UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
| | |
| Investment Company Act file number: | | 811-09101 |
| |
| Exact name of registrant as specified in charter: | | Prudential Investment Portfolios 9 |
| |
| Address of principal executive offices: | | 655 Broad Street, 6 th Floor |
| | | Newark, New Jersey 07102 |
| |
| Name and address of agent for service: | | Andrew R. French |
| | | 655 Broad Street, 6 th Floor |
| | | Newark, New Jersey 07102 |
| |
| Registrant’s telephone number, including area code: | | |
| |
| Date of fiscal year end: | | 10/31/2024 |
| |
| Date of reporting period: | | 10/31/2024 |
Item 1 – Reports to Stockholders
| | (a) | Report transmitted to stockholders pursuant to Rule 30e-1 under the Act (17 CFR 270.30e-1). |
PGIM Quant Solutions Large-Cap Core Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class A shares of PGIM Quant Solutions Large-Cap Core Fund (the
“Fund”) for the period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
This report describes changes to the Fund that occurred during the reporting period.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Quant Solutions Large-Cap Core Fund—Class | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING
PERIOD
?
■
US Federal Reserve (Fed) policy dominated headlines and acted as the main directional catalyst for equity performance during the reporting
period. After keeping interest rates steady for the majority of the period, the Fed lowered interest rates by a half percentage point at its
September 2024 meeting. Large-cap stocks outpaced small-cap stocks during most of the period, although this trend shifted and volatility
increased toward the end of the period, as investors focused on the US presidential election.
■
The Fund’s performance relative to the S&P 500 Index (Index) benefited from a tilt in favor of stocks with improving growth expectations,
notably in the industrials sector. Overweight positions in some mega-cap tech stocks also helped.
■
The Fund’s stock selection in the consumer staples sector did not perform well, detracting from relative returns.
■
The Fund used futures contracts on the Index primarily to manage daily cash flows, provide liquidity, and equitize cash—not as a means of
adding to performance. Consequently, the effect on Fund performance was minimal.
HOW HAS T
HE
FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class A shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns
would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
The line graph reflects the return on the Fund's Class A shares with sales charges.
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class A with sales charges | | | |
Class A without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/20
2
4
?
| |
Semiconductors & Semiconductor Equipment | |
| |
Technology Hardware, Storage & Peripherals | |
Interactive Media & Services | |
| |
| |
Oil, Gas & Consumable Fuels | |
| |
| |
| |
| |
| |
Health Care Equipment & Supplies | |
| |
| |
Life Sciences Tools & Services | |
Consumer Staples Distribution & Retail | |
| |
| |
Health Care Providers & Services | |
| |
| |
Hotels, Restaurants & Leisure | |
| |
Diversified Telecommunication Services | |
| |
| |
Affiliated Mutual Fund - Short-Term Investment | |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Liabilities in excess of other assets | |
| |
* Consists of Industries that each make up less than
0.5
% of the Fund's net
WERE THERE ANY CHANGES TO THE FUND THIS YEAR?
The following is a summary of certain changes to the Fund since November 1, 2023:
■
The Fund's principal risk disclosure was revised to include Sector Exposure Risk as a principal risk of the Fund due to changes in the Fund's
portfolio which may result in greater exposure to certain economic sectors.
For more complete information, you should review the Fund’s next prospectus, which we expect to be available by December 30, 2024 at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by request at (800) 225-1852.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Quant Solutions Large-Cap Core Fund
PGIM Quant Solutions Large-Cap Core Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class C shares of PGIM Quant Solutions Large-Cap Core Fund (the
“Fund”) for the period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
This report describes changes to the Fund that occurred during the reporting period.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Quant Solutions Large-Cap Core Fund—Class | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
US Federal Reserve (Fed) policy dominated headlines and acted as the main directional catalyst for equity performance during the reporting
period. After keeping interest rates steady for the majority of the period, the Fed lowered interest rates by a half percentage point at its
September 2024 meeting. Large-cap stocks outpaced small-cap stocks during most of the period, although this trend shifted and volatility
increased toward the end of the period, as investors focused on the US presidential election.
■
The Fund’s performance relative to the S&P 500 Index (Index) benefited from a tilt in favor of stocks with improving growth expectations,
notably in the industrials sector. Overweight positions in some mega-cap tech stocks also helped.
■
The Fund’s stock selection in the consumer staples sector did not perform well, detracting from relative returns.
■
The Fund used futures contracts on the Index primarily to manage daily cash flows, provide liquidity, and equitize cash—not as a means of
adding to performance. Consequently, the effect on Fund performance was minimal.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class C shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class C with sales charges | | | |
Class C without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
Semiconductors & Semiconductor Equipment | |
| |
Technology Hardware, Storage & Peripherals | |
Interactive Media & Services | |
| |
| |
Oil, Gas & Consumable Fuels | |
| |
| |
| |
| |
| |
Health Care Equipment & Supplies | |
| |
| |
Life Sciences Tools & Services | |
Consumer Staples Distribution & Retail | |
| |
| |
Health Care Providers & Services | |
| |
| |
Hotels, Restaurants & Leisure | |
| |
Diversified Telecommunication Services | |
| |
| |
Affiliated Mutual Fund - Short-Term Investment | |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Liabilities in excess of other assets | |
| |
* Consists of Industries that each make up less
than
0.5% of the Fund's net assets
WERE THERE ANY CHANGES TO THE FUND THIS YEAR?
The following is a summary of certain changes to the Fund since November 1, 2023:
■
The Fund's principal risk disclosure was revised to include Sector Exposure Risk as a principal risk of the Fund due to changes in the Fund's
portfolio which may result in greater exposure to certain economic sectors.
For more complete information, you should review the Fund’s next prospectus, which we expect to be available by December 30, 2024 at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by request at (800) 225-1852.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Quant Solutions Large-Cap Core Fund
PGIM Quant Solutions Large-Cap Core Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class Z shares of PGIM Quant Solutions Large-Cap Core Fund (the
“Fund”) for the period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
This report describes changes to the Fund that occurred during the reporting period.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Quant Solutions Large-Cap Core Fund—Class | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
US Federal Reserve (Fed) policy dominated headlines and acted as the main directional catalyst for equity performance during the reporting
period. After keeping interest rates steady for the majority of the period, the Fed lowered interest rates by a half percentage point at its
September 2024 meeting. Large-cap stocks outpaced small-cap stocks during most of the period, although this trend shifted and volatility
increased toward the end of the period, as investors focused on the US presidential election.
■
The Fund’s performance relative to the S&P 500 Index (Index) benefited from a tilt in favor of stocks with improving growth expectations,
notably in the industrials sector. Overweight positions in some mega-cap tech stocks also helped.
■
The Fund’s stock selection in the consumer staples sector did not perform well, detracting from relative returns.
■
The Fund used futures contracts on the Index primarily to manage daily cash flows, provide liquidity, and equitize cash—not as a means of
adding to performance. Consequently, the effect on Fund performance was minimal.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class Z shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS
OF
THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
Semiconductors & Semiconductor Equipment | |
| |
Technology Hardware, Storage & Peripherals | |
Interactive Media & Services | |
| |
| |
Oil, Gas & Consumable Fuels | |
| |
| |
| |
| |
| |
Health Care Equipment & Supplies | |
| |
| |
Life Sciences Tools & Services | |
Consumer Staples Distribution & Retail | |
| |
| |
Health Care Providers & Services | |
| |
| |
Hotels, Restaurants & Leisure | |
| |
Diversified Telecommunication Services | |
| |
| |
Affiliated Mutual Fund - Short-Term Investment | |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Liabilities in excess of other assets | |
| |
* Consists of Industries that
each
make up less than
0.5
% of the Fund's net assets
WERE THERE ANY CHANGES TO THE FUND THIS YEAR?
The following is a summary of certain changes to the Fund since November 1, 2023:
■
The Fund's principal risk disclosure was revised to include Sector Exposure Risk as a principal risk of the Fund due to changes in the Fund's
portfolio which may result in greater exposure to certain economic sectors.
For more complete information, you should review the Fund’s next prospectus, which we expect to be available by December 30, 2024 at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by request at (800) 225-1852.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-
1852
or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Quant Solutions Large-Cap Core Fund
PGIM Quant Solutions Large-Cap Core Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class R6 shares of PGIM Quant Solutions Large-Cap Core Fund (the
“Fund”) for the period of November 1, 2023 to October 31, 2024.
Y
ou can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
This report describes changes to the Fund that occurred during the reporting period.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Quant Solutions Large-Cap Core Fund—Class | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
US Federal Reserve (Fed) policy dominated headlines and acted as the main directional catalyst for equity performance during the reporting
period. After keeping interest rates steady for the majority of the period, the Fed lowered interest rates by a half percentage point at its
September 2024 meeting. Large-cap stocks outpaced small-cap stocks during most of the period, although this trend shifted and volatility
increased toward the end of the period, as investors focused on the US presidential election.
■
The Fund’s performance relative to the S&P 500 Index (Index) benefited from a tilt in favor of stocks with improving growth expectations,
notably in the industrials sector. Overweight positions in some mega-cap tech stocks also helped.
■
The Fund’s stock selection in the consumer staples sector did not perform well, detracting from relative returns.
■
The Fund used futures contracts on the Index primarily to manage daily cash flows, provide liquidity, and equitize cash—not as a means of
adding to performance. Consequently, the effect on Fund performance was minimal.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class R6 shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the
returns
would
have been lower.
Cumulative Performance: December 28, 2016 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
Since Inception returns are provided for the share class since it has less than 10 fiscal years of returns. Since Inception returns for the Index are measured from the
closest month-end to the class’s inception date.
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
Semiconductors & Semiconductor Equipment | |
| |
Technology Hardware, Storage & Peripherals | |
Interactive Media & Services | |
| |
| |
Oil, Gas & Consumable Fuels | |
| |
| |
| |
| |
| |
Health Care Equipment & Supplies | |
| |
| |
Life Sciences Tools & Services | |
Consumer Staples Distribution & Retail | |
| |
| |
Health Care Providers & Services | |
| |
| |
Hotels, Restaurants & Leisure | |
| |
Diversified Telecommunication Services | |
| |
| |
Affiliated Mutual Fund - Short-Term Investment | |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Liabilities in excess of other assets | |
| |
* Consists of
Industries
that each make up less than 0.5% of the Fund's net assets
WERE THERE ANY CHANGES TO THE FUND THIS YEAR?
The following is a summary of certain changes to the Fund since November 1, 2023:
■
The Fund's principal risk disclosure was revised to include Sector Exposure Risk as a principal risk of the Fund due to changes in the Fund's
portfolio which may result in greater exposure to certain economic sectors.
For more complete information, you should review the Fund’s next prospectus, which we expect to be available by December 30, 2024 at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by request at (800) 225-1852.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code
below
,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Quant Solutions Large-Cap Core Fund
PGIM Real Estate Income Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class A shares of PGIM Real Estate Income Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $
10,000
investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Real Estate Income Fund—Class A | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors began to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection contributed to the Fund’s performance relative to the Custom Blended Index in several sectors and regions. Within
North America, favorable stock selection, particularly in the data center, health care, and office sectors drove outperformance. Performance
benefited as well from stock selection in the industrial sector and an overweighting to mall stocks. Stock selection was also strong in the Asia
Pacific region, most notably in Japan.
■
Stock selection in US hotels detracted from the Fund’s performance, as did an overweight allocation to the US triple-net sector. In Europe, lack
of exposure to Germany undermined relative performance, while in Asia, an overweight position in Singapore dragged on returns.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class A shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: June 3, 2015 to October 31, 2024 Initial Investment of $10,000 |
The line graph reflects the return on the Fund's Class A shares with sales charges.
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class A with sales charges | | | |
Class A without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index* | | | |
| | | |
*The Fund has added this broad-based index in response to new regulatory requirements.
**The Fund's Custom Blended Index is a model portfolio consisting of the FTSE EPRA/NAREIT Developed Net Index (80%) and the BofA 7% Constrained REIT Preferred Securities
Index (20%).
Since
Inception
returns are provided for the share class since it has less than 10 fiscal years of returns. Since Inception returns for the
Indexes
are measured from the
closest month-end to the class’s inception date.
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE
SOME
CHARACTERISTICS OF THE FUND’S
HOLDINGS
AS OF 10/31/2024?
| |
Real Estate Operating Companies | |
Affiliated Mutual Fund - Short Term Investment (0.0% represents investments purchased with collateral from securities on loan) | |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Real Estate Income Fund
PGIM Real Estate Income Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class C shares of PGIM Real Estate Income Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Real Estate Income Fund—Class C | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors began to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection contributed to the Fund’s performance relative to the Custom Blended Index in several sectors and regions. Within
North America, favorable stock selection, particularly in the data center, health care, and office sectors drove outperformance. Performance
benefited as well from stock selection in the industrial sector and an overweighting to mall stocks. Stock selection was also strong in the Asia
Pacific region, most notably in Japan.
■
Stock selection in US hotels detracted from the Fund’s performance, as did an overweight allocation to the US triple-net sector. In Europe, lack
of exposure to Germany undermined relative performance, while in Asia, an overweight position in Singapore dragged on returns.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class C shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: June 3, 2015 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class C with sales charges | | | |
Class C without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index * | | | |
| | | |
*The Fund has added this broad-based index in response to new regulatory requirements.
**The Fund's Custom Blended Index is a model portfolio consisting of the FTSE EPRA/NAREIT Developed Net Index (80%) and the BofA 7% Constrained REIT Preferred Securities
Index (20%).
Since Inception returns are provided for the share class since it has less than 10 fiscal years of returns. Since Inception returns for the Indexes are measured from the
closest month-end to the class’s inception date.
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
Real Estate Operating Companies | |
Affiliated Mutual Fund - Short Term Investment (0.0% represents investments purchased with collateral from securities on loan) | |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Real Estate Income Fund
PGIM Real Estate Income Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class Z shares of PGIM Real Estate Income Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Real Estate Income Fund—Class Z | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors began to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection contributed to the Fund’s performance relative to the Custom Blended Index in several sectors and regions. Within
North America, favorable stock selection, particularly in the data center, health care, and office sectors drove outperformance. Performance
benefited as well from stock selection in the industrial sector and an overweighting to mall stocks. Stock selection was also strong in the Asia
Pacific region, most notably in Japan.
■
Stock selection in US hotels detracted from the Fund’s performance, as did an overweight allocation to the US triple-net sector. In Europe, lack
of exposure to Germany undermined relative performance, while in Asia, an overweight position in Singapore dragged on returns.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class Z shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: June 3, 2015 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index* | | | |
| | | |
*The Fund has added this broad-based index in response to new regulatory requirements.
**The Fund's Custom Blended Index is a model portfolio consisting of the FTSE EPRA/NAREIT Developed Net Index (80%) and the BofA 7% C
onstr
ained REIT Preferred Securities
Index (20%).
Since Inception returns are provided for the share class since it has less than 10 fiscal years of returns. Since Inception returns for the Indexes are measured from the
closest month-end to the class’s inception date.
WHAT ARE SOME KEY FUND STATISTICS AS OF
10/31/2024
?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOL
DI
NGS AS OF 10/31/2024?
| |
Real Estate Operating Companies | |
Affiliated Mutual Fund - Short Term Investment (0.0% represents investments purchased with collateral from securities on loan) | |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Real Estate Income Fund
PGIM Real Estate Income Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class R6 shares of PGIM Real Estate Income Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Real Estate Income Fund—Class R6 | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors began to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection contributed to the Fund’s performance relative to the Custom Blended Index in several sectors and regions. Within
North America, favorable stock selection, particularly in the data center, health care, and office sectors drove outperformance. Performance
benefited as well from stock selection in the industrial sector and an overweighting to mall stocks. Stock selection was also strong in the Asia
Pacific region, most notably in Japan.
■
Stock selection in US hotels detracted from the Fund’s performance, as did an overweight allocation to the US triple-net sector. In Europe, lack
of exposure to Germany undermined relative performance, while in Asia, an overweight position in Singapore dragged on returns.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class R6 shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: December 28, 2016 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index* | | | |
| | | |
*The Fund has added this broad-based index in response to new regulatory requirements.
**The Fund's Custom Blended Index is a model portfolio consisting of the FTSE EPRA/NAREIT
Developed
Net Index (80%) and the BofA 7% Constrained REIT Preferred Securities
Index (20%).
Since Inception returns are provided for the share class since it has less than 10 fiscal years of returns. Since Inception returns for the Indexes are measured from the
closest month-end to the class’s inception date.
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S H
OLDIN
GS AS OF 10/31/2024?
| |
Real Estate Operating Companies | |
Affiliated Mutual Fund - Short Term Investment (0.0% represents investments purchased with collateral from securities on loan) | |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Real Estate Income Fund
PGIM Select Real Estate Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class A shares of PGIM Select Real Estate Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Select Real Estate Fund—Class A | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors begin to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection across all regions contributed to the Fund’s performance relative to the FTSE EPRA/NAREIT Developed Net Index.
Within North America, favorable stock selection, particularly in the data center, health care, triple-net and office sectors, drove outperformance.
Stock selection was also strong in the Asia Pacific region, most notably in Japan and Australia.
■
Underweight allocation to US storage stocks detracted from relative performance, as did stock selection in the US storage sector. In Europe,
security selection in the UK undermined relative returns, while in Asia, security selection in Singapore detracted.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class A shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
The line graph reflects the return on the Fund's Class A shares with sales charges.
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class A with sales charges | | | |
Class A without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
FTSE EPRA/NAREIT Developed Net Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024
?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
| |
| |
| |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Select Real Estate Fund
PGIM Select Real Estate Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class C shares of PGIM Select Real Estate Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Select Real Estate Fund—Class C | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors begin to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection across all regions contributed to the Fund’s performance relative to the FTSE EPRA/NAREIT Developed Net Index.
Within North America, favorable stock selection, particularly in the data center, health care, triple-net and office sectors, drove outperformance.
Stock selection was also strong in the Asia Pacific region, most notably in Japan and Australia.
■
Underweight allocation to US storage stocks detracted from relative performance, as did stock selection in the US storage sector. In Europe,
security selection in the UK undermined relative returns, while in Asia, security selection in Singapore detracted.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class C shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class C with sales charges | | | |
Class C without sales charges | | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
FTSE EPRA/NAREIT Developed Net Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF
THE
FUND’S HOLDINGS AS OF 10/31/2024?
| |
| |
| |
| |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Select Real Estate Fund
PGIM Select Real Estate Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class Z shares of PGIM Select Real Estate Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Select Real Estate Fund—Class Z | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors begin to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection across all regions contributed to the Fund’s performance relative to the FTSE EPRA/NAREIT Developed Net Index.
