Prudential’s PGIM said to merge fixed income, private credit units into $1T platform

Prudential Financial’s (NYSE:PRU) investment management division, PGIM, is set to establish a nearly $1T credit unit by combining its fixed income and private credit arms, according to a media report published Tuesday.

John Vibert, previously in charge of the fixed income unit, will head the newly merged entity, Bloomberg reported, citing people familiar with the matter. Matt Douglas will run the private credit unit and report to Vibert.

The company, as part of new CEO Jacques Chappuis’s overhaul plan, is also combining its multi-asset and quantitative solutions capabilities, the article said. This combined business will be led by Phil Waldeck, who had been overseeing the company’s multi-asset unit.

The changes are expected to lead to workforce reductions throughout the year, the people told Bloomberg. Chief Operating Officer Taimur Hyat is anticipated to leave in the weeks ahead.

PGIM manages some $862B of public fixed-income assets and $110B of private credit.