At a glance
PBDE charges 0.5% a year, below the 0.86% average of the 7 funds most like it (the cheapest of 8). It has $37.4M in assets, the 8th largest of that group. Over the past year it returned +10.2% with distributions reinvested (S&P 500: +11.5%), 7th of those 8 funds.
The short version
PGIM S&P 500 Buffer 20 ETF - December (PBDE), from Prudential's PGIM, holds FLEX options on the SPDR S&P 500 ETF Trust (SPY). Over each one-year period starting December 1, it aims to absorb the first 20% of SPY's price losses in exchange for a cap on gains: 11.12% before fees for the period ending November 30, 2026. Its 0.50% expense ratio is the lowest of the eight buffer funds compared, though it is also the smallest.
Price history
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PBDE +10.2% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| PBDE official prospectus, to Dec 31, 2025 | — | +11.67% | — | — | — | +10.64% |
| PBDE price data to Oct 27, 2026 | +8.5% | +10.2% | — | — | — | +10.5% |
- Over the year to Oct 27, 2026, PBDE returned +10.2%, 7th of 8 among similar funds.
- Its worst full calendar year was 2025 (+11.9%); its best was 2025 (+11.9%).
- The deepest fall in its price history was 8.9% (Feb 18, 2025 to Apr 8, 2025), recovered by Jun 12, 2025.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +8.5% | — |
| 2025 | +11.9% | +11.67% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
What's inside
As of Jul 31, 2026, the fund held 0 securities; the ten largest made up 0% of assets.
| Holding | Weight |
|---|
By country
By asset type
What changed recently
- Over the three months to Jul 31, 2026, investors added a net $568K (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +1.83%, +0.10%, +0.63%.
How it works
PBDE is an actively managed ETF, but its method is mechanical. It does not own stocks. Instead it puts nearly all its money into FLEX Options, which are exchange-traded options with custom strike prices and expiration dates, on SPY. SPY is a unit investment trust that holds the S&P 500 stocks at their index weights. As of July 31, 2026, options made up 99.37% of the fund and cash 0.67%. The largest position, about 92% of assets, was a call option with a very low strike price that moves almost one-for-one with SPY. The fund also held a put option at SPY's starting price of 683.39 and had sold a put at 546.71, about 20% lower. Together the two puts form the buffer.
Each outcome period lasts one year from December 1. If SPY rises, the fund aims to match the gain up to a cap. For December 1, 2025 through November 30, 2026, the cap was 11.12% before fees, or 10.62% after the 0.50% fee. If SPY falls, the fund aims to absorb the first 20% of the loss (19.5% after fees). Losses beyond 20% pass through one-for-one. A new cap is set each December based on market conditions. The buffer stays at 20%.
These results apply only to shares held from the first day of the period to the last. Shares bought or sold partway through can end up with very different results. Returns follow SPY's share price only, so holders do not receive the S&P 500's dividends.
What it really costs
- PBDE charges 0.5% a year, versus an average of 0.86% for the similar funds below (1st of 8, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $51 in the first year and $628 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| PBDE | $51 | $160 | $280 | $628 |
Structure and tax notes
- Organized as a unit investment trust: it cannot lend out its securities or reinvest dividends between payouts, which can create a small drag versus similar open-end ETFs.
- Uses options to limit losses within a range (the buffer) in exchange for a cap on gains over each outcome period; results depend on when you buy relative to the period start.
In a retirement portfolio
It keeps S&P 500 exposure while options absorb the first 20% of each one-year price loss, in exchange for a cap on gains.
PBDE could let a retirement portfolio keep some stock exposure while limiting losses in a bad year. Its record is short. It launched in May 2024, so it did not exist during the 2008, 2020 or 2022 declines. Its deepest drop was 8.9%, from February 18 to April 8, 2025, and it recovered by June 12, 2025, about two months later. Its only full calendar year, 2025, returned 11.67%. The buffer applies only over the full December-to-November period, so shares sold partway through a falling market may not get the full protection. The fund recorded no distributions and pays no income. Its 0.50% expense ratio is below the 0.86% average of similar buffer funds. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want S&P 500 exposure with the first 20% of one-year losses buffered, and who accept a cap of 11.12% before fees through November 30, 2026.
