Next Generation Commodity Benchmarks
First-generation benchmarks represent the investable universe by selecting and weighting commodity futures based on relative world commodity production.
Bringing together the benefits of global scale and deep asset-class expertise across public and private markets, PGIM seeds, develops and manages a broad range of liquid and illiquid alternative strategies for some of the largest institutional investors globally.
We take a thoughtful approach to allocating to alternative strategies, and aligning these with clients’ investment objectives, risk profiles and liquidity preferences. It is because of this thoughtful, intentional approach, and our unwaivering pursuit of performance, that institutional investors around the world trust PGIM to invest their more than $250 billion across our alternative strategies.1
The recent surge in volatility and wide price dispersion in global markets should have provided a favorable scenario for hedge fund strategies, but central bank actions around the world have made price discovery more difficult than ever. It’s with this challenging climate in mind that PGIM brought together a host of experts across a handful of asset classes for our first installment of the PGIM Alts Forum, focusing on the potential benefits of allocating to liquid alternative strategies.
Jennison’s Global Healthcare strategy seeks to outperform long-only healthcare approaches over full market cycles by capturing positive return during upcycles and minimizing losses during down cycles. The investment team believes that excess returns can be generated by investing in a concentrated, high-conviction long/short portfolio and that correctly analyzing new product opportunities can identify new growth companies and lead to significant alpha generation. The strategy’s growth investment style focuses on the durability and sustainability of growth rather than on absolute growth rates. Jennison favors biotherapeutic companies with what are viewed as compelling fundamentals and innovative products and pipeline drugs, as disruptive innovation is believed to be the driver of healthcare sector growth.
QMA and QMA Wadhwani (QMAW) offer systematic liquid alternative strategies that seek to outperform consistently over the long run while mitigating downside risk. We utilize proprietary models and optimization methods, and our selective factor exposures are based in economic theory and insights from behavioral finance. We continually seek to improve these processes through ongoing research and model enhancements. Our experienced investment professionals choose from a wide range of instruments to take long and short positions in different countries and asset markets. Offering custom strategic overlay and actively managed options, QMA and QMAW’s alternative strategies are designed to provide diversification benefits through low correlation to traditional assets to help our clients solve their unique investment challenges.
PGIM Private Capital is a differentiated alternative credit manager, applying our unique sourcing capabilities and long-term discipline to capture consistent returns. Our global network allows us to penetrate target markets and offer unique deal flow to our investors. PGIM Private Capital’s experienced investment professionals leverage a direct calling approach to build close relationships with sponsors and lenders over time. We access opportunities with companies across the private capital risk spectrum and then use our regional office network to create a diversified portfolio of both sponsored-backed and non-sponsored leverage loans transactions.
All data (unless otherwise noted) is as of September 30, 2020.