Prudential's UK retail new business fell by 11% in 2009 as the group focused on profitability over volume.
Shares in Pru fell 12.3% after trading resumed following an earlier suspension. News of a $20bn rights issue to fund the AIA deal was largely to blame.
The firm says its UK life operation remains a key part of its future plans, following speculation it could sell its British business to fund the acquisition of AIA.
Annual premium equivalent (APE) sales were down 24% to £723m, though new retail business fell 11% to £717m.
Pru says it chose to focus on ‘value over volume' in 2009, leading to significantly lower volume of wholesale annuities, individual annuities and corporate pensions. The fall in business was partially offset by higher with-profits bond sales.
M&G, Pru's asset management business, saw record sales inflows, though operating profits are down.
Net investment inflows reached £13.5bn, an increase of almost 300% compared to 2008, with total funds under management of £174bn.
M&G's IFRS operating profit fell 17% to £238m, largely due to the lower value of the FTSE All-share index.
Two global vehicles
'Further plug advice gap'
Must appoint separate CEOs and boards
Advisers do come out well
Will report to Mark Till