N-CSRS

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT

INVESTMENT COMPANIES

Investment Company Act file number:	811-04930
Exact name of registrant as specified in charter:	Prudential Investment Portfolios 4
Address of principal executive offices:	655 Broad Street, 17th Floor
	Newark, New Jersey 07102
Name and address of agent for service:	Deborah A. Docs
	655 Broad Street, 17th Floor
	Newark, New Jersey 07102
Registrant’s telephone number, including area code:	800-225-1852
Date of fiscal year end:	4/30/2017
Date of reporting period:	10/31/2016

Item 1 – Reports to Stockholders

PRUDENTIAL INVESTMENTS, A PGIM BUSINESS  |  MUTUAL FUNDS

     Prudential Muni High Income Fund

SEMIANNUAL REPORT OCTOBER 31, 2016

To enroll in e-delivery, go to prudentialfunds.com/edelivery

Objective: Maximum amount of income that is eligible for exclusion from
federal income taxes

This report is not authorized for distribution to prospective investors unless preceded or accompanied by a current prospectus.

The views expressed in this report and information about the Fund’s portfolio holdings are for the period covered by this report and are subject to change thereafter.

The accompanying financial statements as of October 31, 2016, were not audited and, accordingly, no auditor’s opinion is expressed on them.

Mutual funds are distributed by Prudential Investment Management Services LLC (PIMS), member SIPC. PGIM Fixed Income is a unit of PGIM, Inc. (PGIM), a registered investment adviser. PIMS and PGIM are Prudential Financial companies. ^© 2016 Prudential Financial, Inc. and its related entities. The Prudential logo and the Rock symbol are service marks of Prudential Financial, Inc. and its related entities, registered in many jurisdictions worldwide.

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Letter from the President

Dear Shareholder:

We hope you find the annual report for the Prudential Muni High Income Fund informative and useful. The report covers performance for the 12-month period that ended October 31, 2016.

During the reporting period, the US economy experienced modest growth.

Labor markets were healthy, and consumer confidence rose. The housing market brightened somewhat, as momentum continued for the new home market. The Federal Reserve kept interest rates unchanged at its September meeting, but pointed to the strong possibility of a rate hike in December. Internationally, concerns over Brexit—the term used to represent Britain’s decision to leave the European Union—remained in the spotlight.

Equity markets in the US were firmly in positive territory at the end of the reporting period, as US stocks posted strong gains. European stocks struggled earlier, but found some traction in the third quarter. Asian markets also advanced, and emerging markets rose sharply.

US fixed income markets experienced overall gains. High yield bonds posted very strong results. Corporate bonds and Treasuries also performed well. Accommodative monetary policy by central banks helped lift global bond markets.

Given the uncertainty in today’s investment environment, we believe that active professional portfolio management offers a potential advantage. Active managers often have the knowledge and flexibility to find the best investment opportunities in the most challenging markets.

Even so, it’s best if investment decisions are based on your long-term goals rather than on short-term market and economic developments. We also encourage you to work with an experienced financial advisor who can help you set goals, determine your tolerance for risk, build a diversified plan that’s right for you, and make adjustments when necessary.

By having Prudential Investments help you address your goals, you gain the advantage of asset managers that also manage money for many major corporations and pension funds around the world. That means you benefit from the same expertise, innovation, and attention to risk demanded by today’s most sophisticated investors.

Thank you for choosing our family of funds.

Sincerely,

Stuart Parker, President

Prudential Muni High Income Fund

December 15, 2016

Prudential Muni High Income Fund 3

Your Fund’s Performance (unaudited)

Performance data quoted represent past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the past performance data quoted. An investor may obtain performance data as of the most recent month-end by visiting our website at www.prudentialfunds.com or by calling (800) 225-1852.

