UK's Prudential may launch RMB insurance plans in Hong Kong

Prudential (PUK.NYSE, PRU.LSE, 2378.HK), the British insurer, is considering launching renminbi insurance plans in Hong Kong in the second quarter of 2011, the South China Morning Post reported. However, the firm would be restricted to investing premium income in renminbi bonds and shares. At present, renminbi bonds are not widely available in the territory; renminbi-denominated shares are expected to be introduced later this year. If it introduced renminbi products, Prudential would join the growing ranks of insurers hoping to take advantage of a widely expected appreciation of the currency.