Core Conservative

Benchmark-focused, investment grade bond strategy that seeks an excess return over the Bloomberg Barclays U.S. Aggregate Bond Index or similar benchmark. Strategy has historically generated virtually all of its excess return from bottom-up subsector and security selection, with top-down decisions such as duration, yield curve, and sector positioning tightly constrained to benchmark weightings at all times.

Investment Approach

Lower expected risk alternative to Core strategies
Higher expected alpha alternative to passive strategies
Research-driven security selection
Tightly constrained to benchmark

Why PGIM Fixed Income?

Security selection adds value in sustainable fashion

Experienced sector specialists supported by extensive credit and quantitative research resources

Benchmark-oriented approach seeks to minimize tracking error

Tightly constrain duration, yield curve, and sector allocation

Comprehensive firm-wide approach to risk management

Feedback and monitoring of active risk positions daily
Comprehensive risk budgeting, monitoring, and performance attribution

As of [an error occurred while processing this directive].

Read benchmark descriptions.

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[an error occurred while processing this directive] years of consistent annual outperformance vs. benchmark
Popular underlying investment strategy for stable value portfolios
Senior Manager in place since inception
Team averages [an error occurred while processing this directive] years with PGIM
$[an error occurred while processing this directive] billion in strategy assets

FOR INSTITUTIONAL / WHOLESALE OR PROFESSIONAL CLIENT USE ONLY - NOT FOR RETAIL DISTRIBUTION

Past performance is not a guarantee or a reliable indicator of future results. Any discussion of risk management is intended to describe PGIM Fixed Income's efforts to monitor and manage risk but does not imply low risk. All investing involves risk, including the risk of loss. Fixed income securities are subject to certain risks, including credit, interest rate, issuer, market and inflation risk. Foreign and emerging market securities are subject to currency, political, economic, and market risks, which may be enhanced in emerging market countries. High yield securities are lower rated securities that may have a higher degree of credit and liquidity risk. Mortgage and asset-backed securities are sensitive to early prepayment risk, a higher risk of default and may be hard to value and difficult to sell. U.S. Government securities may not be backed by the full faith and credit of the U.S., thus, these issuers may not be able to meet their future payment obligations. With sovereign debt securities, the issuer or governmental authority that controls the repayment of the debt may not be willing or able to repay the principal and/or pay the interest when it becomes due, in accordance with the terms of such obligations. Collateralised mortgage obligations may have unpredictable cash flows that can increase the risk of loss. Public bank loans are subject to liquidity risk and the credit risks of lower rated securities. The use of derivative instruments may disproportionately increase losses and have a significant impact on performance. They also may be subject to counterparty, liquidity, valuation, correlation and market risks.

There is no guarantee that any investment strategy will achieve its objective under all market conditions or be suitable for all investors. Each investor should evaluate their ability to invest for the long-term, especially during periods of downturn in the market.

The views and opinions expressed herein are those of PGIM Fixed Income and are subject to change without notice. This material has been provided for informational purposes only and should not be construed as investment advice or as a recommendation to buy or sell any security or participate in any strategy.