Within North America, favorable stock selection, particularly in the data center, health care, triple-net and office sectors, drove outperformance.
Stock selection was also strong in the Asia Pacific region, most notably in Japan and Australia.
■
Underweight allocation to US storage stocks detracted from relative performance, as did stock selection in the US storage sector. In Europe,
security selection in the UK undermined relative returns, while in Asia, security selection in Singapore detracted.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class Z shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
FTSE EPRA/NAREIT Developed Net Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
| |
| |
| |
| |
| |
Other assets in excess of liabilities | |
| |
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Select Real Estate Fund
PGIM Select Real Estate Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class R6 shares of PGIM Select Real Estate Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
This report describes changes to the Fund that occurred during the reporting period.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Select Real Estate Fund—Class R6 | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
Coming off a volatile macroeconomic environment for real estate investment trusts (REITs) in 2023, global REITs saw a nearly flat first half of
2024, as investors remained cautious about the pace of interest rate cuts, election uncertainty, and economic growth. However, the sector
delivered strong performance in the third quarter of 2024. Gains were fairly uniform across Asia, the US, and Europe, as investors begin to
factor in cooling global inflation and the early stages of a rate-cutting cycle in the US. Many of the headwinds for REITs began turning into
tailwinds, as private real estate pricing appeared to bottom globally, and capital markets and transaction activity increased significantly.
■
Positive stock selection across all regions contributed to the Fund’s performance relative to the FTSE EPRA/NAREIT Developed Net Index.
Within North America, favorable stock selection, particularly in the data center, health care, triple-net and office sectors, drove outperformance.
Stock selection was also strong in the Asia Pacific region, most notably in Japan and Australia.
■
Underweight allocation to US storage stocks detracted from relative performance, as did stock selection in the US storage sector. In Europe,
security selection in the UK undermined relative returns, while in Asia, security selection in Singapore detracted.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class R6 shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: S&P 500 Index | | | |
FTSE EPRA/NAREIT Developed Net Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FU
ND’
S HOLDINGS AS OF 10/31/2024?
| |
| |
| |
| |
| |
Other assets in excess of liabilities | |
| |
WERE THERE ANY CHANGES TO THE FUND THIS YEAR?
The following is a summary of certain changes to the Fund since November 1, 2023:
■
For the year ended October 31, 2024, the total annual Fund operating expenses after waivers and/or expense reimbursement for Class R6
shares increased from 0.93% in the year ended October 31, 2023 to 1.04% primarily due to a decrease in the Fund’s average net assets.
For more complete information, you should review the Fund’s next prospectus, which we expect to be available by February 28, 2025
at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by request at (800) 225-1852.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Select Real Estate Fund
PGIM Absolute Return Bond Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class A shares of PGIM Absolute Return Bond Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Absolute Return Bond Fund—Class A | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
During the reporting period, market expectations for both the timing and number of rate cuts fluctuated significantly as inflation slowed and
employment data showed some signs of softening. The US Federal Reserve easing cycle began in September 2024 with a 0.50% rate cut,
which was preceded by a resteepening of the US Treasury curve as well as greater market volatility due to elections and fiscal uncertainty in
the US, France, and the UK. As demand for yield remained robust, credit spreads largely tightened, and performance across fixed income
sectors was positive.
■
The following contributed most to the Fund’s performance relative to the ICE BofA US 3-Month Treasury Bill Index during the reporting period:
positioning in US investment grade corporates, emerging markets high yield, non-agency commercial mortgage-backed securities
(CMBS) AA-and-below, and collateralized loan obligations (CLOs) AA; security selection in US Treasuries, US high yield corporates, and
non-agency mortgage-backed securities (MBS); allocations to the CLOs AAA, MBS, and asset-backed securities sectors; and credit positioning
in banking, cable & satellite, health care & pharmaceuticals, retailers & restaurants, midstream energy, consumer non-cyclicals, and
electric utilities.
■
The following detracted most from relative performance during the reporting period: yield curve positioning; security selection in British pound
sterling-denominated high yield corporates and European high yield corporates; duration positioning; and allocations to the emerging markets
investment grade and tax-exempt municipal bond sectors.
■
The Fund used futures, swaps, and options to help manage duration positioning and yield curve exposure, and forward currency exchange
contracts were used to hedge against non-US dollar-denominated positions. Collectively, the use of derivatives had a positive impact on
relative performance.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class A shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: O cto ber 31, 2014 to Octobe r 31, 2024 Initial Investment of $10,000 |
The line graph reflects the return on the Fund's Class A shares with sales charges.
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class A with sales charges | | | |
Class A without sales charges | | | |
Broad-Based Securities Market Index: Bloomberg US Aggregate Bond | | | |
ICE BofA US 3-Month Treasury Bill Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2024?
Credit Quality expressed as a percentage of total investments as of 10/31/2024 (%) |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Credit ratings reflect the highest rating assigned by a nationally recognized statistical rating organization (NRSRO) such as Moody’s Investors Service, Inc. (Moody’s), S&P Global
Ratings (S&P), or Fitch Ratings, Inc. (Fitch). Credit ratings reflect the common nomenclature used by both S&P and Fitch. Where applicable, ratings are converted to the comparable
S&P/Fitch rating tier nomenclature. The Not Rated category consists of securities that have not been rated by an NRSRO. Credit ratings are subject to change.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Absolute Return Bond Fund
PGIM Absolute Return Bond Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class C shares of PGIM Absolute Return Bond Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Absolute Return Bond Fund—Class C | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
During the reporting period, market expectations for both the timing and number of rate cuts fluctuated significantly as inflation slowed and
employment data showed some signs of softening. The US Federal Reserve easing cycle began in September 2024 with a 0.50% rate cut,
which was preceded by a resteepening of the US Treasury curve as well as greater market volatility due to elections and fiscal uncertainty in
the US, France, and the UK. As demand for yield remained robust, credit spreads largely tightened, and performance across fixed income
sectors was positive.
■
The following contributed most to the Fund’s performance relative to the ICE BofA US 3-Month Treasury Bill Index during the reporting period:
positioning in US investment grade corporates, emerging markets high yield, non-agency commercial mortgage-backed securities
(CMBS) AA-and-below, and collateralized loan obligations (CLOs) AA; security selection in US Treasuries, US high yield corporates, and
non-agency mortgage-backed securities (MBS); allocations to the CLOs AAA, MBS, and asset-backed securities sectors; and credit positioning
in banking, cable & satellite, health care & pharmaceuticals, retailers & restaurants, midstream energy, consumer non-cyclicals, and
electric utilities.
■
The following detracted most from relative performance during the reporting period: yield curve positioning; security selection in British pound
sterling-denominated high yield corporates and European high yield corporates; duration positioning; and allocations to the emerging markets
investment grade and tax-exempt municipal bond sectors.
■
The Fund used futures, swaps, and options to help manage duration positioning and yield curve exposure, and forward currency exchange
contracts were used to hedge against non-US dollar-denominated positions. Collectively, the use of derivatives had a positive impact on
relative performance.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class C shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
Class C with sales charges | | | |
Class C without sales charges | | | |
Broad-Based Securities Market Index: Bloomberg US Aggregate Bond | | | |
ICE BofA US 3-Month Treasury Bill Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2
0
24?
Credit Quality expressed as a percentage of total investments as of 10/31/2024 (%) |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Credit ratings reflect the highest rating assigned by a nationally recognized statistical rating organization (NRSRO) such as Moody’s Investors Service, Inc. (Moody’s), S&P Global
Ratings (S&P), or Fitch Ratings, Inc. (Fitch). Credit ratings reflect the common nomenclature used by both S&P and Fitch. Where applicable, ratings are converted to the comparable
S&P/Fitch rating tier nomenclature. The Not Rated category consists of securities that have not been rated by an NRSRO. Credit ratings are subject to change.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Absolute Return Bond Fund
PGIM Absolute Return Bond Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class Z shares of PGIM Absolute Return Bond Fund (the “Fund”) for the
period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Absolute Return Bond Fund—Class Z | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
During the reporting period, market expectations for both the timing and number of rate cuts fluctuated significantly as inflation slowed and
employment data showed some signs of softening. The US Federal Reserve easing cycle began in September 2024 with a 0.50% rate cut,
which was preceded by a resteepening of the US Treasury curve as well as greater market volatility due to elections and fiscal uncertainty in
the US, France, and the UK. As demand for yield remained robust, credit spreads largely tightened, and performance across fixed income
sectors was positive.
■
The following contributed most to the Fund’s performance relative to the ICE BofA US 3-Month Treasury Bill Index during the reporting period:
positioning in US investment grade corporates, emerging markets high yield, non-agency commercial mortgage-backed securities
(CMBS) AA-and-below, and collateralized loan obligations (CLOs) AA; security selection in US Treasuries, US high yield corporates, and
non-agency mortgage-backed securities (MBS); allocations to the CLOs AAA, MBS, and asset-backed securities sectors; and credit positioning
in banking, cable & satellite, health care & pharmaceuticals, retailers & restaurants, midstream energy, consumer non-cyclicals, and
electric utilities.
■
The following detracted most from relative performance during the reporting period: yield curve positioning; security selection in British pound
sterling-denominated high yield corporates and European high yield corporates; duration positioning; and allocations to the emerging markets
investment grade and tax-exempt municipal bond sectors.
■
The Fund used futures, swaps, and options to help manage duration positioning and yield curve exposure, and forward currency exchange
contracts were used to hedge against non-US dollar-denominated positions. Collectively, the use of derivatives had a positive impact on
relative performance.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class Z shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: Bloomberg US Aggregate Bond | | | |
ICE BofA US 3-Month Treasury Bill Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/2
0
24?
Credit Quality expressed as a percentage of total investments as of 10/31/2024 (%) |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Credit ratings reflect the highest rating assigned by a nationally recognized statistical rating organization (NRSRO) such as Moody’s Investors Service, Inc. (Moody’s), S&P Global
Ratings (S&P), or Fitch Ratings, Inc. (Fitch). Credit ratings reflect the common nomenclature used by both S&P and Fitch. Where applicable, ratings are converted to the comparable
S&P/Fitch rating tier nomenclature. The Not Rated category consists of securities that have not been rated by an NRSRO. Credit ratings are subject to change.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Absolute Return Bond Fund
PGIM Absolute Return Bond Fund
ANNUAL SHAREHOLDER REPORT – October 31, 2024
This annual shareholder report contains important information about the Class R6 shares of PGIM Absolute Return Bond Fund (the “Fund”) for
the period of November 1, 2023 to October 31, 2024.
You can find additional information about the Fund at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
. You can also request
this information by contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
WHAT WERE THE FUND COSTS FOR THE LAST YEAR?
(Based on a hypothetical $10,000 investment)
| Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
PGIM Absolute Return Bond Fund—Class R6 | | |
WHAT AFFECTED THE FUND’S PERFORMANCE DURING THE REPORTING PERIOD?
■
During the reporting period, market expectations for both the timing and number of rate cuts fluctuated significantly as inflation slowed and
employment data showed some signs of softening. The US Federal Reserve easing cycle began in September 2024 with a 0.50% rate cut,
which was preceded by a resteepening of the US Treasury curve as well as greater market volatility due to elections and fiscal uncertainty in
the US, France, and the UK. As demand for yield remained robust, credit spreads largely tightened, and performance across fixed income
sectors was positive.
■
The following contributed most to the Fund’s performance relative to the ICE BofA US 3-Month Treasury Bill Index during the reporting period:
positioning in US investment grade corporates, emerging markets high yield, non-agency commercial mortgage-backed securities
(CMBS) AA-and-below, and collateralized loan obligations (CLOs) AA; security selection in US Treasuries, US high yield corporates, and
non-agency mortgage-backed securities (MBS); allocations to the CLOs AAA, MBS, and asset-backed securities sectors; and credit positioning
in banking, cable & satellite, health care & pharmaceuticals, retailers & restaurants, midstream energy, consumer non-cyclicals, and
electric utilities.
■
The following detracted most from relative performance during the reporting period: yield curve positioning; security selection in British pound
sterling-denominated high yield corporates and European high yield corporates; duration positioning; and allocations to the emerging markets
investment grade and tax-exempt municipal bond sectors.
■
The Fund used futures, swaps, and options to help manage duration positioning and yield curve exposure, and forward currency exchange
contracts were used to hedge against non-US dollar-denominated positions. Collectively, the use of derivatives had a positive impact on
relative performance.
HOW HAS THE FUND PERFORMED OVER THE PAST 10 YEARS?
The Fund’s past performance is not a good predictor of the Fund’s future performance.
The returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
Visit
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or call (800) 225-1852 or (973) 367-3529 from outside the US for more recent performance data.
The line graph reflects a hypothetical $10,000 investment in Class R6 shares and assumes that all recurring fees (including management fees)
were deducted and dividend and distributions were reinvested. Without waiver of fees and/or expense reimbursements, if any, the returns would
have been lower.
Cumulative Performance: October 31, 2014 to October 31, 2024 Initial Investment of $10,000 |
Average Annual Total Returns as of 10/31/2024 |
| | | |
| | | |
Broad-Based Securities Market Index: Bloomberg US Aggregate Bond
Index | | | |
ICE BofA US 3-Month Treasury Bill Index | | | |
WHAT ARE SOME KEY FUND STATISTICS AS OF 10/31/2024?
| |
| |
Total advisory fees paid for the year | |
Portfolio turnover rate for the year | |
WHAT ARE SOME CHARACTERISTICS OF THE FUND’S HOLDINGS AS OF 10/31/20
2
4?
Credit Quality expressed as a percentage of total investments as of 10/31/2024 (%) |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
| |
Credit ratings reflect the highest rating assigned by a nationally recognized statistical rating organization (NRSRO) such as Moody’s Investors Service, Inc. (Moody’s), S&P Global
Ratings (S&P), or Fitch Ratings, Inc. (Fitch). Credit ratings reflect the common nomenclature used by both S&P and Fitch. Where applicable, ratings are converted to the comparable
S&P/Fitch rating tier nomenclature. The Not Rated category consists of securities that have not been rated by an NRSRO. Credit ratings are subject to change.
You can find additional information at
pgim.com/investments/mutual-funds/prospectuses-fact-sheets
or by scanning the QR code below,
including the Fund’s prospectus, financial information, fund holdings, and proxy voting information. You can also request this information by
contacting us at (800) 225-1852 or (973) 367-3529 from outside the US.
To receive your fund documents online, go to
pgim.com/investments/resource/edelivery
and enroll.
PGIM Absolute Return Bond Fund
| | (b) | Copy of each notice transmitted to stockholders in reliance on Rule 30e-3 under the Act (17 CFR 270.30e-3) that contains disclosures specified by paragraph (c)(3) of that rule – Not applicable. |
Item 2 – Code of Ethics – See Exhibit (a)
As of the end of the period covered by this report, the registrant has adopted a code of ethics (the “Section 406 Standards for Investment Companies – Ethical Standards for Principal Executive and Financial Officers”) that applies to the registrant’s Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer.
The registrant hereby undertakes to provide any person, without charge, upon request, a copy of the code of ethics. To request a copy of the code of ethics, contact the registrant 800-225-1852, and ask for a copy of the Section 406 Standards for Investment Companies - Ethical Standards for Principal Executive and Financial Officers.
Item 3 – Audit Committee Financial Expert –
The registrant’s Board has determined that Ms. Grace C. Torres, member of the Board’s Audit Committee is an “audit committee financial expert,” and that she is “independent,” for purposes of this item.
Item 4 – Principal Accountant Fees and Services –
For the fiscal years ended October 31, 2024 and October 31, 2023, PricewaterhouseCoopers LLP (“PwC”), the Registrant’s principal accountant, billed the Registrant $171,622 and $161,544, respectively, for professional services rendered for the audit of the Registrant’s annual financial statements or services that are normally provided in connection with statutory and regulatory filings.
For the fiscal years ended October 31, 2024 and October 31, 2023: none.
For the fiscal years ended October 31, 2024 and October 31, 2023: none.
For the fiscal years ended October 31, 2024 and October 31, 2023: none.
| | (e) | (1) Audit Committee Pre-Approval Policies and Procedures |
THE PGIM MUTUAL FUNDS
AUDIT COMMITTEE POLICY
on
Pre-Approval of Services Provided by the Independent
Accountants
The Audit Committee of each PGIM Mutual Fund is charged with the responsibility to monitor the independence of the Fund’s independent accountants. As part of this responsibility, the Audit Committee must pre-approve the independent accounting firm’s engagement to render audit and/or permissible non-audit services, as required by law. In evaluating a proposed engagement of the independent accountants, the Audit Committee will assess the effect that the engagement might reasonably be expected to have on the accountant’s independence. The Committee’s evaluation will be based on:
| | • | | a review of the nature of the professional services expected to be provided, |
| | • | | a review of the safeguards put into place by the accounting firm to safeguard independence, and |
| | • | | periodic meetings with the accounting firm. |
Policy for Audit and Non-Audit Services Provided to the Funds
On an annual basis, the scope of audits for each Fund, audit fees and expenses, and audit-related and non-audit services (and fees proposed in respect thereof) proposed to be performed by the Fund’s independent accountants will be presented by the Treasurer and the independent accountants to the Audit Committee for review and, as appropriate, approval prior to the initiation of such services.
Such presentation shall be accompanied by confirmation by both the Treasurer and the independent accountants that the proposed non-audit services will not adversely affect the independence of the independent accountants. Such proposed non-audit services shall be described in sufficient detail to enable the Audit Committee to assess the appropriateness of such services and fees, and the compatibility of the provision of such services with the auditor’s independence. The Committee shall receive periodic reports on the progress of the audit and other services which are approved by the Committee or by the Committee Chair pursuant to authority delegated in this Policy.
The categories of services enumerated under “Audit Services”, “Audit-related Services”, and “Tax Services” are intended to provide guidance to the Treasurer and the independent accountants as to those categories of services which the Committee believes are generally consistent with the independence of the independent accountants and which the Committee (or the Committee Chair) would expect upon the presentation of specific proposals to pre-approve. The enumerated categories are not intended as an exclusive list of audit, audit-related or tax services, which the Committee (or the Committee Chair) would consider for pre-approval.
Audit Services
The following categories of audit services are considered to be consistent with the role of the Fund’s independent accountants:
| | • | | Annual Fund financial statement audits |
| | • | | Seed audits (related to new product filings, as required) |
| | • | | SEC and regulatory filings and consents |
Audit-related Services
The following categories of audit-related services are considered to be consistent with the role of the Fund’s independent accountants:
| | • | | Accounting consultations |
| | • | | Fund merger support services |
| | • | | Agreed Upon Procedure Reports |
| | • | | Other Internal Control Reports |
Individual audit-related services that fall within one of these categories (except for fund merger support services) and are not presented to the Audit Committee as part of the annual pre-approval process are subject to an authorized pre-approval by the Audit Committee so long as the estimated fee for those services does not exceed $30,000. Any services provided under such pre-approval will be reported to the Audit Committee at its next regular meeting. Should the amount of such services exceed $30,000 any additional fees will be subject to pre-approval by the Committee Chair (or any other Committee member on whom this responsibility has been delegated). Fees related to fund merger support services are subject to a separate authorized pre-approval by the Audit Committee with fees determined on a per occurrence and merger complexity basis.
