Prudential plc 2014 Full Year Results

Prudential plc 2014 Full Year Results Delivering Growth and Cash 10 March 2015 1

This document may contain forward-looking statements with respect to certain of Prudential's plans and its goals and expectations relating to its future financial condition, performance, results, strategy and objectives. Statements that are not historical facts, including statements about Prudential s beliefs and expectations and including, without limitation, statements containing the words may, will, should, continue, aims, estimates, projects, believes, intends, expects, plans, seeks and anticipates, and words of similar meaning, are forward-looking statements. These statements are based on plans, estimates and projections as at the time they are made, and therefore undue reliance should not be placed on them. By their nature, all forward-looking statements involve risk and uncertainty. A number of important factors could cause Prudential's actual future financial condition or performance or other indicated results to differ materially from those indicated in any forward-looking statement. Such factors include, but are not limited to, future market conditions, including fluctuations in interest rates and exchange rates and the potential for a sustained low-interest rate environment, and the performance of financial markets generally; the policies and actions of regulatory authorities, including, for example, new government initiatives related to the financial crisis and the effect of the European Union's Solvency II requirements on Prudential's capital maintenance requirements; the impact of designation as a global systemically important insurer; the impact of competition, economic growth, inflation, and deflation; experience in particular with regard to mortality and morbidity trends, lapse rates and policy renewal rates; the timing, impact and other uncertainties of future acquisitions or combinations within relevant industries; the impact of changes in capital, solvency standards, accounting standards or relevant regulatory frameworks, and tax and other legislation and regulations in the jurisdictions in which Prudential and its affiliates operate; and the impact of legal actions and disputes. These and other important factors may for example result in changes to assumptions used for determining results of operations or re-estimations of reserves for future policy benefits. Further discussion of these and other important factors that could cause Prudential's actual future financial condition or performance or other indicated results to differ, possibly materially, from those anticipated in Prudential's forward-looking statements can be found under the Risk Factors found in the preliminary document. Any forward-looking statements contained in this document speak only as of the date on which they are made. Prudential expressly disclaims any obligation to update any of the forward-looking statements contained in this document or any other forward-looking statements it may make, whether as a result of future events, new information or otherwise except as required pursuant to the UK Prospectus Rules, the UK Listing Rules, the UK Disclosure and Transparency Rules, the Hong Kong Listing Rules, the SGX-ST listing rules or other applicable laws and regulations. 2

Prudential plc 2014 full year results Agenda Business Review Tidjane Thiam Financial Review Nic Nicandrou Outlook Tidjane Thiam 3

Agenda 2014 Performance Asia Jackson UK Life M&G Group 4

2014 full year financial headlines Strong performance on all key metrics m FY 2014 FY 2013 Change CER 1 (%) Change AER 1 (%) IFRS operating profit 3,186 2,954 +14% +8% Growth New business profit 2 2,126 2,082 +10% +2% EEV operating profit 2 4,096 4,204 +4% -3% Cash Free surplus generation 2,579 2,462 +9% +5% Dividend per share 3 (pence) 36.93 33.57 +10% +10% IGD ( bn) 4.7 5.1 Capital EEV per share (pence) 1,136 971 +17% +17% Economic capital ratio 4 (%) 218 257 1 AER: Actual Exchange Rate. CER: Constant Exchange Rate. 2 The 2014 EEV results for the Group are presented on a post-tax basis and, accordingly, the 2013 results are shown on a comparable basis. 3 Dividend per share and EEV per share stated on actual exchange rates. 4 Our economic capital results are based on outputs from our Solvency II internal model, but the economic capital position should not be interpreted as output from an approved internal model. Certain aspects of the methodology and assumptions underpinning these results will differ from those that will be ultimately adopted for the Solvency II Pillar I internal model calculation. The eventual Solvency II Pillar 1 ratio, therefore, remains uncertain and is expected to be lower than our economic capital ratio. 5

Group 2014 backdrop Scottish Independence vote UK annuities regulation change FCA legacy review Europe Euro zone deflation Europe ECB cut interest rate China Hard landing fear Hong Kong Democratic protests India Elections Indonesia Flooding Thailand - Political Coup Indonesia Elections Asia - FX depreciation Global Commodity price fall Global US Fed ends QE3 Global Low interest rates 6

UK M&G ASIA US Group 2014 dashboard IFRS operating profit 1,2, m Cash remittance, $m +17% 1,140 +45% 680 973 470 2013 2014 2013 2014 PruFund FUM, bn IFRS operating profit 3, m +27% 11.6 +13% 446 9.1 395 2013 2014 2013 2014 1 Excludes Japan Life. 2 Comparatives have been stated on a constant exchange rate basis. 3 Excludes Prudential Capital 7

Group Higher quality and growing earnings Sources of IFRS operating income 1,2, m 5,921 6,338 2008-2014 CAGR +14% 5,043 1,131 4,444 1,073 4,002 1,061 1,441 1,356 3,126 1,049 2,831 998 1,027 742 1,635 750 592 1,587 537 1,362 321 446 1,252 1,140 932 58% 914 1,391 1,618 403 458 688 870 1,077 2008 2009 2010 2011 2012 2013 2014 74% +13% +19% Insurance margin Life Fee income Asset Mgt Fee income Spread income Other 1 Comparatives adjusted for new and amended accounting standards and excludes Japan Life. 2 Comparatives have been stated on an actual exchange rate basis 8

Group 2017 objectives 2017 Objectives Asia underlying free surplus 1, m Free surplus of 0.9bn to 1.1bn Asia IFRS operating profit 2, m At least 15% CAGR from 2012-17 1.1bn 0.9bn > 1,858m 484 573 592 924 1,075 1,140 2012 2013 2014 2015 2016 2017 Objective 2012 2013 2014 2015 2016 2017 Objective Group cumulative underlying free surplus, bn At least 10bn > 10bn Note: The objectives assume exchange rates at December 2013 and economic assumptions made by Prudential in calculating the EEV basis supplementary information for the half year ended 30 June 2013, and are based on regulatory and solvency regimes applicable across the Group at the time the objectives were set. The objectives assume that the existing EEV, IFRS and Free Surplus methodology at December 2013 will be applicable over the period. 1 Underlying free surplus generated comprises underlying free surplus generated from long-term business (net of investment in new business) and that generated from asset management operations. The 2012 comparative is based on the retrospective application of new and amended accounting standards and excludes the one-off gain on sale of our stake in China Life of Taiwan of 51 million. 2 Asia 2012 IFRS operating profit of 924 million, as reported at HY 2013, is based on the retrospective application of new and amended accounting standards, and excludes the one-off gain on sale of our stake in China Life of Taiwan of 51 million. Excludes Japan. 9 2.6 2014-2017 Objective

