Prudential's UK retails sales grew by 10% in the first half of the year, according the group's interim results.
The group has also appointed two non-executive directors, Sir Win Bischoff and Ann Godbehere, to its board.
March Tucker, group chief executive of Prudential, says the company has achieved margins on UK new business of 30%, a slight increase on 29% in 2006. The internal rate of return (IRR) reached 15%.
Operating profits grew 39%, an increase on 36% in 2006 and 28% in 2005. Total embedded value (EEV) operating profit from continuing operations reached £1,326 million, up 39%. New business annual premium equivalent (APE) reached £1,334 million, up 12%.
Tucker says: “Our asset management businesses saw very strong growth in operating profit, with M&G and Asia fund management up 40% and 65% respectively.
"Retail net sales at M&G surpassed last year’s record half-year net flows and in Asia net flows remained strong at £1.7bn, with a number of successful fund launches in Taiwan and Korea, as well as ongoing strong net sales in India and Japan.
Prudential says it will sell its “structurally uneconomic” product areas and develop trail-based commission products centred on the multi-asset investments. It says it will launch is unit-linked product later this month.
The group’s individual annuities rose 23%. Prudential says the sector receives recurring internal flows of maturing pensions as well as flows from new and existing partnerships.
Prudential says it could appoint a policyholder advocate later this year as it develops its inherited estate department.
Net inflows across the group’s asset management businesses reached £5bn. Retail net sales at M&G surpassed last year’s record half-year net flows. Net inflows in Asia hit £1.7bn. External funds under management rose to £63 billion.
Prudential today appointed Sir Win Bischoff and Ann Godbehere as non-executive directors to its board, joining tomorrow.
Bischoff has been chairman of Citigroup Europe since 2000 and was previously group Chief executive and then chairman of Schroders. Win joined J. Henry Schroder & Co’s company finance division in 1966.
Godbehere most recently worked as group chief financial officer at Swiss Re, which she joined in 2003.
Before joining Swiss Re she worked as chief financial officer at Zurich-based Property & Casualty Business Group. She began her career in 1976 at Sun Life of Canada.
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