M&G : to merge two Funds into the M&G European sustain Paris Aligned Fund

M&G TO MERGE TWO FUNDS INTO THE M&G EUROPEAN SUSTAIN PARIS

ALIGNED FUND

London, 20 September 2021 - M&G today announces the proposed mergers of the M&G European Select Fund and the M&G Pan European Select Smaller Companies Fund into the M&G European Sustain Paris Aligned Fund. The proposals follow a review by M&G, concluding that the trend of steady outflows from both funds has little prospect of reversing in the foreseeable future.

The M&G European Sustain Paris Aligned Fund ("the Fund") invests in stocks of public listed companies across sectors, combining sustainable business models with proven competitive advantages that aim to protect their profitability. It aims to provide a higher total return (the combination of capital growth and income) than that of its benchmark indices, over any five-year period. The Fund also has a sustainability objective which aligns it to the Paris Agreement goals on climate change.

Companies in the Fund are either:

• Low Carbon Companies with a weighted average carbon intensity 50% lower than the benchmark
• Reducing Carbon Companies that have already set or have committed to setting science based targets to reach net zero by 2050.

Alex Matcham, Head of UK Wholesale Distribution, comments: "The M&G European Sustain Paris Aligned Fund offers investors an investment proposition for growth over the medium to long-term.In addition to this, it has a sustainable investment approach which considers the carbon intensity of the companies in which it invests and we believe it offers investors a scalable fund solution for the long - term."

The proposed mergers, if approved, will take place on 10 December 2021 and investors in the merging funds will receive communication in the coming days outlining the proposals.

ENDS

If you require any further information, please contact:

Irene Chambers

M&G Corporate Communications

Tel: [phone]

[e-mail]

Notes to Editors

About M&G Investments

M&G Investments is part of M&G plc, a savings andinvestment business whichwas formed in 2017 through the merger of Prudential plc's UK and Europe savings and insurance operation and M&G, its wholly owned international investment manager. M&G plc listedas an independent company on the London Stock Exchange in October 2019 and has £370 billion of assets under management (as at 30 June 2021). M&G plc has over 5 million customers in the UK, Europe, the Americas and Asia, including individual savers and investors, life insurance policy holders and pension scheme members.

For nearly nine decades M&GInvestments has beenhelping its customers to prosper by putting investments to work, which in turn creates jobs, homes and vital infrastructure in the real economy. Its investment solutions span equities, fixed income, multi asset, cash, private debt, infrastructure and real estate.

M&G recognises the importance of responsible investing and is a signatory to the United Nations Principles for Responsible Investment (UNPRI) and is a member of the Climate Bonds Initiative Partners Programme.

M&G plc has committed to achieve net zero carbon emissions on its total book of assets under management and administration by 2050 and committed to reduce operational carbon emissions as a corporate entity to net zero by 2030.

For more information, please visit: https://global.mandg.com/

This information is intended for journalists and media professionals only. It should not be relied on by private investors or advisers. Please note that not all of the funds referenced in this press release will be available in your jurisdiction.

Issued by M&G Securities Limited which is authorised and regulated by the Financial Conduct Authority and provides investment products. The company's registered office is 10 Fenchurch Avenue, London EC3M 5AG. Registered in England and Wales. Registered number 90776.