Cumulative Total Returns (Without Sales Charges) as of 10/31/16
	Six Months (%)	One Year (%)	Five Years (%)	Ten Years (%)
Class A	1.58	6.07	35.87	59.89
Class B	1.56	5.82	34.37	56.22
Class C	1.21	5.20	30.96	50.01
Class Z	1.73	6.38	37.69	64.21
Bloomberg Barclays Municipal Bond Index	0.49	4.06	23.66	56.37
Bloomberg Barclays Municipal High Yield Bond Index	4.49	8.62	41.14	57.74
Bloomberg Barclays Municipal Bond Index (50%) / Bloomberg Barclays Municipal High Yield Bond Index (50%)	2.48	6.32	32.23	57.83
Lipper High Yield Municipal Debt Funds Average	1.93	6.60	37.13	46.74
Average Annual Total Returns (With Sales Charges) as of 9/30/16
		One Year (%)	Five Years (%)	Ten Years (%)
Class A		3.76	5.67	4.60
Class B		2.82	6.09	4.77
Class C		6.30	5.73	4.36
Class Z		8.40	6.81	5.30
Bloomberg Barclays Municipal Bond Index		5.58	4.48	4.75
Bloomberg Barclays Municipal High Yield Bond Index		11.32	7.36	4.89
Bloomberg Barclays Municipal Bond Index (50%) / Bloomberg Barclays Municipal High Yield Bond Index (50%)		8.42	5.93	4.87
Lipper High Yield Municipal Debt Funds Average		8.67	6.70	4.12

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Source: Prudential Investments LLC and Lipper Inc.

The returns in the tables do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or following the redemption of Fund shares. The average annual total returns take into account applicable sales charges, which are described for each share class in the table below.

	Class A	Class B*	Class C	Class Z
Maximum initial sales charge	4.00% of the public offering price	None	None	None
Contingent deferred sales charge (CDSC) (as a percentage of the lower of original purchase price or net asset value at redemption)	1% on sales of $1 million or more made within 12 months of purchase	5% (Yr. 1) 4% (Yr. 2) 3% (Yr. 3) 2% (Yr. 4) 1% (Yr. 5/6) 0% (Yr. 7)	1% on sales made within 12 months of purchase	None
Annual distribution and service (12b-1) fees (shown as a percentage of average daily net assets)	.25%	.50%	1%	None

*Class B shares are closed to all purchase activity and no additional Class B shares may be purchased or acquired except by exchange from Class B shares of another Fund or through dividend or capital gains reinvestment.

Benchmark Definitions

Bloomberg Barclays Municipal Bond Index—The Bloomberg Barclays Municipal Bond Index is an unmanaged index of long-term investment-grade municipal bonds. It gives a broad look at how long-term investment-grade municipal bonds have performed.

Bloomberg Barclays Municipal High Yield Bond Index—The Bloomberg Barclays Municipal High Yield Bond Index is an unmanaged index of non-rated or Ba1 or below-rated municipal bonds. It gives a broad look at how non-investment-grade municipal bonds have performed.

Bloomberg Barclays Municipal Bond Index (50%) / Bloomberg Barclays Municipal High Yield Bond Index (50%)—This is a custom blend of the Bloomberg Barclays Municipal Bond Index (50%) and the Bloomberg Barclays Municipal High Yield Bond Index (50%).

Lipper High Yield Municipal Debt Funds Average—TheLipper High Yield Municipal Debt Funds Average (Lipper Average) is based on the average return of all funds in the Lipper High Yield Municipal Debt Funds category for the periods noted. Funds in the Lipper Average invest at least 50% of their assets in lower-rated municipal debt issues.

Investors cannot invest directly in an index or average. The returns for the indexes would be lower if they included the effects of sales charges, operating expenses of a mutual fund, or taxes. Returns for the Lipper Average reflect the deduction of operating expenses, but not sales charges or taxes.

Prudential Muni High Income Fund 5

Your Fund’s Performance (continued)

Distribution and Yields as of 10/31/16
	Total Distributions Paid for Six Months ($)	SEC 30-Day Subsidized Yield* (%)	Taxable Equivalent 30-Day Yield*** at Federal Tax Rates of		SEC 30-Day Unsubsidized Yield** (%)	Taxable Equivalent 30-Day Unsubsidized Yield*** at Federal Tax Rates  of
			39.60(%)	43.40(%)		39.60(%)	43.40(%)
Class A	0.20	2.38	3.94	4.20	2.38	3.94	4.20
Class B	0.18	2.22	3.68	3.92	2.22	3.68	3.92
Class C	0.16	1.72	2.85	3.04	1.72	2.85	3.04
Class Z	0.21	2.73	4.52	4.82	2.73	4.52	4.82

*SEC 30-Day Subsidized Yield (%)—A standardized yield calculation created by the Securities and Exchange Commission, it reflects the income earned during a 30-day period, after the deduction of the Fund’s net expenses (net of any expense waivers or reimbursements).

