AST BlackRock Value Portfolio - Prudential Annuities

U.S. Large-Cap Value (T. Rowe Price). T. Rowe Price invests primarily in common stocks of large U.S. companies that appear to be
undervalued, and in securities that are expected to produce dividend income. T. Rowe Price also may invest up to 10% of the
assets attributable to this investment category in foreign securities. T. Rowe Price typically employs a “value” approach in selecting
investments for the domestic large-cap value portion of the Portfolio. T. Rowe Price’s in-house research team seeks to identify
companies that appear to be undervalued by various measures and may be temporarily out of favor but have good prospects for
capital appreciation and dividend growth.
U.S. Small-Cap. QMA also allocates Portfolio assets to the U.S. Small-Cap investment category. The Portfolio achieves exposure to
U.S. small-cap equity securities through investments in certain other portfolios of the Trust (the Underlying Small-Cap Portfolios).
PI employs various quantitative and qualitative research methods to establish weighted combinations of Underlying Small-Cap
Portfolios. The Underlying Small-Cap Portfolios in which the Portfolio currently invests are described briefly below.
Underlying Small-Cap Portfolio Investment Objective Principal Investments
AST Small-Cap Growth Seeks long-term capital growth Invests at least 80% of the value
of its assets in small
capitalization companies
AST Federated Aggressive Growth Seeks capital growth Invests primarily in the stocks of
small companies that are traded
on national exchanges, NASDAQ
stock exchange and the
over-the-counter market
AST Small-Cap Value long-term capital growth Invests primarily in stocks and
equity-related securities of small
capitalization companies that
appear to be undervalued
AST Goldman Sachs Small-Cap Value Seeks long-term capital appreciation Invests primarily in equity
securities of small capitalization
companies that are believed to
be undervalued in the
marketplace.
International Growth (William Blair). William Blair uses fundamental research to identify stocks of foreign companies with market
capitalizations over $100 million that have above-average prospective growth, evidence of sustainability of future growth,
above-average profitability and reinvestment of internal capital, and conservative capital structure.
International Value (LSV). LSV employs a proprietary model and other quantitative methods in an attempt to pick undervalued
foreign stocks with high near-term appreciation potential. Cash flow-to-price ratios, book-to-market ratios and certain past
performance measures are some of the important variables reviewed by LSV in its investment process.
U.S. Fixed-Income (PIMCO). Under normal circumstances, PIMCO invests primarily in a diversified portfolio of fixed-income
instruments of varying maturities. The average portfolio duration for securities held in this investment category normally varies
within two years (plus or minus) of the duration of the Barclays Capital U.S. Aggregate Bond Index, as calculated by PIMCO.
PIMCO invests primarily in fixed-income securities that are rated investment grade by established rating services but may invest
up to 10% of the total assets attributable to this investment category in junk bonds. The Portfolio may invest up to 10% of its total
assets in preferred stock, convertible securities and other equity related securities.
Hedged International Bond: Developed Markets Sub-category and Emerging Markets Sub-category (PIMCO). The Hedged
International Bond investment category contains a Developed Markets sub-category and an Emerging Markets sub-category.
PIMCO is responsible for allocating assets between the Developed Markets sub-category and the Emerging Markets sub-category.
Emerging markets include those in countries defined as emerging or developing by the World Bank. Remaining markets will be
classified as developed markets. In general terms, a security will be considered to be an emerging market security if it is
principally traded on the securities markets of an emerging market country, or if the issuer thereof is organized or principally
operates in an emerging market country, derives a majority of its income from its operations within an emerging market country,
or has the majority of its assets in an emerging market country.
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