Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/wealth-manager/article/a665509
M&G's net inflows hit all-time high, but UK sales down
by James Phillipps on Mar 13, 2013 at 08:23
M&G saw net inflows soar to an all-time high in 2012, but sales into the UK fell year-on-year following its attempts to stem new money pouring into two of its flagship bond funds.
Net inflows surged to £16.9 billion, up from £4.4 billion in 2011, including a record fourth quarter, with the group citing a return of investor risk appetite in Europe as a major driver of growth.
However, total net fund sales of £5.3 billion in Continental Europe reached a record high for the group and overseas sales are accounting for a growing amount of total retail funds under management, now at 29% compared to 25% in 2011.
Underlying profits for the full year rose by 14% to a record £298 million with total funds under management reaching £228 billion, up from £201 billion at the end of 2011.
Commenting on M&G's outlook, Prudential group chief executive Tidjane Thiam said: 'Looking ahead, the diversification of our business by asset class and geography positions us well to manage the expected shifts in consumer asset allocation going forward.'
M&G’s strong year helped parent group Prudential achieve a 54% increase in pre-tax profits to £2.81 billion last year. The group has risen its full year dividend by 15.9%.
News sponsored by:
Citywire 10k run: the 28 teams & 173 runners set to do battle
We reveal the teams and runners who have committed to take part in our annual fundraiser at Regent's Park later this month.
Today's top headlines
More about this:
Look up the funds
Look up the shares
More from us
Aberdeen Live supplement: Fundamentals point to ongoing flows and solid returns from EMD
After a record year for inflows and market-leading performance in 2012, emerging market debt has taken a large step towards the mainstream. Our recent debate covers the outlook for the asset class this year and where opportunities can be found.
On the road