PRU

Prudential Financial, Inc.

2026-01-17 12:57 AM

-4.07%

Prudential drops sharply after Japan unit CEO resigns amid widespread employee misconduct

According to Reuters, the CEO of Prudential's Japan life insurance unit will resign effective February 1, 2026, following revelations that approximately 100 employees engaged in misconduct affecting 498 customers and involving roughly $19.6 million. The misconduct included embezzlement, improper receipt of funds, and personal loans from customers.

Analysis

This continues the selloff that began when the Japan scandal news broke, with PRU significantly underperforming both the broader market and financial sector. The magnitude of the drop reflects investor concern about potential regulatory scrutiny, reputational damage in a key Asian market, and questions about internal controls. This is the second consecutive day of sharp losses tied to this story, suggesting the market is still digesting the implications.

Sources

Date: 2026-01-17

Price: $111.69

Type: Stock Specific

Confidence: high