Fund manager M&G is to create a new wealth management division under David Montgomery following the recent takeover of platform Ascentric.

M&G has appointed the experienced M&G executive to be managing director of the new wealth division.

The company says he will bring together “established existing businesses” to form a new wealth management division for the company.

The move brings together an array of companies under one umbrella managing a total of £28bn in assets.

M&G Wealth Management includes Ascentric, acquired from Royal London in September, Prudential Financial Planning, The Advice Partnership (TAP) and the M&G Direct funds business.

The new division’s assets under management and administration total £28 billion.

Mr Montgomery, previously chief operating officer customer and distribution of M&G plc, has been picked as the MD, subject to regulatory approval.

He has 10 years’ experience in financial services and joined M&G from US insurer Transamerica at the beginning of the year.

He previously he held senior roles at Royal Bank of Scotland and Aegon UK.

He said: “The formation of this new division is part of our strategy to expand our service offering for advisers, their clients and our wider customer base in the UK.

“Demand for high quality advice and supporting wealth solutions is rising and we want to participate more actively in this growing market. We see a great opportunity to create something unique in the market and this announcement is the next step in a process that started with the launch of TAP and continued with our recent acquisition of Ascentric.”