3rd May 2006 07:30
Prudential PLC03 May 2006 EMBARGO: 7.30am Wednesday 3 May 2006 CITIC PRUDENTIAL FUND MANAGEMENT SUCCESSFULLY RAISES OVER RMB 3 BILLION WITHFIRST FUND IN CHINA Prudential's fund management joint venture in China with CITIC, CITIC PrudentialFund Management Company, today announced that its first fund achieved inflows ofmore than RMB 3 billion (GBP205 million) from over 77,000 customers during itslaunch period from April 5th to April 26th 2006. More than 87% of the balanced fund was raised from retail investors, confirmingthat the consumer research conducted prior to the funds development and launchhad helped design a product with wide retail appeal. The fund was distributed through Agricultural Bank of China, China CITIC Bank,an in-house direct sales team and eight securities companies. Ajay Srinivasan, Chief Executive, Fund Management, Prudential Corporation Asia,commented, "The success of our first fund is a vote of confidence in CITICPrudential Fund Management by Chinese investors. Our focus in this large andattractive market is clear - we will continue to work hard to understand thevaried and changing needs of Chinese investors and develop products that meetthese needs. We will also continue to leverage the extensive experience of ourother funds businesses as we work towards our goal of building a qualitybusiness that can contribute to the development of the Chinese industry anddeliver sustainable profits to our shareholders." CITIC Prudential Fund Management Company Chief Executive Officer, CheeSeng Sheksaid, "This is an excellent start for CITIC Prudential Fund Management Company.Our first fund launch significantly exceeded our expectations and highlights theeffectiveness of our customer-centric approach, the strength of our distributionpartners and the trust our customers have in two strong brands, CITIC andPrudential." CITIC Prudential Fund Management Company, which is headquartered in Shanghai,plans to launch another fund later this year. - ENDS - Enquiries: Media Investors / analystsJon Bunn 020 7548 3559 James Matthews 020 7548 3561William Baldwin-Charles 020 7548 3719 Marina Novis 020 7548 3511Joanne Doyle 020 7548 3708 About Prudential Prudential plc is a leading international financial services group, providingretail financial services and fund management in its chosen markets: the UnitedKingdom, the United States, Asia and continental Europe. Prudential has been writing life insurance in the United Kingdom for over 150years and has had the largest long-term fund in the United Kingdom for over acentury. Today, Prudential has over 16 million customers worldwide and over £234billion (as of 31 December 2005) of funds under management. In the United Kingdom Prudential is a leading life and pensions provideroffering a range of retail financial products. M&G is Prudential's UK & EuropeanFund Manager, with around £149 billion of funds under management (as of 31December 2005). Jackson National Life, acquired by Prudential in 1986, is aleading provider of long-term savings and retirement products to retail andinstitutional customers throughout the United States. Egg provides banking,insurance and investment products through its internet site www.egg.com. Prudential is the leading European-based life insurer in Asia with operations in12 markets as well as funds management businesses in 9 of those 12 markets. About CITIC Prudential Fund Management Company CITIC Prudential Fund Management Company is headquartered in Shanghai. It isPrudential's ninth funds operation in Asia and adds to its rapidly growingportfolio of funds businesses. About CITIC Group (China International Trust and Investment Corporation) CITIC was established on October 4 1979 by Rong Yiren. The creation of CITIC wasinitiated and approved by Deng Xiaoping, chief architect of China's reform. CITIC is a window on the way China has opened to the outside world. Since itsinception, CITIC has always adhered to the principle of innovation. In line withgovernment laws, regulations and policies, CITIC has attracted and utilizedforeign capital, introduced advanced technologies, and adopted advanced andscientific international practices in operations and management. CITIC hasestablished successful, strong performing businesses in many fields. As aresult, CITIC has made significant contributions to the country's reform andopening up drive and has improved China's reputation both domestically andabroad. CITIC has grown into a large multinational conglomerate. It now owns 44subsidiaries in countries including Hong Kong, the United States, Canada,Australia and New Zealand. The company has also set up representative offices inTokyo, New York and Frankfurt. CITIC's core business ranges from financialservices to service industries. By the end of 2004, CITIC had total assets ofover RMB 701.6 billion (US$84 billion). *Prudential plc, a company incorporated and with its principal place of businessin the United Kingdom, and its affiliated companies constitute one of theworld's leading financial services groups. It provides insurance and financialservices directly and through its subsidiaries and affiliates throughout theworld. It has been in existence for over 150 years and has £234 billion inassets under management, (as at 31 December 2005). Prudential plc is notaffiliated in any manner with Prudential Financial, Inc, a company whoseprincipal place of business is in the United States of America. Forward-Looking Statements This statement may contain certain "forward-looking statements" with respect tocertain of Prudential's plans and its current goals and expectations relating toits future financial condition, performance, results, strategy and objectives.Statements containing the words "believes", "intends", "expects", "plans","seeks" and "anticipates", and words of similar meaning, are forward-looking. Bytheir nature, all forward-looking statements involve risk and uncertaintybecause they relate to future events and circumstances which are beyondPrudential's control including among other things, UK domestic and globaleconomic and business conditions, market related risks such as fluctuations ininterest rates and exchange rates, and the performance of financial marketsgenerally; the policies and actions of regulatory authorities, the impact ofcompetition, inflation, and deflation; experience in particular with regard tomortality and morbidity trends, lapse rates and policy renewal rates; thetiming, impact and other uncertainties of future acquisitions or combinationswithin relevant industries; and the impact of changes in capital, solvency oraccounting standards, and tax and other legislation and regulations in thejurisdictions in which Prudential and its affiliates operate. This may forexample result in changes to assumptions used for determining results ofoperations or re-estimations of reserves for future policy benefits. As aresult, Prudential's actual future financial condition, performance and resultsmay differ materially from the plans, goals, and expectations set forth inPrudential's forward-looking statements. Prudential undertakes no obligation toupdate the forward-looking statements contained in this statement or any otherforward-looking statements it may make. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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