Tax Services
The following categories of tax services are considered to be consistent with the role of the Fund’s independent accountants:
| | • | | Tax compliance services related to the filing or amendment of the following: |
| | • | | Federal, state and local income tax compliance; and, |
| | • | | Sales and use tax compliance |
| | • | | Timely RIC qualification reviews |
| | • | | Tax distribution analysis and planning |
| | • | | Tax authority examination services |
| | • | | Tax appeals support services |
| | • | | Accounting methods studies |
| | • | | Fund merger support services |
| | • | | Tax consulting services and related projects |
Individual tax services that fall within one of these categories and are not presented to the Audit Committee as part of the annual pre-approval process are subject to an authorized pre-approval by the Audit Committee so long as the estimated fee for those services does not exceed $30,000. Any services provided under such pre-approval will be reported to the Audit Committee at its next regular meeting. Should the amount of such services exceed $30,000 any additional fees will be subject to pre-approval by the Committee Chair (or any other Committee member on whom this responsibility has been delegated).
Other Non-Audit Services
Certain non-audit services that the independent accountants are legally permitted to render will be subject to pre-approval by the Committee or by one or more Committee members to whom the Committee has delegated this authority and who will report to the full Committee any pre-approval decisions made pursuant to this Policy. Non-audit services presented for pre-approval pursuant to this paragraph will be accompanied by a confirmation from both the Treasurer and the independent accountants that the proposed services will not adversely affect the independence of the independent accountants.
Proscribed Services
The Fund’s independent accountants will not render services in the following categories of non-audit services:
| | • | | Bookkeeping or other services related to the accounting records or financial statements of the Fund |
| | • | | Financial information systems design and implementation |
| | • | | Appraisal or valuation services, fairness opinions, or contribution-in-kind reports |
| | • | | Internal audit outsourcing services |
| | • | | Management functions or human resources |
| | • | | Broker or dealer, investment adviser, or investment banking services |
| | • | | Legal services and expert services unrelated to the audit |
| | • | | Any other service that the Public Company Accounting Oversight Board determines, by regulation, is impermissible. |
Pre-approval of Non-Audit Services Provided to Other Entities Within the PGIM Fund Complex
Certain non-audit services provided to PGIM Investments LLC or any of its affiliates that also provide ongoing services to the PGIM Mutual Funds will be subject to pre-approval by the Audit Committee. The only non-audit services provided to these entities that will require pre-approval are those related directly to the operations and financial reporting of the Funds. Individual projects that are not presented to the Audit Committee as part of the annual pre-approval process will be subject to pre-approval by the Committee Chair (or any other Committee member on whom this responsibility has been delegated) so long as the estimated fee for those services does not exceed $30,000. Services presented for pre-approval pursuant to this paragraph will be accompanied by a confirmation from both the Treasurer and the independent accountants that the proposed services will not adversely affect the independence of the independent accountants.
Although the Audit Committee will not pre-approve all services provided to PGIM Investments LLC and its affiliates, the Committee will receive an annual report from the Fund’s independent accounting firm showing the aggregate fees for all services provided to PGIM Investments and its affiliates.
(e) (2) Percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X –
| | | | | | | | |
| | | | Fiscal Year Ended October 31, 2024 | | Fiscal Year Ended October 31, 2023 | | |
| | 4(b) | | Not applicable. | | Not applicable. | | |
| | 4(c) | | Not applicable. | | Not applicable. | | |
| | 4(d) | | Not applicable. | | Not applicable. | | |
(f) Percentage of hours expended attributable to work performed by other than full time employees of principal accountant if greater than 50%.
The percentage of hours expended on the principal accountant’s engagement to audit the registrant’s financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant’s full-time, permanent employees was 0%.
(g) Non-Audit Fees
The aggregate non-audit fees billed by the Registrant’s principal accountant for services rendered to the registrant’s investment adviser and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant for the fiscal years ended October 31, 2024 and October 31, 2023 was $0 and $0, respectively.
(h) Principal Accountant’s Independence
Not applicable as the Registrant’s principal accountant has not provided non-audit services to the registrant’s investment adviser and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to Rule 2-01(c)(7)(ii) of Regulation S-X.
(i) Not applicable.
(j) Not applicable.
Item 5 – Audit Committee of Listed Registrants – Not applicable.
| | |
| |
| Item 6 – | | Investments – The registrant’s Schedule of Investments is included in the financial statements filed under Item 7 of this Form. |
| | |
| |
| Items 7 – 11 | | (Refer to Reports below) |
PRUDENTIAL INVESTMENT PORTFOLIOS 9
PGIM Quant Solutions Large-Cap Core Fund
PGIM Real Estate Income Fund
PGIM Select Real Estate Fund
FINANCIAL STATEMENTS AND OTHER INFORMATION
OCTOBER 31, 2024
| | | | |
Table of Contents | | Financial Statements and Other Information | | October 31, 2024 |
Form N-CSR Item 7 - Financial Statements and Financial Highlights for Open-End Management Investment Companies.
Other Information - Form N-CSR Items 8-11
Glossary
The following abbreviations are used in the Funds’ descriptions:
USD—US Dollar
GS—Goldman Sachs & Co. LLC
REITs—Real Estate Investment Trust
S&P—Standard & Poor’s
SOFR—Secured Overnight Financing Rate
UTS—Unit Trust Security
1
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
LONG-TERM INVESTMENTS 99.3% | |
|
COMMON STOCKS | |
|
Aerospace & Defense 2.6% | |
| | |
Axon Enterprise, Inc.* | | | 700 | | | $ | 296,450 | |
General Dynamics Corp. | | | 13,600 | | | | 3,965,896 | |
General Electric Co. | | | 10,800 | | | | 1,855,224 | |
Howmet Aerospace, Inc. | | | 17,100 | | | | 1,705,212 | |
L3Harris Technologies, Inc. | | | 21,100 | | | | 5,221,617 | |
Lockheed Martin Corp. | | | 6,800 | | | | 3,713,140 | |
Northrop Grumman Corp. | | | 4,400 | | | | 2,239,688 | |
RTX Corp. | | | 37,100 | | | | 4,488,729 | |
| | | | | | | | |
| | |
| | | | | | | 23,485,956 | |
| | |
Air Freight & Logistics 0.9% | | | | | | | | |
| | |
FedEx Corp. | | | 18,300 | | | | 5,011,455 | |
United Parcel Service, Inc. (Class B Stock) | | | 24,000 | | | | 3,217,440 | |
| | | | | | | | |
| | |
| | | | | | | 8,228,895 | |
| | |
Automobiles 2.3% | | | | | | | | |
| | |
Ford Motor Co. | | | 429,700 | | | | 4,421,613 | |
General Motors Co. | | | 116,000 | | | | 5,888,160 | |
Tesla, Inc.* | | | 43,100 | | | | 10,768,535 | |
| | | | | | | | |
| | |
| | | | | | | 21,078,308 | |
| | |
Banks 2.6% | | | | | | | | |
| | |
Bank of America Corp. | | | 72,900 | | | | 3,048,678 | |
BankUnited, Inc. | | | 9,100 | | | | 321,594 | |
Citigroup, Inc. | | | 23,000 | | | | 1,475,910 | |
Citizens Financial Group, Inc. | | | 41,400 | | | | 1,743,768 | |
JPMorgan Chase & Co. | | | 52,781 | | | | 11,713,160 | |
PNC Financial Services Group, Inc. (The) | | | 1,500 | | | | 282,405 | |
Popular, Inc. (Puerto Rico) | | | 10,900 | | | | 972,607 | |
Truist Financial Corp. | | | 77,600 | | | | 3,340,680 | |
| | | | | | | | |
| | |
| | | | | | | 22,898,802 | |
| | |
Beverages 1.6% | | | | | | | | |
| | |
Coca-Cola Co. (The) | | | 120,200 | | | | 7,850,262 | |
Keurig Dr. Pepper, Inc. | | | 97,300 | | | | 3,206,035 | |
PepsiCo, Inc. | | | 22,100 | | | | 3,670,368 | |
| | | | | | | | |
| | |
| | | | | | | 14,726,665 | |
See Notes to Financial Statements.
2
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Biotechnology 1.9% | |
| | |
AbbVie, Inc. | | | 32,951 | | | $ | 6,717,720 | |
Amgen, Inc. | | | 9,600 | | | | 3,073,536 | |
Biogen, Inc.* | | | 24,300 | | | | 4,228,200 | |
Gilead Sciences, Inc. | | | 19,000 | | | | 1,687,580 | |
Travere Therapeutics, Inc.* | | | 78,800 | | | | 1,379,000 | |
| | | | | | | | |
| | |
| | | | | | | 17,086,036 | |
| | |
Broadline Retail 3.7% | | | | | | | | |
| | |
Amazon.com, Inc.* | | | 176,040 | | | | 32,813,856 | |
eBay, Inc. | | | 9,000 | | | | 517,590 | |
| | | | | | | | |
| | |
| | | | | | | 33,331,446 | |
| | |
Building Products 0.2% | | | | | | | | |
| | |
Resideo Technologies, Inc.* | | | 92,700 | | | | 1,823,409 | |
| | |
Capital Markets 2.9% | | | | | | | | |
| | |
Bank of New York Mellon Corp. (The) | | | 42,500 | | | | 3,202,800 | |
BGC Group, Inc. (Class A Stock) | | | 67,700 | | | | 634,349 | |
Blackrock, Inc. | | | 700 | | | | 686,721 | |
Goldman Sachs Group, Inc. (The) | | | 9,500 | | | | 4,919,005 | |
Intercontinental Exchange, Inc. | | | 16,700 | | | | 2,603,029 | |
Janus Henderson Group PLC | | | 37,900 | | | | 1,565,649 | |
Morgan Stanley | | | 16,500 | | | | 1,918,125 | |
MSCI, Inc. | | | 4,700 | | | | 2,684,640 | |
S&P Global, Inc. | | | 14,700 | | | | 7,061,292 | |
State Street Corp. | | | 4,600 | | | | 426,880 | |
| | | | | | | | |
| | |
| | | | | | | 25,702,490 | |
| | |
Chemicals 0.8% | | | | | | | | |
| | |
International Flavors & Fragrances, Inc. | | | 18,100 | | | | 1,799,683 | |
LyondellBasell Industries NV (Class A Stock) | | | 8,700 | | | | 755,595 | |
PPG Industries, Inc. | | | 2,200 | | | | 273,922 | |
Sherwin-Williams Co. (The) | | | 11,100 | | | | 3,982,347 | |
| | | | | | | | |
| | |
| | | | | | | 6,811,547 | |
| | |
Commercial Services & Supplies 0.4% | | | | | | | | |
| | |
Veralto Corp. | | | 35,100 | | | | 3,586,869 | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 3
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Communications Equipment 1.5% | |
| | |
Arista Networks, Inc.* | | | 17,200 | | | $ | 6,646,768 | |
Cisco Systems, Inc. | | | 131,782 | | | | 7,217,700 | |
| | | | | | | | |
| | |
| | | | | | | 13,864,468 | |
| | |
Construction Materials 0.5% | | | | | | | | |
| | |
CRH PLC | | | 50,000 | | | | 4,771,500 | |
| | |
Consumer Finance 0.1% | | | | | | | | |
| | |
LendingClub Corp.* | | | 33,100 | | | | 469,358 | |
| | |
Consumer Staples Distribution & Retail 1.7% | | | | | | | | |
| | |
Costco Wholesale Corp. | | | 3,500 | | | | 3,059,630 | |
Target Corp. | | | 37,200 | | | | 5,581,488 | |
United Natural Foods, Inc.* | | | 136,300 | | | | 2,772,342 | |
Walmart, Inc. | | | 45,700 | | | | 3,745,115 | |
| | | | | | | | |
| | |
| | | | | | | 15,158,575 | |
| | |
Diversified Consumer Services 0.3% | | | | | | | | |
| | |
Frontdoor, Inc.* | | | 54,700 | | | | 2,718,043 | |
| | |
Diversified Telecommunication Services 1.3% | | | | | | | | |
| | |
AT&T, Inc. | | | 246,435 | | | | 5,554,645 | |
Verizon Communications, Inc. | | | 137,800 | | | | 5,805,514 | |
| | | | | | | | |
| | |
| | | | | | | 11,360,159 | |
| | |
Electric Utilities 1.3% | | | | | | | | |
| | |
Constellation Energy Corp. | | | 1,700 | | | | 447,032 | |
NRG Energy, Inc. | | | 38,700 | | | | 3,498,480 | |
Portland General Electric Co. | | | 23,400 | | | | 1,109,160 | |
TXNM Energy, Inc. | | | 24,400 | | | | 1,062,376 | |
Xcel Energy, Inc. | | | 77,400 | | | | 5,171,094 | |
| | | | | | | | |
| | |
| | | | | | | 11,288,142 | |
| | |
Electrical Equipment 0.7% | | | | | | | | |
| | |
Acuity Brands, Inc. | | | 1,200 | | | | 360,828 | |
See Notes to Financial Statements.
4
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Electrical Equipment (cont’d.) | |
| | |
Eaton Corp. PLC | | | 15,500 | | | $ | 5,139,490 | |
Vertiv Holdings Co. (Class A Stock) | | | 6,100 | | | | 666,669 | |
| | | | | | | | |
| | |
| | | | | | | 6,166,987 | |
| | |
Electronic Equipment, Instruments & Components 0.2% | | | | | | | | |
| | |
Amphenol Corp. (Class A Stock) | | | 28,400 | | | | 1,903,368 | |
| | |
Entertainment 1.5% | | | | | | | | |
| | |
Electronic Arts, Inc. | | | 4,800 | | | | 724,080 | |
Netflix, Inc.* | | | 14,600 | | | | 11,038,038 | |
Walt Disney Co. (The) | | | 20,700 | | | | 1,991,340 | |
| | | | | | | | |
| | |
| | | | | | | 13,753,458 | |
| | |
Financial Services 4.5% | | | | | | | | |
| | |
Berkshire Hathaway, Inc. (Class B Stock)* | | | 23,674 | | | | 10,675,080 | |
Fidelity National Information Services, Inc. | | | 34,000 | | | | 3,050,820 | |
Fiserv, Inc.* | | | 1,400 | | | | 277,060 | |
Mastercard, Inc. (Class A Stock) | | | 21,700 | | | | 10,841,103 | |
PayPal Holdings, Inc.* | | | 92,800 | | | | 7,359,040 | |
Visa, Inc. (Class A Stock) | | | 28,125 | | | | 8,152,031 | |
| | | | | | | | |
| | |
| | | | | | | 40,355,134 | |
| | |
Food Products 0.4% | | | | | | | | |
| | |
Archer-Daniels-Midland Co. | | | 23,200 | | | | 1,280,872 | |
General Mills, Inc. | | | 4,000 | | | | 272,080 | |
Hain Celestial Group, Inc. (The)* | | | 47,100 | | | | 411,183 | |
Ingredion, Inc. | | | 12,600 | | | | 1,672,776 | |
| | | | | | | | |
| | |
| | | | | | | 3,636,911 | |
| | |
Ground Transportation 1.7% | | | | | | | | |
| | |
CSX Corp. | | | 166,900 | | | | 5,614,516 | |
Norfolk Southern Corp. | | | 1,800 | | | | 450,774 | |
Uber Technologies, Inc.* | | | 99,400 | | | | 7,161,770 | |
Union Pacific Corp. | | | 8,100 | | | | 1,879,767 | |
| | | | | | | | |
| | |
| | | | | | | 15,106,827 | |
| | |
Health Care Equipment & Supplies 2.3% | | | | | | | | |
| | |
Abbott Laboratories | | | 72,500 | | | | 8,219,325 | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 5
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Health Care Equipment & Supplies (cont’d.) | |
| | |
Becton, Dickinson & Co. | | | 16,600 | | | $ | 3,877,594 | |
Boston Scientific Corp.* | | | 52,200 | | | | 4,385,844 | |
Intuitive Surgical, Inc.* | | | 5,900 | | | | 2,972,656 | |
Medtronic PLC | | | 18,200 | | | | 1,624,350 | |
| | | | | | | | |
| | |
| | | | | | | 21,079,769 | |
| | |
Health Care Providers & Services 1.6% | | | | | | | | |
| | |
Cardinal Health, Inc. | | | 5,900 | | | | 640,268 | |
Centene Corp.* | | | 6,800 | | | | 423,368 | |
Cigna Group (The) | | | 17,200 | | | | 5,414,732 | |
Quest Diagnostics, Inc. | | | 18,000 | | | | 2,786,940 | |
UnitedHealth Group, Inc. | | | 8,400 | | | | 4,741,800 | |
| | | | | | | | |
| | |
| | | | | | | 14,007,108 | |
| | |
Health Care REITs 0.3% | | | | | | | | |
| | |
Ventas, Inc. | | | 36,000 | | | | 2,357,640 | |
| | |
Hotels, Restaurants & Leisure 1.3% | | | | | | | | |
| | |
Bloomin’ Brands, Inc. | | | 25,000 | | | | 414,750 | |
Chipotle Mexican Grill, Inc.* | | | 51,400 | | | | 2,866,578 | |
Darden Restaurants, Inc. | | | 13,300 | | | | 2,128,266 | |
Dave & Buster’s Entertainment, Inc.* | | | 87,700 | | | | 3,238,761 | |
Life Time Group Holdings, Inc.* | | | 24,500 | | | | 545,860 | |
McDonald’s Corp. | | | 7,600 | | | | 2,220,036 | |
| | | | | | | | |
| | |
| | | | | | | 11,414,251 | |
| | |
Household Products 1.1% | | | | | | | | |
| | |
Colgate-Palmolive Co. | | | 68,000 | | | | 6,372,280 | |
Energizer Holdings, Inc. | | | 16,700 | | | | 535,569 | |
Procter & Gamble Co. (The) | | | 16,886 | | | | 2,789,229 | |
| | | | | | | | |
| | |
| | | | | | | 9,697,078 | |
| | |
Independent Power & Renewable Electricity Producers 0.0% | | | | | | | | |
| | |
AES Corp. (The) | | | 16,400 | | | | 270,436 | |
| | |
Industrial Conglomerates 0.8% | | | | | | | | |
| | |
3M Co. | | | 55,900 | | | | 7,181,473 | |
See Notes to Financial Statements.
