Prudential has reached five of the six objectives it had set itself for 2013 and is on course to reach its final aim of doubling the 2009 Asia new business profits by the end of the year, Tidjane Thiam said today.
He also said that the insurer plans to raise £10bn, or a third of its market capitalisation value, in cash over the next four years and generate an underlying surplus in its Asia business of £0.9bn - £1.1bn, while aiming for Asia life and asset management to grow at a compound annual rate of at least 15% in 2012-2017 (pre-tax IFRS operating profit).
Prudential's strategy will remain unchanged, he confirmed, focusing on a growing demand for savings and protection products in Asia, and meeting the savings and retirement needs of the baby-boomers in the US and the ageing population in the UK.
The company will invest further in new markets such as Cambodia, Myanmar, Poland and Ghana, while exploring its options in Saudi Arabia.
This will provide access to 175 million people and GDP worth $1.4trn, he said ahead of the company's investor conference, which takes place in London today.
Thiam (pictured) said: "Prudential is in the final year of its 2013 ‘Growth and Cash' objectives set in December 2010. I am pleased to announce today that we have also now achieved the UK cash remittance objective. With this, we have now met five of our six 2013 objectives.
"The progress we have made towards achieving these objectives in spite of the financial crisis demonstrates that Prudential can both grow profitably and generate solid cash flows from all four business units.
"Looking beyond 2017, we are building the group's long-term future by selectively investing in markets that share many of the positive characteristics that we find in our existing Asian markets, namely fast-growing GDP, a young population and low insurance penetration.
"We will remain focused on serving our customers and growing profitably. We will continue to invest in the medium to long-term future of the group and are well positioned to deliver compelling returns to shareholders."
Prudential announced in its interim statement in August that it would achieve its six set goals by the end of the year.
Prudential's benchmarks were drawn up in 2013 to appease investors following the firm's botched attempt at taking over AIA from competitor AIG, which eventually landed the company a £153m break fee and regulatory fines of £30m.
The six objectives were designed to show the business can grow in emerging markets at the same time as achieving cash generation in all regions.
An ambitious objective
'Something completely new'
'Illusion of control'
Reasons to be cheerful
Total investment reaches £9m