Advanced Series Trust AST Academic Strategies Asset ... - Prudential

More documents

Recommendations

Info

Traditional Asset Classes U.S. Large-Cap U.S. Mid-Cap U.S. Small-Cap International Equity Fixed-Income Equity Equity Equity Growth Growth Growth Developed Markets U.S. Investment Grade Growth Value Value Value Developed Markets Value U.S. High-Yield Core Emerging Markets International (Hedged) Emerging Markets Non-Traditional Asset Classes Real Estate Real Return Alternative U.S. Real Estate Commodities Long/Short Market-Neutral International Real Estate Inflation-Indexed Securities Global Tactical Asset Allocation Global Infrastructure Global Macro Hedge Fund Replication Diversified Arbitrage Currency Overlay Long/Short Equity Distressed Debt Private Equity * Real return means the annual percentage return realized on an investment, which is adjusted for changes in prices due to inflation or other external effects. Real return strategies generally seek to provide a return over the rate of inflation. The Consultant is expected to use academic research on asset allocation along with various quantitative and qualitative research methods to produce a proposed strategic allocation for the Academic Strategies Portfolio among the various traditional and non-traditional asset classes and the related investment categories and strategies. QMA and the Investment Managers are then expected to review the proposed strategic allocation from the Consultant. QMA and the Investment Managers will adjust the proposed strategic allocation based upon their own: (i) forwardlooking assessment of global macroeconomic, market, financial, currency, security valuation, and other factors and (ii) quantitative and qualitative evaluation of the risks associated with investments in the relevant investment categories and strategies. PI will then: (i) identify other pooled investment vehicles, including, without limitation, open-end or closed-end investment companies, exchange-traded funds, unit investment trusts, domestic or foreign private investment pools (including investment companies not registered under the 1940 Act, such as "hedge funds") (collectively referred to as Underlying Portfolios) that may be used as fulfillment options for the specific investment categories or strategies and (ii) establish specific weighted combinations of Underlying Portfolios that are consistent with the Academic Strategies Portfolio's then-current asset allocation. PI will also seek to identify and retain Subadvisers to directly manage all or a portion of the assets that are allocated to a particular investment category or strategy. Under normal circumstances, the Academic Strategies Portfolio will invest approximately 65% of its assets in Underlying Portfolios, primarily other portfolios of the Trust. The Subadvisers directly manage the remaining 35% of the Academic Strategies Portfolio's assets under normal circumstances. Those percentages are subject to change by the Investment Managers and QMA. PI will monitor the amount of active risk taken within the various investment categories and strategies by conducting holdings-based and returns-based analyses of the Academic Strategies Portfolio's direct and indirect portfolio holdings. QMA and the Investment Managers also expect to meet periodically with the Consultant. QMA and the Investment Managers, in consultation with the Consultant, will seek to opportunistically modify the allocations among the various investment categories and strategies, the Underlying Portfolios, and the Subadvisers based upon the latest academic research and their ongoing assessment of the above-referenced factors. The extent to which any recommendations from the Consultant are adopted is determined solely by the Investment Managers and QMA. As set forth above, it is currently expected that the Academic Strategies Portfolio will invest a substantial portion of its assets in Underlying Portfolios, particularly other portfolios of the Trust. It is currently further expected the Subadvisers will directly manage the remaining portion of the Academic Strategies Portfolio's assets. Under the 2 ASTSUP2