6
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Industrial REITs 0.9% | |
| | |
Americold Realty Trust, Inc. | | | 10,200 | | | $ | 261,936 | |
LXP Industrial Trust | | | 139,800 | | | | 1,319,712 | |
Prologis, Inc. | | | 55,500 | | | | 6,268,170 | |
| | | | | | | | |
| | |
| | | | | | | 7,849,818 | |
| | |
Insurance 2.8% | | | | | | | | |
| | |
Allstate Corp. (The) | | | 25,300 | | | | 4,718,956 | |
Assurant, Inc. | | | 11,700 | | | | 2,242,890 | |
Genworth Financial, Inc. (Class A Stock)* | | | 162,000 | | | | 1,091,880 | |
Marsh & McLennan Cos., Inc. | | | 12,900 | | | | 2,815,296 | |
MetLife, Inc. | | | 75,600 | | | | 5,928,552 | |
Progressive Corp. (The) | | | 31,900 | | | | 7,746,277 | |
Willis Towers Watson PLC | | | 2,300 | | | | 695,037 | |
| | | | | | | | |
| | |
| | | | | | | 25,238,888 | |
| | |
Interactive Media & Services 6.8% | | | | | | | | |
| | |
Alphabet, Inc. (Class A Stock) | | | 124,680 | | | | 21,333,995 | |
Alphabet, Inc. (Class C Stock) | | | 105,860 | | | | 18,280,963 | |
Meta Platforms, Inc. (Class A Stock) | | | 37,080 | | | | 21,045,867 | |
| | | | | | | | |
| | |
| | | | | | | 60,660,825 | |
| | |
IT Services 0.8% | | | | | | | | |
| | |
Cognizant Technology Solutions Corp. (Class A Stock) | | | 37,600 | | | | 2,804,584 | |
International Business Machines Corp. | | | 21,330 | | | | 4,409,338 | |
| | | | | | | | |
| | |
| | | | | | | 7,213,922 | |
| | |
Life Sciences Tools & Services 1.8% | | | | | | | | |
| | |
Danaher Corp. | | | 23,700 | | | | 5,822,142 | |
Illumina, Inc.* | | | 13,100 | | | | 1,888,234 | |
Thermo Fisher Scientific, Inc. | | | 15,814 | | | | 8,639,505 | |
| | | | | | | | |
| | |
| | | | | | | 16,349,881 | |
| | |
Machinery 0.9% | | | | | | | | |
| | |
Allison Transmission Holdings, Inc. | | | 22,500 | | | | 2,404,350 | |
Flowserve Corp. | | | 54,000 | | | | 2,842,560 | |
Mueller Water Products, Inc. (Class A Stock) | | | 20,800 | | | | 449,072 | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 7
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Machinery (cont’d.) | |
| | |
Tennant Co. | | | 13,500 | | | $ | 1,182,060 | |
Terex Corp. | | | 29,300 | | | | 1,515,103 | |
| | | | | | | | |
| | |
| | | | | | | 8,393,145 | |
| | |
Metals & Mining 0.1% | | | | | | | | |
| | |
Freeport-McMoRan, Inc. | | | 27,400 | | | | 1,233,548 | |
| | |
Mortgage Real Estate Investment Trusts (REITs) 0.1% | | | | | | | | |
| | |
MFA Financial, Inc. | | | 78,300 | | | | 962,307 | |
| | |
Multi-Utilities 1.1% | | | | | | | | |
| | |
Avista Corp. | | | 90,600 | | | | 3,395,688 | |
Black Hills Corp. | | | 43,500 | | | | 2,574,765 | |
DTE Energy Co. | | | 28,000 | | | | 3,478,160 | |
| | | | | | | | |
| | |
| | | | | | | 9,448,613 | |
| | |
Oil, Gas & Consumable Fuels 3.8% | | | | | | | | |
| | |
Cheniere Energy, Inc. | | | 16,100 | | | | 3,081,218 | |
Chevron Corp. | | | 4,800 | | | | 714,336 | |
ConocoPhillips | | | 37,600 | | | | 4,118,704 | |
Devon Energy Corp. | | | 88,100 | | | | 3,407,708 | |
Diamondback Energy, Inc. | | | 26,800 | | | | 4,737,436 | |
Exxon Mobil Corp. | | | 80,800 | | | | 9,435,824 | |
Phillips 66 | | | 38,600 | | | | 4,702,252 | |
Valero Energy Corp. | | | 11,500 | | | | 1,492,240 | |
Williams Cos., Inc. (The) | | | 39,900 | | | | 2,089,563 | |
| | | | | | | | |
| | |
| | | | | | | 33,779,281 | |
| | |
Passenger Airlines 0.6% | | | | | | | | |
| | |
Alaska Air Group, Inc.* | | | 9,900 | | | | 474,309 | |
SkyWest, Inc.* | | | 23,300 | | | | 2,218,160 | |
United Airlines Holdings, Inc.* | | | 40,200 | | | | 3,146,052 | |
| | | | | | | | |
| | |
| | | | | | | 5,838,521 | |
| | |
Pharmaceuticals 4.2% | | | | | | | | |
| | |
Bristol-Myers Squibb Co. | | | 37,300 | | | | 2,080,221 | |
Elanco Animal Health, Inc.* | | | 86,200 | | | | 1,089,568 | |
Eli Lilly & Co. | | | 17,600 | | | | 14,603,424 | |
See Notes to Financial Statements.
8
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Pharmaceuticals (cont’d.) | |
| | |
Johnson & Johnson | | | 66,958 | | | $ | 10,703,906 | |
Merck & Co., Inc. | | | 83,100 | | | | 8,502,792 | |
Pfizer, Inc. | | | 20,400 | | | | 577,320 | |
| | | | | | | | |
| | |
| | | | | | | 37,557,231 | |
| | |
Real Estate Management & Development 0.2% | | | | | | | | |
| | |
Jones Lang LaSalle, Inc.* | | | 6,300 | | | | 1,707,048 | |
| | |
Residential REITs 0.4% | | | | | | | | |
| | |
Equity Residential | | | 53,600 | | | | 3,771,832 | |
| | |
Semiconductors & Semiconductor Equipment 11.5% | | | | | | | | |
| | |
Applied Materials, Inc. | | | 22,600 | | | | 4,103,708 | |
Broadcom, Inc. | | | 61,200 | | | | 10,389,924 | |
Lam Research Corp. | | | 38,800 | | | | 2,884,780 | |
Micron Technology, Inc. | | | 55,200 | | | | 5,500,680 | |
NVIDIA Corp. | | | 502,300 | | | | 66,685,348 | |
NXP Semiconductors NV (China) | | | 5,800 | | | | 1,360,100 | |
Onto Innovation, Inc.* | | | 4,700 | | | | 932,151 | |
Qorvo, Inc.* | | | 9,000 | | | | 641,340 | |
QUALCOMM, Inc. | | | 51,000 | | | | 8,301,270 | |
Skyworks Solutions, Inc. | | | 14,700 | | | | 1,287,426 | |
Synaptics, Inc.* | | | 12,400 | | | | 851,508 | |
Teradyne, Inc. | | | 4,900 | | | | 520,429 | |
| | | | | | | | |
| | |
| | | | | | | 103,458,664 | |
| | |
Software 9.6% | | | | | | | | |
| | |
ACI Worldwide, Inc.* | | | 8,700 | | | | 428,040 | |
Adobe, Inc.* | | | 7,300 | | | | 3,489,984 | |
Autodesk, Inc.* | | | 7,800 | | | | 2,213,640 | |
Crowdstrike Holdings, Inc. (Class A Stock)* | | | 1,500 | | | | 445,305 | |
Gitlab, Inc. (Class A Stock)* | | | 9,600 | | | | 516,000 | |
Informatica, Inc. (Class A Stock)* | | | 72,800 | | | | 1,987,440 | |
Intapp, Inc.* | | | 35,100 | | | | 1,760,967 | |
Intuit, Inc. | | | 2,100 | | | | 1,281,630 | |
Microsoft Corp. | | | 126,984 | | | | 51,599,948 | |
Oracle Corp. | | | 8,400 | | | | 1,409,856 | |
Roper Technologies, Inc. | | | 600 | | | | 322,638 | |
Salesforce, Inc. | | | 30,300 | | | | 8,828,511 | |
ServiceNow, Inc.* | | | 8,300 | | | | 7,743,817 | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 9
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
|
COMMON STOCKS (Continued) | |
|
Software (cont’d.) | |
| | |
Verint Systems, Inc.* | | | 116,600 | | | $ | 2,483,580 | |
Workday, Inc. (Class A Stock)* | | | 3,600 | | | | 841,860 | |
Zoom Video Communications, Inc. (Class A Stock)* | | | 6,000 | | | | 448,440 | |
| | | | | | | | |
| | |
| | | | | | | 85,801,656 | |
| | |
Specialized REITs 0.3% | | | | | | | | |
| | |
American Tower Corp. | | | 2,500 | | | | 533,850 | |
Equinix, Inc. | | | 1,200 | | | | 1,089,696 | |
Outfront Media, Inc. | | | 19,300 | | | | 342,768 | |
Public Storage | | | 2,200 | | | | 723,932 | |
| | | | | | | | |
| | |
| | | | | | | 2,690,246 | |
| | |
Specialty Retail 1.2% | | | | | | | | |
| | |
Home Depot, Inc. (The) | | | 16,700 | | | | 6,575,625 | |
Lowe’s Cos., Inc. | | | 15,700 | | | | 4,110,731 | |
ODP Corp. (The)* | | | 11,400 | | | | 353,742 | |
| | | | | | | | |
| | |
| | | | | | | 11,040,098 | |
| | |
Technology Hardware, Storage & Peripherals 8.1% | | | | | | | | |
| | |
Apple, Inc. | | | 302,380 | | | | 68,310,666 | |
Hewlett Packard Enterprise Co. | | | 244,600 | | | | 4,767,254 | |
| | | | | | | | |
| | |
| | | | | | | 73,077,920 | |
| | |
Textiles, Apparel & Luxury Goods 0.3% | | | | | | | | |
| | |
G-III Apparel Group Ltd.* | | | 70,500 | | | | 2,134,740 | |
Wolverine World Wide, Inc. | | | 28,600 | | | | 440,154 | |
| | | | | | | | |
| | |
| | | | | | | 2,574,894 | |
| | |
Tobacco 0.5% | | | | | | | | |
| | |
Altria Group, Inc. | | | 75,000 | | | | 4,084,500 | |
| | |
Wireless Telecommunication Services 0.3% | | | | | | | | |
| | |
T-Mobile US, Inc. | | | 10,600 | | | | 2,365,496 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(cost $570,577,829) | | | | | | | 890,419,442 | |
| | | | | | | | |
See Notes to Financial Statements.
10
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | | | | | | | | | |
| | | | |
| Description | | | | | | | | Shares | | | Value | |
|
SHORT-TERM INVESTMENTS 1.3% | |
|
AFFILIATED MUTUAL FUND 1.2% | |
| | | | |
PGIM Core Government Money Market Fund (7-day effective yield 5.011%)
(cost $10,504,394)(wb) | | | | | | | | | | | 10,504,394 | | | $ | 10,504,394 | |
| | | | | | | | | | | | | | | | |
| | | | |
| | | Interest Rate | | | Maturity Date | | | Principal
Amount (000)# | | | | |
|
U.S. TREASURY OBLIGATION(k)(n) 0.1% | |
U.S. Treasury Bills
(cost $844,628) | | | 4.799% | | | | 12/19/24 | | | | 850 | | | | 844,843 | |
| | | | | | | | | | | | | | | | |
| | | | |
TOTAL SHORT-TERM INVESTMENTS
(cost $11,349,022) | | | | | | | | | | | | | | | 11,349,237 | |
| | | | | | | | | | | | | | | | |
| | | | |
TOTAL INVESTMENTS 100.6%
(cost $581,926,851) | | | | | | | | | | | | | | | 901,768,679 | |
Liabilities in excess of other assets(z) (0.6)% | | | | | | | | | | | | | | | (5,158,537 | ) |
| | | | | | | | | | | | | | | | |
| | | | |
NET ASSETS 100.0% | | | | | | | | | | | | | | $ | 896,610,142 | |
| | | | | | | | | | | | | | | | |
See the Glossary for a list of the abbreviation(s) used in the annual report.
| * | Non-income producing security. |
| # | Principal amount is shown in U.S. dollars unless otherwise stated. |
| (k) | Represents security, or a portion thereof, segregated as collateral for centrally cleared/exchange-traded derivatives. |
| (n) | Rate shown reflects yield to maturity at purchased date. |
| (wb) | Represents an investment in a Fund affiliated with the Manager. |
| (z) | Includes net unrealized appreciation/(depreciation) and/or market value of the below holdings which are excluded from the Schedule of Investments: |
Futures contracts outstanding at October 31, 2024:
| | | | | | | | | | | | | | | | | |
Number
of
Contracts | | Type | | Expiration
Date | | Current
Notional
Amount | | Value /
Unrealized
Appreciation
(Depreciation) |
Long Position: | | | | | | | | | | | | | | | |
40 | | S&P 500 E-Mini Index | | | | Dec. 2024 | | | | $ | 11,477,000 | | | | $ | 96,026 | |
| | | | | | | | | | | | | | | | | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 11
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
Summary of Collateral for Centrally Cleared/Exchange-traded Derivatives:
Cash and securities segregated as collateral, including pending settlement for closed positions, to cover requirements for centrally cleared/exchange-traded derivatives are listed by broker as follows:
| | | | | | | | | | |
Broker | | Cash and/or Foreign Currency | | Securities Market Value |
GS | | | | $— | | | | | $844,843 | |
| | | | | | | | | | |
Fair Value Measurements:
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below.
Level 1—unadjusted quoted prices generally in active markets for identical securities.
Level 2—quoted prices for similar securities, interest rates and yield curves, prepayment speeds, foreign currency exchange rates and other observable inputs.
Level 3—unobservable inputs for securities valued in accordance with Board approved fair valuation procedures.
The following is a summary of the inputs used as of October 31, 2024 in valuing such portfolio securities:
| | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | |
Investments in Securities | | | | | | | | | | | | |
Assets | | | | | | | | | | | | |
Long-Term Investments | | | | | | | | | | | | |
Common Stocks | | | | | | | | | | | | |
Aerospace & Defense | | $ | 23,485,956 | | | $ | — | | | $ | — | |
Air Freight & Logistics | | | 8,228,895 | | | | — | | | | — | |
Automobiles | | | 21,078,308 | | | | — | | | | — | |
Banks | | | 22,898,802 | | | | — | | | | — | |
Beverages | | | 14,726,665 | | | | — | | | | — | |
Biotechnology | | | 17,086,036 | | | | — | | | | — | |
Broadline Retail | | | 33,331,446 | | | | — | | | | — | |
Building Products | | | 1,823,409 | | | | — | | | | — | |
Capital Markets | | | 25,702,490 | | | | — | | | | — | |
Chemicals | | | 6,811,547 | | | | — | | | | — | |
Commercial Services & Supplies | | | 3,586,869 | | | | — | | | | — | |
Communications Equipment | | | 13,864,468 | | | | — | | | | — | |
Construction Materials | | | 4,771,500 | | | | — | | | | — | |
Consumer Finance | | | 469,358 | | | | — | | | | — | |
Consumer Staples Distribution & Retail | | | 15,158,575 | | | | — | | | | — | |
Diversified Consumer Services | | | 2,718,043 | | | | — | | | | — | |
Diversified Telecommunication Services | | | 11,360,159 | | | | — | | | | — | |
Electric Utilities | | | 11,288,142 | | | | — | | | | — | |
Electrical Equipment | | | 6,166,987 | | | | — | | | | — | |
Electronic Equipment, Instruments & Components | | | 1,903,368 | | | | — | | | | — | |
Entertainment | | | 13,753,458 | | | | — | | | | — | |
See Notes to Financial Statements.
