M&G returns to inflows in Q1

M&G has posted net inflows of £600m in three months to 31 March, following outflows of £100m in the same period last year.

The investment manager stated that this increase was driven by “strong wholesale performance”, compensating for subdued activity from institutional clients.

M&G also reported assets under management and administration (AUMA) of £371bn, remaining broadly flat from the start of the year, and marking a 10% year-on-year increase.

Across this period, its life AUMA dropped by 2% due to “modest adverse market movements” and expected net outflows from legacy business.

Meanwhile, its PruFund range of funds experienced small net outflows of £100m in the period, as the impact of market volatility in March offset a “positive start to the year”.

In Q1, M&G launched its With-Profits BPA solution, and completed its first transaction of £300m. As a result, the investment manager expects bulk purchase annuity volumes to continue growing year-on-year, weighted towards H2.

Group chief executive officer at M&G, Andrea Rossi, stated: "We have made a strong start to 2026, with net inflows in asset management, driven by demand from Daiichi Life Group and other external clients, and the completion of our first With-Profits BPA deal in Life.

"Net inflows from open business of £600m represent a clear improvement compared to net outflows of £100m in the same period last year. Group AUMA remained resilient at £371bn despite market volatility.

"Thanks to a strong new business pipeline, the introduction of our innovative With-Profits BPA, and the upcoming launch of PruFund on third-party adviser platforms, we are confident in our ability to deliver continued growth this year."

---