The outlook for new business remains healthy for LGIM, with strong inflows already achieved early in 2011. A key focus for the coming year is continued diversification into international markets. LGIM’s outlook for 2011 remains positive, with steady demand in the US and the UK for [Liability Driven Investment (LDI)] solutions and increasing demand from Europe and the Middle East for Active Euro Credit and Index funds.

The prospects for 2011 are mixed for the UK commercial property market but we expect to continue to achieve strong returns by using our sector specialism to drive additional value for all our investors.