Principles and Practices of Financial Management

All firms that carry out with-profits business are required to publish the Principles and Practices of Financial Management (PPFM) that are applied in the management of their with-profits funds.

Our PPFMs give a knowledgeable observer (e.g. a financial adviser) an understanding of the material risks and rewards from starting and continuing an investment in a with-profits policy with The Prudential Assurance Company Limited (PAC).

We maintain two versions of our PPFM, a full version covering all with-profits business, and a PruFund specific version:

• The full PPFM covers all UK with-profits policies issued by companies in M&G plc Group, including Prudential Assurance Company Limited (PAC), Prudential International Assurance plc (PIA), Scottish Amicable Life Assurance Society (SALAS) transferred to PAC with effect from 30 September 1997, Scottish Amicable Life plc, (SAL) which was transferred to PAC with effect from 31 December 2002, Prudential (AN) Limited (PANL) which were transferred to PAC with effect from 31 October 2010. It also covers the with-profits annuity policies transferred from the Equitable Life Assurance Society to PAC.
  
  
• The PruFund specific PPFM is an abbreviated version of the full PPFM which covers all UK with-profits policies investing in PruFund by or reinsured into PAC.

PAC’s PPFM documents apply primarily to UK business, though broadly similar principles and practices generally apply to overseas business transferred or reinsured into PAC.

The Principles define the overarching standards adopted in managing PAC's with-profits business and describe the approach used in responding to longer-term changes in the business and economic environment.

The Practices describe the approach used in responding to changes in the business and economic environment in the shorter-term, and as a result, they will change more frequently than Principles.

The contents of our PPFMs may be amended in the future and an updated version of these documents will be published on our website as soon as practical after any changes are finalised. Please make sure you have also read the Key Features Document and the With-Profits Guide appropriate for your product.

You can download either PPFM using the links below or call our Customer Service Team on 0800 000 000. Opening times are 8.00am to 6.00pm Monday to Friday. We might record your call for training and quality purposes. To find out more about how we use your personal data please see our Data Privacy Notice.

This document outlines the notable changes made to Prudential's PPFM since launch in 2004.

This document confirms how we comply with the Principles and Practices of Financial Management.

We also produce simpler guides to our with-profits products. You can download these below:

* This guide only applies to Income Choice Annuities which started on or after 7 November 2011.

This guide does not apply to:

• Income Choice Annuities which were started before 7 November 2011

• A small number of Income Choice Annuities which were set up between 7 November and 16 December 2011

If this guide doesn't apply to your Income Choice Annuity and you'd like a copy of the guide that does, please see the Pre 07/11/2011 – Prudential Income Choice Annuity guide. If you are unsure which guide applies to your Income Choice Annuity, please contact us on 0800 000 000

Current information regarding the asset mix and investment returns is included in the document below.

Prudential has published a statement of the Principles and Practices used in the management of our unit-linked funds.