**SEC 30-Day Unsubsidized Yield (%)—A standardized yield calculation created by the Securities and Exchange Commission, it reflects the income earned during a 30-day period, after the deduction of the Fund’s gross expenses.

***Some investors may be subject to the federal alternative minimum tax (AMT) and/or state and local taxes. Taxable equivalent yields reflect federal taxes only.

Credit Quality expressed as a percentage of total investments as of 10/31/16 (%)
AAA	7.0
AA	9.5
A	18.7
BBB	30.7
BB	10.0
B	11.7
CCC	1.4
CC	0.4
Not Rated	12.1
Cash/Cash Equivalents	–1.5
Total Investments	100.0

Source: PGIM, Inc.

Credit ratings reflect the highest rating assigned by a nationally recognized statistical rating organization (NRSRO) such as Moody’s Investor Service, Inc. (Moody’s), Standard & Poor’s (S&P), or Fitch, Inc. (Fitch). Credit ratings reflect the common nomenclature used by both S&P and Fitch. Where applicable, ratings are converted to the comparable S&P/Fitch rating tier nomenclature. These rating agencies are independent and are widely used. The Not Rated category consists of securities that have not been rated by a NRSRO. Credit ratings are subject to change. Values may not sum to 100.0% due to rounding.

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Fees and Expenses (unaudited)

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemptions, as applicable, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses, as applicable. This example is intended to help you understand your ongoing costs (in dollars) of investing in each Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested on May 1, 2016, at the beginning of the period, and held through the six-month period ended October 31, 2016. The example is for illustrative purposes only; you should consult the Prospectus for information on initial and subsequent minimum investment requirements.

Actual Expenses

The first line for each share class in the table on the following page provides information about actual account values and actual expenses. You may use the information on this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value ÷ $1,000 = 8.6), then multiply the result by the number on the first line under the heading “Expenses Paid During the Six-Month Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line for each share class in the table on the following page provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

The Fund’s transfer agent may charge additional fees to holders of certain accounts that are not included in the expenses shown in the table on the following page. These fees apply to individual retirement accounts (IRAs) and Section 403(b) accounts. As of the close of the six-month period covered by the table, IRA fees included an annual maintenance fee of $15 per account (subject to a maximum annual maintenance fee of $25 for all accounts held by the same shareholder). Section 403(b) accounts are charged an annual $25 fiduciary maintenance fee. Some of the fees may vary in amount, or may be waived, based on your total account balance or the number of Prudential Investments funds, including the Fund, that you own. You should consider the additional fees that were charged to your

Prudential Muni High Income Fund 7

Fees and Expenses (continued)

Fund account over the six-month period when you estimate the total ongoing expenses paid over the period and the impact of these fees on your ending account value, as these additional expenses are not reflected in the information provided in the expense table. Additional fees have the effect of reducing investment returns.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs such as sales charges (loads). Therefore, the second line for each share class in the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Prudential Muni High Income Fund		Beginning  Account Value May 1, 2016		Ending  Account Value October 31, 2016		Annualized Expense Ratio Based on the Six-Month Period			Expenses  Paid During the Six-Month Period*
Class A	Actual	$	1,000.00	$	1,015.80		0.86	%	$	4.37
	Hypothetical	$	1,000.00	$	1,020.87		0.86	%	$	4.38
Class B	Actual	$	1,000.00	$	1,015.60		1.11	%	$	5.64
	Hypothetical	$	1,000.00	$	1,019.61		1.11	%	$	5.65
Class C	Actual	$	1,000.00	$	1,012.10		1.61	%	$	8.17
	Hypothetical	$	1,000.00	$	1,017.09		1.61	%	$	8.19
Class Z	Actual	$	1,000.00	$	1,017.30		0.61	%	$	3.10
	Hypothetical	$	1,000.00	$	1,022.13		0.61	%	$	3.11

*Fund expenses (net of fee waivers or subsidies, if any) for each share class are equal to the annualized expense ratio for each share class (provided in the table), multiplied by the average account value over the period, multiplied by the 184 days in the six-month period ended October 31, 2016, and divided by the 365 days in the Fund’s fiscal year ending April 30, 2017 (to reflect the six-month period). Expenses presented in the table include the expenses of any underlying portfolios in which the Fund may invest.

