Prudential Fixed Income Management is one of the largest fixed income managers in the US* with $209 billion in assets under management (as of June 30, 2008) for institutional, retail, and affiliated insurance company clients worldwide. Prudential Fixed Income Management and its predecessor business units have managed US fixed income accounts for institutional clients since 1928.
Our comprehensive product line offers institutional clients traditional fixed income strategies including Enhanced Index, Core, Core Plus, Single-Sector, and Asset Liability Management. Our objective is to deliver consistent outperformance over benchmarks, with a high information ratio. Our market presence, sector-specific expertise, 44-person in-house credit research staff, and quantitative analytic tools are powerful advantages in reaching these objectives. Additionally, Prudential Fixed Income Management offers specialized products, such as fixed income hedge funds and collateralized debt obligations (CDOs).
We believe highly diversified portfolios, where a variety of exposures are implemented simultaneously within a risk managed framework, offer the best opportunity for above-average returns with below-average volatility.
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Construct portfolios that achieve high information ratios through risk budgeting and broad diversification across sectors, subsectors and issuers. |
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Use varying degrees of the following strategies, depending on client objective and risk tolerances: |
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Yield curve and duration management |
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Active sector rotation, benchmark and non-benchmark |
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Active subsector rotation |
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Research-driven security selection |
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Monitor and control risk |
Prudential Investment Management is the primary asset management business of Prudential Financial, Inc. Prudential Fixed Income Management is Prudential Investment Management's largest public fixed income asset management unit and operates through Prudential Investment Management, Inc. (PIM), a registered investment advisor. Prudential Fixed Income, which is housed within Prudential Fixed Income Management, had $201 billion in assets under management as of June 30, 2008. Prudential Fixed Income does not include certain hedge fund, CDO, and managed account strategies managed by Prudential Fixed Income Management. In managing assets of client accounts, Prudential Fixed Income Management may at times sub-delegate or otherwise partner with certain affiliates and subsidiaries.
* Source of ranking: Institutional Investor, July 2008, based on domestic fixed income securities held as of 12/31/07. Excludes additional assets in total public fixed income managed by certain other units or affiliates of Prudential Investment Management.
