Financial Highlights

Pruco Life sells a number of variable annuity and variable life insurance products. These products have unique combinations of features and fees that are charged against the contract owner’s account balance. Differences in the fee structures result in a variety of unit values, expense ratios and total returns.

In the table below, the contract owner units and net assets, the investment income ratio and the ranges of lowest to highest unit values, expense ratios and total returns are presented for the products offered by Pruco Life and funded through the Real Property Account. Only product designs within the Real Property Account that had contract owner units outstanding during the respective periods were considered when determining the ranges, which exclude Pruco Life’s position in the Real Property Account.

The table may not reflect the minimum and maximum contract charges as contract owners may not have selected all available and applicable products offered by Pruco Life as disclosed in Note 1.



	Units (000’s)	Unit Value Lowest- Highest					Net Assets (000’s)		Investment Income Ratio⁽¹⁾		Expense Ratio⁽²⁾ Lowest-Highest			Total Return⁽³⁾ Lowest-Highest
December 31, 2019	18,007	$	3.44	—	$	4.63	$	76,904	2.74	%	0.35%	—	1.25%	1.49%	—	2.41%
December 31, 2018	19,057	$	3.39	—	$	4.52	$	79,624	3.06	%	0.35%	—	1.25%	2.60%	—	3.53%
December 31, 2017	19,952	$	3.31	—	$	4.37	$	80,712	3.10	%	0.35%	—	1.25%	3.60%	—	4.53%
December 31, 2016	20,921	$	3.19	—	$	4.18	$	81,138	3.51	%	0.35%	—	1.25%	3.80%	—	4.73%
December 31, 2015	21,798	$	3.07	—	$	3.99	$	80,863	3.16	%	0.35%	—	1.25%	7.78%	—	8.74%

⁽¹⁾This amount represents the contract owners' proportionate share of net investment income from the underlying Partnership divided by the contract owners' average daily net assets of the Real Property Account. This ratio excludes those expenses, such as mortality and expense risk and administrative expenses that result in direct reductions in the unit values.

⁽²⁾These amounts represent the annualized contract expenses of the Real Property Account, consisting primarily of mortality and expense risk and administrative charges, for each period indicated. These ratios include only those expenses that result in a direct reduction to unit values. Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying Partnership are excluded.

⁽³⁾These amounts represent the total return for the periods indicated, including changes in the value of the underlying Partnership, and reflect deductions for all items included in the expense ratio. The total return does not include any expense assessed through the redemption of units; inclusion of these expenses in the calculation would result in a reduction in the total return presented.

Note 7: Financial Highlights (continued)

Pruco Life also maintains a position in the Real Property Account to provide for property acquisitions and capital expenditure funding needs. The table below reflects information for assets held by Pruco Life. Charges for mortality and expense risk and administrative expenses are used by Pruco Life to purchase additional investments in its account resulting in no impact to its net assets.



	Net Assets (000’s)
December 31, 2019	$42,408
December 31, 2018	$36,475
December 31, 2017	$33,878
December 31, 2016	$30,945
December 31, 2015	$25,788

Charges and Expenses

A. Mortality and Expense Risk Charges

Mortality and expense risk charges are determined daily using an effective annual rate of 0.6%, 0.35%, 0.9% and 0.9% for VAL, VLI, SPVA and SPVL, respectively. Mortality risk is the risk that life insurance contract owners may not live as long as estimated or annuitants may live longer than estimated, and expense risk is the risk that the cost of issuing and administering the contracts may exceed related charges by Pruco Life. The mortality risk and expense risk charges are assessed through a reduction in unit values.

B. Administrative Charges

Administrative charges are determined daily using an effective annual rate of 0.35% applied daily against the net assets representing equity of contract owners held in each subaccount for SPVA and SPVL. Administrative charges include costs associated with issuing the contract, establishing and maintaining records, and providing reports to contract owners. The administrative charge is assessed through reduction in unit values.

C. Cost of Insurance and Other Related Charges

Contract owner contributions are subject to certain deductions prior to being invested in the Real Property Account. The deductions for VAL and VLI are (1) taxes attributable to premiums; (2) sales charges, not to exceed 5% for VAL, which are deducted in order to compensate Pruco Life for the cost of selling the contract; and (3) transaction costs, applicable to VAL, which are deducted from each premium payment to cover premium collection and processing costs. Contracts are subject to charges on each basic premium for assuming a guaranteed minimum death benefit risk. This charge compensates Pruco Life for the risk that an insured may die at a time when the death benefit exceeds the benefit that would have been payable in the absence of a minimum guarantee. These charges are assessed through the redemption of units.

D. Deferred Sales Charge

For SPVA, there is a deferred sales charge that applies at the time of a full or partial withdrawal, and the amount of the charge (which declines over time) depends on the number of years that have elapsed since the contract was issued. This deferred sales charge is assessed through the redemption of units.

E. Partial Withdrawal Charge

A charge is imposed by Pruco Life on partial withdrawals of the cash surrender value for VAL. A charge equal to the lesser of $15 or 2% will be made in connection with each partial withdrawal of the cash surrender value of a contract. This charge is assessed through the redemption of units.