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The Fund’s annualized expense ratios for the six-month period ended October 31, 2016, are as follows:

Class	Gross Operating  Expenses (%)	Net Operating  Expenses (%)
A	0.86	0.86
B	1.11	1.11
C	1.61	1.61
Z	0.61	0.61

Net operating expenses shown above reflect any fee waivers and/or expense reimbursements. Additional information on Fund expenses and any fee waivers and/or expense reimbursements can be found in the “Financial Highlights” tables in this report and in the Notes to the Financial Statements in this report.

Prudential Muni High Income Fund 9

Portfolio of Investments (unaudited)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS    99.9%
Alabama    1.1%
Jefferson Cnty. Sewer Rev., Sr. Lien, Warrants, Ser. A, AGM, Rfdg.		5.000	%		10/01/44		500	$	569,835
Jefferson Cnty. Sewer Rev., Sr. Lien, Warrants, Ser. A, AGM, Rfdg.		5.250			10/01/48		500		574,870
Lower Alabama Gas Dist. Rev., Ser. A		5.000			09/01/46		4,500		5,655,780
Selma Indl. Dev. Brd. Rev., Gulf Opp. Zone, Intl. Paper Co., Ser. A		5.800			05/01/34		1,000		1,136,550
Selma Indl. Dev. Brd. Rev., Gulf Opp. Zone, Intl. Paper Co., Ser. A		6.250			11/01/33		1,750		1,990,135
									9,927,170
Arizona    3.5%
La Paz Cnty. Indl. Dev. Auth. Rev., Solutions-Harmony Pub. Chrt. Sch., Ser. A, 144A		5.000			02/15/46		750		810,082
Maricopa Cnty. Indl. Dev. Auth. Rev., Horizon Cmnty. Learning Ctr., Rfdg.		5.000			07/01/35		2,000		2,152,280
Maricopa Cnty. Indl. Dev. Auth. Rev., Paradise Schs. Projs. Parago, Rfdg., 144A		5.000			07/01/47		1,000		1,050,730
Maricopa Cnty. Indl. Dev. Auth. Rev., Reid Traditional Schs. Projs.		5.000			07/01/47		1,000		1,085,310
Maricopa Cnty. Poll. Ctrl. Corp. Rev., El Paso Elec. Co., Ser. B		7.250			04/01/40		1,500		1,701,255
Phoenix City Indl. Dev. Auth. Rev., Basis Schs. Projs., Ser. A, Rfdg., 144A		5.000			07/01/46		1,000		1,057,560
Phoenix City Indl. Dev. Auth. Rev., Basis Schs., Rfdg., 144A		5.000			07/01/45		1,000		1,057,560
Phoenix City Indl. Dev. Auth. Rev., Great Hearts Academies Proj.		5.000			07/01/44		2,250		2,473,537
Pima Cnty. Indl. Dev. Auth. Rev., Tucson Elec. Pwr. Co, Rfdg.		4.000			09/01/29		3,000		3,252,840
Pinal Cnty. Indl. Dev. Auth., Correct. Facs. Rev., Florence West Prison Proj., Ser. A, ACA		5.250			10/01/19		3,135		3,142,430
Salt Verde Fin. Corp. Gas Rev., Sr. Bonds		5.000			12/01/32		4,590		5,532,052
Salt Verde Fin. Corp. Gas Rev., Sr. Bonds		5.000			12/01/37		6,060		7,265,698
Tempe AZ Indl. Dev. Auth. Rev., Friendship Vlg., Ser. A, Rfdg.		6.250			12/01/42		1,000		1,094,830
									31,676,164
California    10.5%
ABAG Fin. Auth. for Nonprofit Corp. Rev., Episcopal Senior Cmnty., Rfdg.		6.125			07/01/41		775		878,974

See Notes to Financial Statements.

