AST BlackRock Value Portfolio - Prudential Annuities

(such as Baa/BBB or better by Moody’s or S&P, respectively). Obligations rated in the fourth category (Baa/BBB) have speculative
characteristics. These lower-rated obligations are subject to a greater risk of loss of principal and interest. The Jennison Value
Portfolio may, however, also invest up to 10% of its total assets in obligations rated below investment grade by Moody’s and S&P.
Debt securities rated below investment grade are considered to be predominately speculative with respect to an issuer’s capacity
to pay interest and repay principal in accordance with the terms of such obligations. Jennison may also invest in instruments that
are not rated, but which it believes are of comparable quality to the instruments described above. The Jennison Growth Portfolio
will not invest in debt securities rated below investment grade.
The Portfolios may invest in various types of debt obligations, including, without limitation: (i) U.S. Government securities;
(ii) certain debt obligations issued or guaranteed by the U.S. Government and government-related entities, including
mortgage-related securities; (iii) privately-issued mortgage-related and asset-backed securities; (iv) debt obligations of
U.S. corporate issuers; and (v) derivatives and synthetic instruments that have economic characteristics that are similar to these
types of securities and obligations.
AST JPMORGAN INTERNATIONAL EQUITY PORTFOLIO
Investment Objective: capital growth.
Principal Investment Objectives:
The Portfolio invests, under normal circumstances, at least 80% of the value of its assets in equity securities. Equity securities
include common stocks, securities convertible into common stocks securities having common stock characteristics or other
derivative instruments whose value is based on common stocks, such as rights, warrants or options to purchase common stock,
preferred stock, convertible preferred stock, convertible bonds, convertible debentures, convertible notes, depository receipts,
futures contracts and swaps investments.
The Portfolio seeks to meet its investment objective by normally investing primarily in a diversified portfolio of equity securities of
companies located or operating in developed non-U.S. countries and emerging markets of the world. The equity securities will
ordinarily be traded on a recognized foreign securities exchange or traded in a foreign over-the-counter market in the country
where the issuer is principally based, but may also be traded in other countries including the United States.
The Portfolio normally allocates its investments among a variety of countries, regions and industry sectors, investing in several
countries outside of the United States. However, the Portfolio may invest a substantial part of its assets in any one country. The
Portfolio intends to invest in companies (or governments) in the following countries or regions: the Far East including Japan,
Europe including the UK and other countries or areas that the Subadviser may select from time to time. The Portfolio may invest
up to 15% of its total assets in securities of issuers located and operating primarily in emerging market countries.
While the Portfolio may engage in transactions intended to hedge its exposure to fluctuations in foreign currencies, it does not
normally do so. To the extent the Portfolio invests in securities of issuers in developing countries, the Portfolio may be subject to
even greater levels of risk and share price fluctuation. Transaction costs are often higher in developing countries and there may be
delays in settlement of transactions.
Other Investments:
The Portfolio may invest up to 20% of its total assets in debt or preferred equity securities exchangeable for or convertible into
marketable equity securities of foreign companies. In addition, the Portfolio may regularly invest up to 20% of its total assets in
high-grade short-term debt securities, including U.S. Government obligations, investment grade corporate bonds or taxable
municipal securities, whether denominated in U.S. dollars or foreign currencies. The Portfolio also may purchase and write
(sell) covered call and put options on securities and stock indices. The Portfolio may also purchase and sell stock and interest rate
futures contracts and options on these futures contracts. The purpose of these transactions is to hedge against changes in the
market value of the Portfolio’s securities caused by changing interest rates and market conditions, and to close out or offset
existing positions in options or futures contracts. The Portfolio may from time to time make short sales “against the box.”
AST JPMORGAN STRATEGIC OPPORTUNITIES PORTFOLIO
Investment Objective: to maximize return compared to the benchmark through security selection and tactical asset allocation.
Principal Investment Policies:
The Portfolio utilizes a variety of diversifying asset classes and investment styles, including a significant allocation to alternative
investment strategies such as market neutral, 130/30, and absolute return.
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