CITIC Prudential fund inflows
Prudential PLC
03 May 2006
EMBARGO: 7.30am Wednesday 3 May 2006
CITIC PRUDENTIAL FUND MANAGEMENT SUCCESSFULLY RAISES OVER RMB 3 BILLION WITH
FIRST FUND IN CHINA
Prudential's fund management joint venture in China with CITIC, CITIC Prudential
Fund Management Company, today announced that its first fund achieved inflows of
more than RMB 3 billion (GBP205 million) from over 77,000 customers during its
launch period from April 5th to April 26th 2006.
More than 87% of the balanced fund was raised from retail investors, confirming
that the consumer research conducted prior to the funds development and launch
had 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 CITIC
Prudential Fund Management by Chinese investors. Our focus in this large and
attractive market is clear - we will continue to work hard to understand the
varied and changing needs of Chinese investors and develop products that meet
these needs. We will also continue to leverage the extensive experience of our
other funds businesses as we work towards our goal of building a quality
business that can contribute to the development of the Chinese industry and
deliver sustainable profits to our shareholders.'
CITIC Prudential Fund Management Company Chief Executive Officer, CheeSeng Shek
said, 'This is an excellent start for CITIC Prudential Fund Management Company.
Our first fund launch significantly exceeded our expectations and highlights the
effectiveness of our customer-centric approach, the strength of our distribution
partners and the trust our customers have in two strong brands, CITIC and
Prudential.'
CITIC Prudential Fund Management Company, which is headquartered in Shanghai,
plans to launch another fund later this year.
- ENDS -
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About Prudential
Prudential plc is a leading international financial services group, providing
retail financial services and fund management in its chosen markets: the United
Kingdom, the United States, Asia and continental Europe.
Prudential has been writing life insurance in the United Kingdom for over 150
years and has had the largest long-term fund in the United Kingdom for over a
century. Today, Prudential has over 16 million customers worldwide and over £234
billion (as of 31 December 2005) of funds under management.
In the United Kingdom Prudential is a leading life and pensions provider
offering a range of retail financial products. M&G is Prudential's UK & European
Fund Manager, with around £149 billion of funds under management (as of 31
December 2005). Jackson National Life, acquired by Prudential in 1986, is a
leading provider of long-term savings and retirement products to retail and
institutional 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 in
12 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 is
Prudential's ninth funds operation in Asia and adds to its rapidly growing
portfolio 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 was
initiated 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 its
inception, CITIC has always adhered to the principle of innovation. In line with
government laws, regulations and policies, CITIC has attracted and utilized
foreign capital, introduced advanced technologies, and adopted advanced and
scientific international practices in operations and management. CITIC has
established successful, strong performing businesses in many fields. As a
result, CITIC has made significant contributions to the country's reform and
opening up drive and has improved China's reputation both domestically and
abroad.
CITIC has grown into a large multinational conglomerate. It now owns 44
subsidiaries in countries including Hong Kong, the United States, Canada,
Australia and New Zealand. The company has also set up representative offices in
Tokyo, New York and Frankfurt. CITIC's core business ranges from financial
services to service industries. By the end of 2004, CITIC had total assets of
over RMB 701.6 billion (US$84 billion).
*Prudential plc, a company incorporated and with its principal place of business
in the United Kingdom, and its affiliated companies constitute one of the
world's leading financial services groups. It provides insurance and financial
services directly and through its subsidiaries and affiliates throughout the
world. It has been in existence for over 150 years and has £234 billion in
assets under management, (as at 31 December 2005). Prudential plc is not
affiliated in any manner with Prudential Financial, Inc, a company whose
principal place of business is in the United States of America.
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