Prudential Expands Multi-Strategy Portfolio Offerings; Next Generation Managed Accounts Offer Diversification Within a Single Account.

Business Editors

NEWARK, N.J.--(BUSINESS WIRE)--May 27, 2003

Prudential Financial, Inc. (NYSE:PRU) announced today the introduction of 12 new multi-strategy portfolios - individually managed accounts that feature investments in more than one asset class or investment style. The accounts are available to investors, on a wrap fee basis, through Prudential's Managed Accounts Consulting Services Program (MACS.)

The portfolios, with minimum investments ranging from $100,000 to $250,000 are managed by leading investment managers including Eaton Vance Management, ING Managed Account Group, Phoenix Investment Partners, Ltd., PIMCO Advisors and Portfolio Services Group.

"The beauty of the multi-strategy approach is that one lead manager oversees the entire portfolio," said Judy Rice, president, Prudential Investments. "Investments are consolidated in one account, the lead portfolio manager monitors and rebalances asset allocations, and the client receives one statement to track progress."

Each of the accounts falls into either the equity or balanced category, and the lead portfolio managers have the ability to change the weightings of their portfolios within preset limits to favor one investment style or another, depending on market conditions.

"Multi-strategy portfolios can help investors lessen potential market volatility through diversification, avoid portfolio style bias due to market appreciation or cycles in investment styles, and avoid unintended duplication of positions that can occur with several individually managed accounts," Rice continued.

Multi-strategy portfolios may benefit the following investors:

-- High net worth investors seeking diversification and less

paperwork

-- Investors new to individually managed accounts who are looking

to invest in several disciplines

-- Investors with overlapping positions in existing managed

accounts

The MACS program's Multi-Strategy Portfolios feature money managers who have been screened and thoroughly researched by the company's Strategic Investment Research Group (SIRG). SIRG follows a comprehensive and disciplined process in selecting and monitoring managers, using a proprietary 10-attribute manager evaluation model.

Prudential's MACS platform also includes an Equity Multi-Strategy Portfolio and a Balanced Multi-Strategy Portfolio managed by Jennison Associates, the public equity asset management subsidiary of Prudential Financial.

MACS is an investment advisory program offered by Prudential Securities and Pruco Securities Corporation and may not be suitable for all investors.

Prudential Financial companies, with approximately $550 billion in total assets under management and administration as of March 31, 2003, serve individual and institutional customers worldwide and include The Prudential Insurance Company of America, one of the largest life insurance companies in the United States. These companies offer a variety of products and services, including life insurance, property and casualty insurance, mutual funds, annuities, pension and retirement related services and administration, asset management, securities brokerage, banking and trust services, real estate brokerage franchises and relocation services. For more information, visit www.prudential.com.