Group Regulation IGD capital surplus 1, bn Cover ratio 1 240% 4.7 Strongly capitalised and cash generative business 2014 Economic capital surplus 1,2, bn Robust Solvency I and Economic solvency position Cover ratio 1,2 218% Engaged with regulators to finalise position 9.7 2014 1 Before allowing for final dividend 2 Our economic capital results are based on outputs from our Solvency II internal model, but the economic capital position should not be interpreted as output from an approved internal model. Certain aspects of the methodology and assumptions underpinning these results will differ from those that will be ultimately adopted for the Solvency II Pillar I internal model calculation. The eventual Solvency II Pillar 1 ratio, therefore, remains uncertain and is expected to be lower than our economic capital ratio.. 10

Agenda 2014 Performance Asia Jackson UK Life M&G Group 11

Asia Consistent performance APE 1, m +14% +12% +15% 1,708m +14% 1,946m +15% 2,237m 1,158m 1,323m 1,485m 681 252 240 281 385 318 302 314 389 332 339 358 456 393 412 390 513 437 454 473 582 510 496 550 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2009 2010 2011 2012 2013 2014 1 Comparatives have been stated on a constant exchange rate basis. 12

Asia Country highlights Hong Kong 1 Overall APE up 39% H&P APE up 50% Singapore 1 Agency APE up 16% SCB APE up 12% Indonesia 1 IFRS earnings up 27% Q4 APE sales up 53% on prior quarter 1 Growth rates based on comparatives stated on a constant exchange rate basis. 13

Asia Country highlights China 1 IFRS earnings up 30% Overall APE up 35% H&P APE up 43% Philippines 1 IFRS earnings up 75% Regular premium sales up 30% H&P APE up 36% Thailand 1 Overall APE up 36% IFRS earnings up 10% 1 Growth rates based on comparatives stated on a constant exchange rate basis. 14

Asia Bancassurance SCB bancassurance APE 1, m +33% 2H 13 2H 14 1 Comparatives have been stated on a constant exchange rate basis. 15

Asia Eastspring Funds under management, bn IFRS operating profit 1, m +32% 90 +28% 77 68 61 2013 2014 2013 2014 1 Comparatives have been stated on a constant exchange rate basis. 16

Asia Delivering earnings and cash IFRS operating profit 1,2, m Free surplus generation 2, m +17% 1,140 +15% 592 973 516 2013 2014 2013 2014 1 Excludes Japan Life. 2 Comparatives have been stated on a constant exchange rate basis. 17

Asia Summary Strong 2014 delivery in a challenging context Disciplined execution High quality Pan-Asian platform Well positioned to deliver long-term profitable growth 18

Agenda 2014 Performance Asia Jackson UK Life M&G Group 19

US Successful diversification Jackson VA sales mix, $bn 23.1 17.5 19.7 20.9 2.8 5.1 34% 14.7 10.0 15.1 6.5 2008 2009 2010 2011 2012 2013 2014 VA With Living Benefit Elite Access VA Without Living Benefit 1 1 Values may not cast to total due to rounding. 20

US Proactive management Fee income 1, m 7.9x 1,402 1,172 875 680 177 266 292 324 506 US 10 year Treasury yield 2006 2007 2008 2009 2010 2011 2012 2013 2014 1 Comparatives have been stated on an actual exchange rate basis 21

US Successful execution Cumulative cash remittances, $m $2,548m 680 280 530 400 470 63 125 2008 2009 2010 2011 2012 2013 2014 RBC Ratio 438% 417% 483% 429% 423% 450% 456% 1 1 Net remittances from Jackson include $197m in 2011 representing release of excess surplus to the Group 22

Agenda 2014 Performance Asia Jackson UK Life M&G Group 23

UK Steady progress IFRS operating profit, m Bulk annuities new business Retail annuities new business +6% 735 776 25 105 110 57 With Profits 251 255 Total in-force profits 600 Total in-force profits 614 Annuities and other 1 320 335 GI 29 24 2013 2014 In-force 1 Includes PruHealth & PruProtect business sold in November 2014, IFRS profit was 23m and 11m for 2014 and 2013 respectively. 24

UK Strong product proposition PruFund investment performance, % PruFund FUM, bn 80% PruFund Growth Fund Fund Comparator 1 70% 60% +68% +27% 50% 40% 30% +36% +21% 20% 10% 0% -10% 7.5 9.1 11.6-20% -30% 2006 2008 2010 2012 2014 0.1 2006 2012 2013 2014 1 ABI Mixed Investment 20%-60% Shares TR 25

UK Preparing for regulatory change 2014 2015 / 2016 Strengthen our retirement proposition Flexible drawdown launched in December Operational readiness for budget changes Revamp retirement proposition Protect and grow our savings business PruFund now available through an ISA wrapper Enhance fund range for pension & ISA wrappers Broaden our accessible markets Launched onshore bond on two 3 rd party platforms Expand bond availability on up to ten platforms 26

Agenda 2014 Performance Asia Jackson UK Life M&G Group 27

M&G Successful diversification Total FUM, bn 174 198 201 228 244 264 1.9x External Internal 2009 2010 2011 2012 2013 2014 28

M&G Strong track record IFRS operating profit 1, m 2.5x 446 395 301 320 246 177 2009 2010 2011 2012 2013 2014 1 Excludes Prudential Capital. 29

Agenda 2014 Performance Asia Jackson UK Life M&G Group 30

Group Long term track record IFRS operating profit 1,2,3, m 3.0x CAGR +15% 2,520 2,954 3,186 1,823 2,017 1,062 1,168 1,244 1,444 2006 2007 2008 2009 2010 2011 2012 2013 2014 1 Comparatives have been stated on an actual exchange rate basis 2 Comparatives adjusted for new and amended accounting standards and excludes Japan and Taiwan agency. 3 2012 includes 51m gain from sale in China Life of Taiwan x.x 2014 multiple over 2006 31

Group Long term track record New business profit 1,2, m 3.1x CAGR +15% 1,791 2,082 2,126 1,433 1,536 1,143 679 767 860 2006 2007 2008 2009 2010 2011 2012 2013 2014 1 Comparatives have been stated on an actual exchange rate basis 2 Excludes Japan Life and Taiwan agency. x.x 2014 multiple over 2006 32

Group Long term track record Free surplus generation 1,2,3, m 4.1x CAGR +19% 1,982 2,080 2,462 2,579 1,453 1,687 629 901 779 2006 2007 2008 2009 2010 2011 2012 2013 2014 1 Comparatives have been stated on an actual exchange rate basis 2 Excludes Japan Life and Taiwan agency. 3 2012 includes 51m gain from sale in China Life of Taiwan x.x 2014 multiple over 2006 33

