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PGIM TARGET DATE 2040 FUND
mutual fund
PDHDX
Payout Change
Pending
Price as of:
$13.59
+0.06
+0.44%
primary theme
Target-Date 2040
share class
PDHDX (Mutual Fund)
PGIM TARGET DATE 2040 FUND
Payout Change
Pending
Price as of:
$13.59
+0.06
+0.44%
primary theme
Target-Date 2040
share class
PDHDX (Mutual Fund)
PGIM TARGET DATE 2040 FUND
Payout Change
Pending
Price as of:
$13.59
+0.06
+0.44%
primary theme
Target-Date 2040
share class
Name
As of 11/21/2024Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
Vitals
YTD Return
12.9%
1 yr return
18.8%
3 Yr Avg Return
3.7%
5 Yr Avg Return
8.1%
Net Assets
$48.3 M
Holdings in Top 10
98.2%
52 WEEK LOW AND HIGH
$13.5
N/A
N/A
Expenses
OPERATING FEES
Expense Ratio 6.94%
SALES FEES
Front Load N/A
Deferred Load N/A
TRADING FEES
Turnover 41.00%
Redemption Fee N/A
Min Investment
Standard (Taxable)
$0
IRA
N/A
Fund Classification
Fund Type
Open End Mutual Fund
Name
As of 11/21/2024Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
PDHDX - Profile
Distributions
- YTD Total Return 12.9%
- 3 Yr Annualized Total Return 3.7%
- 5 Yr Annualized Total Return 8.1%
- Capital Gain Distribution Frequency Annually
- Net Income Ratio 0.78%
- Dividend Yield 2.9%
- Dividend Distribution Frequency None
Fund Details
-
Legal NamePGIM TARGET DATE 2040 FUND
-
Fund Family NamePRUDENTIAL
-
Inception DateDec 13, 2016
-
Shares OutstandingN/A
-
Share ClassR1
-
CurrencyUSD
-
Domiciled CountryUS
-
ManagerJoel Kallman
Fund Description
The Fund pursues its objective by investing in a diversified portfolio of other mutual funds within the PGIM fund family (collectively, the “Underlying Funds”) that represent various asset classes and sectors. The Fund will invest in Underlying Funds that provide exposure to equity, fixed income and non-traditional asset classes. The investments held by Underlying Funds that provide exposure to equities may include U.S. large-cap equity, mid-cap equity and small-cap equity, as well as international developed markets equity, emerging markets equity and other non-U.S. securities. Underlying Funds that provide exposure to fixed income may invest primarily in bonds, including below investment grade bonds, commonly known as “junk bonds.” Underlying Funds may gain exposure to non-traditional asset classes through investments in equity securities and related derivatives of issuers that are primarily engaged in or related to the real estate industry, real estate investment trusts (“REITs”), commodity-related instruments and derivative securities or instruments, such as options and futures, the value of which is derived from another security, a commodity, a currency or an index.The Fund is designed for investors expecting to retire in or close to the year 2040 (the “target date”). The Fund is designed to accommodate investors who will either withdraw all of their assets from the Fund upon retirement or who will gradually withdraw assets from the Fund over a moderate time period following retirement. In addition to the anticipated retirement date, relevant factors for selection of the Fund may include age, risk tolerance, other investments owned, and planned withdrawals.The Fund’s allocations among Underlying Funds (and asset classes) will change over time in relation to the Fund’s target date. The Fund’s asset allocations to the Underlying Funds follow a glidepath that becomes more conservative prior to and for approximately 10 years following the target date, by reducing exposure to equity investments and increasing exposure to fixed income investments (the “Glidepath”). Accordingly, the Fund’s exposure to equity investments may continue to decline until approximately 10 years after its target date, when allocations to equity investments and non-traditional asset classes (including U.S. and non-U.S. equities, commodities and real estate) will remain fixed at approximately 