12
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | |
Investments in Securities (continued) | | | | | | | | | | | | |
Assets (continued) | | | | | | | | | | | | |
Long-Term Investments (continued) | | | | | | | | | | | | |
Common Stocks (continued) | | | | | | | | | | | | |
Financial Services | | $ | 40,355,134 | | | $ | — | | | $ | — | |
Food Products | | | 3,636,911 | | | | — | | | | — | |
Ground Transportation | | | 15,106,827 | | | | — | | | | — | |
Health Care Equipment & Supplies | | | 21,079,769 | | | | — | | | | — | |
Health Care Providers & Services. | | | 14,007,108 | | | | — | | | | — | |
Health Care REITs | | | 2,357,640 | | | | — | | | | — | |
Hotels, Restaurants & Leisure | | | 11,414,251 | | | | — | | | | — | |
Household Products. | | | 9,697,078 | | | | — | | | | — | |
Independent Power & Renewable Electricity Producers | | | 270,436 | | | | — | | | | — | |
Industrial Conglomerates | | | 7,181,473 | | | | — | | | | — | |
Industrial REITs | | | 7,849,818 | | | | — | | | | — | |
Insurance | | | 25,238,888 | | | | — | | | | — | |
Interactive Media & Services. | | | 60,660,825 | | | | — | | | | — | |
IT Services | | | 7,213,922 | | | | — | | | | — | |
Life Sciences Tools & Services | | | 16,349,881 | | | | — | | | | — | |
Machinery | | | 8,393,145 | | | | — | | | | — | |
Metals & Mining | | | 1,233,548 | | | | — | | | | — | |
Mortgage Real Estate Investment Trusts (REITs) | | | 962,307 | | | | — | | | | — | |
Multi-Utilities | | | 9,448,613 | | | | — | | | | — | |
Oil, Gas & Consumable Fuels | | | 33,779,281 | | | | — | | | | — | |
Passenger Airlines | | | 5,838,521 | | | | — | | | | — | |
Pharmaceuticals | | | 37,557,231 | | | | — | | | | — | |
Real Estate Management & Development | | | 1,707,048 | | | | — | | | | — | |
Residential REITs | | | 3,771,832 | | | | — | | | | — | |
Semiconductors & Semiconductor Equipment | | | 103,458,664 | | | | — | | | | — | |
Software | | | 85,801,656 | | | | — | | | | — | |
Specialized REITs | | | 2,690,246 | | | | — | | | | — | |
Specialty Retail | | | 11,040,098 | | | | — | | | | — | |
Technology Hardware, Storage & Peripherals | | | 73,077,920 | | | | — | | | | — | |
Textiles, Apparel & Luxury Goods | | | 2,574,894 | | | | — | | | | — | |
Tobacco. | | | 4,084,500 | | | | — | | | | — | |
Wireless Telecommunication Services. | | | 2,365,496 | | | | — | | | | — | |
Short-Term Investments | | | | | | | | | | | | |
Affiliated Mutual Fund | | | 10,504,394 | | | | — | | | | — | |
U.S. Treasury Obligation | | | — | | | | 844,843 | | | | — | |
| | | | | | | | | | | | |
Total | | $ | 900,923,836 | | | $ | 844,843 | | | $ | — | |
| | | | | | | | | | | | |
| | | |
Other Financial Instruments* | | | | | | | | | | | | |
Assets | | | | | | | | | | | | |
Futures Contracts | | $ | 96,026 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 13
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
| * | Other financial instruments are derivative instruments not reflected in the Schedule of Investments, such as futures, forwards and centrally cleared swap contracts, which are recorded at unrealized appreciation (depreciation) on the instrument, and OTC swap contracts which are recorded at fair value. |
Industry Classification:
The industry classification of investments and liabilities in excess of other assets shown as a percentage of net assets as of October 31, 2024 were as follows:
| | | | |
Semiconductors & Semiconductor Equipment | | | 11.5 | % |
Software | | | 9.6 | |
Technology Hardware, Storage & Peripherals | | | 8.1 | |
Interactive Media & Services | | | 6.8 | |
Financial Services | | | 4.5 | |
Pharmaceuticals | | | 4.2 | |
Oil, Gas & Consumable Fuels | | | 3.8 | |
Broadline Retail | | | 3.7 | |
Capital Markets | | | 2.9 | |
Insurance | | | 2.8 | |
Aerospace & Defense | | | 2.6 | |
Banks | | | 2.6 | |
Health Care Equipment & Supplies | | | 2.3 | |
Automobiles | | | 2.3 | |
Biotechnology | | | 1.9 | |
Life Sciences Tools & Services | | | 1.8 | |
Consumer Staples Distribution & Retail | | | 1.7 | |
Ground Transportation | | | 1.7 | |
Beverages | | | 1.6 | |
Health Care Providers & Services | | | 1.6 | |
Communications Equipment | | | 1.5 | |
Entertainment | | | 1.5 | |
Hotels, Restaurants & Leisure | | | 1.3 | |
Diversified Telecommunication Services | | | 1.3 | |
Electric Utilities | | | 1.3 | |
Specialty Retail | | | 1.2 | |
Affiliated Mutual Fund | | | 1.2 | |
Household Products | | | 1.1 | |
Multi-Utilities | | | 1.1 | |
Machinery | | | 0.9 | |
Air Freight & Logistics | | | 0.9 | |
Industrial REITs | | | 0.9 | |
| | | | |
IT Services | | | 0.8 | % |
Industrial Conglomerates | | | 0.8 | |
Chemicals | | | 0.8 | |
Electrical Equipment | | | 0.7 | |
Passenger Airlines | | | 0.6 | |
Construction Materials | | | 0.5 | |
Tobacco | | | 0.5 | |
Residential REITs | | | 0.4 | |
Food Products | | | 0.4 | |
Commercial Services & Supplies | | | 0.4 | |
Diversified Consumer Services | | | 0.3 | |
Specialized REITs | | | 0.3 | |
Textiles, Apparel & Luxury Goods | | | 0.3 | |
Wireless Telecommunication Services | | | 0.3 | |
Health Care REITs | | | 0.3 | |
Electronic Equipment, Instruments & Components | | | 0.2 | |
Building Products | | | 0.2 | |
Real Estate Management & Development | | | 0.2 | |
Metals & Mining | | | 0.1 | |
Mortgage Real Estate Investment Trusts (REITs) | | | 0.1 | |
U.S. Treasury Obligations | | | 0.1 | |
Consumer Finance | | | 0.1 | |
Independent Power & Renewable Electricity Producers | | | 0.0 | * |
| | | | |
| | | 100.6 | |
Liabilities in excess of other assets | | | (0.6 | ) |
| | | | |
| |
| | | 100.0 | % |
| | | | |
See Notes to Financial Statements.
14
PGIM Quant Solutions Large-Cap Core Fund
Schedule of Investments (continued)
as of October 31, 2024
Effects of Derivative Instruments on the Financial Statements and Primary Underlying Risk Exposure:
The Fund invested in derivative instruments during the reporting period. The primary type of risk associated with these derivative instruments is equity risk. See the Notes to Financial Statements for additional detail regarding these derivative instruments and their risks. The effect of such derivative instruments on the Fund’s financial position and financial performance as reflected in the Statement of Assets and Liabilities and Statement of Operations is presented in the summary below.
Fair values of derivative instruments as of October 31, 2024 as presented in the Statement of Assets and Liabilities:
| | | | | | | | | | | | |
| | | Asset Derivatives | | | Liability Derivatives | |
Derivatives not accounted for as
hedging instruments, carried at fair
value | | Statement of
Assets and
Liabilities Location | | Fair
Value | | | Statement of
Assets and
Liabilities Location | | Fair
Value | |
Equity contracts | | Due from/to broker-variation margin futures | | $ | 96,026 | * | | — | | $ | — | |
| | | | | | | | | | | | |
| * | Includes cumulative appreciation (depreciation) as reported in the schedule of open futures and centrally cleared swap contracts. Only unsettled variation margin receivable (payable) is reported within the Statement of Assets and Liabilities. |
The effects of derivative instruments on the Statement of Operations for the year ended October 31, 2024 are as follows:
| | | | | |
Amount of Realized Gain (Loss) on Derivatives Recognized in Income | |
Derivatives not accounted for as hedging instruments, carried at fair value | | Futures |
Equity contracts | | | $ | 2,437,710 | |
| | | | | |
| | | | | |
Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income | |
Derivatives not accounted for as hedging instruments, carried at fair value | | Futures |
Equity contracts | | | $ | 828,347 | |
| | | | | |
For the year ended October 31, 2024, the Fund’s average volume of derivative activities is as follows:
| | | | | |
| Derivative Contract Type | | Average Volume of Derivative Activities* |
Futures Contracts - Long Positions (1) | | | $ | 11,507,963 | |
| * | Average volume is based on average quarter end balances for the year ended October 31, 2024. |
| (1) | Notional Amount in USD. |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 15
PGIM Quant Solutions Large-Cap Core Fund
Statement of Assets & Liabilities
as of October 31, 2024
| | | | |
| |
Assets | | | | |
Investments at value: | | | | |
Unaffiliated investments (cost $571,422,457) | | $ | 891,264,285 | |
Affiliated investments (cost $10,504,394) | | | 10,504,394 | |
Dividends and interest receivable | | | 496,571 | |
Receivable for Fund shares sold | | | 471,477 | |
Prepaid expenses | | | 8,033 | |
| | | | |
| |
Total Assets | | | 902,744,760 | |
| | | | |
| |
Liabilities | | | | |
Payable for Fund shares purchased | | | 5,406,558 | |
Due to broker—variation margin futures | | | 227,000 | |
Management fee payable | | | 203,591 | |
Accrued expenses and other liabilities | | | 128,317 | |
Distribution fee payable | | | 125,050 | |
Affiliated transfer agent fee payable | | | 41,649 | |
Trustees’ fees payable | | | 2,453 | |
| | | | |
| |
Total Liabilities | | | 6,134,618 | |
| | | | |
| |
Net Assets | | $ | 896,610,142 | |
| | | | |
| |
| | | | | |
Net assets were comprised of: | | | | |
Shares of beneficial interest, at par | | $ | 39,305 | |
Paid-in capital in excess of par | | | 489,236,672 | |
Total distributable earnings (loss) | | | 407,334,165 | |
| | | | |
| |
Net assets, October 31, 2024 | | $ | 896,610,142 | |
| | | | |
See Notes to Financial Statements.
16
PGIM Quant Solutions Large-Cap Core Fund
Statement of Assets & Liabilities (continued)
as of October 31, 2024
| | | | | | | | |
| | |
Class A | | | | | | | | |
Net asset value and redemption price per share, ($524,581,446 ÷ 23,337,494 shares of beneficial interest issued and outstanding) | | $ | 22.48 | | | | | |
Maximum sales charge (5.50% of offering price) | | | 1.31 | | | | | |
| | | | | | | | |
Maximum offering price to public | | $ | 23.79 | | | | | |
| | | | | | | | |
| | |
Class C | | | | | | | | |
Net asset value, offering price and redemption price per share, ($13,238,688 ÷ 694,543 shares of beneficial interest issued and outstanding) | | $ | 19.06 | | | | | |
| | | | | | | | |
| | |
Class Z | | | | | | | | |
Net asset value, offering price and redemption price per share, ($34,831,487 ÷ 1,487,639 shares of beneficial interest issued and outstanding) | | $ | 23.41 | | | | | |
| | | | | | | | |
| | |
Class R6 | | | | | | | | |
Net asset value, offering price and redemption price per share, ($323,958,521 ÷ 13,784,981 shares of beneficial interest issued and outstanding) | | $ | 23.50 | | | | | |
| | | | | | | | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 17
PGIM Quant Solutions Large-Cap Core Fund
Statement of Operations
Year Ended October 31, 2024
| | | | |
Net Investment Income (Loss) | |
Income | | | | |
Unaffiliated dividend income (net of $7,291 foreign withholding tax) | | $ | 11,300,636 | |
Affiliated dividend income | | | 721,095 | |
Interest income | | | 45,478 | |
Income from securities lending, net (including affiliated income of $5,295) | | | 5,322 | |
| | | | |
Total income | | | 12,072,531 | |
| | | | |
| |
Expenses | | | | |
Management fee | | | 2,907,221 | |
Distribution fee(a) | | | 1,638,727 | |
Transfer agent’s fees and expenses (including affiliated expense of $246,968)(a) | | | 558,353 | |
Registration fees(a) | | | 96,059 | |
Custodian and accounting fees | | | 81,056 | |
Shareholders’ reports | | | 59,645 | |
Professional fees | | | 42,984 | |
Audit fee | | | 24,910 | |
Trustees’ fees | | | 21,816 | |
Miscellaneous | | | 28,927 | |
| | | | |
Total expenses | | | 5,459,698 | |
Less: Fee waiver and/or expense reimbursement(a) | | | (365,106 | ) |
Distribution fee waiver(a) | | | (249,229 | ) |
| | | | |
Net expenses | | | 4,845,363 | |
| | | | |
Net investment income (loss) | | | 7,227,168 | |
| | | | |
Realized And Unrealized Gain (Loss) On Investments | |
Net realized gain (loss) on: | | | | |
Investment transactions (including affiliated of $555) | | | 81,051,234 | |
Futures transactions | | | 2,437,710 | |
| | | | |
| | | 83,488,944 | |
| | | | |
Net change in unrealized appreciation (depreciation) on: | | | | |
Investments (including affiliated of $(262)) | | | 164,844,684 | |
Futures | | | 828,347 | |
| | | | |
| | | 165,673,031 | |
| | | | |
Net gain (loss) on investment transactions | | | 249,161,975 | |
| | | | |
| |
Net Increase (Decrease) In Net Assets Resulting From Operations | | $ | 256,389,143 | |
| | | | |
| (a) | Class specific expenses and waivers were as follows: |
| | | | | | | | | | | | | | | | |
| | | Class A | | | Class C | | | Class Z | | | Class R6 | |
Distribution fee | | | 1,495,375 | | | | 143,352 | | | | — | | | | — | |
Transfer agent’s fees and expenses | | | 504,103 | | | | 23,958 | | | | 27,963 | | | | 2,329 | |
Registration fees | | | 33,046 | | | | 19,423 | | | | 22,241 | | | | 21,349 | |
Fee waiver and/or expense reimbursement | | | (188,296 | ) | | | (34,994 | ) | | | (31,079 | ) | | | (110,737 | ) |
Distribution fee waiver | | | (249,229 | ) | | | — | | | | — | | | | — | |
See Notes to Financial Statements.
18
PGIM Quant Solutions Large-Cap Core Fund
Statements of Changes in Net Assets
| | | | | | | | |
| |
| | | Year Ended
October 31, | |
| | |
| | | 2024 | | | 2023 | |
| | |
Increase (Decrease) in Net Assets | | | | | | | | |
| | |
Operations | | | | | | | | |
Net investment income (loss) | | $ | 7,227,168 | | | $ | 7,723,328 | |
Net realized gain (loss) on investment transactions | | | 83,488,944 | | | | 18,338,002 | |
Net change in unrealized appreciation (depreciation) on investments | | | 165,673,031 | | | | 36,328,490 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | 256,389,143 | | | | 62,389,820 | |
| | | | | | | | |
| | |
Dividends and Distributions | | | | | | | | |
Distributions from distributable earnings | | | | | | | | |
Class A | | | (15,634,208 | ) | | | (9,633,764 | ) |
Class C | | | (513,234 | ) | | | (322,443 | ) |
Class Z | | | (838,560 | ) | | | (535,641 | ) |
Class R6 | | | (7,877,677 | ) | | | (6,152,130 | ) |
| | | | | | | | |
| | | (24,863,679 | ) | | | (16,643,978 | ) |
| | | | | | | | |
| | |
Fund share transactions (Net of share conversions) | | | | | | | | |
Net proceeds from shares sold | | | 154,726,965 | | | | 77,334,909 | |
Net asset value of shares issued in reinvestment of dividends and distributions | | | 24,632,216 | | | | 16,494,157 | |
Cost of shares purchased | | | (216,469,945 | ) | | | (113,888,922 | ) |
| | | | | | | | |
Net increase (decrease) in net assets from Fund share transactions | | | (37,110,764 | ) | | | (20,059,856 | ) |
| | | | | | | | |
Total increase (decrease) | | | 194,414,700 | | | | 25,685,986 | |
| | |
Net Assets: | | | | | | | | |
Beginning of year | | | 702,195,442 | | | | 676,509,456 | |
| | | | | | | | |
End of year | | $ | 896,610,142 | | | $ | 702,195,442 | |
| | | | | | | | |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 19
PGIM Quant Solutions Large-Cap Core Fund
Financial Highlights
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class A Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $16.80 | | | | $15.75 | | | | $21.09 | | | | $15.17 | | | | $15.17 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.15 | | | | 0.16 | | | | 0.18 | | | | 0.16 | | | | 0.19 | |
Net realized and unrealized gain (loss) on investment transactions | | | 6.17 | | | | 1.26 | | | | (2.46 | ) | | | 6.14 | | | | 0.43 | |
Total from investment operations | | | 6.32 | | | | 1.42 | | | | (2.28 | ) | | | 6.30 | | | | 0.62 | |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.18 | ) | | | (0.19 | ) | | | (0.17 | ) | | | (0.19 | ) | | | (0.19 | ) |
Distributions from net realized gains | | | (0.46 | ) | | | (0.18 | ) | | | (2.89 | ) | | | (0.19 | ) | | | (0.43 | ) |
Total dividends and distributions | | | (0.64 | ) | | | (0.37 | ) | | | (3.06 | ) | | | (0.38 | ) | | | (0.62 | ) |
Net asset value, end of year | | | $22.48 | | | | $16.80 | | | | $15.75 | | | | $21.09 | | | | $15.17 | |
Total Return(b): | | | 38.49 | % | | | 9.16 | % | | | (12.84 | )% | | | 42.24 | % | | | 4.02 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $524,581 | | | | $412,198 | | | | $411,798 | | | | $522,601 | | | | $382,165 | |
Average net assets (000) | | | $498,458 | | | | $423,340 | | | | $468,874 | | | | $475,322 | | | | $389,009 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 0.70 | % | | | 0.72 | % | | | 0.72 | % | | | 0.72 | % | | | 0.72 | % |
Expenses before waivers and/or expense reimbursement | | | 0.79 | % | | | 0.83 | % | | | 0.83 | % | | | 0.81 | % | | | 0.83 | % |
Net investment income (loss) | | | 0.75 | % | | | 0.97 | % | | | 1.03 | % | | | 0.84 | % | | | 1.26 | % |
Portfolio turnover rate(d) | | | 113 | % | | | 96 | % | | | 98 | % | | | 101 | % | | | 92 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
20
PGIM Quant Solutions Large-Cap Core Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class C Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $14.35 | | | | $13.51 | | | | $18.52 | | | | $13.38 | | | | $13.46 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.01 | | | | 0.04 | | | | 0.05 | | | | 0.02 | | | | 0.07 | |
Net realized and unrealized gain (loss) on investment transactions | | | 5.25 | | | | 1.08 | | | | (2.11 | ) | | | 5.42 | | | | 0.38 | |
Total from investment operations | | | 5.26 | | | | 1.12 | | | | (2.06 | ) | | | 5.44 | | | | 0.45 | |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.09 | ) | | | (0.10 | ) | | | (0.06 | ) | | | (0.11 | ) | | | (0.10 | ) |
Distributions from net realized gains | | | (0.46 | ) | | | (0.18 | ) | | | (2.89 | ) | | | (0.19 | ) | | | (0.43 | ) |
Total dividends and distributions | | | (0.55 | ) | | | (0.28 | ) | | | (2.95 | ) | | | (0.30 | ) | | | (0.53 | ) |
