Prudential Annuities, the domestic annuity business for Prudential Financial, has added two new asset allocation options for its leading investment lineup.
The new portfolios include the AST New Discovery Asset Allocation Portfolio and AST Schroders Global Tactical portfolio. These changes bring the total number of asset allocation portfolios to 19. These portfolios span four diverse strategies, and can be selected as stand-alone options, or combined at the client’s choice.
Prudential Annuities also announced the addition of sub-advisors to two existing individual investment options: Emerald Advisers, Inc., for the AST Small Cap Growth Portfolio; and Jennison Associates, LLC, for the AST International Growth Portfolio. These single asset class additions offer investors additional choices if they prefer to create their own customised portfolio. The AST Small Cap Growth portfolio, which has been managed by Eagle Asset Management, will now be co-managed with Emerald Advisors. Emerald Advisers brings specialised focus on small cap growth research and investing. Within the AST International Growth portfolio, there will be the addition of Jennison Associates. Jennison will complement the two existing managers, William Blair and Marsico Capital Management.
"We remain focused on continuously enhancing our investment options to provide investors with unparalleled choice, broad flexibility and rigorous oversight. Today’s market environment demands this, and we remain one of the few providers able to offer such a robust platform of investment and product options," says Douglas McIntosh, vice president of Investment Management for Prudential Annuities. "These enhancements emphasise not only our commitment to active management, but also our access and utilisation of boutique managers."
The AST New Discovery Asset Allocation Portfolio is part of Prudential Annuities’ traditional strategy and will focus on seeking total return comprised of both capital appreciation and income. It is a multi-asset class portfolio, and provides exposure to a diversified mix of domestic and international equity securities, along with fixed-income securities. It is managed by seven different, well-regarded boutique managers, and will also leverage the strength of the Prudential Investments research team, which will manage the overall asset allocation among the seven managers.
The AST Schroders Global Tactical Portfolio is positioned in the tactical strategy, and combines the simplicity of a balanced fund with the agility of a tactical asset allocation strategy. This portfolio has the potential to perform well in a wide variety of market environments, leveraging Schroders’ global perspective and broad investment universe. It has exposure to international equities, which improves portfolio breadth and the potential to benefit from economic trends outside of the US.
McIntosh says: "Delivering these new options effectively expands our global reach, demonstrates our overall capacity and is consistent with our commitment to deliver continual innovation."