35% of the Fund’s assets, with the remainder invested in fixed income investments.In this prospectus, we refer to both the “strategic Glidepath” and the “current Glidepath.” The strategic Glidepath reflects the allocations between equity/non-traditional and fixed income assets through time based on long-term investment views and participant demographics. The strategic Glidepath serves as an anchor from which allocations to equity/non-traditional and fixed income may deviate from year to year to reflect intermediate capital market expectations. The current Glidepath reflects such intermediate expectations. The current Glidepath is reviewed annually and deviations are constrained so as to preserve the general risk and return characteristics of the strategic Glidepath. The Fund’s allocations to the broad asset classes (equity/non-traditional and fixed income) as set forth in the current Glidepath are not expected to vary from the Fund’s allocations set forth in the strategic Glidepath by more than plus or minus 5%. Where the term “Glidepath” is used by itself in this prospectus, it applies to both the strategic Glidepath and the current Glidepath.The subadviser is responsible for asset allocation of the Fund and will monitor the Fund's investments in the Underlying Funds on a regular basis in order to maintain the approximate allocation to each asset class. The Fund is “ratcheted” annually to shift the Fund’s allocation gradually from equity investments toward fixed income investments in accordance with the current Glidepath. In addition, the Fund is rebalanced periodically (typically monthly) to maintain the target asset allocations dictated by the current Glidepath (as then in effect) with respect to the Underlying Funds in which the Fund is invested.The following chart illustrates the Fund’s strategic Glidepath:The information in the table below represents the approximate current allocations for theFund.Fund NameEquity and Non-TraditionalFixed IncomePGIM Target Date 2040 Fund75%25%Pursuant to the annual ratcheting described above, this asset class mix may change each year. In addition, the Fund’s subadviser will review the current Glidepath and the Fund’s asset allocations to Underlying Funds annually to determine, in its discretion, whether the then current Glidepath allocations remain suitable to meet the Fund’s investment objective. Based on such reviews, the subadviser may, without prior notification to shareholders, make changes to the current Glidepath and/or the Fund’s asset allocations as it deems appropriate to meet the Fund’s investment objective in light of market and economic conditions and such other factors as it deems relevant. There is no assurance that the Fund’s objective will be achieved.The Fund shall maintain not less than the minimum total allocation to fixed income investments and such other constraints, if any, as may be required for it to be considered a Qualified Default Investment Alternative as defined under the Employee Retirement Income Security Act of 1974 (“ERISA”) and determined by the U.S. Department of Labor.At the time when the Fund’s target allocations match the asset allocations of the PGIM Target Date Income Fund (the “Income Fund”), PGIM Investments expects, subject to approval by the Board of Trustees, to combine the Fund with the Income Fund without shareholder approval, and the Fund’s shareholders will become shareholders of the Income Fund. This is expected to occur approximately ten years following the Fund’s target date. This combination is expected to be tax-free under current law. Shareholders will be provided with additional information at that time.
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PDHDX - Performance
Return Ranking - Trailing
| Period | PDHDX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | 12.9% | 9.6% | 22.4% | 94.18% |
| 1 Yr | 18.8% | 15.5% | 26.1% | 96.30% |
