PGIM, the $1.5 trillion global asset management business of Prudential Financial, Inc., has launched two new core equity exchange-traded funds (ETFs): the PGIM Jennison Small-Mid Cap Core Equity ETF (PJSM) and the PGIM Jennison International Core Equity ETF (PJIN).

Both ETFs are subadvised by Jennison, an investment group within PGIM that specializes in a range of fundamental active equity and fixed income investment strategies. The launches come as active ETFs continue to be one of the fastest-growing segments of the fund industry, with asset managers increasingly wrapping fundamental stock-picking strategies in the transparent, exchange-traded structure that has historically been dominated by passive index products.

"The launches further advance PGIM's previously announced effort to organize its equity ETF lineup around core and focused investment solutions, providing investors with a clearer and more consistent framework for portfolio construction," said Stuart Parker, head of Global Wealth, PGIM. "The ETFs are designed to serve as diversified portfolio building blocks, offering investors actively managed, core equity market exposure through fund structures that are accessible, transparent, and competitively priced."

Under normal market conditions, the PGIM Jennison Small-Mid Cap Core Equity ETF invests at least 80% of its investable assets in equity and equity-related securities of small- and medium-capitalization companies. Jennison considers small- and medium-capitalization companies to be those with market capitalizations less than the largest market capitalization found in the Russell 2500 Index. The fund is listed on NYSE Arca, Inc. and offered at a 0.29% net expense ratio.

The PGIM Jennison International Core Equity ETF invests primarily in issuers that are non-U.S. companies located in countries outside the United States or that have their primary economic exposure outside the United States, including non-U.S. issuers located in emerging markets. This ETF is also listed on NYSE Arca, Inc. and is offered at a 0.23% net expense ratio. Both fee levels sit in the range of actively managed ETF pricing, which is typically higher than plain index-tracking ETFs but below many traditional actively managed mutual funds.

Both funds draw on the insights of Jennison's fundamental investment team to employ disciplined, risk-managed portfolio construction frameworks that seek to balance active stock selection with portfolio risk management.

"Core equity investing is often viewed as a choice between active conviction and benchmark discipline, but the reality is that investors don't have to sacrifice one for the other," said Ken Moore, head of Jennison. "We draw on decades of bottom-up, fundamental research experience and a global opportunity set to identify opportunities that may be overlooked by purely index-based approaches."

Founded in 1969, Jennison manages $213 billion in client assets across a range of equity and fixed income investment strategies. Original fundamental research, specialized investment teams, strong client focus, and highly experienced investment professionals are among the firm's competitive distinctions. The new funds extend a broader PGIM push into the ETF wrapper, as traditional asset managers seek to meet investor demand for exchange-traded vehicles across both core and specialized exposures.