Investment Company Act of 1940 (the 1940 Act), the Subadvisers may invest Portfolio assets in "securities" (e.g. common stocks, bonds, etc.) and futures contracts, options on futures contracts, swap agreements, and other financial and derivative instruments that are not "securities" within the meaning of the 1940 Act (collectively, Other Investments). Investments in Traditional Asset Classes. With the exception of the International Fixed-Income (Hedged) and Emerging Markets investment categories within the Fixed-Income asset class, it is currently expected that exposure to all of the remaining traditional investment categories will be obtained through investments in Underlying Portfolios that are portfolios of the Trust. PIMCO will serve as the Subadviser to the International Fixed-Income (Hedged) and Emerging Markets investment categories. Underlying Portfolios. The principal investments of the Underlying Portfolios that are currently expected to be used in connection with the traditional asset classes are described below. Consistent with the investment objectives and policies of the Academic Strategies Portfolio, other Underlying Portfolios from time to time may be added to, or removed from, the list of Underlying Portfolios that may be used in connection with the Academic Strategies Portfolio. Underlying Portfolio AST Marsico Capital Growth AST T. Rowe Price Large- Cap Growth AST QMA US Equity Alpha AST AllianceBernstein Growth & Income AST Large-Cap Value AST Neuberger Berman Mid-Cap Growth AST Mid-Cap Value AST Federated Aggressive Growth AST Small-Cap Value AST International Growth Principal Investments Invests primarily in common stocks, with the majority of the Portfolio's assets in large capitalization stocks Invests predominantly in the equity securities of a limited number of large, high-quality U.S. companies The Portfolio will use a long/short investment strategy. This means the Portfolio shorts a portion of the Portfolio and uses the proceeds of the shorts, or other borrowings, to purchase additional stocks long. Primarily invests at least 80% of its net assets plus borrowings, if any, for investment purposes in equity and equity-related securities of U.S. issuers. Invests primarily in common stocks that are believed to be selling at reasonable valuations in relation to their fundamental business prospects Invests primarily in common stocks and securities convertible into common stocks of large cap companies Invests primarily in common stocks of medium capitalization companies Invests primarily in mid capitalization stocks that appear to be undervalued Invests primarily in the stocks of small companies that are traded on national exchanges, NASDAQ stock exchange and the over-thecounter market Invests primarily in stocks and equity-related securities of small capitalization companies that appear to be undervalued Invests primarily in equity securities of foreign companies AST International Value Invests primarily in equity securities of foreign companies 3 Traditional Investment Category Domestic Large- Cap Equity Growth Domestic Large- Cap Equity Growth Domestic Large- Cap Equity Core Domestic Large- Cap Equity Value Domestic Large- Cap Equity Value Domestic Mid- Cap Equity Growth Domestic Mid- Cap Equity Value Domestic Small- Cap Equity Growth Domestic Small- Cap Equity Value International Equity: Developed Markets Growth International Equity: ASTSUP2
Page 1 and 2: Advanced Series Trust AST Academic
Page 3 and 4: More detailed information relating
Page 5 and 6: Information About GSAM Portfolio Ma
Page 7 and 8: Advanced Series Trust Supplement da
Page 9 and 10: IV. Secondary Performance Benchmark
Page 11 and 12: esponsible for managing the remaini
Page 13 and 14: For both CBOs and CLOs, the cashflo
Page 15 and 16: The High Yield Portfolio may also m
