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M&G chiefs go back to be hands-on fund managers as the Pru axes 180

The Prudential Group is axing up to 180 jobs in a shake-up of its investment management and intermediary arms.

Fund manager M&G is shedding five fund managers, with chief investment officer Vivian Bazalgette and head of equities Sam Morse returning to hands-on fund management roles to bolster M&G&#39s flagging equity performance.

Innovator manager Richard Penny is leaving the group, with British opportunities fund manager Neil Pegrum taking over the fund.

Bazalgette will run the capital fund, with current manager Tim Daniels set to leave. Morse will run the strategic growth fund. Current manager Matthew Vaight is staying in the group but will have another role.

A further 10 investment analysts and 11 marketing staff are going and up to another 100 from streamlining its back office. M&G employs around 3,000 people in total.

Scottish Amicable is axing 27 of its salesforce out of a team of 250 to remove duplication from the merger with Pru&#39s intermediary salesforce earlier this year.

It is also closing its 13 business support centres across the country, resulting in around 26 job losses. All are being offered redeployment opportunities. ScotAm is soon to be fully integrated with Pru.

Bates Investment head of research James Dalby says: “M&G has seen its equity performance slip. Having the CIO return to hands-on management underlines a commitment to get back on IFAs&#39 radar for equity performance.”

M&G managing director of UK retail Phil Wagstaff says: “A number of our funds can benefit from more experienced managers so we are putting our most experienced on key funds. This is about improving performance and our position.”

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