Prudential Muni High Income Fund 11

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
California (cont’d.)
California Cnty. Tob. Secur. Agcy. Rev., Conv., CABS (Converted to Fixed on 12/01/10)		5.250	%		06/01/21		2,855	$	2,902,307
California Cnty. Tob. Secur. Agcy. Rev., Conv., CABS, Ser. B (Converted to Fixed on 12/01/08)		5.100			06/01/28		1,750		1,752,205
California Hlth. Facs. Fin. Auth. Rev., St. Joseph Hlth. Sys., Ser. A		5.750			07/01/39		1,770		1,967,851
California Hlth. Facs. Fin. Auth. Rev., Stanford Hosp., Ser. A-3, Rfdg.		5.500			11/15/40		750		885,472
California Mun. Fin. Auth. Rev., American Heritage Ed., Ser. A, Rfdg.		5.000			06/01/46		750		841,553
California Mun. Fin. Auth. Rev., Palmdale Aerospace Academy Proj., 144A		5.000			07/01/46		1,000		1,063,170
California Poll. Ctrl. Fin. Auth. Rev., Wtr. Facs., Amer. Wtr. Cap. Corp. Proj., 144A		5.250			08/01/40		500		556,720
California St., GO, Var. Purp.		5.500			11/01/39		1,000		1,123,910
California St., GO, Var. Purp.		6.000			04/01/38		3,500		3,904,320
California St., GO, Var. Purp.		6.000			11/01/39		1,500		1,712,160
California St. Infrast & Econ. Dev. Bank Rev., Academy Motion Picture Art, Rfdg.		4.000			11/01/45		1,250		1,327,587
California St. Pub. Wks. Brd. Lease Rev., Judicial Council Proj., Ser. D		5.000			12/01/31		1,000		1,160,040
California St. Pub. Wks. Brd. Lease Rev., Various Cap. Proj., Ser. G-1		5.750			10/01/30		750		844,575
California St. Pub. Wks. Brd. Lease Rev., Various Cap. Proj., Ser. I-1 (Prerefunded 11/01/19)(a)		6.375			11/01/34		750		869,490
California St. Sch. Fin. Auth. Chrt. Sch. Rev., Alliance Clg.-Ready Pub. Schs., Ser. A, 144A		5.000			07/01/45		750		845,993
California St. Sch. Fin. Auth. Chrt. Sch. Rev., Alliance Clg.-Ready Pub. Schs., Ser. A, 144A		5.000			07/01/51		1,000		1,120,780
California St. Sch. Fin. Auth. Chrt. Sch. Rev., Kipp LA Proj., Ser. A, 144A		5.000			07/01/45		650		725,407
California Statewide Cmntys. Dev. Auth. Rev., 899 Charleston Proj., Ser. A, Rfdg.		5.250			11/01/44		750		828,225
California Statewide Cmntys. Dev. Auth. Rev., Beverly Cmnty. Hosp. Asst.		5.000			02/01/45		1,500		1,673,040
California Statewide Cmntys. Dev. Auth. Rev., Cottage Hlth. Oblig. Grp., Rfdg.		5.000			11/01/40		2,000		2,208,460
California Statewide Cmntys. Dev. Auth. Rev., Loma Linda Univ. Med. Ctr., Ser. A		5.250			12/01/44		1,000		1,104,830
California Statewide Cmntys. Dev. Auth. Rev., Loma Linda Univ. Med. Ctr., Ser. A, 144A		5.000			12/01/46		5,000		5,511,800
California Statewide Cmntys. Dev. Auth. Rev., Loma Linda Univ. Med. Ctr., Ser. A, 144A		5.250			12/01/56		3,500		3,904,635

See Notes to Financial Statements.

