Firm continues to build ESG product suite with a focus on flagship fixed income mutual funds

PGIM Investments continues to expand its suite of actively managed fixed income ESG funds with the launch of the PGIM ESG Short Duration Multi-Sector Bond Fund. The new fund is the third ESG mutual fund offered by PGIM Investments, demonstrating the firm’s commitment to expanding product choice and helping investors seeking to meet their sustainability objectives. PGIM is the $1.4 trillion global investment management business of Prudential Financial, Inc.

The PGIM ESG Short Duration Multi-Sector Bond Fund seeks total return, investing across various fixed income securities and emphasizing issuers with stronger ESG characteristics and practices than traditional multi-sector portfolios. The Fund normally seeks to maintain an average portfolio duration of three years or less.

The Fund is managed by an experienced team of PGIM Fixed Income portfolio managers including Gregory Peters, Robert Tipp, Michael Collins, Richard Piccirillo, and Lindsay Rosner, averaging 27 years’ investment experience. The same managers oversee the $3.2 billion PGIM Short Duration Multi-Sector Bond Fund, a top-performing fund with strong historical total return rankings.

What sets the two funds apart is PGIM Fixed Income’s ESG methodology, which begins with an exclusionary screen and then utilizes a proprietary ESG impact rating methodology to construct the fund’s portfolio. These ESG ratings are assigned by a team of more than 110 analysts and overseen by PGIM Fixed Income’s ESG committee. Under normal circumstances, the fund will not purchase securities of issuers that have ESG impact ratings below an established threshold.

“PGIM Investments continues to build out its fund lineup, with a focus on providing investors access to ESG alternatives of existing PGIM fixed income funds with proven track records,” said Stuart Parker, president and CEO of PGIM Investments.

“Our Short Duration Multi-Sector Fund may benefit investors in a rising rate environment and offers the flexibility to allocate to the most attractive sectors within the fixed income market. This new fund allows investors to access that same strategy with an ESG overlay,” said Gregory Peters, co-chief investment officer at PGIM Fixed Income.

Learn more about the PGIM ESG Short Duration Multi-Sector Bond Fund.

Source: PGIM Investments