PGIM Quantitative Solutions

Rating Overview

PGIM Quantitative Solutions is Medium Risk.

PGIM Quantitative Solutions is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. PGIM Quantitative Solutions occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	No Data
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Medium Risk
Political Actions	No Data

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

PGIM is a signatory of the Principles for Responsible Investment, incorporating ESG issues into investment analysis, decision-making, and other business practices (1)(2). PGIM integrates ESG into its business practices by “promoting ESG investment principles within the investment industry” (3). However, PGIM has not canceled customers, suppliers, or vendors based on political views or religious beliefs (4).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

N/A

Rationale:

PGIM does not publish charitable giving guidelines (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

PGIM appears to prioritize diversity over merit in its hiring and leadership composition. From its Statement on Diversity, Equity and Inclusion page: “We foster equity by hiring, identifying, retaining and accelerating top diverse talent at all levels. We believe that this is both a moral and business imperative”. PGIM does not provide viewpoint protections for its employees (1).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

PGIM supports DEI within its business practices, employing a DEI Officer and Office (1). PGIM is a member of the International Sustainability Accounting Standards Board Investor Advisory Group (IIAG) committed to creating sustainability disclosures among investors (2)(3). PGIM is a Ceres Network Member, committed to carbon neutrality by 2040. PGIM is aligned with the Paris Agreement, which entails a commitment to net-zero carbon emissions by 2050 (4)(5). PGIM is a Carbon Disclosure Project signatory, which includes a commitment to disclosing environmental impacts and engaging with companies on ESG issues (6)(7). PGIM is a member of the Institutional Investors Group on Climate Change, which cofounded the Climate Action 100+, the Net Zero Asset Managers initiative, and Paris Aligned Asset Owners (8)(9). PGIM regularly engages with investee companies to promote environmental changes within the companies (10). PGIM is a member of the NASP, an organization that supports “black and brown” inclusion in the financial services industry (11). PGIM is a member of Out Leadership, an organization that “connects and develops LGBTQ+ and Ally leaders across the globe” (12)(13).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Medium

Rationale:

PGIM is a Legacy Member of Out Leadership, a global network of LGBT+ business leaders from major companies that seeks to advance LGBTQ+ representation in corporate leadership and integrate LGBTQ+ priorities into workplace strategies. The first LGBTQ+ B-Corporation, Out Leadership accomplishes this through convening leadership summits, directing talent initiatives, and providing advisory solutions that emphasize the positive impact of LGBT+ inclusion for business (1)(2)(3)(4). Otherwise, there are no publicly known cases of the company using corporate funds to advance ideological causes, organizations, or policies (5).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

PGIM does not operate a PAC or engage in lobbying at this time (1)(2)(3).