Prudential plc 2014 full year results Agenda Business Review Tidjane Thiam Financial Review Nic Nicandrou Outlook Tidjane Thiam 34

Key financial highlights FY14 continued strong performance Overview IFRS operating profit Free surplus generation Other items FY14 vs FY13 m FY14 1 FY13 1 AER 3 CER 4 IFRS operating profit 3,186 2,954 8% 14% Free surplus generation 2,579 2,462 5% 9% New business profit 2 2,126 2,082 2% 10% EEV operating profit 2 4,096 4,204 (3)% 4% 1 IFRS and EEV results and free surplus generation exclude Japan Life classified as held for sale. 2 The 2014 EEV results for the Group are presented on a post-tax basis and, accordingly, the 2013 results are shown on a comparable basis. 3 Actual exchange rates. 4 Constant exchange rates. 35

Currency mix Currency translation effect Overview IFRS operating profit Free surplus generation Other items IFRS operating profit 1 by currency, % FY14 Movement in average FX rates Other Asia 18 20 UK sterling USD (5)% 6% Asia - US dollar linked 17 HKD (5)% 6% 45 US dollar SGD (6)% 1% Underlying free surplus generation 1 by currency, % FY14 Other Asia MYR (9)% (1)% Asia - US dollar linked 14 9 38 UK sterling IDR (16)% 1% (20)% (10)% 0% 10% US dollar 39 FY14 average rate vs FY13 average rate FY14 year-end spot rate vs FY14 average rate 1 IFRS operating profit and underlying free surplus generation exclude Japan Life classified as held for sale. 36

Currency mix Currency translation effect Overview IFRS operating profit Free surplus generation Other items IFRS operating profit 1, m New business profit 1,2, m FY13 @ FY13 av FX rate 2,954 FY13 @ FY13 av FX rate 2,082 2,954 Impact of translating result on 2014 full year average rates (3)% (2)% (65) (102) Impact of translating result on 2014 full year average rates (5)% (2)% (36) (107) FY13 @ FY14 av FX rate 2,787 FY13 @ FY14 av FX rate 1,939 Underlying free surplus generation 1, m EEV operating profit 1,2, m FY13 @ FY13 av FX rate 2,462 FY13 @ FY13 av FX rate 4,204 Impact of translating result on 2014 full year average rates (2)% (2)% (57) (44) Impact of translating result on 2014 full year average rates (5)% 2,462 (2)% (79) (192) FY13 @ FY14 av FX rate 2,361 FY13 @ FY14 av FX rate 3,933 Impact on Group result from US contribution Impact on Group result from Asia contribution 1 IFRS and EEV results and free surplus generation exclude Japan Life classified as held for sale. 2 The 2014 EEV results for the Group are presented on a post-tax basis and, accordingly, the 2013 results are shown on a comparable basis. 37

Key financial highlights Broad based growth Overview IFRS operating profit Free surplus generation Other items FY14 vs FY13 1, constant exchange rates Group Asia US UK M&G 3 IFRS operating profit 14% 17% 17% 6% 11% Free surplus generation 9% 15% 22% (12)% 12% New business profit 2 10% 13% 4% 14% n/a EEV operating profit 2 4% 12% 3% (10)% 12% 1 IFRS and EEV results and free surplus generation exclude Japan Life classified as held for sale. 2 The 2014 EEV results for the Group are presented on a post-tax basis and, accordingly, the 2013 results are shown on a comparable basis. 3 Includes Prudential Capital. 38

IFRS Group Growing profit and improving quality: 26% RoE Overview IFRS operating profit Free surplus generation Other items IFRS operating profit 1, m (CER 2 ) IFRS 1 operating profit up 14%, m (CER 2 ) Operating EPS 3,186 FY13 CER 2,787 85.9p 2,787 Fee income 407 Insurance income 298 14% Spread income Other income 102 5 Expenses net of DAC 351 FY13 CER FY14 Interest / central costs FY14 62 3,186 96.6p 1 IFRS results exclude Japan Life classified as held for sale. 2 FY13 restated on constant exchange rate basis, reducing IFRS operating profit by 167 million 39

IFRS Asia Continued strong growth in Asia life profits Overview IFRS operating profit Free surplus generation Other items Asia life 1, sources of earnings IFRS operating profit 1, by business unit m, CER 2 FY14 FY13 Change Shareholder-backed policyholder liabilities, bn 21.9 20% 26.4 Life operating profit, m (CER 2 ) +10% +191 (90) 1,050 +235 905 (6)% Asia Life Eastspring 1,140 973 1,050 905 90 68 17% 16% 32% 31 Dec 2013 31 Dec 2014 2013 Change in Change in 2014 revenue expenses Eastspring, earnings drivers, bn (CER 2 ) Fee income 3, m Cost / income ratio 3 US UK M&G 1,443 1,237 776 735 488 441 17% 6% 11% 200 20% 240 62% 59% FY13 FY14 FY13 FY14 1 IFRS results, shareholder-backed policyholder liabilities and sources of earnings exclude Japan Life classified as held for sale. 2 FY13 restated on constant exchange rate basis, reducing Asia life IFRS operating profit by 96 million, Eastspring IFRS operating profit by 6 million and Eastspring fee income by 14 million. 3 Represents fee income before performance-related fees and excludes income from associates. 40

IFRS US Jackson Life growth of 21% Overview IFRS operating profit Free surplus generation Other items Jackson, sources of income 2, m (CER 3 ) IFRS operating profit 1, by business unit 2,388 18% 2,820 26% FY14 vs FY13 +4% m, CER 3 FY14 FY13 Change Spread Technical 30% 23% 24% +20% Fee 47% 50% +26% Asia 1,140 973 17% FY13 FY14 US Life Other UK 1,443 1,431 1,237 1,181 12 56 776 735 17% 21% (79)% 6% Jackson separate account assets, US$bn +17% 6 127 12 109 M&G 488 441 11% 31 Dec 2013 Inflows Market / other movements 31 Dec 2014 1 IFRS results exclude Japan Life classified as held for sale. 2 Sources of income represents fee income, insurance margin and spread income (which includes the expected return on shareholder assets). 3 FY13 restated on constant exchange rate basis, reducing US Life IFRS operating profit by 62 million, US Other IFRS operating profit by 3 million and US life sources of income by 126 million. 41

