MADISON, N.J.--(BUSINESS WIRE)--Prudential Real Estate Investors, which currently operates globally under two different names, today announced that it will consolidate under one brand name to support its globally diversified investment platform and client base. Effective May 16, 2016, it will rename to PGIM Real Estate in all the markets in which it operates.
The company currently operates as Pramerica Real Estate Investors outside of the Americas, Japan and Korea. With more than $65 billion in gross assets under management, as of March 31, 2016, across the Americas, Europe and Asia Pacific, PREI is the real estate investment management business of PGIM, the global investment management businesses of Prudential Financial, Inc. (NYSE: PRU). PGIM is one of the world’s largest asset managers, with more than $1 trillion in assets under management as of March 31, 2016.
“For more than a decade, we have operated under two names. As our client base and investment activities have become more globally diversified, unifying our business under one name will allow us to simplify how our clients and partners interact with us in multiple geographies,” said Eric Adler, chief executive officer of PREI. “Adopting a single name underscores that we are one, integrated global real estate investment manager.”
To highlight the growing global nature of the business, during the last decade the number of countries in which PREI’s clients are domiciled has increased nearly fourfold and today spans 28 countries. Notably, capital commitments from non-U.S. clients into PREI’s core, core plus, value-add and high-yield debt strategies comprised approximately half of its new business during the last five years.
Adler continued: “In recent years, as institutions have been under-invested in real estate versus their target allocations, we have seen capital flowing across borders into our regional and country real estate strategies. We believe this trend will continue as investors seek attractive and diversified investment opportunities outside their domestic markets.”
Since 2014, more than one-third of capital raised by PREI has originated from global investors committing capital to real estate investment strategies that invest outside their home markets. Notably:
- Two-thirds of PREI’s Asia Pacific clients have invested in U.S. real estate strategies.
- Nearly half of PREI’s European clients have committed capital to U.S., Asia Pacific and Latin American real estate strategies, with nearly one third investing specifically in Asia Pacific.
The PGIM Real Estate name was chosen in conjunction with Prudential Investment Management’s name change to PGIM in January 2016. PGIM is one of the world’s largest asset managers with deep expertise across a broad set of asset classes. PGIM’s businesses, including PREI, operate in 16 countries on five continents and offer a range of products across asset classes, including public and private fixed income, real estate debt and equity, and fundamental and quantitative public equities. PGIM operates through a unique multi-manager model, with each asset class managed by a dedicated leadership team responsible for investment and business performance, while adhering to the same global standards for controls, risk management and compliance.
PGIM is the largest real estate investment manager in the world (according to Pensions & Investments Real Estate Manager Survey – October 2015) and had approximately $150 billion in combined gross assets under management and administration across real estate equity, debt and securities as of March 31, 2016. In addition to PREI renaming to PGIM Real Estate, PGIM’s global commercial and agricultural real estate finance business will rename to PGIM Real Estate Finance in 2016.
About Prudential Real Estate Investors
Prudential Real Estate Investors is the global real estate investment business of Prudential Financial, Inc. (NYSE: PRU), and operates as Pramerica Real Estate Investors in markets outside of the Americas, Korea and Japan. Redefining the real estate investing landscape since 1970, PREI has professionals in 18 cities in the Americas, Europe and Asia Pacific with deep local knowledge and expertise, and gross assets under management of $65.4 billion ($48.3 billion net) as of March 31, 2016. PREI’s tenured team offers to its global client base a broad range of real estate investment vehicles that span the risk-return spectrum across core, core plus, value-add, debt, securities, and specialized investment strategies. For more information, http://visit www.prei.com.
About PGIM
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 fundamental equity, quantitative equity, public fixed income, private fixed income, real estate and commercial mortgages. Its businesses have offices in 16 countries across five continents and had more than $1 trillion in assets under management as of March 31, 2016. For more information, please visit http://www.pgim.com.
About Prudential Financial
Prudential Financial, Inc. (NYSE: PRU), a financial services leader with more than $1 trillion of assets under management as of March 31, 2016, has operations in the United States, Asia, Europe and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit http://www.news.prudential.com.
