- Wealth manager M&G swung to a first-half loss due to movements in the market value of its assets, though its underlying performance improved.

Pre-tax losses for the six months through June amounted to £248 million, compared to a year-on-year profit of £826 million.

M&G, which was spun out of Prudential in October 2019, pinned the losses on short-term fluctuations in the fair value of surplus assets in its annuity portfolio and derivatives.

Adjusted pre-tax operating profit rose 6% to £327 million.

Assets under management swelled to £370.0 million, up from £338.7 million after positive market movements and net inflows to institutional asset management offsetting net retail outflows.

The company declared an interim dividend of 6.1p per share, in line with its policy of paying one-third of the previous year's total dividend.

'Today's results show good progress on our actions to reposition the business for sustainable growth and continued strong total capital generation,' chief executive John Foley said.

'Institutional assets under management reached a record £89.7 billion following net client inflows of £2.2 billion, primarily from European clients.'

"In retail asset management, net client outflows more than halved as investment performance improved, with 63% of funds in the top two quartiles over one year.'

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