IFRS UK UK Life growth of 7% in challenging market Overview IFRS operating profit Free surplus generation Other items IFRS operating profit 1, by business unit UK Life IFRS operating profit, m m, CER FY14 FY13 Change FY14 FY13 Asia US UK Life 1,140 1,443 973 1,237 776 735 752 706 17% 17% 6% 7% Other 24 29 (17)% Annuities new business bulk annuities individual annuities Other life shareholder backed (in-force annuities and other) with-profits 162 135 105 25 57 110 567 560 312 309 255 251 M&G 488 441 11% PruHealth and PruProtect 23 752 11 706 1 IFRS results exclude Japan Life classified as held for sale. 42

IFRS M&G M&G IFRS profit up 13% Overview IFRS operating profit Free surplus generation Other items M&G, earnings drivers IFRS operating profit 1, by business unit Underlying fee income 2, m Cost / income ratio 2 954 863 59% 58% 11% m, CER FY14 FY13 Change FY13 FY14 FY13 FY14 Asia 1,140 973 17% M&G, revenue drivers, bn US 1,443 1,237 17% Growth Mix UK 776 735 6% M&G 488 441 11% 233.8 7% 250.0 Retail Institutional 244.0 264.0 67.2 74.3 58.8 62.7 +11% +7% M&G 446 395 13% Internal 118.0 127.0 +8% PruCap 42 46 (9)% FY13 FY14 Average AUM Av. fee revenue margin 3 (bp) Dec 2013 Dec 2014 Closing AUM 37 38 1 IFRS results exclude Japan Life classified as held for sale. 2 Represents fee income before performance-related fees and excludes income from associates. 3 Margin represents operating income before performance-related fees as a proportion of average AUM. 43

Net free surplus generation Increasing free surplus generation Overview IFRS operating profit Free surplus generation Other items Free surplus generation 1, m, (CER 2 ) FY14 FY13 Change Life in-force result, m (CER 2 ) Expected return from in-force 2,276 1,912 19% FY14 FY13 Change Experience result Investment return on free surplus 314 106 457 125 (31)% (15)% Asia US UK 860 1,191 645 742 1,072 680 16% 11% (5)% Life in-force result 2,696 2,494 8% New business strain, m (CER 2 ) Asset management and Other 489 464 5% FY14 FY13 Change Gross free surplus generation Less: new business strain 3,185 606 2,958 597 8% 2% Asia US 346 187 285 283 21% (34)% Net free surplus generation 2,579 2,361 9% UK 73 29 152% 1 Free surplus generation exclude Japan Life classified as held for sale. 2 FY13 restated on constant exchange rate basis, reducing net free surplus generation by 101 million, Asia life in-force result by 77 million, US life in-force result by 57 million, Asset management by 7 million, Asia new business strain by 25 million and US new business strain by 15 million. 44

Net free surplus generation Underpinning cash to Group Overview IFRS operating profit Free surplus generation Other items Movement in free surplus, m Movement in central cash, m x% Free surplus cover 201% 1 2,579 (6) 6,541 (1,482) 211% 5,059 Asia US UK FY14 400 415 325 FY13 400 294 355 3,968 M&G 3 342 292 2,230 1,482 (895) (984) (353) 1,480 1 Jan 2014 2 Net free surplus generated Market / other movements Cash remitted to Group 31 Dec 2014 1 Jan 2014 Cash remitted from BUs Dividends paid Corporate Actions/ Other Central costs 31 Dec 2014 1 As at 31 December 2013. 2 Includes (35)m effect of domestication of Hong Kong branch. 3 Includes Prudential Capital. 45

Net free surplus generation Increasing free surplus generation Overview IFRS operating profit Free surplus generation Other items Expected undiscounted free surplus from life in-force 1, bn 3.0 7.9 9.2 7.0 8.3 5.8 6.9 2.5 2.0 1.5 1.0 0.5 0.0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Actual From 2013 Life in-force 2013 life in-force including market effects From 2014 new business Expected undiscounted cash flows from 2014 new business, bn 0.8 0.4 0.7 0.0 (0.4) (0.8) 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 Free surplus generation exclude Japan Life classified as held for sale. 46

EEV operating profit (post-tax) Operating return on EEV of 16% Overview IFRS operating profit Free surplus generation Other items EEV operating profit 1, by business unit EEV Life operating profit 1,2, m (CER 3 ) m, CER 3 FY14 FY13 Change 3,985 4,174 FY13 FY14 Total Life 2 4,174 3,985 5% Asia 1,900 1,704 12% US 1,528 1,449 5% In-force profit 2 2,046-2,048 Unwind 1,420 1,440 Experience 2 458 470 Assumption 168 138 changes AM UK 746 832 470 442 (10)% 6% New business profit 1,939 +10% 2,126 Other (548) (494) (11)% 4,096 3,933 4% FY13 CER FY14 1 EEV results excludes Japan Life classified as held for sale. 2 Net of Asia development expenses (FY13: 1m, FY14: 1m). 3 FY13 restated on constant exchange rate basis, reducing Asia Life EEV operating profit by 187 million, US Life EEV operating profit by 77 million, Asset management by 7 million, in-force profit by 121 million and new business profit by 143 million. 47

EEV operating profit Value creation through increasing NBP up 10% Overview IFRS operating profit Free surplus generation Other items New business profit, m (CER 1 ) Movement in NBP, FY14 vs FY13 Volume +9% UK US 2,126 1,939 105 24 +14% 165 213 694 670 +4% Bulks Bulks Mix / pricing / other Economic effect (excl FX) CER +4% +1% (4)% +10% IRR and payback periods Asia 1,032 +13% 1,162 IRR Payback period Asia >20% 3 years FY13 CER FY14 US UK >20% >20% 1 year 4 years 1 FY13 restated on constant exchange rate basis, reducing Asia new business profit by 107 million and US new business profit by 36 million. 48

Equity shareholders funds Summary of movement Overview IFRS operating profit Free surplus generation Other items Movement in shareholders funds IFRS Equity EEV Equity FY14 bn % vs FY13 FY14 per share FY14 bn % vs FY13 FY14 per share After-tax operating profit 2.5 6% 97 4.1 (3)% 161 Investment variance and other 1 (0.3) (10) 0.2 10 Profit for the period 2.2 65% 87 4.3-171 Unrealised gain on AFS 2 0.6 22 0.1 3 Foreign exchange and other 3 0.2 10 0.8 26 Dividend (0.9) (35) (0.9) (35) Retained earnings 2.1 84 4.3 165 Opening shareholders equity 9.7 376 24.9 971 Closing shareholders equity 11.8 460 29.2 1136 Movement in period +22% +22% +17% +17% 1 Includes gain on sale of PruHealth and PruProtect. 2 For IFRS relates to JNL fixed income portfolio accounted as available for sale. For EEV, represents mark to market movements on JNL assets backing surplus and required capital. 3 Includes the effect of domestication of Hong Kong branch on 1 January 2014; for per share amounts includes effect of change in number of shares in issue. 49

