Agreement to Transfer Equity Business

Prudential PLC
22 March 2000


PRUDENTIAL AGREES TRANSFER OF UK SEGREGATED
BALANCED AND SPECIALIST EQUITY BUSINESS
TO DEUTSCHE ASSET MANAGEMENT

Prudential plc announces that it has agreed to transfer, subject to client
approval, part of its UK institutional fund management activities to Deutsche
Asset Management (DeAM). The relevant parts of these activities comprises
approximately £12bn of UK segregated balanced and specialist equity mandates
from a range of institutional clients, out of a total Prudential group funds
under management of approximately £170bn. Prudential's institutional
specialist bond and pooled businesses are not included in this agreement.

This arrangement follows a strategic decision by Prudential to focus its asset
management business in unit trusts, pooled life and pension funds and
specialist bond fund management.

This agreement has been reached after a thorough selection process. The aim
was to find the best possible solution for clients.  DeAM has an excellent
track record in the institutional field, a large fund management team and
significant administrative resource. For these reasons Prudential believes
DeAM offers the best alternative investment proposition combined with the
infrastructure to effect a smooth transition, therefore minimising the
disruption for clients.

The consideration for the transfer, which will be based on a combination of
the value of funds taken on by DeAM and future revenues, will not be material
in relation to the net assets of Prudential.

Michael McLintock, chief executive of Prudential M&G Asset Management, the
combined asset management businesses of Prudential and M&G, commented,

'Once we had taken the decision to focus on areas where we have a competitive
advantage we concentrated on seeking the best possible partner for all those
clients affected.  We believe Deutsche Asset Management have the resource and
commitment to make a great success of this role.'

James Goulding, Chief Executive of Deutsche Asset Management's UK Division,
said,

'We are committed to growing our UK institutional business and believe we have
the investment process, resources and track record to offer Prudential's and
M&G's institutional clients a very attractive new partner. We look forward to
working with these clients.'

For more information contact:
Media:    Vicky Hill      0171 548 3462
          Jeremy Reynolds 0171 548 3721

Analysts:  Carys Walshe   0171 548 3823


Notes to Editors:

Prudential M&G Asset Management comprises the combined asset management
businesses of PPM and M&G.

Following the transfer of the UK segregated balanced and specialist equity
mandates from a range of institutional clients worth £12bn, Prudential will
continue to manage assets worth more than £155bn in pooled life and pension
funds, unit trusts and specialist bond mandates.

The Prudential's and Scottish Amicable's Life Funds represent £74bn of those
funds under management.

Deutsche Asset Management (DeAM) has a strong global network of investment
resources with offices in London, Frankfurt, Milan, New York, Philadelphia,
Tokyo, Singapore and Sydney employing more than 300 investment specialists
worldwide, over 100 of whom are based in the UK.

DeAM is regulated by IMRO in the conduct of its investment business.