PRUDENTIAL PLCCreating and maintaining value in international expansionMARK TUCKER GROUP CHIEF EXECUTIVE

2

PRUDENTIALA high growth, high return business with strong momentum

AsiaUSUK

Insurance

Asset Management

Retail banking

3

PRUDENTIAL IN THE USAn advantaged position in attractive retirement services market

THE US OPPORTUNITY

• Two thirds of the world’s investable assets

• Will continue to dominate the global retail financial services economic profit pool

• Fragmented market

• Shrinking role of government and employers

• The “baby boomer” generation is about to retire

4

PRUDENTIAL IN THE USStrong annuity positioning – rapid development of variable annuities

VARIABLE ANNUITY SALES AND MARKET SHARE

$m

• Variable annuities– Top 3 net sales– Perspective II No. 2 by net sales– Top 15 by gross sales

• Fixed Index annuities– 7th largest provider

• Fixed annuities– 11th largest provider

2005 NEW BUSINESS MARGIN 41% AND IRR 15%

$3,602

$2,411

$968

$242$70

0

500

1000

1500

2000

2500

3000

3500

4000

25-34 35-44 45-54 55-64 65+

Fixed Annuities Indexed Annuities Variable Annuities

…….POSITIONED IN THE HIGH VALUE AGE GROUPS$m

0500

10001500200025003000350040004500

2001 2002 2003 2004 20050

0.5

1

1.5

2

2.5

3

3.5VA Sales VA Market Share

% share5000 4

5

PRUDENTIAL IN THE USPowerful advice based distribution

……KNOWLEDGE AND UNDERSTANDING

31%

78%10%

13%

35%

1%10%

13%

9%

0%

25%

50%

75%

100%

TOTALINDUSTRY

JNL

Independent NASD Regional FirmsBanks/Credit Unions Captive AgenciesDirect Response NY Wirehouses

JNL 9% share of highest growth,highest return

channel

GROSS VARIABLE ANNUITY SALES BY CHANNEL 2005

7th largest independent broker dealer

2005 sales $9.4 billion

2582 reps

SCOPE TO GROW IN CHOSEN CHANNELS

6

PRUDENTIAL IN THE USLow cost, high quality, scalable infrastructure is differentiator

22% 22%

66%

93%88%

70%

0%10%20%30%40%50%60%70%80%90%

100%

2000 2001 2002 2003 2004 2005

….ENABLING RAPID INNOVATION% RETAIL SALES FROM PRODUCT AND FEATURES DEVELOPED

AND LAUNCHED IN YEAR AND PRIOR YEAR

48

63

88

0102030405060708090

100

JNL TOP 25 INDUSTRY

COST ADVANTAGEGENERAL EXPENSE TO ASSETS 2005

HIGH QUALITY SERVICEbps

World Class Service Award

….ENABLING EFFICIENT CONSOLIDATION

Life of Georgia

1.5 million policies integrated in 8 months

Diversification - stable cash flows

Beat 12% IRR target

1 Retirement services roundtable analysis of survey consumer 2 Finance Data – CE Board 2005 and Insurance Advisory Board 2005

7

US - MONEY IN MOTION THE ‘BABY BOOMER’ GENERATIONPositioned for success

POPULATION AGED 65+

01020304050607080

2010 2030

75%

MillionDRIVERS OF SUCCESSBroad annuity positioning

Unbundled propositionAdvice based distribution

Low cost flexible infrastructure

TOTAL U.S. FINANCIAL ASSETS BY AGE COHORT 1

$224

$546$152

$378

$131

$162

0

200

400

600

800

1000

1200

2004 2012Defined contribution plans IRA's Defined benefit plans

$507 Bn

$ Bn

$1086 Bn

ESTIMATED ANNUAL RETIREMENT DISTRIBUTIONS2

012345678

25-34 35-44 45-54 55-64 65+

Near-retirees and retirees control $13.8T in assets, or 60% of total U.S.

investable assets.

