The fund will target 30 to 40 companies that are considered the next generation of high-growth opportunities across small and mid-sized companies.
Benchmarked against the MSCI All Country World SMID Cap index, the fund invests in a range of industries innovating within the themes driving the next generation economy such as digital payments, e-commerce platforms, and cloud computing.
Kimberly LaPointe, head of PGIM Investments International, said: “Small and mid-cap stocks tend to be less well researched than larger-capitalisation stocks, and Jennison’s specialism in unearthing equity growth is well suited to this segment of the market.”
The PGIM Jennison Next Generation Opportunities fund will be managed by a team led by global small- and midcap equity portfolio manager, John Donnelly, and head of global equity, Mark Baribeau.
Donnelly said: “As growth becomes harder to find, our active approach seeks to invest early in a company’s life cycle to capture a long runway of compounded returns.”
The fund launched on 31 August with $25m in assets under management. It is a sub-fund of the Irish-domiciled UCITS fund umbrella, PGIM Funds plc.
PGIM intends to initially register the fund for sale in Austria, Denmark, Belgium, Finland, France, Germany, Italy, Luxembourg, Netherlands, Norway, Singapore (institutional investors only), Spain, Sweden, Switzerland, and the United Kingdom.