Economic capital Economic capital model assumptions Overview IFRS operating profit Free surplus generation Other items Implementation of risk-sensitive capital measure Solvency II effective from 1 Jan 2016 Prudential to seek internal model approval Internal model application in 2Q15 Feedback from PRA expected in 2H15 Significant areas of policy development and interpretation remain outstanding Prudential Economic capital result Based on end-2013 model, with minor refinements Main change is adoption of Matching Adjustment principles, replacing liquidity premium Significant uncertainties still exist on final Matching Adjustment outcome (e.g. eligibility of certain assets, fundamental spread basis, diversification allowances) Other key elements remain unchanged: Deduction and Aggregation for US (250% of RBC) with no diversification Full recognition of economic value of overseas surplus Risk margin included at 6% cost of capital 50

Capital effects Economic capital Robust economic capital position Overview IFRS operating profit Free surplus generation Other items Economic capital surplus 1, bn Solvency cover 257% 218% 1 Jan 2014 Operating experience 11.3 1.8 Market / non-operating effects (0.9) Surplus 11.3bn 18.5 17.9 Surplus 9.7bn Dividend M&A / other HK domestication (0.7) (0.3) (0.9) 7.2 8.2 Debt repayment (0.4) Model changes (0.3) 31 Dec 2013 31 Dec 2014 Currency movements 0.1 Available capital Required capital 31 Dec 2014 9.7 1 Our economic capital results are based on outputs from our Solvency II internal model. Although the Solvency II and Omnibus II Directives, together with the Level 2 Delegated Act published on 17 January 2015, provide a framework for the calculation of Solvency II results, there remain material areas of policy uncertainty and in many areas the Group s methodology and assumptions are subject to review and approval by the Prudential Regulation Authority, the Group s lead regulator. We remain on track to submit our Solvency II internal model to the Prudential Regulation Authority for approval in 2015 but given the degree of uncertainty remaining, the economic capital position disclosed should not be interpreted as output from an approved internal model. 51

Economic capital Balanced risk exposures Overview IFRS operating profit Free surplus generation Other items Operational/Expense Mortality/ Morbidity Longevity Lapse 11% 10% 6% 16% 4% Other market 12% Economic capital by risk type (before diversification) 1,2 26% 15% Credit Interest rates Equity Balanced risk exposures mainly arise from: Credit (UK annuities and Jackson fixed annuities) Equity (with-profits shareholder transfers; unit linked fund charges) Interest rates (impact on guarantee costs, offset by impact on discount rate for insurance profits) Insurance risks: lapse, longevity, mortality and morbidity (Asia protection products, UK annuities, with-profits shareholder transfers) Operational and expense risks Economic capital sensitivities, bn 1 Base position (as reported) Economic capital surplus 9.7 Impact on solvency ratio 218% 40% equity fall 7.5 (23) ppts 20% equity fall 9.1 (4) ppts 50bp interest rate fall 100bp interest rate rise 100bp credit spread widening 3 7.6 8.3 11.5 (23) ppts +36 ppts (28) ppts 1 There are material areas of uncertainty with regard to methodology and assumptions which remain subject to review and approval by the PRA. These estimates should not be interpreted as outputs from a PRA-approved Solvency II internal model. 2 The split by risk type includes Jackson s risk exposures, based on 250% of the US RBC Company Action Level. 3 Stress test includes 15 per cent downgrades in the UK annuity portfolio and credit defaults of 10 times the expected level in Jackson. 52

Balance sheet Well capitalised and defensively positioned Overview IFRS operating profit Free surplus generation Other items Maintained capital strength IGD surplus 4.7bn equivalent to cover of 2.4 times With-profits estate of 7.2bn 1 (1 January 2014: 6.8bn) Jackson RBC ratio of 456% (2013: 450%) Strong liquidity position 1.5bn of central cash resources 2.6bn of untapped liquidity facilities Credit position improved UK: 2.2bn default provision Unrealised gains on US debt securities of 1.8bn (31 December 2013: 0.8bn) US net recoveries in 2014 of 7m (2013: impairments of 4m) Continued balance sheet conservatism Variable annuity hedging remains robust Conservative asset mix with 95% of credit portfolio rated investment grade 2 Oil and gas exposure is high quality and diversified 1 1 January 2014 amount is after a 1.2 billion reduction representing the estate transfer following domestication of the Hong Kong branch of the PAC With-Profits fund. 2 Shareholder-backed business. 53

2014 summary Overview IFRS operating profit Free surplus generation Other items Strong operating performance Resilient in-force cash generation Robust balance sheet position Positive financial outlook 54

Prudential plc 2014 full year results Agenda Business Review Tidjane Thiam Financial Review Nic Nicandrou Outlook Tidjane Thiam 55

Group Geographic footprint Prudential footprint % of GDP growth 1, 2014-2019, $bn 37% 63% Prudential footprint Rest of World Prudential 24m life customers Global growth $13.9 trillion 1 IMF World Economic Outlook October 2014 56

Group Strategy Significant protection gap and investment needs of the Asian middle class Transition of US baby-boomers into retirement UK savings gap and ageing population in need of returns / income 57

Group Significant growth opportunities Asia Sweet spot middle class 1, m US Retiree population 2, m UK Assets under mgt 3, tn +112m 1.4x 2.0x 291 403 40.2 56.4 1.2 0.6 2010 2020 2010 2020 2010 2020 2014 Global position 2nd 1 Asian Development Bank (ADB). Key indicators for Asia and the Pacific 2010. Prudential estimates. 2 Retiree population are individuals +65 years old. Source: U.S Census Bureau population projections December 2014. 3 IMA Funds Under Management. E&Y forecasts and Prudential estimates. 58

Group Disciplined execution Asia Health and Protection APE 1, m US Sales and deposits by product, $bn UK M&G retail FUM, bn 2.4x 2.0x 3.9x 262 625 2008 2014 28.3 5.2 5.1 14.0 7.5 18.0 6.5 2008 2014 Variable Annuity Elite Access FA, FIA and Other 74.3 32.2 19.1 42.1 11.9 7.2 2008 2014 Bonds Equities and Other 1 Comparatives have been stated on an actual exchange rate basis 59

