LONDON Oct 10 British asset manager M&G
Investments, the fund arm of insurer Prudential, plans
to launch a Luxembourg fund range to ensure it can sell to
continental European retail investors after Britain's vote to
leave the European Union.
If approved by the local regulator, two funds would be
offered by the end of the year, M&G said in a statement on its
M&G Finance Director Grant Speirs said the move was prudent
in light of Britain's June 23 referendum on EU membership, given
uncertainty about its right to use a financial "passport" to
sell to European clients after Britain leaves.
"A Luxembourg... platform will enable us to offer fund
strategies to European retail investors if the UK loses
financial services passporting rights in several years' time as
a result of its exit from the EU," he said.
M&G -- which said in June it was putting in place legal
structures in Ireland and Luxembourg -- said it would
subsequently offer European Union-regulated UCITS funds
domiciled in Britain, Ireland and Luxembourg.
(Reporting by Simon Jessop, editing by Louise Heavens)