| 3 Yr | 3.7%* | -1.7% | 6.1% | 52.13% |
| 5 Yr | 8.1%* | 5.7% | 10.7% | 85.63% |
| 10 Yr | N/A* | 5.4% | 9.3% | N/A |
* Annualized
Return Ranking - Calendar
| Period | PDHDX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | 11.6% | 9.0% | 18.3% | 87.23% |
| 2022 | -21.7% | -60.3% | -15.8% | 36.17% |
| 2021 | 7.1% | -6.3% | 17.5% | 47.49% |
| 2020 | 8.5% | 3.3% | 14.9% | 84.43% |
| 2019 | 16.5% | 6.0% | 22.6% | 66.25% |
Total Return Ranking - Trailing
| Period | PDHDX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | 12.9% | 9.6% | 22.4% | 94.18% |
| 1 Yr | 18.8% | 15.5% | 26.1% | 96.30% |
| 3 Yr | 3.7%* | -1.7% | 6.1% | 52.13% |
| 5 Yr | 8.1%* | 5.7% | 10.7% | 85.63% |
| 10 Yr | N/A* | 5.4% | 9.3% | N/A |
* Annualized
Total Return Ranking - Calendar
| Period | PDHDX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | 15.3% | 11.9% | 37.9% | 92.02% |
| 2022 | -15.0% | -29.4% | -2.8% | 14.36% |
| 2021 | 17.3% | 8.3% | 22.1% | 20.67% |
| 2020 | 10.2% | 8.2% | 22.1% | 98.80% |
| 2019 | 21.9% | 19.6% | 40.1% | 91.88% |
NAV & Total Return History
PDHDX - Holdings
Concentration Analysis
| PDHDX | Category Low | Category High | PDHDX % Rank | |
|---|---|---|---|---|
| Net Assets | 48.3 M | 7.86 M | 82.6 B | 87.30% |
| Number of Holdings | 11 | 3 | 590 | 80.42% |
| Net Assets in Top 10 | 40 M | 7.3 M | 87 B | 87.30% |
| Weighting of Top 10 | 98.21% | 41.1% | 139.0% | 32.62% |
Top 10 Holdings
- PGIM Quant Solutions Large-Cap Index Fund 34.51%
- PGIM Quant Solutions International Developed Markets Index Fund 15.98%
- PGIM Total Return Bond Fund 9.87%
- PGIM TIPS Fund 8.51%
- PGIM Quant Solutions Mid-Cap Index Fund 5.21%
- PGIM Global Real Estate Fund 5.06%
- Prudential Trust Company Collective Trust-Prudential Core Conservative Bond Fund 4.95%
- PGIM Quant Solutions Commodity Strategies Fund 4.91%
- PGIM Quant Solutions Emerging Markets Equity Fund 4.64%
- PGIM Jennison Small-Cap Core E 4.57%
Asset Allocation
| Weighting | Return Low | Return High | PDHDX % Rank | |
|---|---|---|---|---|
| Stocks | 98.21% | 0.00% | 100.25% | 66.14% |
| Cash | 1.79% | 0.00% | 40.33% | 15.87% |
| Convertible Bonds | 0.13% | 0.00% | 0.98% | 68.25% |
| Preferred Stocks | 0.00% | 0.00% | 0.03% | 78.84% |
| Other | 0.00% | -0.02% | 3.30% | 80.95% |
| Bonds | 0.00% | 0.00% | 16.22% | 82.01% |
Stock Sector Breakdown
| Weighting | Return Low | Return High | PDHDX % Rank | |
|---|---|---|---|---|
| Technology | 18.75% | 13.94% | 24.03% | 51.85% |
| Financial Services | 13.95% | 13.11% | 18.83% | 78.84% |
| Healthcare | 12.38% | 10.75% | 14.53% | 59.26% |
| Consumer Cyclical | 10.59% | 8.05% | 13.32% | 76.19% |
| Industrials | 10.15% | 9.02% | 12.29% | 60.85% |
| Real Estate | 9.10% | 1.87% | 10.11% | 5.82% |
| Consumer Defense | 6.89% | 4.68% | 11.06% | 40.74% |
| Communication Services | 6.22% | 5.69% | 10.24% | 88.89% |
| Basic Materials | 4.97% | 3.14% | 6.86% | 38.62% |
| Energy | 4.44% | 2.33% | 6.31% | 47.09% |
| Utilities | 2.56% | 1.90% | 8.13% | 64.02% |
Stock Geographic Breakdown
| Weighting | Return Low | Return High | PDHDX % Rank | |
|---|---|---|---|---|
| US | 98.21% | 0.00% | 100.25% | 66.14% |
| Non US | 0.00% | 0.00% | 31.64% | 79.37% |
PDHDX - Expenses
Operational Fees
| PDHDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Expense Ratio | 6.94% | 0.01% | 6.94% | 0.53% |
| Management Fee | 0.00% | 0.00% | 0.87% | 19.89% |
| 12b-1 Fee | 0.50% | 0.00% | 1.00% | 80.00% |
| Administrative Fee | N/A | 0.01% | 0.29% | N/A |
Sales Fees
| PDHDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Front Load | N/A | 3.50% | 5.75% | N/A |
| Deferred Load | N/A | 1.00% | 4.00% | N/A |
Trading Fees
| PDHDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Max Redemption Fee | N/A | N/A | N/A | N/A |
Related Fees
Turnover provides investors a proxy for the trading fees incurred by mutual fund managers who frequently adjust position allocations. Higher turnover means higher trading fees.
| PDHDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Turnover | 41.00% | 2.00% | 112.00% | 82.46% |
PDHDX - Distributions
Dividend Yield Analysis
| PDHDX | Category Low | Category High | PDHDX % Rank | |
|---|---|---|---|---|
| Dividend Yield | 2.95% | 0.00% | 8.83% | 17.46% |
Dividend Distribution Analysis
| PDHDX | Category Low | Category High | Category Mod | |
|---|---|---|---|---|
| Dividend Distribution Frequency | None | Annual | Quarterly | Annual |
Net Income Ratio Analysis
| PDHDX | Category Low | Category High | PDHDX % Rank | |
|---|---|---|---|---|
| Net Income Ratio | 0.78% | -0.21% | 4.18% | 79.35% |
Capital Gain Distribution Analysis
| PDHDX | Category Low | Category High | Capital Mode | |
|---|---|---|---|---|
| Capital Gain Distribution Frequency | Annually | Annually | Semi-Monthly | Annually |
Distributions History
| Date | Amount | Type |
|---|---|---|
| Dec 26, 2023 | $0.398 | OrdinaryDividend |
| Dec 27, 2022 | $0.927 | OrdinaryDividend |
| Dec 27, 2021 | $1.320 | OrdinaryDividend |
| Dec 28, 2020 | $0.200 | OrdinaryDividend |
| Dec 26, 2019 | $0.180 | OrdinaryDividend |
| Dec 26, 2019 | $0.023 | CapitalGainShortTerm |
| Dec 26, 2019 | $0.351 | CapitalGainLongTerm |
| Dec 26, 2018 | $0.020 | CapitalGainShortTerm |
| Dec 26, 2018 | $0.160 | CapitalGainLongTerm |
| Dec 26, 2018 | $0.244 | OrdinaryDividend |
| Dec 26, 2017 | $0.156 | OrdinaryDividend |
| Dec 26, 2017 | $0.011 | CapitalGainShortTerm |
PDHDX - Fund Manager Analysis
Managers
Joel Kallman
Start Date
Tenure
Tenure Rank
Dec 13, 2016
5.47
5.5%
Joel M. Kallman, CFA, is a Vice President and Portfolio Manager for Quantitative Management Associates. Joel is a portfolio manager and a member of the asset allocation team. He also conducts economic and market valuation research. Joel has also held various positions within Prudential's fixed-income group, in areas such as high-yield credit analysis and performance reporting. He earned a BS and MBA in Finance from Rutgers University. He is also a member of the New York Society of Security Analysts and holds the Chartered Financial Analyst (CFA) designation.
Jeremy Stempien
Start Date
Tenure
Tenure Rank
Dec 13, 2016
5.47
5.5%
Jeremy Stempien, MBA, is a Vice President, Portfolio Manager and Strategist for QMA, working with the Dynamic Asset Allocation team. His responsibilities include the management of the Prudential Day One Funds and managing client relationships. Prior to joining QMA, Jeremy was a Director of Investments at Morningstar Investment Management where he was responsible for developing asset allocation programs for plan providers, plan sponsors, and money management companies. He worked with clients in creating and managing custom target date glide paths, selecting appropriate asset classes, and constructing model portfolios. Previously, he worked at Hewitt Associates where he was a Defined Contribution Manager. Jeremy earned a BA in Finance from Saint Louis University and an MBA in Investments from University of Notre Dame.
Lorne Johnson
Start Date
Tenure
Tenure Rank
May 05, 2020
2.07
2.1%
Lorne Johnson, PhD, is a Managing Director and Portfolio Manager working within the Global Multi-Asset Solutions team. As the Director of Institutional Solutions, he serves as a subject matter expert, and performs research and analysis for Global Multi-Asset Solutions portfolios. Prior to joining QMA, Lorne was a Senior Portfolio Manager at State Street Global Advisors’ Investment Solutions Group with a focus on managing tactical asset allocation portfolios. Previously, Lorne was a Portfolio Manager at CalPERS and Numeric Investors, a Senior Portfolio Manager at ABP Investments, and an Economist at Caxton Associates. He earned a BA in both public administration and history at California State University, an MA in applied economics at San Jose State University and an MA and PhD in economics at the University of Washington. His dissertation research focused on the application of non-linear time varying parameter models to better understanding risk premia in U.S. financial markets.
Tenure Analysis
| Category Low | Category High | Category Average | Category Mode |
|---|---|---|---|
| 0.08 | 17.59 | 5.83 | 2.41 |
