M&G, Prudential's asset management business for the UK and Europe, boosted profits by 25% in 2006, helped by rising market levels, strong net inflows and diversification into new products.

Total operating profit for 2006 was £204m (€299m), up 25% from 2005. Net investment inflows grew by 58% to £6.1bn in 2006, helped by shifts in institutional markets toward asset liability matching, specialist mandates and an increased role for fixed income.