Prudential Financial Inc. - 4.125% NT REDEEM 01/09/2060 USD 25

Refreshed strategy (what the company is changing and why) - Prudential aims to be a simpler, more focused, execution-excellent company with top-quartile earnings growth excluding legacy VA, higher free cash flow conversion, and sustained strong returns on capital. - 4 key priorities: (1) Cut geographic footprint ~by half, concentrating liability generation in U.S., Japan, and select Europe; (2) Scale category leaders: Global Retirement, PGIM (asset management), and select Protection; (3) Optimize capital deployment by shifting mix toward more capital-light businesses (explicitly: PGIM to become ~25% of PFI’s AOI vs. ~12% today); (4) Leverage global scale for efficiency to drive ~$750m pretax run-rate benefits by year-end 2028 (up from an original target of $150m in 2027).

Financial performance (Q2 results—good headline numbers) - After-tax adjusted operating income: ~$1.4B ( $4.08/share, +14% YoY ). - Year-to-date operating ROAE: 15.5% (+110 bps YoY). - Strength attributed to higher spread income, favorable assumption updates, and higher asset management fees (partly offset by higher expenses tied to Japan actions and sales support).

PGIM and asset management momentum (key opportunity + trajectory) - PGIM delivered pretax adjusted operating income of $294M (+28% YoY) and 28.2% adjusted operating margin, up 470 bps YoY. - Margin expansion outlook: “On track” for >200 bps margin expansion in 2026 as it moves toward 25%–30% target. - Private capital deployment grew ~60% sequentially to nearly $21B; key driver cited as asset-backed finance (~$7B). - ETF momentum: AUM up ~21% sequentially to ~$35B, with active ETF inflows continuing despite broader equity rotations.