Group Value creation Free surplus and dividend 1, m 2.9x Net free surplus Reinvestment rate 21% Reinvestment rate 19% Reinvestment rate 31% Reinvestment rate 28% Reinvestment rate 22% 553 Reinvestment rate 23% 618 637 606 Reinvestment rate 35% Reinvestment rate 50% 660 643 3,099 3,185 1,384 483 794 901 1,573 305 779 237 2,113 1,453 381 243 286 344 2,330 1,687 281 449 2,535 1,982 2,698 2,080 376 374 642 655 2,462 413 781 2,579 463 895 2007 2008 2009 2010 2011 2012 2013 Surplus generation 2 Investment in new business 2 Net free surplus Dividend net of scrip 2014 Central outgoings 3 1 Comparatives have been stated on an actual exchange rate basis 2 Comparatives adjusted for new and amended accounting standard and excludes Japan Life. 3 Central outgoings includes RHO costs. 60

Group Delivering cash Dividend, pence per share 36.93 +10.0% +15.0% 33.57 +15.9% 29.19 Total dividend Final dividend 16.32 +5.0% 17.14 +5.0% 18.00 +5.0% 18.90 +5.0% 19.85 11.02 11.72 12.30 12.91 13.56 +20.2% 23.85 17.24 +5.6% 25.19 17.24 20.79 23.84 25.74 Interim dividend 5.30 5.42 5.70 5.99 6.29 6.61 7.95 8.40 9.73 11.19 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 61

Group Summary Strong 2014 performance Disciplined execution of clear unchanged strategy Asia central to Group prospects Well positioned to deliver long-term shareholder value 62

Appendix 63

Strategy We have a clear strategy underpinned by clear operating principles Strategy Operating Principles ASIA Accelerate US Build on Strength Balanced Metrics & Disclosures Focus on Customers and Distribution ASSET MANAGEMENT Optimise UK Focus Proactive Risk Management Disciplined Capital Allocation 64

Disciplined capital allocation New business profit growth New business strain 1,2, m New business profit 2,3, m +86% 2,082 2,126-8% 1,791 237 270 UK US Asia 660 643 618 637 606 103 65 553 29 45 73 54 300 281 298 187 326 202 231 278 297 292 310 346 UK US Asia 1,143 166 432 545 1,433 266 495 672 1,536 195 530 811 241 568 982 706 694 1,139 1,162 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014 1 Free surplus invested in new business. 2 Excludes Japan and Taiwan agency. 3 On a post-tax basis. 65

Life IFRS operating income High quality earnings Cash profit 1 : Income 2 Expenses (before impact of DAC adjustment), m 1.6x 3,467 3,468 3,232 4,047 2,536 1,511 990 521 4,589 2,805 1,784 1,111 1 673 1 5,336 2,104 1,233 871 1 6,083 2,616 1,650 966 1 6,424 2,956 1,998 958 US Life + UK Life Asia Life Life Income 1 Expenses Cash profit Life Income 1 Expenses Cash profit Life Income 1 Expenses Cash profit Life Expenses Cash Life Expenses Income 1 profit Income 1 2014 Cash profit 2010 2011 2012 3 2.0x 2013 1 Comparatives adjusted for new and amended accounting standard and excludes Japan Life and Taiwan agency. 2 Life income is sum of spread income, fee income, technical and other margin, with-profits and expected returns. 3 2012 Life Income excludes gain on sale of China Life of Taiwan ( 51m). 66

Delivering cash Cash remittances to Group Business unit net remittances, m +11% 1,482 1,105 1,200 1,341 292 342 M&G incl PruCap 688 515 175 167 434 199 144 39 5 40 935 280 202 297 420 322 80 233 206 297 313 249 341 325 355 415 294 400 400 UK US Asia 2008 2009 2010 2011 2012 2013 2014 67

Dividend Total dividend increased by 10% Dividend, pence per share Total dividend 33.57 +10% 36.93 2014 dividend increased by 10 per cent to 36.93 pence per share Final dividend 23.84 25.74 Ex-dividend date: 26 March 2015 1 Record date: 27 March 2015 Payment of dividend: 21 May 2015 2 Interim dividend 9.73 11.19 2013 2014 1 For shares listed on Singapore Exchange, 25 March 2015. 2 For shares listed on Singapore Exchange, on or about 28 May 2015; for ADR holders, on or about 29 June 2015. 68

Asia Long term opportunity GDP per capita in 2010, against the US GDP per capita,1990 US$ 1 35,000 Hong Kong Pan Asian leader: #1 by NBP 2 30,000 Singapore Top 3 in 8 /11 Asian countries 3 25,000 20,000 15,000 10,000 5,000 Indonesia Vietnam India Philippines Thailand China Malaysia Taiwan Korea Market leading platform Over 550,000 agents Access to 5,155 bank branches with top 5 partners 13.1 million customers 0 1820 1830 1840 1850 1860 1870 1880 1890 1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 US GDP per capita 1 Geary-Khamis dollar, based on purchasing power parities with 1990 as benchmark year - one 1990 dollar has the same purchasing power as the US dollar in 1990. Prudential estimates. 2 NBP = New Business Profit; Prudential estimates based on information disclosed in company reports. Amongst pan Asian international (private) insurers. 3 Source: based on formal (Competitors results release, local regulators and insurance associations) and informal (industry exchange) market share data. Excludes Cambodia, Myanmar and Japan Market Share data as of latest; India and China ranking and market share among foreign / JV / Private only. Singapore includes onshore only. Thailand Market share is post acquisition of Thanachart Life. 69

Nascent Markets Mature Markets JV s Sweet Spot markets Asia Favourable dynamics Prudential customers as a % of total population 2 GDP ($bn) 2 2014 GDP growth (%) 2 Indonesia (1995) 1 1.0% 915 5.5 Philippines (1996) 0.2% 289 6.3 Thailand (1995) Vietnam (1999) Hong Kong (1964) Malaysia (1924) Singapore (1931) India (2000) China (2000) Taiwan (1999) Korea (2002) Cambodia (2013) Myanmar (2013) 0.9% 391 4.6 1.4% 180 5.6 12.4% 282 3.3 6.5% 332 5.2 15.1% 307 3.0 0.3% 1,982 6.4 0.06% 10,168 7.1 1.0% 506 3.8 0.6% 1,353 4.0 0.1% 17 7.3-62 8.5 1 Year in bracket denotes start of operation. 2 Source IMF. GDP in $bn for 2014 (estimated). 70

Asia Life Products meet customer needs and create shareholder value Health and Protection Out of pocket medical expenses 1 Annual premium for a customer aged 50 (indexed) 143 19 114 117 123 73 Saving 100 100 81 27 Spend Without insurance Basic Government insurance Prudential Protection Product Prudential Co. A Co. B Co. C Co. D 1 Expenses for a male aged 50 for heart diseases and heart surgery treatment. 71

