Prudential, the insurer, has a shortlist of about half a dozen candidates to replace Sir David Clementi, its chairman, who looks set to be eased out before the end of the year.

It is understood that the Pru, the UK's second-largest player in the insurance markets, aims to find a new chairman within three to four months.

Carol Leonard, practice head at Whitehead Mann, the headhunter, has been engaged to line up a replacement.

It is thought that she has been drawing up a list of possible candidates since the beginning of the year. It is understood that no interviews have been held.

However, it is thought that only people outside the company are being considered.

Sir David, 59, has been chairman since December 2002.

Although popular internally and among some of the Pru's army of small shareholders, he is seen as lacking the international experience that the insurer seeks as it expands its presence globally.

Sources close to the insurer denied that Sir David was leaving unwillingly.

They highlighted that it was good corporate governance practice to replace a chairman regularly and also said that Sir David had a strong track record serving the international business.

Prudential declined to comment.

The insurer is due to release new business figures for the first quarter this week.

They are expected to confirm that Asia is the growth engine for the group against the backdrop of a fiercely competitive domestic British market and a growing presence in the United States.

Analysts at Keefe, Bruyette & Woods are forecasting that first- quarter sales will have grown 8 per cent to £692 million, with Asian sales up 24 per cent, but America down 10 per cent.

One City source familiar with the thinking at the Pru, which is led by Mark Tucker, its chief executive, said: “Sir David would be keen to see out the course, but this is no longer a UK company.

"The Pru needs an internationally minded chairman to take it forward.”

Sir David is also seen as a strong former ally of Jonathan Bloomer, who ran the insurer before being ousted in favour of Mr Tucker.

Eamonn Flanagan, an analyst for Shore Capital, praised Sir David but said that it made sense to put in place a successor.

“He has been a force for stability over the past few years, particulary when management has been in turmoil.

"Having said that, Mark Tucker's background and focus is very much on Asia and the US. He has made no secret of his international ambitions. That kind of chairman would suit Mr Tucker.”

The Pru's initial hopes of lining up a replacement for Sir David were dashed late last year when Sir Win Bischoff, one of its independent directors, was named chairman of Citigroup.

Sir Win, a veteran of the City, had been running the day-to-day affairs of the Wall Street giant in the wake of the departure of Charles Prince as chief executive.

He became chairman after Vikram Pandit took over as Citi's new boss.

Sir Win was one of several potential internal candidates for Sir David's job.

It is understood that James Ross, the senior independent director, has been ruled out.

The hunt for a successor to Sir David comes as Mr Tucker also paves the way for his own replacement.

Mr Tucker, who won praise for establishing the Pru's booming business in Asia, has lined up three potential internal candidates.

They are Tidjane Thiam, the financial controllor poached last year from Aviva; Barry Stowe, the former AIG executive who runs the Asian unit; and Nick Prettejohn, the former Lloyd's of London boss who runs Prudential in the UK.

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