M&G Prudential’s PruFunds range has seen net inflows of £6.6 billion in the first nine months of 2018, taking the funds’ assets to £42.9 billion.
The PruFund, which acts like a with-profits fund, has grown by 19% since the start of the year. This helped increase M&G Prudential’s new business profit to £277 million.
In its asset management division however, the group noted a £6.1 billion outflow from the redemption of a ‘single large, but low-margin, institutional mandate’. As of 30 September, total M&G Prudential funds under management were £334.4 billion – down from £350.7 billion at the end of 2017.
Earlier this year the recently formed UK and European M&G Prudential announced it would be splitting off from its parent company Prudential into a separately London-listed FTSE 100 business. The parent company would focus on the rising Asian market as well as the US.
In a trading update this morning, M&G Prudential said it is ‘making good progress’ on the demerger which is ‘on track’.
Last month New Model Adviser® revealed the asset management arm, M&G Investments, was suspending 21 funds as it moved £34 billion of assets to Luxembourg due to Brexit.