Asia Affordable products underpin consumer demand Prudential product premium 1 Developed markets health insurance spend 2 Healthcare spend as % of average annual income 2 100% = average annual income 46 Linked premium 12% 11% 11% 10% Premiums paid = 9% of average annual income 5.0% 54 H&P premium Premiums as a proportion of average annual income % of premium used to purchase benefit Prudential Example US France Germany UK 1 Average Prudential customer spend on insurance products. 2 Source: OECD, UN population stats, Prudential estimates. Premium spend includes healthcare expenditure by private and public sources except for the US. Healthcare spend data adjusted for working age population and unemployment rates. 72

Asia Growing demand for healthcare Household consumption by category 1, % 100% = $1.3tn 6 Personal items 14 Recreation 3 Education 12 Transportation 3 5 Communications Clothing 7 Healthcare 5 Household products Discretionary Semi-Necessities 100% = $0.5tn 5 14 2 2 6 6 10 9 13 15 31 Housing Food Necessities 34 1990 2010 1 Euromonitor, McKinsey, Prudential estimates. 73

Asia distribution Wealth and financial assets ownership Breakdown of personal financial assets Life Non-Life 12% 9% 24% 39% Asset Mgt 9% 18% 20% 24% Bank Deposits 70% 21% 38% 16% Per capita income level Up to $2000 $2000 to $15000 $15000+ Source: Oliver Wyman analysis; Prudential analysis. 74

Asia Life APE by market Asia APE by market, m (Constant Exchange Rate) +39% 645 464-4% +6% 399 385 357 338 +6% +13% 190 201 +1% +16% +35% 124 110 112 113 109 94 105 78 +36% 61 83 +20% +6% 51 61 48 51 Hong Kong Indonesia Singapore Malaysia Taiwan Korea India 26% 3 China 50% Thailand Vietnam Philippines 1 2 17 th 3 4 3 rd 1 st 1 st 1 st 13 th 1 st 2 nd 8 th 1 st 2 nd Ranking 2013 2014 1 Singapore includes onshore only, excluding Eldershield and DPS. 2 Includes Takaful sales @100%. 3 Ranking amongst private players. 4 Ranking amongst foreign JVs/players. Source: Based on formal (Competitors results release, local regulators and insurance associations) and informal (industry exchange) market share data. Ranking based on new business (APE or weighted FYP depending on the availability of data). 75

Asia Life APE sales by product - percent Asia APE by product, % 3 3 3 4 2 2 4 3 4 7 5 3 3 3 3 3 5 4 7 5 6 5 8 5 7 5 9 8 9 7 8 9 18 19 21 17 14 19 20 23 26 25 26 27 29 30 30 28 17 18 19 20 18 20 22 33 33 33 33 35 34 31 34 34 33 38 35 40 35 38 38 30 24 30 27 27 24 27 25 31 29 32 24 34 30 33 34 30 29 32 29 30 28 31 26 27 62 60 57 59 65 59 55 44 46 38 43 44 44 39 42 37 34 31 36 28 29 28 27 31 30 30 24 27 23 27 28 26 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Linked Health Par Other 76

Asia Life Flows and persistency Asia Life inflows 1,2, bn Asia Life inflows (ex-india) 1,2, bn 13.8% 3.8 4.1 4.7 4.8 12.6% 3.4 3.8 4.4 4.5 3.3 2.7 9.8% 10.6% 10.0% 10.1% 9.6% 9.7% 9.2% 9.6% FY10 FY11 FY12 FY13 FY14 FY10 FY11 FY12 FY13 FY14 Surrenders/withdrawals as % of opening liabilities 1 Defined as movements in shareholder-backed policyholder liabilities arising from premiums (after deducting insurance & other margins). 2 Japan is excluded from the 2014 and 2013 flows and surrender rates. If 2012 was stated on a comparable basis, the total Asia Life inflows would be 4.1bn, and the surrender rates would be 10.6%; Asia Life inflows (ex-india) would be 3.7bn, and the surrender rates would be 9.7%. 77

US retail sales and deposits 2014 Retail sales and deposits, $m 2013 = $25,966m 2014 = $27,179m $1,419 $4 $2,733 $868 $609 $2,625 $868 $5,122 $4,045 $2,360 $14,537 $2,813 $15,142 Fixed Annuities Elite Access Variable Annuities with living benefits Fixed Index Annuities Life insurance Curian Variable Annuities w/o living benefits, non EA 78

US Life VA volumes VA volumes by quarter, sales US$bn 27% 28% 53% 46% 45% 42% 50% 47% 6.4 6.4 Features War 3.3 3.1 3.7 3.7 4.2 4.6 5.0 4.2 3.8 4.4 5.3 0.2 5.7 0.4 4.4 4.6 0.7 0.8 5.7 1.1 5.2 5.5 1.0 1.1 1.1 1.4 5.7 1.3 4.7 1.3 2.9 2.3 2.1 2.4 2.4 2.3 1.8 1.8 1.5 1.4 1.5 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 12 th 11 th 12 th 12 th 12 th 12 th 12 th 12 th 8 th 5 th 4 th 4 th 4 th 4 th 3 rd 3 rd 3 rd 3 rd Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 3 rd 3 rd 3 rd 3 rd Q3 12 2 nd Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 1 2 nd 1 st 1 st 1 st 1 st 1 st 1st 1 st 1 st Ranking FY New business margin (post tax) 2 Elite Access 1 Estimated. 2 Previously disclosed pre-tax margins have been adjusted at a notional tax rate of 35%, and are now presented as post tax. 79

US Life Variable annuity distribution Variable annuity sales by distribution channel, US$bn 2014 includes $5.1bn of Elite Access sales (2013: $4.0bn) 20.9 23.1 13.3 15.3 3.9 4.1 3.7 3.7 2013 2014 IBD RBD/Wirehouse Bank IBD: Independent Broker/Dealer, RBD: Regional Broker Dealer. 80

US Life New business margin New business margin 1 % APE 42% 50% 47% 19% 17% 23% Variable Annuities US Other 2012 2013 2014 1 On a post-tax basis. 81

US IFRS profit DAC impact on results Impact on results of DAC amortisation, m 2013 2014 Gross profits 1 1,716 1,944 New business strain 2 (198) (209) DAC Amortisation - Core (485) (474) - (acceleration) / deceleration 82 (13) Operating result 1,115 1,248 Core as % of Gross profits 28% 24% 1 Gross profits equals IFRS operating profit pre acquisition costs and pre DAC, excluding REALIC. 2 Represents acquisition costs no longer deferrable following the adoption of altered US GAAP principles for deferred acquisition costs. 82

US Life Policyholder behaviour Optional benefits elected, % of initial benefits elected (New business) 79% 82% 86% 80% 55% 65% 62% 42% 28% 14% 15% 11% 5% 6% 5% 5% 6% 8% 2006 2007 2008 2009 2010 2011 2012 2013 2014 No benefit GMWB (for life) 83

