Business Context and Reporting Period
Reporting Manager: Prudential Financial, Inc.
Filing Type: Form 13F-HR (Holdings Report)
Reporting Period: Quarter ended June 30, 2006
Filing Date: August 10, 2006
Scope: This report details the equity securities held by Prudential Financial, Inc. and two included managers (Prudential Investment Management, Inc. and Quantitative Management Associates). It represents a snapshot of long-only equity positions and does not include debt, cash, or derivatives other than listed options.
Key Financial Metrics
Total Portfolio Value: $41,018,831,000
Total Number of Holdings: 2,403 entries
Top Sector Exposure: The portfolio is heavily diversified across Financials, Technology, Healthcare, Energy, and Consumer Discretionary sectors.
Largest Single Position: General Electric Co. ($30,556,564,000 reported value in table, though this appears to be a data anomaly in the raw text as it exceeds the total portfolio value; the text lists 100,714,400 shares. Based on the total portfolio value of ~$41B, the largest actual positions by value are likely Exxon Mobil, Microsoft, or General Electric, but specific individual position values are not explicitly summed in the summary text provided).
Note: The raw text lists share counts and CUSIPs but does not provide a calculated "value per position" column that sums to the total. The total value is stated as $41.02 billion.
Material Changes and Portfolio Composition
Portfolio Concentration: The portfolio is highly diversified with 2,403 distinct security entries. No single issuer dominates the entire $41 billion portfolio, though large-cap blue chips are prevalent.
Notable Holdings (by share count):
- General Electric Co: 100,714,400 shares
- Exxon Mobil Corp: 1,258,693 shares
- Microsoft Corp: 698,225 shares
- Johnson & Johnson: 536,073 shares
- Verizon Communications: 351,646 shares
- Walmart Stores Inc: 343,314 shares
Guidance, Outlook, and Risks
Management Commentary: Form 13F filings are regulatory disclosures of holdings and do not contain management commentary, earnings guidance, or forward-looking outlooks.
Risks and Contingencies: As a passive disclosure of holdings, this document does not outline specific risks or contingencies. However, the concentration in large-cap U.S. equities exposes the portfolio to broad market volatility, interest rate sensitivity (particularly in the Financial and Real Estate sectors), and sector-specific regulatory risks.
Important Facts for Investor Verification
- Total AUM Reported: Verify the $41.02 billion total value against Prudential's broader quarterly financial statements to understand the proportion of assets managed under this specific 13F mandate.
- Top 10 Holdings: Investors should calculate the exact dollar value of the top 10 positions (e.g., GE, Exxon, Microsoft) to assess concentration risk, as the raw text provides share counts but not individual position values.
- Option Activity: Review the specific call and put positions (e.g., Intel, Microsoft, Yahoo) to determine if the manager is employing hedging strategies or speculative bets on volatility.
- Manager Attribution: Note that the report includes holdings from "Prudential Investment Management, Inc." and "Quantitative Management Associates," suggesting a mix of fundamental and quantitative investment styles within the reported total.
- Reporting Lag: This data reflects positions as of June 30, 2006, and was filed on August 10, 2006. It does not reflect any trading activity that occurred in July or August 2006.