Page 17 and 18: ADVANCED SERIES TRUST PROSPECTUS DA
Page 19 and 20: Weighted median market capitalizati
Page 21: ADVANCED SERIES TRUST PROSPECTUS DA
Page 25 and 26: PIMCO believes to be relevant. PIMC
Page 27 and 28: companies located throughout the wo
Page 29 and 30: until the deal closes. • While mo
Page 31 and 32: Private Equity. Private equity fund
Page 33 and 34: II. AST High Yield Portfolio The Bo
Page 35 and 36: Advanced Series Trust Line 2 Line 3
Page 37 and 38: SUMMARY: AST ACADEMIC STRATEGIES AS
Page 39 and 40: Liquidity and valuation risk. From
Page 41 and 42: SUMMARY: AST ADVANCED STRATEGIES PO
Page 43 and 44: Short sale risk. The Portfolio’s
Page 45 and 46: SUMMARY: AST AGGRESSIVE ASSET ALLOC
Page 47 and 48: and certain bond funds (or, for one
Page 49 and 50: SUMMARY: AST ALLIANCEBERNSTEIN CORE
Page 51 and 52: Average Annual Total Returns (For t
Page 53 and 54: may not produce the desired results
Page 55 and 56: SUMMARY: AST AMERICAN CENTURY INCOM
Page 57 and 58: Average Annual Total Returns (For t
Page 59 and 60: classes; the ability of the Portfol
Page 61 and 62: FINANCIAL INTERMEDIARY COMPENSATION
Page 63 and 64: action based upon the relevant fact
Page 65 and 66: SUMMARY: AST BOND PORTFOLIO 2016 IN
Page 67 and 68: MANAGEMENT OF THE PORTFOLIO Investm
Page 69 and 70: government agency. While the Portfo
Page 71 and 72: SUMMARY: AST BOND PORTFOLIO 2018 IN
Page 73 and 74:
Annual Total Returns 0 Best Quarter
Page 75 and 76:
action based upon the relevant fact
Page 77 and 78:
SUMMARY: AST BOND PORTFOLIO 2020 IN
Page 79 and 80:
MANAGEMENT OF THE PORTFOLIO Investm
Page 81 and 82:
government agency. While the Portfo
Page 83 and 84:
SUMMARY: AST CAPITAL GROWTH ASSET A
Page 85 and 86:
Past Performance. A number of facto
Page 87 and 88:
Fixed income securities risk. Inves
Page 89 and 90:
SUMMARY: AST CLS MODERATE ASSET ALL
Page 91 and 92:
The annual returns and average annu
Page 93 and 94:
Market and management risk. Markets
Page 95 and 96:
SUMMARY: AST FEDERATED AGGRESSIVE G
Page 97 and 98:
Expense risk. Your actual cost of i
Page 99 and 100:
Strategy Broad Market Duration Stra
Page 101 and 102:
Annual Total Returns 30% 20% 10% 21
Page 103 and 104:
Mid-capitalization company risk. Th
Page 105 and 106:
SUMMARY: AST FIRST TRUST CAPITAL AP
Page 107 and 108:
The table also demonstrates how the
Page 109 and 110:
Foreign investment risk. Investment
Page 111 and 112:
SUMMARY: AST GOLDMAN SACHS CONCENTR
Page 113 and 114:
Page 115 and 116:
comparable to those in the U.S, and
Page 117 and 118:
SUMMARY: AST GOLDMAN SACHS SMALL-CA
Page 119 and 120:
Annual Total Returns 60% 45% 33.85
Page 121 and 122:
Asset-backed securities risk. Asset
Page 123 and 124:
SUMMARY: AST HORIZON GROWTH ASSET A
Page 125 and 126:
Derivatives risk. A derivative is a
Page 127 and 128:
SUMMARY: AST HORIZON MODERATE ASSET
Page 129 and 130:
Derivatives risk. A derivative is a
Page 131 and 132:
SUMMARY: AST INTERNATIONAL GROWTH P
Page 133 and 134:
Page 135 and 136:
Market and management risk. Markets
Page 137 and 138:
SUMMARY: AST INVESTMENT GRADE BOND
Page 139 and 140:
Past Performance. A number of facto
Page 141 and 142:
Page 143 and 144:
Page 145 and 146:
epatriating investment proceeds. Ma
Page 147 and 148:
SUMMARY: AST JPMORGAN STRATEGIC OPP
Page 149 and 150:
loans, mortgage-backed securities a
Page 151 and 152:
SUMMARY: AST LARGE-CAP VALUE PORTFO
Page 153 and 154:
Average Annual Total Returns (For t
Page 155 and 156:
in market interest rates and that t
Page 157 and 158:
FINANCIAL INTERMEDIARY COMPENSATION
Page 159 and 160:
established markets; foreign market
Page 161 and 162:
SUMMARY: AST MFS GLOBAL EQUITY PORT
Page 163 and 164:
Page 165 and 166:
established markets; foreign market
Page 167 and 168:
SUMMARY: AST MID-CAP VALUE PORTFOLI
Page 169 and 170:
Page 171 and 172:
Page 173 and 174:
SUMMARY: AST NEUBERGER BERMAN MID-C
Page 175 and 176:
Page 177 and 178:
Page 179 and 180:
SUMMARY: AST NEUBERGER BERMAN SMALL
Page 181 and 182:
Page 183 and 184:
usually differ from those in the U.
