Prudential Financial IRA 3-star brokerage rating

Prudential IRA Review (2025)


Prudential Financial IRA review: Roth, SEP, Simple, 401K, rollover and traditional IRAs. Retirement account minimums, rating, cost, and fees.


Prudential Investments Overview


Prudential Financial, Inc. is a big financial services firm known for insurance. It also runs a securities division that offers programs useful to its insurance clients and others.

Prudential offers investment management through Pruco Securities, LLC, doing business as Prudential Financial Planning Services. No matter the name, you get the same services:

  • Tax planning
  • Personalized financial plans
  • Insurance advice
  • Goal reviews
  • Wealth protection
  • Education funding plans
  • And more...

You can open an advisory account as discretionary (Prudential places trades for you) or non-discretionary (you place all trades). In both cases, you get plenty of financial support.

Managed accounts keep 0.5%–2% in cash. That idle cash can be swept into two different vehicles, which we cover later.

If you prefer to trade on your own, Prudential offers self-directed brokerage accounts. These lack ongoing advisor support but carry lower fees.

Both managed and self-directed accounts let you invest in:

  • Mutual funds and ETFs
  • Options
  • Stocks
  • Bonds and other fixed-income
  • Annuities
  • Variable life insurance
  • Brokered CDs
  • Separately Managed Accounts (SMAs)

For businesses, Prudential provides retirement plans, insurance, risk transfer, and more.

Across these services, you can use different tax accounts, including:

- IRAs
- 529, 401(k), 403(b), and 457 plans
- Individual or joint taxable accounts
- Pension plans

Not every option is open to every client.


Prudential Investments Review


Opening an Investment Account


Prudential follows a traditional model: you open accounts through a financial advisor. You can schedule a call or video meeting online, or visit one of many Prudential branches across the U.S.

Start by using Prudential’s online advisor locator. You can arrange an appointment or search advisors by zip code or name.


Prudential Brokerage Fees


Self-directed accounts have no minimum balance. Fees vary by package and are disclosed when you open the account.

For example, one package charges $30 per trade for stocks and ETFs. Options cost $25.50 plus $1.05 per contract.

Bond trades have a $36 flat fee plus $4 per bond. After 25 bonds in one trade, you get $1 off each bond beyond 25.

Some mutual funds trade free. Others cost $10 per trade. Fund prospectus fees (loads) still apply.

Annual account fees range from $50 to $161, depending on your package and whether you choose electronic or paper statements.


Prudential Advisory Fees


Managed accounts use asset-based fees instead of trade commissions or flat fees. You choose from packages with fees between 0.72% and 1.95% of assets. Virtual advisors cost less. All fees are negotiable.


Find a Financial Advisor


If you are looking for a professional money management service in your area, you can find a Financial Advisor on the Wiser Advisor.

Try Wiser Advisor


Margin


Both brokerage and advisory accounts can use margin. Margin also acts as overdraft protection if you withdraw more than your cash balance. Rates are disclosed when you open the account.


Protection of Accounts


Pruco Securities is regulated by the SEC (#801-52208) and FINRA (#5685). It is covered by SIPC up to $500,000 per separate capacity.

National Financial Services, LLC clears Pruco’s trades and is also a member of these regulators.


Cash Management


Some Prudential accounts include check writing and debit cards, with certain fees detailed in your account agreement.

Prudential also offers a sweep program: uninvested cash moves automatically into an FDIC-insured bank account or a money market fund protected by SIPC.


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Prudential Global Investment Management


Prudential Global Investment Management (PGIM) runs mutual funds, closed-end funds, ETFs, and SMAs with over $1 trillion in assets.

PGIM funds are available in Pruco accounts and at other brokers. Examples include:

- PGIM Total Return Bond Fund (PDBZX)
- Prudential Day One 2050 Fund (PDJDX)
- PGIM Floating Rate Income ETF (PFRL)


Education and Research


PGIM and Prudential publish articles, slides, podcasts, and videos on economic and investment topics. You’ll also find tools to explore PGIM funds, with downloadable fact sheets and reports.

Sample content includes:

- Growth Investing Is an Active Challenge
- Three Major Investment Themes That Will Shape 2025
- Record Debt, Rocketing Rates and Unknown Fragilities


Recommendations


Beginners: Consider an advisory account with Prudential for guided investing.

Mutual Funds: PGIM funds carry 12b-1 fees and often high expense ratios. If you only need funds, look to Charles Schwab for lower fees and some PGIM funds without 12b-1 fees.

Small Accounts: Prudential’s fees do not favor small balances. Try Firstrade for lower fees and smaller minimums.

Active Stock Trading: High commissions and basic software make Prudential a poor choice. We recommend Webull for active traders.

Long-Term Investors: Prudential is fine for long-term planning. PGIM target-date funds and an advisor can help you map out retirement.


Prudential Investments Review Judgment


Prudential focuses on insurance and retirement plans but offers a solid investment service. Costs are below average, and virtual advisor clients get good value.


Updated on 4/29/2025.