Prudential Chooses IAM to Deliver Hedge Fund Products to its Customers in Asia.

Business Editors

LONDON--(BUSINESS WIRE)--Dec. 19, 2003

Prudential Asset Management in Asia, wholly owned by Prudential plc, has signed an exclusive sales and marketing agreement with International Asset Management ('IAM'), one of the oldest and largest multi-managers in Europe, to provide fund of hedge funds products and services to its customers in Asia. IAM sees this as a significant endorsement for Fund of Hedge Funds products and their potential for the future.

This agreement provides IAM with the opportunity to continue focusing on its core skills of researching, constructing and managing hedge fund of funds by utilising Prudential's expertise, experience and extensive network in Asia to market IAM's product in the region. IAM will retain independence whilst gaining a presence in this fast-growing market, a major step forward in IAM's ability to distribute its high quality hedge fund of fund investment products to a global client base.

Prudential in Asia selected IAM following an extensive search, because of its strong 15-year track record, history of flexibility and innovation and commitment to providing bespoke client services.

Albert Fuss, CEO and Chairman of IAM said: "We are delighted to form this strong and close partnership with Prudential Asset Management in Asia - this is a classic win-win deal. We've entered into a unique partnership in which we can focus on our core strengths whilst Prudential will exclusively distribute and market our fund of hedge fund products across the Asian region. We are seeing a growing interest in hedge funds by institutions and we believe this partnership is a significant endorsement of the increasing importance of hedge fund of funds in institutional portfolios. We are very excited about the opportunities we see and remain committed to our core values of rigorous, diligent research and superior client service."

Ajay Srinivasan, Managing Director of Fund Management for Prudential in Asia, added: "We are pleased to forge this partnership with IAM. We are constantly seeking to provide innovative and high quality products and services to meet our customers' needs throughout the region. Around the world, alternative investment solutions are becoming increasingly significant to customers."

Notes to editors:

Operating territories in Asia will include: The People's Republic of China, Hong Kong (Special Administrative Region of the People's Republic of China), Republic of India, Indonesia, Japan, Republic of Korea, Malaysia, Republic of Philippines, Republic of Singapore, Taiwan, Kingdom of Thailand and the Socialist Republic of Vietnam

IAM

IAM is one of the oldest and largest independent specialist hedge fund portfolio managers in Europe. Founded in 1989, IAM has approximately US$1.4 billion in assets under management. IAM specialises in tailor-making portfolios of hedge funds for its institutional and high net worth clients. IAM is 100% owned by five senior employees.

2003 has been a successful year for IAM and it will continue to expand and develop its team in 2004 to better serve all existing and new clients. Highlights from 2003 include:

-- August - Global Pensions Hedge Fund Manager of the Year 2003

-- September - win Skandia Liv mandate

-- October - Opening of NY office to expand on existing research

platform and will initially focus on due diligence.

For further information on IAM, please visit www.iam.uk.com

Prudential

Prudential Asset Management in Asia is wholly owned by Prudential plc of the United Kingdom, one of the UK's leading retail financial services companies with Pounds Sterling 162 billion (US$ 260bn) funds under management worldwide (as of 30 June 2003).

Prudential has deep roots in Asia, having established its first operation there in India in 1923. Today it is the leading UK life insurance company in the region with a rapidly growing network of asset management operations in Japan, Korea, Taiwan, Singapore, Hong Kong, India and Malaysia. These seven asset management operations manage over US$25 billion of funds. (In Japan and Korea, Prudential operates its asset management business under the PCA ASSET brand name.)

Prudential plc is a geographically diversified business and a leading provider of retail financial products and fund management with operations in the UK and Europe, the US and Asia.

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.