Page 185 and 186:
SUMMARY: AST PIMCO LIMITED MATURITY
Page 187 and 188:
Annual Total Returns 11% 10% 9% 8%
Page 189 and 190:
credit risk and liquidity risk. Whe
Page 191 and 192:
SUMMARY: AST PRESERVATION ASSET ALL
Page 193 and 194:
will monitor each contract owner’
Page 195 and 196:
SUMMARY: AST QMA US EQUITY ALPHA PO
Page 197 and 198:
The annual returns and average annu
Page 199 and 200:
which could impact the Portfolio. F
Page 201 and 202:
Blended Index (reflects no deductio
Page 203 and 204:
Page 205 and 206:
SUMMARY: AST SMALL CAP VALUE PORTFO
Page 207 and 208:
Annual Total Returns 45% 30% 21.86
Page 209 and 210:
High-yield risk. Investments in fix
Page 211 and 212:
and related services. These payment
Page 213 and 214:
Page 215 and 216:
SUMMARY: AST T. ROWE PRICE LARGE CA
Page 217 and 218:
Portfolio 53.37% 3.95% -2.13% Index
Page 219 and 220:
Page 221 and 222:
SUMMARY: AST VALUE PORTFOLIO INVEST
Page 223 and 224:
Page 225 and 226:
Page 227 and 228:
ABOUT THE FUND ABOUT THE FUND AND I
Page 229 and 230:
■ ■ ■ Liquidity and valuation
Page 231 and 232:
■ There is a potential conflict o
Page 233 and 234:
MORE DETAILED INFORMATION ON HOW TH
Page 235 and 236:
AST Marsico Capital Growth AST T. R
Page 237 and 238:
AST Global Real Estate Invests prim
Page 239 and 240:
Global Macro (First Quadrant). This
Page 241 and 242:
strategy. Second, QMA draws on its
Page 243 and 244:
e classified as developed markets.
Page 245 and 246:
Mortgage-Related and Other Asset-Ba
Page 247 and 248:
Principal Investment Policies: The
Page 249 and 250:
AST Bond Portfolio 2016 AST Bond Po
Page 251 and 252:
amortizing mortgage securities offe
Page 253 and 254:
■ ■ ■ ■ common stocks (incl
Page 255 and 256:
AST Preservation Asset Allocation P
Page 257 and 258:
4. International Value Strategy. Th
Page 259 and 260:
To select the stocks for this strat
Page 261 and 262:
“Dow Jones Corporate Bond Index,
Page 263 and 264:
AST Global Real Estate Portfolio In
Page 265 and 266:
Futures, Options and Other Derivati
Page 267 and 268:
Futures, Options and Other Derivati
Page 269 and 270:
not receive any payments (including
Page 271 and 272:
William Blair. William Blair genera
Page 273 and 274:
approach. The objective of the stra
Page 275 and 276:
Growth Portfolio, the Subadviser al
Page 277 and 278:
countries outside of the United Sta
Page 279 and 280:
Hotchkis and Wiley normally focuses
Page 281 and 282:
Special Situations. The Portfolio m
Page 283 and 284:
summarized below: WEDGE normally em
Page 285 and 286:
Asset-Backed Securities. The Portfo
Page 287 and 288:
Other Investments: Although equity
Page 289 and 290:
or profits from, emerging market co
Page 291 and 292:
in value. When a Portfolio makes a
Page 293 and 294:
to 10% of its total assets in fixed
Page 295 and 296:
in return for a premium, one party
Page 297 and 298:
Potential Conflicts: Side-by-Side M
Page 299 and 300:
companies. Absolute Return. The Por
Page 301 and 302:
and high return on invested capital
Page 303 and 304:
ecause their currency markets are n
Page 305 and 306:
The Portfolio may sell securities f
