PGIM AAA CLO Aggregate Duration ETF (AAAD)

The PGIM AAA CLO Aggregate Duration ETF is a fixed income fund from PGIM Investments, the asset management arm of Prudential Financial. Its core holdings are AAA-rated tranches of collateralized loan obligations, the senior notes issued by securitizations backed by pools of corporate leveraged loans.

CLO tranches normally pay floating rates and therefore carry very little interest rate sensitivity. As the fund's name suggests, this strategy pairs that CLO exposure with an interest rate overlay intended to bring the portfolio's overall duration in line with that of the broad U.S. investment-grade bond market, giving it a rate profile similar to a core aggregate bond fund while sourcing credit exposure from senior CLO debt.

The fund is actively managed and trades on NYSE Arca under the ticker AAAD.