$ Tn

8

PRUDENTIAL IN ASIAUnrivalled Asian sales and profit growth potential

THE ASIAN OPPORTUNITY

• Over 58% of world’s population live in Asia

• Asia is delivering consistently strong economic growth

• Savings rates are on average twice the rate of UK & US

• Majority of savings are in cash and deposits

• Markets are liberalising

*Licenses for 13 cities in China 9

PRUDENTIAL IN ASIAA well diversified, truly regional platform with material scale

*

• Recognised potential early on; began investing seriously in 1994

• Secured early mover advantage in many areas:

UK’s first life company in China, India and Vietnam

Bancassurance since 1998 Pioneered unit linked products

• Forged excellent partnerships CITIC in China and ICICI in India Over 40 banking relationships

Source: Prudential Corporation Asia Tracking Research conducted across Asia in 2004-2005 10

BRAND LEADERSHIPImpressive icon awareness

8585

9696

7777

9393

7575

5252

98989494

9999

7979

3030

11

2525

5353

9191

8181

5252

4545

6161

9090

2424

4343

2323

44

%

10

20

30

40

50

60

70

80

90

100

Malaysia SG HK Vietnam India Taiwan China (GZ) Korea

• Prudence transcends language barriers

• Agency employer of choice

• High quality empowered management team

Constant exchange rates11

PRUDENTIAL IN ASIAExcellent performance track record, margins 56% & IRR over 20%

0

100

200

300

400

500

600

700

800

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

NEW BUSINESS APE FUNDS UNDER MANAGEMENT

0

5

10

15

20

25

30

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

£bn

24% CAGR

34% CAGR

£m

…..MULTI CHANNEL DISTRIBUTION …..EMPHASIS ON HIGH RETURNCAPITAL EFFICIENT UNIT-LINKED

Unit-linked63%

Accident &Health12%

Other 25%

Agency75%

Brokers 10%Direct 4%

Banks 11%

12

ASIA CONTINUES TO BE A MAJOR OPPORTUNITY60% of rapidly growing household assets are held in cash & deposits

2004 HOUSEHOLD FINANCIAL ASSETS

17.018

16

14

12

10

8

6

4

2

0

£tn

DRIVERS OF SUCCESS

Expansion of proprietary agent distribution

Improved agent productivity

Material development of bank distribution

Access emerging direct and broker channels

Strong unit-linked and mutual fund capability

Regional synergies

10.1

3.4

US Asia UK

Financial assets other than cashCash & deposits

CHALLENGING GROWTH TARGETS AND CASH POSITIVE IN 2006

13

UK OPERATIONSStrong businesses improving returns

BUILDING A SHAREHOLDER BACKED BUSINESS

• 14% IRR on 2005 new business• Selective approach based on return criteria

– Advantaged annuity position– Corporate pensions– Unit linked bonds– Equity release

• £40 million per annum cost saving• Revenue synergies

0%

25%

50%

75%

100%

2000 2001 2002 2003 2004 2005

Policyholder

DIVERSIFYING DISTRIBUTION

Shareholder

IFAB2B

DSF

B2B

Partner-ships

D2C

2005

IFA3.7 million customers

Powerful Direct to Consumer brand

Scalable platform

2000

14

M&G RAPIDLY DEVELOPING BUSINESSStrong investment performance and growing cash flow

0

5

10

15

20

25

30

35

40

2001 2002 2003 2004 20050

20

40

60

80

100

120

140

160

180

200

2001 2002 2003 2004 2005

EXTERNAL FUM PROFIT BEFORE TAX£bn £m

• Spreading competitive strengths and diversifying risks across a range of (largely uncorrelated) markets

• Exponential growth and accelerating

• Cost effective– product range based on UK OEIC

• Recently launched into Asia – gross sales £51m in Q1 2006

Record net sales in 2005

41% funds top quartile over 3 years

24% of equity funds top decile over 3 years

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2,200

2,400

2,600

Apr-02

Jul-0

2Oct-

02Ja

n-03

Apr-03

Jul-0

3Oct-

03Ja

n-04

Apr-04

Jul-0

4Oct-

04Ja

n-05

Apr-05

Jul-0

5Oct-

05Ja

n-06

€m

M&G INTERNATIONALFUM

DEVELOPING INTERNATIONALLY

15

BUILDING EFFICIENCY ACROSS THE GROUP

• Global cost efficiencies

• Sharing expertise and resources

• Aggregate risk management

• Risk adjusted performance measurement

• Balance sheet efficiency

• Lower funding costs

• Maintain diversification

PERFORMANCE DRIVEN LEADERSHIP CULTURE

16

PRUDENTIAL A high growth, high return business with strong momentum

• Compelling positions in the world’s leading retail financial services markets

– Unrivalled Asian sales and profit growth potential

– Highly cash generative US business well positioned for retirement services growth

– Strong UK businesses with improving returns

– Asset management business with strong investment performance and growing cash flow

• Capital and cash to fund growth plans

• Significant scope to increase value from each business and by accessing

Group benefits