Net asset value, end of year | | | $19.06 | | | | $14.35 | | | | $13.51 | | | | $18.52 | | | | $13.38 | |
Total Return(b): | | | 37.45 | % | | | 8.37 | % | | | (13.46 | )% | | | 41.25 | % | | | 3.27 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $13,239 | | | | $13,876 | | | | $15,992 | | | | $22,453 | | | | $21,047 | |
Average net assets (000) | | | $14,335 | | | | $15,468 | | | | $19,087 | | | | $22,342 | | | | $24,287 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 1.44 | % | | | 1.44 | % | | | 1.44 | % | | | 1.44 | % | | | 1.44 | % |
Expenses before waivers and/or expense reimbursement | | | 1.68 | % | | | 1.65 | % | | | 1.65 | % | | | 1.59 | % | | | 1.59 | % |
Net investment income (loss) | | | 0.03 | % | | | 0.27 | % | | | 0.30 | % | | | 0.14 | % | | | 0.56 | % |
Portfolio turnover rate(d) | | | 113 | % | | | 96 | % | | | 98 | % | | | 101 | % | | | 92 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 21
PGIM Quant Solutions Large-Cap Core Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class Z Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $17.47 | | | | $16.38 | | | | $21.79 | | | | $15.67 | | | | $15.65 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.21 | | | | 0.21 | | | | 0.24 | | | | 0.21 | | | | 0.23 | |
Net realized and unrealized gain (loss) on investment transactions | | | 6.41 | | | | 1.31 | | | | (2.55 | ) | | | 6.32 | | | | 0.44 | |
Total from investment operations | | | 6.62 | | | | 1.52 | | | | (2.31 | ) | | | 6.53 | | | | 0.67 | |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.22 | ) | | | (0.25 | ) | | | (0.21 | ) | | | (0.22 | ) | | | (0.22 | ) |
Distributions from net realized gains | | | (0.46 | ) | | | (0.18 | ) | | | (2.89 | ) | | | (0.19 | ) | | | (0.43 | ) |
Total dividends and distributions | | | (0.68 | ) | | | (0.43 | ) | | | (3.10 | ) | | | (0.41 | ) | | | (0.65 | ) |
Net asset value, end of year | | | $23.41 | | | | $17.47 | | | | $16.38 | | | | $21.79 | | | | $15.67 | |
Total Return(b): | | | 38.82 | % | | | 9.43 | % | | | (12.54 | )% | | | 42.44 | % | | | 4.27 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $34,831 | | | | $21,379 | | | | $20,647 | | | | $25,663 | | | | $47,730 | |
Average net assets (000) | | | $28,654 | | | | $21,455 | | | | $23,609 | | | | $60,616 | | | | $64,099 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 0.45 | % | | | 0.46 | % | | | 0.42 | % | | | 0.49 | % | | | 0.48 | % |
Expenses before waivers and/or expense reimbursement | | | 0.56 | % | | | 0.54 | % | | | 0.54 | % | | | 0.55 | % | | | 0.55 | % |
Net investment income (loss) | | | 1.00 | % | | | 1.22 | % | | | 1.34 | % | | | 1.10 | % | | | 1.54 | % |
Portfolio turnover rate(d) | | | 113 | % | | | 96 | % | | | 98 | % | | | 101 | % | | | 92 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
22
PGIM Quant Solutions Large-Cap Core Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class R6 Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $17.53 | | | | $16.42 | | | | $21.86 | | | | $15.70 | | | | $15.68 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.24 | | | | 0.23 | | | | 0.25 | | | | 0.23 | | | | 0.25 | |
Net realized and unrealized gain (loss) on investment transactions | | | 6.43 | | | | 1.31 | | | | (2.56 | ) | | | 6.36 | | | | 0.44 | |
Total from investment operations | | | 6.67 | | | | 1.54 | | | | (2.31 | ) | | | 6.59 | | | | 0.69 | |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.24 | ) | | | (0.25 | ) | | | (0.24 | ) | | | (0.24 | ) | | | (0.24 | ) |
Distributions from net realized gains | | | (0.46 | ) | | | (0.18 | ) | | | (2.89 | ) | | | (0.19 | ) | | | (0.43 | ) |
Total dividends and distributions | | | (0.70 | ) | | | (0.43 | ) | | | (3.13 | ) | | | (0.43 | ) | | | (0.67 | ) |
Net asset value, end of year | | | $23.50 | | | | $17.53 | | | | $16.42 | | | | $21.86 | | | | $15.70 | |
Total Return(b): | | | 39.00 | % | | | 9.56 | % | | | (12.52 | )% | | | 42.79 | % | | | 4.39 | % |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $323,959 | | | | $254,742 | | | | $228,073 | | | | $295,432 | | | | $132,446 | |
Average net assets (000) | | | $289,187 | | | | $248,145 | | | | $258,329 | | | | $204,016 | | | | $105,498 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 0.35 | % | | | 0.35 | % | | | 0.35 | % | | | 0.35 | % | | | 0.35 | % |
Expenses before waivers and/or expense reimbursement | | | 0.39 | % | | | 0.39 | % | | | 0.39 | % | | | 0.38 | % | | | 0.40 | % |
Net investment income (loss) | | | 1.10 | % | | | 1.33 | % | | | 1.38 | % | | | 1.17 | % | | | 1.60 | % |
Portfolio turnover rate(d) | | | 113 | % | | | 96 | % | | | 98 | % | | | 101 | % | | | 92 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
PGIM Quant Solutions Large-Cap Core Fund 23
PGIM Real Estate Income Fund
Schedule of Investments
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
| | |
LONG-TERM INVESTMENTS 99.5% | | | | | | | | |
| | |
COMMON STOCKS 79.8% | | | | | | | | |
| | |
Diversified REITs 5.5% | | | | | | | | |
British Land Co. PLC (The) (United Kingdom) | | | 118,779 | | | $ | 611,231 | |
Broadstone Net Lease, Inc. | | | 128,827 | | | | 2,266,067 | |
| | | | | | | | |
| | |
| | | | | | | 2,877,298 | |
| | |
Health Care Facilities 3.1% | | | | | | | | |
Chartwell Retirement Residences (Canada), UTS | | | 144,653 | | | | 1,625,898 | |
| | |
Health Care REITs 12.4% | | | | | | | | |
American Healthcare REIT, Inc. | | | 98,553 | | | | 2,621,510 | |
CareTrust REIT, Inc. | | | 71,338 | | | | 2,330,612 | |
Sila Realty Trust, Inc. | | | 61,373 | | | | 1,545,372 | |
| | | | | | | | |
| | |
| | | | | | | 6,497,494 | |
| | |
Industrial REITs 7.4% | | | | | | | | |
CapitaLand Ascendas REIT (Singapore) | | | 440,081 | | | | 891,828 | |
Frasers Logistics & Commercial Trust (Singapore) | | | 1,625,383 | | | | 1,309,864 | |
LXP Industrial Trust | | | 178,309 | | | | 1,683,237 | |
| | | | | | | | |
| | |
| | | | | | | 3,884,929 | |
| | |
Office REITs 5.7% | | | | | | | | |
Kilroy Realty Corp. | | | 38,433 | | | | 1,545,776 | |
Piedmont Office Realty Trust, Inc. (Class A Stock) | | | 144,847 | | | | 1,439,779 | |
| | | | | | | | |
| | |
| | | | | | | 2,985,555 | |
| | |
Real Estate Operating Companies 0.8% | | | | | | | | |
Swire Properties Ltd. (Hong Kong) | | | 210,956 | | | | 429,337 | |
| | |
Residential REITs 5.7% | | | | | | | | |
Sun Communities, Inc. | | | 7,943 | | | | 1,053,877 | |
UDR, Inc. | | | 45,191 | | | | 1,906,609 | |
| | | | | | | | |
| | |
| | | | | | | 2,960,486 | |
| | |
Retail REITs 24.8% | | | | | | | | |
Brixmor Property Group, Inc. | | | 75,557 | | | | 2,036,261 | |
First Capital Real Estate Investment Trust (Canada) | | | 100,683 | | | | 1,285,700 | |
Getty Realty Corp. | | | 36,761 | | | | 1,153,928 | |
Japan Metropolitan Fund Investment Corp. (Japan) | | | 510 | | | | 313,019 | |
See Notes to Financial Statements.
24
PGIM Real Estate Income Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
| | |
COMMON STOCKS (Continued) | | | | | | | | |
| | |
Retail REITs (cont’d.) | | | | | | | | |
Link REIT (Hong Kong) | | | 153,501 | | | $ | 715,225 | |
NNN REIT, Inc. | | | 30,517 | | | | 1,325,658 | |
Realty Income Corp. | | | 10,589 | | | | 628,669 | |
Scentre Group (Australia) | | | 885,487 | | | | 2,030,127 | |
Simon Property Group, Inc. | | | 17,940 | | | | 3,034,013 | |
Supermarket Income REIT PLC (United Kingdom) | | | 475,685 | | | | 435,141 | |
| | | | | | | | |
| | |
| | | | | | | 12,957,741 | |
| | |
Specialized REITs 14.4% | | | | | | | | |
Digital Realty Trust, Inc. | | | 14,800 | | | | 2,637,804 | |
Iron Mountain, Inc. | | | 11,737 | | | | 1,452,219 | |
National Storage Affiliates Trust | | | 34,501 | | | | 1,454,217 | |
VICI Properties, Inc. | | | 61,503 | | | | 1,953,336 | |
| | | | | | | | |
| | |
| | | | | | | 7,497,576 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCKS
(cost $36,320,563) | | | | | | | 41,716,314 | |
| | | | | | | | |
| | |
PREFERRED STOCKS 19.7% | | | | | | | | |
| | |
Diversified REITs 2.5% | | | | | | | | |
Gladstone Commercial Corp., Series G, 6.000%, Maturing 06/28/26(oo) | | | 60,110 | | | | 1,328,431 | |
| | |
Hotel & Resort REITs 2.8% | | | | | | | | |
Pebblebrook Hotel Trust, Series H, 5.700%, Maturing 07/27/26(oo) | | | 70,139 | | | | 1,451,877 | |
| | |
Industrial REITs 1.9% | | | | | | | | |
Rexford Industrial Realty, Inc., Series C, 5.625%, Maturing 11/20/24(oo) | | | 43,233 | | | | 993,927 | |
| | |
Office REITs 3.8% | | | | | | | | |
Vornado Realty Trust, Series M, 5.250%, Maturing 11/30/24(oo) | | | 109,023 | | | | 1,987,489 | |
| | |
Retail REITs 5.1% | | | | | | | | |
Agree Realty Corp., Series A, 4.250%, Maturing 09/17/26(oo) | | | 135,343 | | | | 2,670,318 | |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 25
PGIM Real Estate Income Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
| | |
PREFERRED STOCKS (Continued) | | | | | | | | |
| | |
Specialized REITs 3.6% | | | | | | | | |
EPR Properties, Series G, 5.750%, Maturing 11/30/24(a)(oo) | | | 65,725 | | | $ | 1,440,035 | |
Public Storage, Series H, 5.600%, Maturing 11/30/24(oo) | | | 18,055 | | | | 451,736 | |
| | | | | | | | |
| | |
| | | | | | | 1,891,771 | |
| | | | | | | | |
| | |
TOTAL PREFERRED STOCKS | | | | | | | | |
(cost $9,700,532) | | | | | | | 10,323,813 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS | | | | | | | | |
(cost $46,021,095) | | | | | | | 52,040,127 | |
| | | | | | | | |
| | |
SHORT-TERM INVESTMENTS 0.2% | | | | | | | | |
| | |
AFFILIATED MUTUAL FUNDS | | | | | | | | |
PGIM Core Government Money Market Fund (7-day effective yield 5.011%)(wb) | | | 114,268 | | | | 114,268 | |
PGIM Institutional Money Market Fund (7-day effective yield 5.096%) | | | | | | | | |
(cost $4,500; includes $4,500 of cash collateral for securities on loan)(b)(wb) | | | 4,503 | | | | 4,500 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS | | | | | | | | |
(cost $118,768) | | | | | | | 118,768 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS 99.7% | | | | | | | | |
(cost $46,139,863) | | | | | | | 52,158,895 | |
Other assets in excess of liabilities 0.3% | | | | | | | 156,874 | |
| | | | | | | | |
| | |
NET ASSETS 100.0% | | | | | | $ | 52,315,769 | |
| | | | | | | | |
See the Glossary for a list of the abbreviation(s) used in the annual report.
| (a) | All or a portion of security is on loan. The aggregate market value of such securities, including those sold and pending settlement, is $4,382; cash collateral of $4,500 (included in liabilities) was received with which the Fund purchased highly liquid short-term investments. In the event of significant appreciation in value of securities on loan on the last business day of the reporting period, the Fund may reflect a collateral value that is less than the market value of the loaned securities and such shortfall is remedied the following business day. |
| (b) | Represents security, or portion thereof, purchased with cash collateral received for securities on loan and includes dividend reinvestment. |
| (oo) | Perpetual security. Maturity date represents next call date. |
| (wb) | Represents an investment in a Fund affiliated with the Manager. |
Fair Value Measurements:
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below.
See Notes to Financial Statements.
26
PGIM Real Estate Income Fund
Schedule of Investments (continued)
as of October 31, 2024
Level 1—unadjusted quoted prices generally in active markets for identical securities.
Level 2—quoted prices for similar securities, interest rates and yield curves, prepayment speeds, foreign currency exchange rates and other observable inputs.
Level 3—unobservable inputs for securities valued in accordance with Board approved fair valuation procedures.
The following is a summary of the inputs used as of October 31, 2024 in valuing such portfolio securities:
| | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | |
Investments in Securities | | | | | | | | | | | | |
Assets | | | | | | | | | | | | |
Long-Term Investments | | | | | | | | | | | | |
Common Stocks | | | | | | | | | | | | |
Diversified REITs | | $ | 2,266,067 | | | $ | 611,231 | | | | $— | |
Health Care Facilities | | | 1,625,898 | | | | — | | | | — | |
Health Care REITs | | | 6,497,494 | | | | — | | | | — | |
Industrial REITs | | | 1,683,237 | | | | 2,201,692 | | | | — | |
Office REITs | | | 2,985,555 | | | | — | | | | — | |
Real Estate Operating Companies | | | — | | | | 429,337 | | | | — | |
Residential REITs | | | 2,960,486 | | | | — | | | | — | |
Retail REITs | | | 9,464,229 | | | | 3,493,512 | | | | — | |
Specialized REITs | | | 7,497,576 | | | | — | | | | — | |
Preferred Stocks | | | | | | | | | | | | |
Diversified REITs | | | 1,328,431 | | | | — | | | | — | |
Hotel & Resort REITs | | | 1,451,877 | | | | — | | | | — | |
Industrial REITs | | | 993,927 | | | | — | | | | — | |
Office REITs | | | 1,987,489 | | | | — | | | | — | |
Retail REITs | | | 2,670,318 | | | | — | | | | — | |
Specialized REITs | | | 1,891,771 | | | | — | | | | — | |
Short-Term Investments | | | | | | | | | | | | |
Affiliated Mutual Funds | | | 118,768 | | | | — | | | | — | |
| | | | | | | | | | | | |
Total | | $ | 45,423,123 | | | $ | 6,735,772 | | | | $— | |
| | | | | | | | | | | | |
Sector Classification:
The sector classification of investments and other assets in excess of liabilities shown as a percentage of net assets as of October 31, 2024 were as follows:
| | | | |
Retail REITs | | | 29.9 | % |
Specialized REITs | | | 18.0 | |
Health Care REITs | | | 12.4 | |
Office REITs | | | 9.5 | |
Industrial REITs | | | 9.3 | |
Diversified REITs | | | 8.0 | |
Residential REITs | | | 5.7 | |
Health Care Facilities | | | 3.1 | |
Hotel & Resort REITs | | | 2.8 | |
Real Estate Operating Companies | | | 0.8 | |
| | | | |
Affiliated Mutual Funds (0.0% represents investments purchased with collateral from securities on loan) | | | 0.2 | % |
| | | | |
| | | 99.7 | |
Other assets in excess of liabilities | | | 0.3 | |
| | | | |
| | | 100.0 | % |
| | | | |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 27
PGIM Real Estate Income Fund
Schedule of Investments (continued)
as of October 31, 2024
Financial Instruments/Transactions—Summary of Offsetting and Netting Arrangements:
The Fund entered into financial instruments/transactions during the reporting period that are either offset in accordance with current requirements or are subject to enforceable master netting arrangements or similar agreements that permit offsetting. The information about offsetting and related netting arrangements for financial instruments/transactions where the legal right to set-off exists is presented in the summary below.
Offsetting of financial instrument/transaction assets and liabilities:
| | | | | | | | | | | | |
| Description | | Gross Market
Value of
Recognized
Assets/(Liabilities) | | | Collateral Pledged/(Received)(1) | | | Net
Amount | |
Securities on Loan | | $ | 4,382 | | | $ | (4,382 | ) | | $ | — | |
| (1) | Collateral amount disclosed by the Fund is limited to the market value of financial instruments/transactions. |
See Notes to Financial Statements.
28
PGIM Real Estate Income Fund
Statement of Assets & Liabilities
as of October 31, 2024
| | | | |
| |
Assets | | | | |
Investments at value, including securities on loan of $4,382: | | | | |
Unaffiliated investments (cost $46,021,095) | | $ | 52,040,127 | |
Affiliated investments (cost $118,768) | | | 118,768 | |
Foreign currency, at value (cost $18) | | | 18 | |
Receivable for investments sold | | | 932,321 | |
Dividends receivable | | | 56,705 | |
Receivable for Fund shares sold | | | 38,661 | |
Tax reclaim receivable | | | 29,215 | |
Prepaid expenses | | | 1,383 | |
| | | | |
| |
Total Assets | | | 53,217,198 | |
| | | | |
| |
Liabilities | | | | |
Payable for investments purchased | | | 786,213 | |
Audit fee payable | | | 35,504 | |
Payable for Fund shares purchased | | | 27,949 | |
Accrued expenses and other liabilities | | | 26,303 | |
Management fee payable | | | 19,461 | |
Payable to broker for collateral for securities on loan | | | 4,500 | |
Trustees’ fees payable | | | 866 | |
Affiliated transfer agent fee payable | | | 379 | |
Distribution fee payable | | | 254 | |
| | | | |
| |
Total Liabilities | | | 901,429 | |
| | | | |
| |
Net Assets | | $ | 52,315,769 | |
| | | | |
| |
| | | | |
| |
Net assets were comprised of: | | | | |
Shares of beneficial interest, at par | | $ | 6,493 | |
Paid-in capital in excess of par | | | 45,513,757 | |
Total distributable earnings (loss) | | | 6,795,519 | |
| | | | |
| |
Net assets, October 31, 2024 | | $ | 52,315,769 | |
| | | | |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 29
PGIM Real Estate Income Fund
Statement of Assets & Liabilities (continued)
as of October 31, 2024
| | | | | | | | |
Class A | | | | | | | | |
Net asset value and redemption price per share, ($744,676 ÷ 92,578 shares of beneficial interest issued and outstanding) | | $ | 8.04 | | | | | |
Maximum sales charge (5.50% of offering price) | | | 0.47 | | | | | |
| | | | | | | | |
Maximum offering price to public | | $ | 8.51 | | | | | |
| | | | | | | | |
Class C | | | | | | | | |
Net asset value, offering price and redemption price per share, ($131,303 ÷ 16,327 shares of beneficial interest issued and outstanding) | | $ | 8.04 | | | | | |
| | | | | | | | |
Class Z | | | | | | | | |
Net asset value, offering price and redemption price per share, ($3,712,330 ÷ 459,345 shares of beneficial interest issued and outstanding) | | $ | 8.08 | | | | | |
| | | | | | | | |
Class R6 | | | | | | | | |
Net asset value, offering price and redemption price per share, ($47,727,460 ÷ 5,924,883 shares of beneficial interest issued and outstanding) | | $ | 8.06 | | | | | |
| | | | | | | | |
See Notes to Financial Statements.
