Credit Opportunities

Investment Objective

PGIM Fixed Income's Credit Opportunities Strategy is an alternative corporate credit strategy opportunistically investing in event driven (special situations, distressed), relative value and long/short opportunities across public and private U.S. and European Leverage Finance sectors.

Investment Philosophy

The Strategy's investment philosophy targets complex opportunities with asymmetric payoff profiles in businesses we like. We drive solutions that unlock value by reducing complexity premia by blending structuring expertise with deep fundamental convictions and a sound relative value framework.

Investment Approach

• All-weather, evergreen approach fundamentally driven to invest in undervalued or mispriced securities by targeting high risk-adjusted returns with favorable asymmetrical payoff profiles.
• Opportunistic approach combines deep fundamental credit analysis with special situations capabilities to harvest complexity premia through a varying mix of event driven, relative value and credit shorting strategies.
• Systematic approach utilizes PGIM Fixed Income’s +1,000 active lending relationships and expansive credit research coverage universe (+2,000 issuers) to capitalize on idiosyncratic or industry dislocations or to provide transitional capital for turnaround purposes or growth objectives.
• Strategy maximizes rebalancing liquidity to flex across all phases of the credit cycle to invest in the full spectrum of credit opportunities from relative value trading across performing credit markets to bespoke financing solutions.
• Credit Opportunities leverages the firm’s proprietary open architecture and scale as one of the largest leverage finance managers to drive differentiated deal sourcing and facilitate rapid capital formation around high impact opportunities.