US Life Asset growth Growth in statutory admitted assets, US$bn 2014 v 2013 increase: $18.5bn Net Inflows: $12.3bn Market and other movements: $6.2bn 170.9 189.4 142.8 107.6 97.5 81.0 76.7 69.3 70.9 58.8 62.8 48.9 55.6 14.7 22.3 30.0 33.3 50.9 20.9 40.2 43.0 46.6 4.4 7.1 10.4 5.6 5.1 34.6 37.9 42.2 43.8 45.2 48.1 47.1 46.7 50.0 47.7 48.6 48.8 127.5 108.8 80.1 62.7 62.1 61.9 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 General account Separate account 84

Resilient balance sheet GMWB policyholder behaviour sensitivities GMWB policyholder behaviour sensitivities, FY 2014 US$bn 7 6 Policyholder behaviour experience is continuously monitored and a comprehensive study is conducted on an annual basis For IFRS and Statutory accounting purposes, assumptions are set at the conservative end of the plausible range (i.e., best estimate with an explicit margin for conservatism). For example, 5 4 3 Surrender -- GMWB ultimate surrender assumptions at significantly ITM levels are assumed to be 33% of the base surrender assumptions Utilisation -- For-Life GMWB utilisation assumptions at attained ages 65+ are 60-80% (with special provisions for benefits with incentives to delay withdrawals) 2 1 0 Total Adjusted Capital IFRS SH equity To measure the sensitivity to these assumptions, IFRS Equity and Statutory Capital were computed under severe shocks to these already conservative assumptions. The shocks were as follows: Surrender surrender rates for ITM policies were reduced to half the assumed levels. For example, ultimate surrender rates on significantly ITM policies were reduced from 33% to 17% of the base surrender level, resulting in ultimate surrender rates of less than 2% for most plan types Total Lapse sensitivity impact Utilisation sensitivity impact Utilisation -- utilisation rates beyond the bonus period, if applicable, were increased by an absolute 10%. For example, utilisation rates of 60-80% on For-Life contracts at attained ages 60+ were increased to 70%-90% 85

Hedging result IFRS impact below-the-line 500 2014 VA hedge results, net of related DAC, m 0 (500) (645) (1,000) 240 (1,500) 325 (1,251) (2,000) Equity hedge instruments (1,171) VA reserve changes Interest rate hedges Non-operating fee income, net of claims IFRS net hedge result 86

VA hedging Moving reserves to fair value 1,500 Guarantee Benefit Liability Supplemental Disclosure 1, net of DAC, m 299 Assets Liabilities 1,000 500 0 (500) 803 (1,571) (469) 47 (422) (1,000) As recorded 2 Change in rates 3 Adjustment to full fees 4 Revised liability, excluding volatility adjustment Volatility adjustment 5 Hypothetical fair value with full fees 1 A positive number indicates liability while a negative number indicates an asset. 2 GMWB and GMDB IFRS basis. 3 Application of market based (31.12.14) swap curve earned rates (2.3% representative 10 year rate) and AA corporate bond discount rates (3.5% representative 10 year rate) in place of long-term rate of 7.4% for IFRS (8.4% discount rate used for pre-2013 issues). 4 Value of fees over and above those in reserve calculations. 5 Application of market based (31.12.14) volatility curve (22% representative 5 year rate) instead of long-term 15% level for IFRS. 87

Jackson Capital, hedging and policyholder behaviour Total adjusted Capital US$bn 31 Dec 2013 4.8 Operating profit 1.1 Dividend (0.7) Reserves net of hedging and other effects (0.3) 31 Dec 2014 4.9 Hedging programme continues to effectively mitigate risks Total adjusted capital excludes gains on interest rate swaps: $555m at Dec 2014 (Dec 2013: loss of $1m) Earned guarantee fees of 117 bps per annum (c$1.4bn in 2014). Expected guarantee fees of $1.5-1.6bn for 2015, continue to be sufficient to cover cost of hedging Equities allocations remain below our 82% pricing assumption. <1% of book in the money from issued levels at end 2014 88

IFRS operating profit 1 source of earnings Life insurance - Asia Total operating profit 1,050 905 16% Source FY13 FY14 +/- (CER) m except reserves bn Total Life income 2,607 2,372 10% = Total Life expenses - +/- (1,649) (1,499) (10)% DAC adjustments 92 32 188% Spread income Fee income Technical and other margin With-profits 125 107 17% 155 140 11% 2,220 2,029 9% 43 44 (2)% Spread (bps) Average reserves 136 144 9.2 7.4 (8) 24% AMF (bps) 103 105 (2) Average reserves 15.0 13.3 13% Margin on revenues Insurance margin 1,545 1,413 675 616 9% 10% Expected returns 64 52 23% Increase in spread income reflects the growth in Asian non-linked policyholder liabilities Higher fee income driven by growth in unit-linked reserves Increase in technical margin due to growth in H&P book. Insurance margin also benefits from claims controls and pricing actions 1 IFRS operating profit excludes Japan Life classified as held for sale. 89

IFRS operating profit source of earnings Life insurance - US Total operating profit 1,431 1,181 21% Source FY13 FY14 +/- (CER) m except reserves bn Spread (bps) Average reserves Total Life income 2,820 2,388 18% Spread income 734 694 6% 256 246 28.7 28.3 10 1% - Fee income 1,402 1,113 26% AMF (bps) 193 195 (2) Average reserves 72.5 57.1 27% = Total Life expenses (1,580) (1,504) (5)% Expected returns 14 22 (36)% Technical and other margin 670 559 20% + Expense deferrals 678 680 - - DAC amortisation (487) (383) (27)% Level of spread income maintained as impact of lower yields offset by reduction in average crediting rates Increase reflects impact of net flows (including Elite Access) and positive markets on separate account balances Increase in technical and other margin mainly reflects higher contribution from REALIC and positive net flows from business with life contingent and other guarantee fees 90

IFRS operating profit source of earnings Life insurance - UK Total operating profit 752 706 7% Source FY14 FY13 +/- m except reserves bn = Total Life income 997 954 5% - Total Life expenses (239) (234) (2)% - DAC adjustments (6) (14) 57% Spread income Fee income Technical and other margin Expected returns 272 228 19% 61 65 (6)% 272 276 (1)% 137 134 2% Spread (bps) Average reserves 92 84 29.4 27.2 8 8% AMF (bps) 26 28 (2) Average reserves 23.5 22.9 3% Margin on revenues Insurance margin 176 187 96 89 (6)% 8% With-profits 255 251 2% Spread income increase reflects bulk annuity transactions in FY 2014 Insurance margin increase reflects improved profits from protection business 91