30
PGIM Real Estate Income Fund
Statement of Operations
Year Ended October 31, 2024
| | | | |
Net Investment Income (Loss) | | | | |
Income | | | | |
Unaffiliated dividend income (net of $35,912 foreign withholding tax) | | $ | 2,101,646 | |
Affiliated dividend income | | | 17,133 | |
Income from securities lending, net (including affiliated income of $267) | | | 268 | |
| | | | |
Total income | | | 2,119,047 | |
| | | | |
| |
Expenses | | | | |
Management fee | | | 335,045 | |
Distribution fee(a) | | | 3,362 | |
Custodian and accounting fees | | | 42,247 | |
Professional fees | | | 41,168 | |
Registration fees(a) | | | 36,017 | |
Audit fee | | | 35,505 | |
Shareholders’ reports | | | 21,927 | |
Trustees’ fees | | | 10,125 | |
Transfer agent’s fees and expenses (including affiliated expense of $2,206)(a) | | | 5,501 | |
Miscellaneous | | | 20,164 | |
| | | | |
Total expenses | | | 551,061 | |
Less: Fee waiver and/or expense reimbursement(a) | | | (85,787 | ) |
Distribution fee waiver(a) | | | (303 | ) |
| | | | |
Net expenses | | | 464,971 | |
| | | | |
Net investment income (loss) | | | 1,654,076 | |
| | | | |
Realized And Unrealized Gain (Loss) On Investment And Foreign Currency Transactions | | | | |
| |
Net realized gain (loss) on: | | | | |
Investment transactions (including affiliated of $15) | | | 3,004,870 | |
Foreign currency transactions | | | 1,192 | |
| | | | |
| | | 3,006,062 | |
| | | | |
Net change in unrealized appreciation (depreciation) on: | | | | |
Investments | | | 9,904,828 | |
Foreign currencies | | | (56 | ) |
| | | | |
| | | 9,904,772 | |
| | | | |
Net gain (loss) on investment and foreign currency transactions | | | 12,910,834 | |
| | | | |
Net Increase (Decrease) In Net Assets Resulting From Operations | | $ | 14,564,910 | |
| | | | |
| (a) | Class specific expenses and waivers were as follows: |
| | | | | | | | | | | | | | | | |
| | | Class A | | | Class C | | | Class Z | | | Class R6 | |
Distribution fee | | | 1,821 | | | | 1,541 | | | | — | | | | — | |
Registration fees | | | 7,204 | | | | 7,854 | | | | 12,794 | | | | 8,165 | |
Transfer agent’s fees and expenses | | | 1,594 | | | | 479 | | | | 2,920 | | | | 508 | |
Fee waiver and/or expense reimbursement | | | (9,455 | ) | | | (8,513 | ) | | | (16,601 | ) | | | (51,218 | ) |
Distribution fee waiver | | | (303 | ) | | | — | | | | — | | | | — | |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 31
PGIM Real Estate Income Fund
Statements of Changes in Net Assets
| | | | | | | | |
| |
| | | Year Ended | |
| | | October 31, | |
| | |
| | | 2024 | | | 2023 | |
| | |
Increase (Decrease) in Net Assets | | | | | | | | |
| | |
Operations | | | | | | | | |
Net investment income (loss) | | $ | 1,654,076 | | | $ | 927,467 | |
Net realized gain (loss) on investment and foreign currency transactions | | | 3,006,062 | | | | (2,804,509 | ) |
Net change in unrealized appreciation (depreciation) on investments and foreign currencies | | | 9,904,772 | | | | 1,511,844 | |
| | | | | | | | |
| | |
Net increase (decrease) in net assets resulting from operations | | | 14,564,910 | | | | (365,198 | ) |
| | | | | | | | |
| | |
Dividends and Distributions | | | | | | | | |
Distributions from distributable earnings | | | | | | | | |
Class A | | | (23,772 | ) | | | (23,535 | ) |
Class C | | | (4,672 | ) | | | (6,131 | ) |
Class Z | | | (54,570 | ) | | | (24,610 | ) |
Class R6 | | | (1,672,200 | ) | | | (869,841 | ) |
| | | | | | | | |
| | | (1,755,214 | ) | | | (924,117 | ) |
| | | | | | | | |
Tax return of capital distributions | | | | | | | | |
Class A | | | — | | | | (4,438 | ) |
Class C | | | — | | | | (1,156 | ) |
Class Z | | | — | | | | (4,641 | ) |
Class R6 | | | — | | | | (164,033 | ) |
| | | | | | | | |
| | | — | | | | (174,268 | ) |
| | | | | | | | |
Fund share transactions (Net of share conversions) | | | | | | | | |
Net proceeds from shares sold | | | 16,572,671 | | | | 12,658,309 | |
Net asset value of shares issued in reinvestment of dividends and distributions | | | 1,753,806 | | | | 1,096,923 | |
Cost of shares purchased | | | (8,342,612 | ) | | | (10,859,789 | ) |
| | | | | | | | |
Net increase (decrease) in net assets from Fund share transactions | | | 9,983,865 | | | | 2,895,443 | |
| | | | | | | | |
Total increase (decrease) | | | 22,793,561 | | | | 1,431,860 | |
| | |
Net Assets: | | | | | | | | |
Beginning of year | | | 29,522,208 | | | | 28,090,348 | |
| | | | | | | | |
End of year | | $ | 52,315,769 | | | $ | 29,522,208 | |
| | | | | | | | |
See Notes to Financial Statements.
32
PGIM Real Estate Income Fund
Financial Highlights
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class A Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $5.85 | | | | $6.18 | | | | $10.26 | | | | $7.67 | | | | $10.66 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.26 | | | | 0.22 | | | | 0.32 | | | | 0.25 | | | | 0.27 | |
| Net realized and unrealized gain (loss) on investment and foreign currency transactions | | | 2.21 | | | | (0.29 | ) | | | (1.99) | | | | 2.70 | | | | (2.43 | ) |
Total from investment operations | | | 2.47 | | | | (0.07 | ) | | | (1.67 | ) | | | 2.95 | | | | (2.16 | ) |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.27 | ) | | | (0.22 | ) | | | (0.29 | ) | | | (0.36 | ) | | | (0.63 | ) |
Tax return of capital distributions | | | - | | | | (0.04 | ) | | | (0.10 | ) | | | - | | | | (0.14 | ) |
Distributions from net realized gains | | | (0.01 | ) | | | - | | | | (2.02 | ) | | | - | | | | (0.06 | ) |
Total dividends and distributions | | | (0.28 | ) | | | (0.26 | ) | | | (2.41 | ) | | | (0.36 | ) | | | (0.83 | ) |
Net asset value, end of year | | | $8.04 | | | | $5.85 | | | | $6.18 | | | | $10.26 | | | | $7.67 | |
Total Return(b): | | | 42.57 | % | | | (1.24 | )% | | | (20.18 | )% | | | 38.84 | % | | | (21.25 | )% |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $745 | | | | $524 | | | | $738 | | | | $1,582 | | | | $866 | |
Average net assets (000) | | | $607 | | | | $705 | | | | $1,190 | | | | $1,428 | | | | $796 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 1.35 | % | | | 1.36 | %(d) | | | 1.35 | % | | | 1.35 | % | | | 1.36 | % |
Expenses before waivers and/or expense reimbursement | | | 2.96 | % | | | 2.79 | % | | | 2.39 | % | | | 2.16 | % | | | 4.78 | % |
Net investment income (loss) | | | 3.74 | % | | | 3.40 | % | | | 4.16 | % | | | 2.56 | % | | | 3.18 | % |
Portfolio turnover rate(e) | | | 112 | % | | | 92 | % | | | 90 | % | | | 201 | % | | | 235 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | Includes certain non-recurring expenses of 0.01% which are being excluded from the Fund’s contractual waiver, if applicable, for the year ended October 31, 2023. |
| (e) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 33
PGIM Real Estate Income Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class C Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $5.85 | | | | $6.18 | | | | $10.26 | | | | $7.67 | | | | $10.66 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.21 | | | | 0.17 | | | | 0.20 | | | | 0.18 | | | | 0.23 | |
| Net realized and unrealized gain (loss) on investment and foreign currency transactions | | | 2.20 | | | | (0.29 | ) | | | (1.93) | | | | 2.70 | | | | (2.45 | ) |
Total from investment operations | | | 2.41 | | | | (0.12 | ) | | | (1.73 | ) | | | 2.88 | | | | (2.22 | ) |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.21 | ) | | | (0.17 | ) | | | (0.23 | ) | | | (0.29 | ) | | | (0.57 | ) |
Tax return of capital distributions | | | - | | | | (0.04 | ) | | | (0.10 | ) | | | - | | | | (0.14 | ) |
Distributions from net realized gains | | | (0.01 | ) | | | - | | | | (2.02 | ) | | | - | | | | (0.06 | ) |
Total dividends and distributions | | | (0.22 | ) | | | (0.21 | ) | | | (2.35 | ) | | | (0.29 | ) | | | (0.77 | ) |
Net asset value, end of year | | | $8.04 | | | | $5.85 | | | | $6.18 | | | | $10.26 | | | | $7.67 | |
Total Return(b): | | | 41.57 | % | | | (2.01 | )% | | | (20.81 | )% | | | 37.84 | % | | | (21.86 | )% |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $131 | | | | $167 | | | | $178 | | | | $277 | | | | $268 | |
Average net assets (000) | | | $154 | | | | $221 | | | | $240 | | | | $302 | | | | $500 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 2.11 | %(d) | | | 2.11 | %(d) | | | 2.10 | % | | | 2.10 | % | | | 2.11 | % |
Expenses before waivers and/or expense reimbursement | | | 7.63 | % | | | 5.30 | % | | | 5.03 | % | | | 4.27 | % | | | 6.45 | % |
Net investment income (loss) | | | 3.07 | % | | | 2.63 | % | | | 2.65 | % | | | 1.92 | % | | | 2.62 | % |
Portfolio turnover rate(e) | | | 112 | % | | | 92 | % | | | 90 | % | | | 201 | % | | | 235 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | Includes certain non-recurring expenses of 0.01% and 0.01%, respectively, which are being excluded from the Fund’s contractual waiver, if applicable, for the years ended October 31, 2024 and 2023, respectively. |
| (e) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
34
PGIM Real Estate Income Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class Z Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $5.87 | | | | $6.20 | | | | $10.29 | | | | $7.69 | | | | $10.69 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.28 | | | | 0.26 | | | | 0.28 | | | | 0.28 | | | | 0.34 | |
| Net realized and unrealized gain (loss) on investment and foreign currency transactions | | | 2.22 | | | | (0.31 | ) | | | (1.94) | | | | 2.71 | | | | (2.49 | ) |
Total from investment operations | | | 2.50 | | | | (0.05 | ) | | | (1.66 | ) | | | 2.99 | | | | (2.15 | ) |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.28 | ) | | | (0.24 | ) | | | (0.31 | ) | | | (0.39 | ) | | | (0.65 | ) |
Tax return of capital distributions | | | - | | | | (0.04 | ) | | | (0.10 | ) | | | - | | | | (0.14 | ) |
Distributions from net realized gains | | | (0.01 | ) | | | - | | | | (2.02 | ) | | | - | | | | (0.06 | ) |
Total dividends and distributions | | | (0.29 | ) | | | (0.28 | ) | | | (2.43 | ) | | | (0.39 | ) | | | (0.85 | ) |
Net asset value, end of year | | | $8.08 | | | | $5.87 | | | | $6.20 | | | | $10.29 | | | | $7.69 | |
Total Return(b): | | | 43.11 | % | | | (0.99 | )% | | | (20.03 | )% | | | 39.19 | % | | | (21.08 | )% |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $3,712 | | | | $451 | | | | $7,024 | | | | $10,941 | | | | $7,797 | |
Average net assets (000) | | | $958 | | | | $1,033 | | | | $7,858 | | | | $11,287 | | | | $9,743 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 1.10 | % | | | 1.11 | %(d) | | | 1.10 | % | | | 1.10 | % | | | 1.11 | % |
Expenses before waivers and/or expense reimbursement | | | 2.83 | % | | | 2.22 | % | | | 1.34 | % | | | 1.38 | % | | | 2.54 | % |
Net investment income (loss) | | | 3.71 | % | | | 4.08 | % | | | 3.67 | % | | | 2.92 | % | | | 3.81 | % |
Portfolio turnover rate(e) | | | 112 | % | | | 92 | % | | | 90 | % | | | 201 | % | | | 235 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | Includes certain non-recurring expenses of 0.01% which are being excluded from the Fund’s contractual waiver, if applicable, for the year ended October 31, 2023. |
| (e) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
PGIM Real Estate Income Fund 35
PGIM Real Estate Income Fund
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class R6 Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $5.86 | | | | $6.19 | | | | $10.27 | | | | $7.68 | | | | $10.67 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.28 | | | | 0.24 | | | | 0.28 | | | | 0.27 | | | | 0.12 | |
| Net realized and unrealized gain (loss) on investment and foreign currency transactions | | | 2.21 | | | | (0.29 | ) | | | (1.93) | | | | 2.71 | | | | (2.26 | ) |
Total from investment operations | | | 2.49 | | | | (0.05 | ) | | | (1.65 | ) | | | 2.98 | | | | (2.14 | ) |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.28 | ) | | | (0.24 | ) | | | (0.31 | ) | | | (0.39 | ) | | | (0.65 | ) |
Tax return of capital distributions | | | - | | | | (0.04 | ) | | | (0.10 | ) | | | - | | | | (0.14 | ) |
Distributions from net realized gains | | | (0.01 | ) | | | - | | | | (2.02 | ) | | | - | | | | (0.06 | ) |
Total dividends and distributions | | | (0.29 | ) | | | (0.28 | ) | | | (2.43 | ) | | | (0.39 | ) | | | (0.85 | ) |
Net asset value, end of year | | | $8.06 | | | | $5.86 | | | | $6.19 | | | | $10.27 | | | | $7.68 | |
Total Return(b): | | | 42.84 | % | | | (0.98 | )% | | | (19.95 | )% | | | 39.11 | % | | | (21.03 | )% |
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $47,727 | | | | $28,381 | | | | $20,150 | | | | $29,642 | | | | $23,216 | |
Average net assets (000) | | | $40,162 | | | | $23,207 | | | | $24,849 | | | | $33,597 | | | | $675 | |
Ratios to average net assets(c): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 1.10 | % | | | 1.12 | %(d) | | | 1.10 | % | | | 1.10 | % | | | 1.10 | % |
Expenses before waivers and/or expense reimbursement | | | 1.23 | % | | | 1.49 | % | | | 1.24 | % | | | 1.15 | % | | | 3.80 | % |
Net investment income (loss) | | | 3.96 | % | | | 3.69 | % | | | 3.72 | % | | | 2.82 | % | | | 1.36 | % |
Portfolio turnover rate(e) | | | 112 | % | | | 92 | % | | | 90 | % | | | 201 | % | | | 235 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (c) | Does not include expenses of the underlying funds in which the Fund invests. |
| (d) | Includes certain non-recurring expenses of 0.02% which are being excluded from the Fund’s contractual waiver, if applicable, for the year ended October 31, 2023. |
| (e) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
36
PGIM Select Real Estate Fund
Schedule of Investments
as of October 31, 2024
| | | | | | | | |
| Description | | Shares | | | Value | |
| | |
LONG-TERM INVESTMENTS 99.6% | | | | | | | | |
| | |
COMMON STOCKS | | | | | | | | |
| | |
Diversified REITs 7.9% | | | | | | | | |
| | |
British Land Co. PLC (The) (United Kingdom) | | | 450,831 | | | $ | 2,319,955 | |
| | |
Essential Properties Realty Trust, Inc. | | | 240,720 | | | | 7,628,416 | |
| | |
Merlin Properties Socimi SA (Spain) | | | 269,363 | | | | 3,005,634 | |
| | |
Stockland (Australia) | | | 969,657 | | | | 3,279,016 | |
| | | | | | | | |
| | |
| | | | | | | 16,233,021 | |
| | |
Health Care Providers & Services 1.2% | | | | | | | | |
| | |
Chartwell Retirement Residences (Canada), UTS | | | 227,214 | | | | 2,553,883 | |
| | |
Health Care REITs 11.3% | | | | | | | | |
| | |
American Healthcare REIT, Inc. | | | 155,444 | | | | 4,134,811 | |
| | |
CareTrust REIT, Inc. | | | 193,805 | | | | 6,331,609 | |
| | |
Welltower, Inc. | | | 95,558 | | | | 12,888,863 | |
| | | | | | | | |
| | | | | | | 23,355,283 | |
| | |
Hotel & Resort REITs 1.5% | | | | | | | | |
| | |
Invincible Investment Corp. (Japan) | | | 7,468 | | | | 3,041,856 | |
| | |
Industrial REITs 14.3% | | | | | | | | |
| | |
Americold Realty Trust, Inc. | | | 142,182 | | | | 3,651,234 | |
| | |
Frasers Logistics & Commercial Trust (Singapore) | | | 3,446,306 | | | | 2,777,310 | |
| | |
GLP J-REIT (Japan) | | | 3,675 | | | | 3,231,505 | |
| | |
Goodman Group (Australia) | | | 231,279 | | | | 5,522,826 | |
| | |
Prologis, Inc. | | | 80,395 | | | | 9,079,811 | |
| | |
STAG Industrial, Inc. | | | 88,652 | | | | 3,304,947 | |
| | |
Tritax Big Box REIT PLC (United Kingdom) | | | 1,102,847 | | | | 2,002,047 | |
| | | | | | | | |
| | |
| | | | | | | 29,569,680 | |
| | |
IT Services 0.7% | | | | | | | | |
| | |
NEXTDC Ltd. (Australia)* | | | 135,841 | | | | 1,451,065 | |
| | |
Office REITs 5.0% | | | | | | | | |
| | |
Kilroy Realty Corp. | | | 100,809 | | | | 4,054,538 | |
| | |
Nippon Building Fund, Inc. (Japan) | | | 2,595 | | | | 2,225,865 | |
| | |
SL Green Realty Corp. | | | 53,583 | | | | 4,051,411 | |
| | | | | | | | |
| | |
| | | | | | | 10,331,814 | |
See Notes to Financial Statements.
