Prudential Asset Management launches its First QDII Investment Products in China

Hong Kong - 19 March 2008

First funds to be denominated in Singapore dollars in China

Prudential Asset Management announced that it has launched today in China, through Standard Chartered Bank(China), its first two Qualified Domestic Institutional Investor (QDII) products --- PRU Global Basics Fund and PRU Asian Infrastructure Equity Fund. These products are available in Singapore dollars, EUR and USD share classes. Both funds are also the first QDII investment vehicle denominated in Singapore dollars and the first Singapore authorized funds available on the QDII platform.

Commenting on the launch, Guy Strapp, Regional Head of Investment Management, Asia, said: "In the current market, some investors are looking for investments that will be less affected by the slowdown in the US. These funds enable investors to diversify against the US currency and take advantage of a resilient global equity market and a growing Asian sector.

"The PRU Global Basics Fund invests in 'basic needs' which must be met regardless of the market conditions. This fund has been resilient to recent market corrections and has delivered positive returns even in the first two months of 2008," Mr Strapp said.

The PRU Global Basics Fund (the underlying fund being the M&G Global Basics Fund) invests in primary and secondary industries that are the building blocks of the global economy. The PRU Global Basics Fund (EUR share class) has delivered consistently good returns to investors since it was launched and has achieved a 257% return over five years*. During the same period, the Singapore dollar has risen around 15%**. This year, the underlying fund has received the Best Equity Global Fund Award over 5 years at both the Lipper Hong Kong and the Edge-Lipper Singapore Fund Awards.

The PRU Asian Infrastructure Equity Fund invests in companies engaged in infrastructure or related businesses in Asia ex-Japan. The fund will capitalize on the numerous infrastructure projects awaiting development or at planning stage in China, India and South East Asia.

Mr Strapp added "QDII provides the opportunity for investors to diversify into other asset classes. The first tranche of QDII products launched was mainly focused on H shares that offered little diversification from A shares. Our two new products offer investors in China access to global companies benefiting from the driving demand of basic needs and a growing Asian market. They provide investors an exciting opportunity to diversify current portfolios.".

* Source: As of 31 Jan 08, Performance is of M&G Global Basics Euro Class A Acc. converted into USD, Morningstar Direct
** Source: As of 31 Jan 08, Bloomberg

About Prudential Asset Management

Prudential Asset Management is the Asia fund management business of Prudential plc* (United Kingdom), one of the world's foremost financial services groups. Prudential Asset Management manages assets on behalf of a wide range of retail and institutional investors across the region. It is also a fund manager for life and pension products sold by Prudential plc and Prudential Corporation Asia.

The fund management business is one of Asia's largest and most successful fund managers. With GBP37 billion in assets under management (as of 31 December 2007) it is the only foreign asset manager in the top 5 position in more than one Asian market.

It has an extensive geographic footprint with fund management operations in 10 markets - mainland China, Hong Kong, India, Japan, Korea, Malaysia, Singapore, Taiwan, Vietnam and the United Arab Emirates.

*Prudential plc, a company incorporated and with its principal place of business in England, 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 almost 160 years and has GBP267 billion in funds under management (as at 31 December 2007). 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.

This information is not an offer or solicitation of an offer for the purchase of investment in units of the funds. An investment in units of the funds is subject to investment risks, including the possible loss of the principal amount invested. Past performance is not necessarily a guide to the future or likely performance of a fund.

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