recession will also curb gas consumption, with demand shrinking as much as 16% in the European Union next year, according to Accenture.