Over the past two years, M&G has concentrated on asset management and a stronger emphasis on Europe as growth drivers. Objectives included enhancing the firm’s investment expertise, building the M&G Investments brand globally, and expanding distribution networks in continental Europe to reach more institutional investors.
Neal Brooks, Global Head of Product & Distribution at M&G, acknowledges that they have largely met these goals, with solid growth particularly in Europe by hiring new staff and reinforcing client relationships with banks, pension plans, and insurers.
“Europe is where we have seen the most rapid business growth. Our focus is on active management, aiming to be recognized as a leading active manager across pan-European markets, specifically in fixed income and private markets,” says Brooks, emphasizing the firm’s goal to internationalize beyond the UK.
Understanding the competitive market, M&G has strengthened its distribution and client relations teams, particularly with global banks and insurers. This has resulted in positive outcomes in Europe’s institutional segment, with increased flows from European markets traditionally focused on wholesale business.
Regarding M&G’s structure as separate businesses including international asset management, M&G Investments, and divisions in the UK, Brooks highlights the firm’s strategic approach to cater to a diverse set of clients across Europe.
Moving forward, Brooks sees potential growth opportunities in ELTIFs and private credit for portfolios, albeit with challenges in liquidity and fund size. He emphasizes the importance of educating investors on these opportunities for continued growth.
In addition to highlighting M&G’s expertise in credit, thematic equity investment, and private assets, Brooks points out the company’s focus on sustainable and impact strategies in emerging markets. He underscores the significance of these areas in the firm’s growth trajectory.
Looking towards the Americas, M&G is targeting Latin America and the US offshore market, leveraging their strategies in regions like Chile, Peru, and Colombia, as well as collaborating with major global banks in the US.
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