Prudential Finl Stock Price, News & Analysis

Advent International, a leading global private equity firm, has appointed Carmine Di Sibio, former EY Global Chairman and CEO, as an Operating Partner. Di Sibio will help identify, source, and execute new deals in the business and financial services sector, working closely with Advent's team and current portfolio.

Di Sibio's nearly four-decade career at EY saw him rise from auditor to Global Chairman and CEO, where he led significant transformations focusing on digital innovation, sustainability, and geographic expansion. Under his leadership, EY invested over US$10 billion in technology, solutions, and people, achieving revenues of US$50 billion and a global workforce of 400,000.

Advent has been investing in the business and financial services sector for over 30 years, completing over 88 investments worldwide. The firm focuses on financial services providers and B2B players with technology at their core, seeking growth underpinned by robust macro trends, resilient business models, and transformational opportunities.

Aflac and Prudential Financial conducted dual studies on the impact of paid leave in the workplace, revealing significant stress on employees covering for absent coworkers. Key findings include:

• 73% of workers experienced stress and anxiety while covering for a coworker on leave
• 42% experienced burnout when covering for leaves extending beyond 9 weeks
• 48% of employers have seen an increase in employee leaves in the past 12 months
• 94% of employers report taking action to support employees covering for coworkers, but only 74% of employees acknowledge this

The studies highlight the need for effective communication and recognition to support employees maintaining business continuity during coworkers' absences. Employers are encouraged to evaluate their work environment and implement strategies to preserve employee well-being while managing increased leaves.

Prudential Financial (NYSE: PRU) has launched a Stop Loss Insurance product to help companies with self-funded employee medical plans manage the risk of high medical claim payouts. This offering allows employers to set a cap on their potential employee healthcare spend and transfer some claims volatility to Prudential.

The product suite includes Specific Stop Loss Insurance for medical and prescription drug claims, and Aggregate Stop Loss Insurance for medical, prescription drug, dental, vision, and short-term disability claims. It's available to employers with self-funded plans covering at least 100 employees.

Prudential has added new members to its dedicated Stop Loss team, including Robert Melillo as VP, head of Stop Loss Distribution, and Keshav Nair as VP, Stop Loss Operations. The company aims to leverage its strong brand, financial position, and 150 years of expertise to offer competitive rates and flexible policy options.

PGIM's 2024 Global Risk Report reveals that 56% of top institutional investors consider geopolitical risk their primary concern. Despite this, one-third plan to shift to higher-risk investments in 2025. The survey, covering 400 institutional investors across 8 countries with $9 trillion in assets, shows investors are less worried about inflation and recession.

Key findings include:

• 48% identify the Taiwan Strait and South China Sea as the most likely risk to impact global markets
• 56% say 2024 election outcomes are influencing portfolio decisions
• 29% globally have increased cash holdings due to geopolitical uncertainty
• 48% believe there are too many geopolitical risks to effectively mitigate portfolio impact

The report suggests strategies like comprehensive diversification, quantitative models, and increasing real asset allocations to manage geopolitical risk and identify emerging opportunities.

Prudential Insurance Company of America has been chosen for an industry-first multiemployer plan pension risk transfer (PRT) to fulfill retirement benefit promises for the Sound Retirement Trust. This groundbreaking transaction will settle approximately $221 million of pension liabilities and provide retirement security for about 8,700 retirees and their beneficiaries.

The Sound Retirement Trust is a Seattle-based joint labor-management board that provides retirement benefits for grocery workers. This Taft-Hartley plan allows union workers to transfer between jobs with minimal disruption to their retirement plan participation. Prudential will assume responsibility for paying retirement benefits to the affected retirees and beneficiaries starting September 1, 2024.

Prudential, a leader in the pension risk transfer market since 1928, has been involved in several major transactions, including those with General Motors, Verizon, HP Inc., IBM, and Shell USA.

Prudential Group Insurance has enhanced its well-being program with a new digitally accessible hub, aligning with its Life, Absence and Disability products. The hub offers comprehensive solutions including live financial education, caregiving support, behavioral health tools, debt management, and housing counseling.

Key features include:

• Behavioral health support through NeuroFlow partnership
• Caregiving support via Wellthy
• Financial education and wellness seminars
• Credit and debt management through GreenPath

This initiative aims to increase utilization of employee support programs and provide timely access to resources during significant life events. Jessica Gillespie, Prudential's head of Group Insurance Product & Underwriting, emphasized the program's goal of creating a healthier, more engaged workforce for clients.

Prudential Financial (NYSE: PRU) has announced an agreement to reinsure approximately $11 billion of its guaranteed universal life block with Wilton Re. This transaction is expected to generate proceeds of about $350 million post-closing and covers policies written through 2019, representing 40% of Prudential's remaining guaranteed universal life statutory reserves.

Key points:

• No changes for customers or distribution partners
• Prudential will continue servicing the policies
• PGIM Portfolio Advisory appointed as asset manager
• Expected $35 million decrease in annual adjusted operating income
• One-time expenses of approximately $25 million anticipated in the closing quarter

This move aligns with Prudential's strategy to become a higher growth, more capital efficient company, following a previous transaction with Somerset Re in March 2024.

Prudential Financial (PRU) has launched Prudential Momentum IUL℠, a new indexed universal life insurance product designed to provide financial resiliency and adaptability. The product offers:

1. Various indexed account options based on S&P 500 or Nasdaq 100 indices
2. Potential for tax-advantaged cash value accumulation
3. Full downside market protection
4. Unique segment duration options, including one-year capped/uncapped and a first-to-market six-month option
5. Flexibility to access cash value for any purpose
6. Options to grow death benefit value
7. No-lapse guarantee
8. Optional riders for chronic and terminal illnesses, disability, and accelerated death benefit

Momentum IUL aims to help customers protect their loved ones' futures while adapting to changing financial needs.

Prudential Financial (NYSE: PRU) is set to participate in the 2024 KBW Insurance Conference on September 4, 2024. Chairman and CEO Charles Lowrey will engage in an analyst-led fireside chat at approximately 10:50 a.m. ET. The event will be accessible via a live audio webcast on Prudential's Investor Relations website, with a replay available until September 18, 2024.

Prudential Financial, a global financial services leader, manages approximately $1.5 trillion in assets as of June 30, 2024. The company operates in the United States, Asia, Europe, and Latin America, focusing on investing, insurance, and retirement security. Prudential's iconic Rock symbol has represented strength and innovation for nearly 150 years.