- Cost-conscious buffer investors. Its 0.50% expense ratio is below every peer compared, including 0.79% for Innovator's PDEC and 0.95% for FT Vest's BUFR.
- Investors who can buy near December 1 and hold for the full year, which is the only way to get the stated cap and buffer.
Look elsewhere if
- Anyone who needs income. The fund recorded no distributions, and its returns leave out the dividends paid by S&P 500 companies.
- Investors expecting strong rallies. When SPY gains more than the cap in an outcome period, the fund gets none of the extra gain.
- Those who want a long track record or a large fund. It launched in May 2024 and held about $37 million as of July 31, 2026.
Close alternatives
Matched by other buffer (defined-outcome) funds, largest first.
| Fund | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|
| PBDE this fund | 0.5% | $37.4M | +10.2% | — |
| BUFR FT Vest Laddered Buffer ETF | 0.95% | $10.49B | +11.6% | +16.8% |
| BUFD FT Vest Laddered Deep Buffer ETF | 0.95% | $2.04B | +9.5% | +13.9% |
| PJAN Innovator U.S. Equity Power Buffer ETF - Ja… | 0.79% | $1.44B | +10.5% | +14.8% |
| PDEC Innovator U.S. Equity Power Buffer ETF - De… | 0.79% | $984.1M | +11.6% | +14.9% |
| FDEC FT Vest US Equity Buffer ETF - December | 0.85% | $1.31B | +12.9% | +18.5% |
| FJAN FT Vest US Equity Buffer ETF - January | 0.85% | $1.47B | +12.3% | +17.4% |
| FFEB FT Vest U.S. Equity Buffer Fund - February | 0.85% | $1.42B | +12.9% | +18.6% |
Questions investors ask
Does PBDE pay dividends?
No. The fund recorded no distributions. PBDE holds options on SPY, not the stocks themselves, and its returns follow only SPY's share price. That means holders give up the dividends paid by S&P 500 companies, which is part of the cost of the buffer. Investors who need regular income from a holding would need to get it elsewhere or sell shares.
What happens to PBDE if the S&P 500 drops more than 20%?
PBDE takes the losses beyond 20%. The buffer covers only the first 20% of SPY's price drop over a full outcome period, before fees. After that, losses pass through one-for-one. The prospectus gives an example: if SPY falls 25% over the period, the fund is expected to lose about 5% before fees. After the 0.50% fee, the buffer is closer to 19.5%. The fund does not protect your principal.
What is PBDE's upside cap?
For December 1, 2025 through November 30, 2026, the cap was 11.12% before fees, or 10.62% after the management fee. A new cap is set each December 1 based on market conditions, so it changes every year. The 20% buffer stays the same. Both apply only to shares held for the whole period. Shares bought partway through may have more or less room to gain and less buffer left.
PBDE vs PDEC: what's the difference?
Both are buffer ETFs on U.S. large-company stocks that reset each December, but they come from different issuers and set their own buffer and cap terms. PBDE charges 0.50%. Innovator's PDEC charges 0.79%. PDEC is much larger, at about $984 million in net assets against about $37 million for PBDE, both as of July 31, 2026. Over the year to October 27, 2026, PDEC returned 11.6% and PBDE returned 10.2%.
How much does PBDE cost?
PBDE's expense ratio is 0.50%, the lowest of the eight buffer funds compared. The average for the others is 0.86%. Under the SEC's standard example, which assumes $10,000 invested with a 5% yearly return, total costs would be about $51 after one year, $160 after three, $280 after five and $628 after ten. Brokerage commissions and trading costs come on top of that.