12

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
California (cont’d.)
California Statewide Cmntys. Dev. Auth. Rev., Sch. Facs., Aspire Pub. Sch. (Prerefunded 01/01/19)(a)		6.000	%		07/01/30		995	$	1,101,127
California Statewide Cmntys. Dev. Auth. Rev., Sr. Living Southn. Calif. Presbyterian Homes, 144A		7.250			11/15/41		500		570,495
Fontana Spl. Tax Cmnty. Facs., Dist. 22, Sierra Hills, Rfdg.		5.000			09/01/34		500		562,270
Golden St. Tob. Secur. Corp., Tob. Settlement Rev., Asset Bkd., 1st Sub., Ser. B, CABS		7.680	(b)		06/01/47		10,000		996,600
Golden St. Tob. Secur. Corp., Tob. Settlement Rev., Asset Bkd., Sr., Ser. A-1		4.500			06/01/27		8,365		8,383,068
Golden St. Tob. Secur. Corp., Tob. Settlement Rev., Asset Bkd., Sr., Ser. A-1		5.750			06/01/47		11,765		11,582,878
Golden St. Tob. Secur. Corp., Tob. Settlement Rev., Asset Bkd., Sr., Ser. A-2, CABS (Converted to Fixed on 12/01/12)		5.300			06/01/37		5,000		4,965,700
Inland Valley CA Dev. Agcy. Tax Alloc., Ser. A, Rfdg.		5.000			09/01/44		1,000		1,127,930
Lincoln CA Pub. Fing., Auth. Spl. Assmt., Twelve Bridges Sub., Ser. B		6.000			09/02/27		1,000		1,161,410
Long Beach CA Bond Fin. Auth. Nat. Gas Pur. Rev., Ser. A		5.000			11/15/35		3,510		4,359,841
Long Beach CA Bond Fin. Auth. Nat. Gas Pur. Rev., Ser. A		5.500			11/15/37		650		843,564
M-S-R Energy Auth. Calif. Rev., Ser. A		6.500			11/01/39		2,060		2,864,533
M-S-R Energy Auth. Calif. Rev., Ser. A		7.000			11/01/34		1,650		2,410,798
Palomar Pomerado Healthcare Dist. Calif., COP		6.000			11/01/41		1,800		2,015,298
Port of Oakland Rev., Ser. O, AMT, Rfdg.		5.125			05/01/31		1,000		1,124,670
Riverside Cnty. CA Pub. Fing. Auth. Rev., Capital Facs. Proj.		5.250			11/01/45		1,000		1,192,840
Riverside Cnty. CA Redev. Agcy. Tax. Alloc. Intst. 215 Corridor, Ser. E		6.500			10/01/40		2,000		2,361,180
San Buenaventura CA Rev., Cmnty. Mem. Hlth. Sys.		7.500			12/01/41		1,000		1,211,190
San Buenaventura CA Rev., Cmnty. Mem. Hlth. Sys.		8.000			12/01/26		500		644,770
San Francisco City & Cnty. Arpt. Comm. Rev., Ser. C, AMT, Rfdg.		5.000			05/01/25		1,000		1,151,930
Santa Margarita CA Wtr. Dist. Spl. Tax Cmty. Facs., Ser. 2013-1, Village of Sendero		5.625			09/01/36		675		780,401
South Bayside CA Wste. Mgmt. Auth., Sol. Wste. Enterprise Rev., Shoreway Environmental, Ser. A		6.000			09/01/36		500		564,355
Tob. Secur. Auth. Northern Calif. Rev., Asset Bkd. Bonds, Ser. A		4.750			06/01/23		3,945		3,973,325
									95,663,677

See Notes to Financial Statements.

Prudential Muni High Income Fund 13

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Colorado    3.3%
Colorado Edl. & Cultural Facs. Auth. Rev., Impt., Chrt. Sch. Univ. LA, Rfdg., 144A		5.000	%		12/15/45		1,000	$	1,045,400
Colorado Edl. & Cultural Facs. Auth. Rev., Lighthouse Building Corp., Rfdg.		5.000			11/01/44		885		921,692
Colorado Edl. & Cultural Facs. Auth. Rev., Rfdg. & Impt., Chrt. Sch. Skyview Academy Proj., 144A		5.375			07/01/44		1,350		1,456,191
Colorado Edl. & Cultural Facs. Auth. Rev., Windsor Chrt. Sch., 144A		5.000			09/01/46		1,390		1,398,993
Colorado Hlth. Facs. Auth. Rev., Christian Living Cmntys. Proj., Rfdg.		5.000			01/01/37		1,250		1,375,300
Colorado Hlth. Facs. Auth. Rev., Christian Living Cmntys. Proj., Rfdg.		5.250			01/01/37		550		583,435
Colorado Hlth. Facs. Auth. Rev., Christian Living Cmntys. Proj., Ser. A, Rfdg.		5.750			01/01/37		1,500		1,512,315
Colorado Hlth. Facs. Auth. Rev., Covenant Retirement Cmntys., Rfdg.		5.000			12/01/35		1,250		1,399,750
Colorado Hlth. Facs. Auth. Rev., Parkview Med. Ctr., Ser. B, Rfdg.		4.000			09/01/34		1,500		1,583,370
Colorado Hlth. Facs. Auth. Rev., Vail Valley Med. Ctr. Proj.		4.000			01/15/45		2,500		2,605,550
Colorado Hlth. Facs. Auth. Rev., Valley View Assn. Proj.		5.125			05/15/37		1,240		1,263,014
Colorado Hlth. Facs. Auth. Rev., Valley View Assn. Proj.		5.250			05/15/42		2,500		2,547,525
Denver Convention Ctr. Htl. Auth. Rev., Sr. Bonds, Rfdg.		5.000			12/01/40		500		560,890
E-470 Pub. Hwy. Auth. Rev., Ser. C, Rfdg.		5.375			09/01/26		1,000		1,115,620
Park Creek Met. Dist. Ltd. Ppty. Tax Alloc., Senior Lmt. Prop. TA., Rfdg.		5.000			12/01/45		1,500		1,686,165
Plaza Co. Met. Dist. 1 Tax Alloc., Rfdg., 144A		5.000			12/01/40		1,000		1,049,200
Pub. Auth. Energy Nat. Gas Pur. Rev.		6.500			11/15/38		5,505		7,710,083
									29,814,493
Connecticut    0.4%
Connecticut St. Hlth. & Edl. Facs. Auth. Rev., Western Conn. Hlth., Ser. M		5.375			07/01/41		1,250		1,394,475
Harbor Point Infrastructure Impt. Dist. Tax Alloc., Harbor Point Proj., Ser. A		7.875			04/01/39		2,000		2,316,060
									3,710,535

