PGIM Investments announces closure of three QMA domestic equity ETFs

Rhea-AI Summary

PGIM Investments plans to close and liquidate three ETFs: the PGIM QMA Strategic Alpha Large-Cap Core ETF (PQLC), PGIM QMA Strategic Alpha Small-Cap Growth ETF (PQSG), and PGIM QMA Strategic Alpha Small-Cap Value ETF (PQSV). The last trading day for these ETFs will be October 4, 2021, with the final operations ceasing on October 12, 2021.

PGIM, under Prudential Financial (NYSE: PRU), manages over $1.5 trillion in assets, ranking among the top asset managers globally.

Positive

• Prudential Financial, as the parent company, ranks among the top 10 largest asset managers globally with approximately $1.5 trillion in AUM.

Negative

• Closure of three ETFs may indicate challenges in product performance or demand for these investment vehicles.

NEWARK, N.J.--(BUSINESS WIRE)-- PGIM Investments, LLC announced today plans to close and liquidate the following three ETFs: the PGIM QMA Strategic Alpha Large-Cap Core ETF (PQLC), the PGIM QMA Strategic Alpha Small-Cap Growth ETF (PQSG) and the PGIM QMA Strategic Alpha Small-Cap Value ETF (PQSV).

Each fund’s last day of trading will be Oct. 4, 2021, which will also be the final day for creations or redemptions by authorized participants. Each fund will cease operations, withdraw its assets and distribute the remaining proceeds to shareholders on Oct. 12, 2021.

ABOUT PGIM INVESTMENTS
PGIM Investments, LLC and its affiliates offer more than 100 funds globally across a broad spectrum of asset classes and investment styles. All products draw on PGIM’s globally diversified investment platform that encompasses the expertise of managers across fixed income, equities, alternatives and real estate.

ABOUT QMA
As the quantitative equity and multi-asset solutions specialist of PGIM, QMA seeks to help solve complex investment problems with custom systematic solutions across the risk/return spectrum. QMA’s modular portfolio construction simplifies our design of client-specific solutions. We can customize down to the stock level for portfolio considerations, with product offerings that range from core solutions and systematic macro to multi-asset portfolios and overlays. All of our options can be harnessed to provide stable return streams uncorrelated with existing strategies.

QMA manages portfolios for a worldwide institutional client base, including corporate and public pension plans, endowments and foundations, multiemployer pension plans, and subadvisory accounts for other financial services companies. As of June 30, 2021, QMA had approximately $120 billion in assets under management.

ABOUT PGIM
PGIM, the global asset management business of Prudential Financial, Inc. (NYSE: PRU), ranks among the top 10 largest asset managers in the world* with approximately $1.5 trillion in assets under management as of June 30, 2021. With offices in 16 countries, PGIM’s businesses offer a range of investment solutions for retail and institutional investors around the world across a broad range of asset classes, including public fixed income, private fixed income, fundamental equity, quantitative equity, real estate and alternatives. For more information about PGIM, visit pgim.com.

Prudential Financial, Inc. (PFI) of the United States is not affiliated in any manner with Prudential plc, incorporated in the United Kingdom or with Prudential Assurance Company, a subsidiary of M&G plc, incorporated in the United Kingdom. For more information please visit news.prudential.com.

^* Prudential Financial, Inc. (PFI) is the 10th-largest investment manager (out of 477) in terms of global AUM based on the Pensions & Investments Top Money Managers list published on May 31, 2021. This ranking represents assets managed by Prudential Financial as of Dec. 31, 2020.

Consider a fund’s investment objectives, risks, charges, and expenses carefully before investing. The prospectus and summary prospectus contain this and other information about the fund. Contact your financial professional for a prospectus and summary prospectus. Read them carefully before investing.

Investing in mutual funds involves risks. Some mutual funds have more risk than others. The investment return and principal value will fluctuate and shares when sold may be worth more or less than the original cost and it is possible to lose money. There is no guarantee that a Fund’s objectives will be achieved. The risks associated with each fund are explained more fully in each fund’s respective prospectus.

Funds are distributed by Prudential Investment Management Services LLC, a Prudential Financial company. QMA is the primary business name of QMA LLC, a wholly owned subsidiary of PGIM. © 2021 Prudential Financial, Inc. and its related entities. PGIM and the PGIM logo are service marks of Prudential Financial, Inc. and its related entities, registered in many jurisdictions worldwide.

Investment products are not insured by the FDIC or any federal government agency, may lose value, and are not a deposit of or guaranteed by any bank or any bank affiliate.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20210916005731/en/

MEDIA CONTACT:

Kylie Scott

+1 973 902 2503

kylie.scott@pgim.com

Source: PGIM Investments, LLC

FAQ

What ETFs is PGIM Investments liquidating?

PGIM Investments is liquidating the PGIM QMA Strategic Alpha Large-Cap Core ETF (PQLC), PGIM QMA Strategic Alpha Small-Cap Growth ETF (PQSG), and PGIM QMA Strategic Alpha Small-Cap Value ETF (PQSV).

When is the last trading day for the ETFs being liquidated?

The last trading day for the ETFs will be October 4, 2021.

When will the liquidation of the PGIM ETFs be completed?

The liquidation will be completed on October 12, 2021.

What is the significance of Prudential Financial in relation to the ETFs?

Prudential Financial (NYSE: PRU) is the parent company of PGIM Investments, which manages over $1.5 trillion in assets.