PGIM Select Real Estate Fund 37
PGIM Select Real Estate Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
| | |
COMMON STOCKS (Continued) | | | | | | | | |
| | |
Real Estate Management & Development 10.3% | | | | | | | | |
| | |
CapitaLand Investment Ltd. (Singapore) | | | 1,082,009 | | | $ | 2,285,841 | |
| | |
Catena AB (Sweden) | | | 41,725 | | | | 1,912,606 | |
| | |
Grainger PLC (United Kingdom) | | | 612,294 | | | | 1,799,096 | |
| | |
Mitsui Fudosan Co. Ltd. (Japan) | | | 729,625 | | | | 6,225,420 | |
| | |
Sagax AB (Sweden) (Class B Stock) | | | 69,580 | | | | 1,676,799 | |
| | |
Sun Hung Kai Properties Ltd. (Hong Kong) | | | 212,997 | | | | 2,306,324 | |
| | |
Swire Properties Ltd. (Hong Kong) | | | 324,637 | | | | 660,701 | |
| | |
Vonovia SE (Germany) | | | 131,630 | | | | 4,315,588 | |
| | | | | | | | |
| | |
| | | | | | | 21,182,375 | |
| | |
Residential REITs 9.8% | | | | | | | | |
| | |
Killam Apartment Real Estate Investment Trust (Canada) | | | 104,023 | | | | 1,397,084 | |
| | |
Sun Communities, Inc. | | | 30,037 | | | | 3,985,309 | |
| | |
UDR, Inc. | | | 160,221 | | | | 6,759,724 | |
| | |
UNITE Group PLC (The) (United Kingdom) | | | 203,494 | | | | 2,301,935 | |
| | |
Veris Residential, Inc. | | | 355,576 | | | | 5,856,337 | |
| | | | | | | | |
| | |
| | | | | | | 20,300,389 | |
| | |
Retail REITs 16.6% | | | | | | | | |
| | |
Agree Realty Corp. | | | 99,668 | | | | 7,400,349 | |
| | |
CapitaLand Integrated Commercial Trust (Singapore) | | | 94,395 | | | | 143,412 | |
| | |
Japan Metropolitan Fund Investment Corp. (Japan) | | | 2,895 | | | | 1,776,841 | |
| | |
Klepierre SA (France) | | | 105,755 | | | | 3,381,157 | |
| | |
Link REIT (Hong Kong) | | | 476,286 | | | | 2,219,216 | |
| | |
Regency Centers Corp. | | | 92,836 | | | | 6,632,204 | |
| | |
Scentre Group (Australia) | | | 1,390,524 | | | | 3,188,009 | |
| | |
Simon Property Group, Inc. | | | 56,920 | | | | 9,626,310 | |
| | | | | | | | |
| | |
| | | | | | | 34,367,498 | |
| | |
Specialized REITs 21.0% | | | | | | | | |
| | |
Digital Realty Trust, Inc. | | | 68,487 | | | | 12,206,438 | |
| | |
Equinix, Inc. | | | 14,053 | | | | 12,761,248 | |
| | |
Extra Space Storage, Inc. | | | 57,351 | | | | 9,365,419 | |
See Notes to Financial Statements.
38
PGIM Select Real Estate Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | |
| | |
| Description | | Shares | | | Value | |
| | |
COMMON STOCKS (Continued) | | | | | | | | |
| | |
Specialized REITs (cont’d.) | | | | | | | | |
| | |
Iron Mountain, Inc. | | | 54,900 | | | $ | 6,792,777 | |
| | |
Shurgard Self Storage Ltd. (Belgium) | | | 52,493 | | | | 2,247,968 | |
| | | | | | | | |
| | |
| | | | | | | 43,373,850 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(cost $175,049,737) | | | | | | | 205,760,714 | |
| | | | | | | | |
| | |
SHORT-TERM INVESTMENT 0.4% | | | | | | | | |
| | |
AFFILIATED MUTUAL FUND | | | | | | | | |
PGIM Core Government Money Market Fund (7-day effective yield 5.011%)
(cost $847,274)(wb) | | | 847,274 | | | | 847,274 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS 100.0%
(cost $175,897,011) | | | | | | | 206,607,988 | |
| | |
Other assets in excess of liabilities 0.0% | | | | | | | 19,792 | |
| | | | | | | | |
| | |
NET ASSETS 100.0% | | | | | | $ | 206,627,780 | |
| | | | | | | | |
See the Glossary for a list of the abbreviation(s) used in the annual report.
| * | Non-income producing security. |
| (wb) | Represents an investment in a Fund affiliated with the Manager. |
Fair Value Measurements:
Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below.
Level 1—unadjusted quoted prices generally in active markets for identical securities.
Level 2—quoted prices for similar securities, interest rates and yield curves, prepayment speeds, foreign currency exchange rates and other observable inputs.
Level 3—unobservable inputs for securities valued in accordance with Board approved fair valuation procedures.
The following is a summary of the inputs used as of October 31, 2024 in valuing such portfolio securities:
| | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | |
Investments in Securities | | | | | | | | | | | | |
Assets | | | | | | | | | | | | |
Long-Term Investments | | | | | | | | | | | | |
Common Stocks | | | | | | | | | | | | |
Australia | | $ | — | | | $ | 13,440,916 | | | $ | — | |
See Notes to Financial Statements.
PGIM Select Real Estate Fund 39
PGIM Select Real Estate Fund
Schedule of Investments (continued)
as of October 31, 2024
| | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | |
Investments in Securities (continued) | | | | | | | | | | | | |
Assets (continued) | | | | | | | | | | | | |
Long-Term Investments (continued) | | | | | | | | | | | | |
Common Stocks (continued) | | | | | | | | | | | | |
Belgium | | $ | — | | | $ | 2,247,968 | | | $ | — | |
Canada | | | 3,950,967 | | | | — | | | | — | |
France | | | — | | | | 3,381,157 | | | | — | |
Germany | | | — | | | | 4,315,588 | | | | — | |
Hong Kong | | | — | | | | 5,186,241 | | | | — | |
Japan | | | — | | | | 16,501,488 | | | | — | |
Singapore | | | — | | | | 5,206,563 | | | | — | |
Spain | | | — | | | | 3,005,634 | | | | — | |
Sweden | | | — | | | | 3,589,405 | | | | — | |
United Kingdom | | | — | | | | 8,423,033 | | | | — | |
United States | | | 136,511,754 | | | | — | | | | — | |
Short-Term Investment | | | | | | | | | | | | |
Affiliated Mutual Fund | | | 847,274 | | | | — | | | | — | |
| | | | | | | | | | | | |
Total | | $ | 141,309,995 | | | $ | 65,297,993 | | | $ | — | |
| | | | | | | | | | | | |
Country Allocation:
The country allocation of portfolio holdings and other assets in excess of liabilities shown as a percentage of net assets as of October 31, 2024 were as follows:
| | | | |
United States | | | 66.4 | % |
Japan | | | 8.0 | |
Australia | | | 6.5 | |
United Kingdom | | | 4.1 | |
Singapore | | | 2.5 | |
Hong Kong | | | 2.5 | |
Germany | | | 2.1 | |
Canada | | | 2.0 | |
Sweden | | | 1.7 | |
France | | | 1.6 | |
| | | | |
Spain | | | 1.5 | % |
Belgium | | | 1.1 | |
| | | | |
| | | 100.0 | |
Other assets in excess of liabilities | | | 0.0 | * |
| | | | |
| | | 100.0 | % |
| | | | |
See Notes to Financial Statements.
40
PGIM Select Real Estate Fund
Statement of Assets & Liabilities
as of October 31, 2024
| | | | |
| |
Assets | | | | |
Investments at value: | | | | |
Unaffiliated investments (cost $175,049,737) | | $ | 205,760,714 | |
Affiliated investments (cost $847,274) | | | 847,274 | |
Foreign currency, at value (cost $9) | | | 9 | |
Receivable for investments sold | | | 2,064,383 | |
Tax reclaim receivable | | | 327,593 | |
Dividends receivable | | | 237,652 | |
Receivable for Fund shares sold | | | 196,387 | |
Prepaid expenses | | | 7,254 | |
| | | | |
| |
Total Assets | | | 209,441,266 | |
| | | | |
| |
Liabilities | | | | |
Payable for investments purchased | | | 2,343,477 | |
Payable for Fund shares purchased | | | 232,601 | |
Management fee payable | | | 140,003 | |
Accrued expenses and other liabilities | | | 92,829 | |
Distribution fee payable | | | 2,078 | |
Affiliated transfer agent fee payable | | | 1,367 | |
Trustees’ fees payable | | | 1,131 | |
| | | | |
| |
Total Liabilities | | | 2,813,486 | |
| | | | |
| |
Net Assets | | $ | 206,627,780 | |
| | | | |
| |
| | | | | |
Net assets were comprised of: | | | | |
Shares of beneficial interest, at par | | $ | 15,046 | |
Paid-in capital in excess of par | | | 235,648,652 | |
Total distributable earnings (loss) | | | (29,035,918 | ) |
| | | | |
| |
Net assets, October 31, 2024 | | $ | 206,627,780 | |
| | | | |
See Notes to Financial Statements.
PGIM Select Real Estate Fund 41
PGIM Select Real Estate Fund
Statement of Assets & Liabilities (continued)
as of October 31, 2024
| | | | | | | | |
| | |
Class A | | | | | | | | |
Net asset value and redemption price per share, | | | | | | | | |
($3,311,581 ÷ 240,923 shares of beneficial interest issued and outstanding) | | $ | 13.75 | | | | | |
Maximum sales charge (5.50% of offering price) | | | 0.80 | | | | | |
| | | | | | | | |
Maximum offering price to public | | $ | 14.55 | | | | | |
| | | | | | | | |
| | |
Class C | | | | | | | | |
Net asset value, offering price and redemption price per share, | | | | | | | | |
($1,592,272 ÷ 117,495 shares of beneficial interest issued and outstanding) | | $ | 13.55 | | | | | |
| | | | | | | | |
| | |
Class Z | | | | | | | | |
Net asset value, offering price and redemption price per share, | | | | | | | | |
($174,960,209 ÷ 12,707,401 shares of beneficial interest issued and outstanding) | | $ | 13.77 | | | | | |
| | | | | | | | |
| | |
Class R6 | | | | | | | | |
Net asset value, offering price and redemption price per share, | | | | | | | | |
($26,763,718 ÷ 1,980,140 shares of beneficial interest issued and outstanding) | | $ | 13.52 | | | | | |
| | | | | | | | |
See Notes to Financial Statements.
42
PGIM Select Real Estate Fund
Statement of Operations
Year Ended October 31, 2024
| | | | |
Net Investment Income (Loss) | |
Income | | | | |
Unaffiliated dividend income (net of $232,751 foreign withholding tax) | | $ | 5,789,613 | |
Affiliated dividend income | | | 62,492 | |
Income from securities lending, net (including affiliated income of $2,703) | | | 3,974 | |
| | | | |
| |
Total income | | | 5,856,079 | |
| | | | |
| |
Expenses | | | | |
Management fee | | | 1,457,426 | |
Distribution fee(a) | | | 32,940 | |
Transfer agent’s fees and expenses (including affiliated expense of $8,232)(a) | | | 204,429 | |
Custodian and accounting fees | | | 68,144 | |
Registration fees(a) | | | 65,443 | |
Professional fees | | | 42,671 | |
Audit fee | | | 35,616 | |
Shareholders’ reports | | | 33,347 | |
Trustees’ fees | | | 11,797 | |
Miscellaneous | | | 96,022 | |
| | | | |
| |
Total expenses | | | 2,047,835 | |
Less: Fee waiver and/or expense reimbursement(a) | | | (83,662 | ) |
Distribution fee waiver(a) | | | (2,826 | ) |
| | | | |
| |
Net expenses | | | 1,961,347 | |
| | | | |
Net investment income (loss) | | | 3,894,732 | |
| | | | |
Realized And Unrealized Gain (Loss) On Investment And Foreign Currency Transactions | |
Net realized gain (loss) on: | | | | |
Investment transactions (including affiliated of $(960)) | | | 11,952,557 | |
Foreign currency transactions | | | (14,587 | ) |
| | | | |
| |
| | | 11,937,970 | |
| | | | |
Net change in unrealized appreciation (depreciation) on: | | | | |
Investments | | | 35,984,272 | |
Foreign currencies | | | (3,236 | ) |
| | | | |
| |
| | | 35,981,036 | |
| | | | |
Net gain (loss) on investment and foreign currency transactions | | | 47,919,006 | |
| | | | |
| |
Net Increase (Decrease) In Net Assets Resulting From Operations | | $ | 51,813,738 | |
| | | | |
| (a) | Class specific expenses and waivers were as follows: |
| | | | | | | | | | | | | | | | |
| | | Class A | | | Class C | | | Class Z | | | Class R6 | |
Distribution fee | | | 16,959 | | | | 15,981 | | | | — | | | | — | |
Transfer agent’s fees and expenses | | | 8,911 | | | | 2,705 | | | | 188,850 | | | | 3,963 | |
Registration fees | | | 12,062 | | | | 9,882 | | | | 26,022 | | | | 17,477 | |
Fee waiver and/or expense reimbursement | | | (15,482 | ) | | | (10,953 | ) | | | (57,227 | ) | | | — | |
Distribution fee waiver | | | (2,826 | ) | | | — | | | | — | | | | — | |
See Notes to Financial Statements.
PGIM Select Real Estate Fund 43
PGIM Select Real Estate Fund
Statements of Changes in Net Assets
| | | | | | | | |
| |
| | | Year Ended
October 31, | |
| | |
| | | 2024 | | | 2023 | |
| | |
Increase (Decrease) in Net Assets | | | | | | | | |
| | |
Operations | | | | | | | | |
Net investment income (loss) | | $ | 3,894,732 | | | $ | 4,804,590 | |
Net realized gain (loss) on investment and foreign currency transactions | | | 11,937,970 | | | | (29,329,278 | ) |
Net change in unrealized appreciation (depreciation) on investments and foreign currencies | | | 35,981,036 | | | | 31,047,926 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | 51,813,738 | | | | 6,523,238 | |
| | | | | | | | |
| | |
Dividends and Distributions | | | | | | | | |
Distributions from distributable earnings | | | | | | | | |
Class A | | | (146,453 | ) | | | (171,028 | ) |
Class C | | | (31,688 | ) | | | (21,353 | ) |
Class Z | | | (4,023,109 | ) | | | (3,811,369 | ) |
Class R6 | | | (721,679 | ) | | | (1,011,529 | ) |
| | | | | | | | |
| | | (4,922,929 | ) | | | (5,015,279 | ) |
| | | | | | | | |
| | |
Fund share transactions (Net of share conversions) | | | | | | | | |
Net proceeds from shares sold | | | 73,538,206 | | | | 96,110,698 | |
Net asset value of shares issued in reinvestment of dividends and distributions | | | 4,913,737 | | | | 5,008,295 | |
Cost of shares purchased | | | (92,467,650 | ) | | | (188,872,508 | ) |
| | | | | | | | |
Net increase (decrease) in net assets from Fund share transactions | | | (14,015,707 | ) | | | (87,753,515 | ) |
| | | | | | | | |
Total increase (decrease) | | | 32,875,102 | | | | (86,245,556 | ) |
| | |
Net Assets: | | | | | | | | |
Beginning of year | | | 173,752,678 | | | | 259,998,234 | |
| | | | | | | | |
End of year | | $ | 206,627,780 | | | $ | 173,752,678 | |
| | | | | | | | |
See Notes to Financial Statements.
44
PGIM Select Real Estate Fund
Financial Highlights
| | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Class A Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | | | | | | | | | | | | | |
Net Asset Value, Beginning of Year | | | $10.57 | | | | $10.84 | | | | $15.54 | | | | $11.48 | | | | $13.18 | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | | |
Net investment income (loss) | | | 0.24 | | | | 0.20 | (b) | | | 0.14 | | | | 0.10 | | | | 0.15 | |
Net realized and unrealized gain (loss) on investment and foreign currency transactions | | | 3.26 | | | | (0.25 | )(c) | | | (4.12 | ) | | | 4.18 | | | | (1.16 | ) |
Total from investment operations | | | 3.50 | | | | (0.05 | ) | | | (3.98 | ) | | | 4.28 | | | | (1.01 | ) |
Less Dividends and Distributions: | | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | | | (0.32 | ) | | | (0.22 | ) | | | (0.22 | ) | | | (0.22 | ) | | | (0.43 | ) |
Tax return of capital distributions | | | - | | | | - | | | | (0.04 | ) | | | - | | | | - | |
Distributions from net realized gains | | | - | | | | - | | | | (0.46 | ) | | | - | | | | (0.26 | ) |
Total dividends and distributions | | | (0.32 | ) | | | (0.22 | ) | | | (0.72 | ) | | | (0.22 | ) | | | (0.69 | ) |
Net asset value, end of year | | | $13.75 | | | | $10.57 | | | | $10.84 | | | | $15.54 | | | | $11.48 | |
Total Return(d): | | | 33.31 | % | | | (0.62 | )% | | | (26.71 | )% | | | 37.61 | % | | | (7.90 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | |
Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
Net assets, end of year (000) | | | $3,312 | | | | $5,278 | | | | $10,982 | | | | $6,733 | | | | $3,878 | |
Average net assets (000) | | | $5,653 | | | | $9,796 | | | | $11,632 | | | | $4,803 | | | | $4,534 | |
Ratios to average net assets(e): | | | | | | | | | | | | | | | | | | | | |
Expenses after waivers and/or expense reimbursement | | | 1.31 | %(f) | | | 1.32 | %(f) | | | 1.30 | % | | | 1.30 | % | | | 1.30 | % |
Expenses before waivers and/or expense reimbursement | | | 1.63 | % | | | 1.43 | % | | | 1.44 | % | | | 1.57 | % | | | 2.11 | % |
Net investment income (loss) | | | 1.94 | % | | | 1.73 | % | | | 1.05 | % | | | 0.74 | % | | | 1.26 | % |
Portfolio turnover rate(g) | | | 142 | % | | | 121 | % | | | 137 | % | | | 165 | % | | | 313 | % |
| (a) | Calculated based on average shares outstanding during the year. |
| (b) | The per share amount of net investment income (loss) does not directly correlate to the amounts reported in the Statement of Operations due to class specific expenses. |
| (c) | The per share amount of realized and unrealized gain (loss) on investments does not directly correlate to the amounts reported in the Statement of Operations due to the timing of portfolio share transactions in relation to fluctuating market values. |
| (d) | Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to GAAP. |
| (e) | Does not include expenses of the underlying funds in which the Fund invests. |
| (f) | Includes interest expense on borrowings from the Syndicated Credit Agreement and certain non-recurring expenses of 0.01% and 0.02% which are being excluded from the Fund’s contractual waiver, if applicable, for the years ended October 31, 2024 and 2023, respectively. |
| (g) | The Fund’s portfolio turnover rate is calculated in accordance with regulatory requirements, without regard to transactions involving short-term investments, certain derivatives and in-kind transactions (if any). If such transactions were included, the Fund’s portfolio turnover rate may be higher. |
See Notes to Financial Statements.
PGIM Select Real Estate Fund 45
PGIM Select Real Estate Fund
Financial Highlights (continued)
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Class C Shares | | | | | | | | | | | | | | | | | | | | |
| | | Year Ended October 31, | |
| | | 2024 | | | 2023 | | | 2022 | | | 2021 | | | 2020 | |
Per Share Operating Performance(a): | | | | | | | | |