See Notes to Financial Statements.

14

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Delaware    0.3%
Delaware St. Econ. Dev. Auth. Rev., Aspira Chrt. Sch., Ser. A		5.000	%		06/01/46		1,000	$	1,062,720
Delaware St. Econ. Dev. Auth. Rev., Newark Chrt. Sch., Inc., Ser. A, Rfdg.		5.000			09/01/46		500		569,510
Delaware St. Hlth. Facs. Auth. Rev., Nanticoke Mem. Hosp., Nanticoke Memorial Hosp., Rfdg.		5.000			07/01/32		1,375		1,480,531
									3,112,761
District of Columbia    1.2%
Dist. of Columbia, Rev., Friendship Pub. Chrt. Sch.		5.000			06/01/42		3,500		3,855,810
Dist. of Columbia, Rev., Gallaudet Univ.		5.500			04/01/34		400		457,072
Dist. of Columbia, Rev., Kipp Chrt. Sch., Rfdg.		6.000			07/01/43		850		1,012,052
Dist. of Columbia, Rev., Kipp Chrt. Sch., Rfdg.		6.000			07/01/48		725		860,800
Metropolitan Washington D.C. Arpt. Auth. Sys. Rev., Dulles Toll Rd., Ser. A, Rfdg.		5.000			10/01/53		2,500		2,777,000
Metropolitan Washington D.C. Arpt. Auth. Sys. Rev., Ser. A, AMT		5.250			10/01/27		1,500		1,601,160
									10,563,894
Florida    7.7%
Boggy Creek Impt. Dist. Spl. Assmt., Ser. 2013, Rfdg.		5.125			05/01/43		2,825		2,957,097
Broward Cnty. FL Arpt. Rev., Ser. A, AMT		5.250			10/01/43		1,500		1,699,350
Capital Tr. Agcy. Rev., Air Cargo, Aero Miami FX LLC, Sr. Lien, Ser. A, Rfdg.		5.350			07/01/29		2,125		2,293,852
Citizens Ppty. Ins. Corp. Rev., Sr. Sec’d., Coastal, Ser. A-1		5.000			06/01/19		1,250		1,373,588
Citizens Ppty. Ins. Corp. Rev., Sr. Sec’d., Ser. A-1		5.000			06/01/22		1,000		1,184,130
Cityplace CDD Spl. Assmt., Rfdg.		5.000			05/01/26		1,000		1,157,110
Collier Cnty. Indl. Dev. Auth. Rev., Arlington of Naples Proj., Ser. A, Rfdg., 144A		8.125			05/15/44		2,000		2,371,380
Davie Edl. Facs. Rev., Nova Southeastern Univ. Proj., Ser. A		5.625			04/01/43		500		578,605
Davie Edl. Facs. Rev., Nova Southeastern Univ. Proj., Ser. A		6.000			04/01/42		1,000		1,184,150
Florida Dev. Fin. Corp. Edl. Facs. Rev., Bay Area Chrt. Fndtn., Ser. A		7.750			06/15/42		2,000		2,235,280
Florida Dev. Fin. Corp. Edl. Facs. