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2024 Best Ideas: Rethinking Resiliency and Risk2024BestIdeas:RethinkingResiliencyandRisk

Jan 25, 2024

PGIM 2024 Annual Best Ideas highlights areas where PGIM asset managers believe investors will find promising opportunities as markets change rapidly.

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A 2023 that kicked off with rampant recession talk and a near-calamitous bank crisis ended in remarkable relative stability, at least in the financial arena. Stronger-than-expected economic growth in the face of higher interest rates, coupled with technological innovation around artificial intelligence, helped risk assets turn the corner.  

Meanwhile, central banks around the world have begun to step back from their aggressive fight against inflation, adding fresh optimism that financial markets and the broader economy are on steady footing.  

That resiliency now has investors hoping that the good cheer will continue, but every year brings with it a new set of challenges, and 2024 is sure to be no different. 

The tumultuous and unexpected path of 2023 yet again underscores the importance of assessing the impact that a rapidly changing world will have on the way asset managers and investors construct their portfolios. An environment of potentially higher interest rates and inflation, growth in private markets, and idiosyncratic risks that are giving new meaning to resiliency all have broad implications for financial markets and asset allocation strategies. 

In PGIM 2024 Annual Best Ideas, PGIM investment experts delve into these and other topics of interest to our clients. As always, the ideas presented here are not intended to predict the future, but rather to shine a light on the areas where we believe investors will find promising opportunities, buoyed by PGIM’s distinct depth of expertise and focused experience. 

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Certain information in this commentary has been obtained from sources believed to be reliable as of the date presented; however, we cannot guarantee the accuracy of such information, assure its completeness, or warrant such information will not be changed. The information contained herein is current as of the date of issuance (or such earlier date as referenced herein) and is subject to change without notice. The manager has no obligation to update any or all such information, nor do we make any express or implied warranties or representations as to the completeness or accuracy. Any projections or forecasts presented herein are subject to change without notice. Actual data will vary and may not be reflected here. Projections and forecasts are subject to high levels of uncertainty. Accordingly, any projections or forecasts should be viewed as merely representative of a broad range of possible outcomes. Projections or forecasts are estimated, based on assumptions, subject to significant revision, and may change materially as economic and market conditions change.  

This material is being provided for informational or educational purposes only and does not take into account the investment objectives or financial situation of any client or prospective clients. The information is not intended as investment advice and is not a recommendation. Clients seeking information regarding their particular investment needs should contact their financial professional.  

Investment products are distributed by Prudential Investment Management Services LLC, member FINRA and SIPC. PGIM Investments is a registered investment advisor and investment manager to all PGIM U.S. open-end investment companies. PGIM Quantitative Solutions, Jennison Associates, and PGIM are registered investment advisors and Prudential Financial companies. PGIM Quantitative Solutions is the primary business name of PGIM Quantitative Solutions LLC, a wholly owned subsidiary of PGIM. PGIM Fixed Income and PGIM Real Estate are units of PGIM.  

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