Page 307 and 308:
Implementation of Target Asset Allo
Page 309 and 310:
fixed-income security. For example,
Page 311 and 312:
e subject to liquidity risk. Foreig
Page 313 and 314:
a Portfolio may try to reduce risk
Page 315 and 316:
INVESTMENT MANAGEMENT FEES Set fort
Page 317 and 318:
without prior notice. ***Includes f
Page 319 and 320:
First Quadrant L.P. (First Quadrant
Page 321 and 322:
vehicles advised by affiliated and
Page 323 and 324:
Devang Gambhirwala is a Principal a
Page 325 and 326:
T. Rowe Price Segment. T. Rowe Pric
Page 327 and 328:
1991 through 1996. Before joining B
Page 329 and 330:
candidate for the CFA. QMA Ted Lock
Page 331 and 332:
investments in private equity trans
Page 333 and 334:
Andrew Jessop is an Executive Vice
Page 335 and 336:
Portfolio Manager, joined Hotchkis
Page 337 and 338:
AST Neuberger Berman Small-Cap Grow
Page 339 and 340:
MBA from the University of Pennsylv
Page 341 and 342:
Mr. Brennan joined T. Rowe Price in
Page 343 and 344:
Fund and its transfer agent also re
Page 345 and 346:
Short-term debt securities with rem
Page 347 and 348:
PAYMENTS TO AFFILIATES PI and AST a
Page 349 and 350:
AST Academic Strategies Asset Alloc
Page 351 and 352:
AST Aggressive Asset Allocation Por
Page 353 and 354:
AST AllianceBernstein Growth & Inco
Page 355 and 356:
AST Balanced Asset Allocation Portf
Page 357 and 358:
AST Bond Portfolio 2018 January 28,
Page 359 and 360:
AST Capital Growth Asset Allocation
Page 361 and 362:
AST CLS Moderate Asset Allocation P
Page 363 and 364:
AST Federated Aggressive Growth Por
Page 365 and 366:
AST First Trust Balanced Target Por
Page 367 and 368:
AST Global Real Estate Portfolio Ma
Page 369 and 370:
AST Goldman Sachs Small-Cap Value P
Page 371 and 372:
AST Horizon Growth Asset Allocation
Page 373 and 374:
AST International Growth Portfolio
Page 375 and 376:
AST Investment Grade Bond Portfolio
Page 377 and 378:
AST JPMorgan Strategic Opportunitie
Page 379 and 380:
AST Lord Abbett Bond-Debenture Port
Page 381 and 382:
AST MFS Growth Portfolio Year Ended
Page 383 and 384:
AST Neuberger Berman Mid-Cap Growth
Page 385 and 386:
AST PIMCO Limited Maturity Bond Por
Page 387 and 388:
AST Preservation Asset Allocation P
Page 389 and 390:
AST Schroders Multi-Asset World Str
Page 391 and 392:
AST T. Rowe Price Asset Allocation
Page 393 and 394:
AST T. Rowe Price Natural Resources
Page 395 and 396:
AST Western Asset Core Plus Bond Po
Page 397 and 398:
APPENDIX I ASSET ALLOCATIONS FOR GR
Page 399 and 400:
APPENDIX III UNDERLYING PORTFOLIO W
Page 401 and 402:
AST Horizon Growth Asset Allocation
Page 403 and 404:
369
Page 405 and 406:
SP-2: Satisfactory capacity to pay
Page 407 and 408:
GLOSSARY PORTFOLIO INDEXES BofA Mer
Page 409 and 410:
Russell 2000 Growth Index. The Russ
Page 411 and 412:
AST First Trust Capital Appreciatio
Page 413 and 414:
Notes 379
Page 415 and 416:
Notes 381
Page 418:
INVESTOR INFORMATION SERVICES: Shar
show all

Advanced Series Trust AST Academic Strategies Asset ... - Prudential

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?