M&G

M&G is planning to merge two of its UK equity funds to create a portfolio with more than £600m in assets under management.

ON BONDS

M&G's Mike Riddell has sold out of his position in 5- and 7-year Italian government bonds ahead of a possible sell-off following the country's general election.

After a strong year for most asset markets in 2012, many commentators are pointing to a much leaner year in 2013.

Panic about house prices, asset bubbles and China caught our readers' attention this year, with the views of leading hedgies and controversial industry figures featuring in our list of the 20 most read stories of 2012.

A surprise uptick in inflation was foremost in readers' minds this week, while reporting season brought with it news both good and bad for asset managers and leading UK corporates.

M&G Investments' top performing bond manager Richard Woolnough has turned to equities to boost his £6.4bn Optimal Income fund.

M&G reported a record level of net inflows in the third quarter of £6.4bn, bringing total inflows to £11.3bn for the first nine months of the year, a 329% rise from 2011.

GILTS

M&G Bond Vigilante Anthony Doyle presents five charts, each "more scary than the last".