Prudential Financial, Inc. · NYSE:PRU
Prudential Financial — Trimester Webinar (December 2023)
14 slides from Prudential Financial's conference presentation, December 2023
Slide 1: Political Update
Created Exclusively for Financial Professionals. Not for Use with Consumers. Political Update David Burns, Head of Federal Government Affairs The Prudential Insurance Company of America, Newark, NJ. 1076520-00001-00 Ed. 12/2023
Slide 2: Executive Summary
Executive Summary • Polarization and performance politics drive the day • 2024 legislating is mostly about keeping the lights on • The 2024 election is a jump ball • 2025 will be a huge year in tax policy as the cliff approaches • The profession faces uncertainty in the tax code • Debt and deficits
Slide 3: The Political Environment
The Political Environment A circus on shifting ground Echo chambers drive performance politics, Slow motion realignment, self polarization sorting Created Exclusively for Financial Professionals. Not for Use with 3 Consumers.
Slide 4: Your Leaders in 2024
Your Leaders in 2024 Slowest lawmaking pace since 1932 President Vice President Joe Kamala Biden Harris (D-DE) (D-CA) Speaker Minority Majority Minority Rep. Mike Leader Leader Leader Johnson Rep. Sen. Chuck Sen. Mitch (R-LA) Hakeem Schumer McConnell Jeffries (D-NY) (R-KY) (D-NY) 51 Democrats 221 Re
Slide 5: 2024 Elections at a Glance
2024 Elections at a Glance HOUSE SENATE WHITE HOUSE • Very narrow • Map strongly favors • 2020 rematch majority Republicans looking very likely • Perfect gerrymander • High profile swing • Only 6 states matter • Retirements are Senators not coming piling up back FLIP POSSIBLE FLIP LIKELY FLIP A COIN
Slide 6: Race for the White House: The Rematch
Race for the White House The Rematch The six states that matter It’s happening…just accept it • Trump overwhelming lead in primary polling • Biden committed to running, no obvious replacement Source: New York Times / Siena Poll, November 2023 Created Exclusively for Financial Professionals. Not for
Slide 7: House Members Representing The Other Side
House Members Representing The Other Side Split ticket voters still exist TRUMP BIDEN CARRIES CARRIES DISTRICT DISTRICT (5) (18) Source: Bloomberg Government Website, Accessed 12/22/23 Created Exclusively for Financial Professionals. Not for Use with 7 7 Consumers.
Slide 8: Advantage Republicans in Race for Senate Control
Advantage Republicans in Race for Senate Control • Democrats defending seats in WV, MT, OH, PA, WI, MI, NV, AZ… • Republicans defending seats in TX, FL, MS, TN, IN… • Republicans learning lessons, focusing on candidate recruitment. • Next two maps favor Democrats. Source: Thorn Run Partners Website,
Slide 9: TCJA – Major Expiring Individual Provisions
TCJA – Major Expiring Individual Provisions Individual Exp. Rates TCJA Individual 10% 12% 22% 24% 32% 35% 37% Dec. 2025 Rates Pre-TCJA Individual 10% 15% 25% 28% 33% 35% 39.6% Rates Provision TCJA Pre-TCJA Exp. CTC $2,000 $1,000 Dec. 2025 SALT Cap $10,000 No Cap Dec. 2025 Mortgage First First $1 Int
Slide 10: 2024 Election Implications for TCJA Expirations
2024 ELECTION IMPLICATIONS FOR TCJA EXPIRATIONS DIVIDED REPUBLICAN DEMOCRATIC GOVERNMENT CONTROL CONTROL • Extend TCJA middle-class • Comprehensive • Extend only TCJA middle- tax rates, maybe more extension of TCJA class tax rates provisions • Potential bipartisan • Push for expanded CTC cooperation
Slide 11: Scoping in Financial Advisor Issues Potentially in Play
Potentially in Play Scoping in Financial Advisor Issues Rep. Jason Smith (R- MO) House Ways & Means • Estate Tax & Trusts K • e Retirement Savings Incentives Sen. Ron Wyden (D- OR) y • Billionaires’ Tax Senate Finance • Private Placement Products P Rep. Richard Neal (D- l • Inside Buildup MA) a • Ta
Slide 12: Key Dynamics in 2025
Key Dynamics in 2025 Fiscal challenges and political populism Created Exclusively for Financial Professionals. Not for Use with 12 Consumers.
Slide 13: Thank you!
Thank you! Created Exclusively for Financial Professionals. Not for Use with 13 Consumers.
Slide 14: Important Information
Important Information The Prudential Insurance Company of America, Newark, NJ. This material is being provided for informational or educational purposes only and does not take into account the investment objectives or financial situation of any clients or prospective clients. The information is not
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