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

SUMMARY: AST BOND PORTFOLIO 2020
INVESTMENT OBJECTIVE
The investment objective of the Portfolio is to seek the highest total return for a specific period of time, consistent with the
preservation of capital and liquidity needs. Total return is comprised of current income and capital appreciation.
PORTFOLIO FEES AND EXPENSES
The table below shows the fees and expenses that you may pay if you invest in shares of the Portfolio. The table does not include
Contract charges. Because Contract charges are not included, the total fees and expenses that you will incur will be higher than the
fees and expenses set forth in the table. See your Contract prospectus for more information about Contract charges.
Annual Portfolio Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
Management Fees .64%
Distribution (12b-1) Fees
Other Expenses 1.95%
Acquired Fund Fees & Expenses -
Total Annual Portfolio Operating Expenses 2.59%
Fee waiver or expense reimbursement+ (1.59%)
Net annual Portfolio operating expenses 1.00%
None
Example. The following example is intended to help you compare the cost of investing in the Portfolio with the cost of investing in
other mutual funds. The table does not include Contract charges. Because Contract charges are not included, the total fees and
expenses that you will incur will be higher than the fees and expenses set forth in the example. See your Contract prospectus for
more information about Contract charges.
The example assumes that you invest $10,000 in the Portfolio for the time periods indicated and then redeem all of your shares at the
end of those periods. The example also assumes that your investment has a 5% return each year and that the Portfolio’s operating
expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions, your costs would be:
1 Year 3 Years 5 Years 10 Years
AST Bond Portfolio 2020 $102 $654 $1,232 $2,806
+
The Investment Managers (Prudential Investments LLC and AST Investment Services, Inc.) have contractually agreed to waive a portion of their investment management fees and/or reimburse
certain expenses for the Portfolio so that the Portfolio's investment management fees plus other expenses (exclusive in all cases of taxes, interest, brokerage commissions, distribution fees,
acquired fund fees and expenses and extraordinary expenses) do not exceed 1.00% of the Portfolio's average daily net assets through April 30, 2011. This arrangement may not be terminated or
modified prior to April 30, 2011, and may be discontinued or modified thereafter. The decision on whether to renew, modify or discontinue the arrangement after April 30, 2011 will be subject to
review by the Investment Managers and the Fund's Board of Trustees.
Portfolio Turnover. The Portfolio pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its
portfolio). A higher portfolio turnover rate may indicate higher transaction costs. These costs, which are not reflected in annual
portfolio operating expenses or in the example, affect the Portfolio’s performance. During the most recent fiscal year ended
December 31, the Portfolio’s turnover rate was 433% of the average value of its portfolio.
INVESTMENTS, RISKS AND PERFORMANCE
Principal Investment Strategies. Under normal market conditions, the Portfolio will invest at least 80% of its investable assets in
bonds. For purposes of this 80% policy, bonds include: (i) all debt securities and all fixed-income securities, excluding preferred
stock, issued by both government and non-government issuers, and (ii) all derivatives and synthetic instruments that have economic
characteristics that are similar to such debt securities and such fixed-income securities. The Portfolio will provide 60 days’ prior
written notice to shareholders of any change in its 80% policy as described above. As used in this Prospectus, the term “investable
assets” refers to the Portfolio’s net assets plus any borrowings for investment purposes. The Portfolio’s investable assets will be less
than its total assets to the extent that it has borrowed money for non-investment purposes, such as to meet anticipated redemptions.
The Portfolio will be managed to mature in the year identified in its name in order to match the related liability under certain living
benefit programs. As a result, the Portfolio’s duration and weighted average maturity will decline over time as the relevant maturity
date approaches. On or about the Portfolio’s maturity date, all of the securities held by the Portfolio will be sold and all of the
outstanding shares of beneficial interest of the Portfolio will be redeemed. Proceeds from that redemption will be reallocated in
accordance with the procedures applicable to the contact owner’s variable contract.
The Portfolio’s subadviser currently intends to maintain an overall weighted average credit quality rating of A- or better for the
Portfolio. This target overall credit quality for the Portfolio will be based on ratings as of the date of purchase. In the event the overall
credit quality drops below A- due to downgrades of individual portfolio securities, the Portfolio’s subadviser will take appropriate
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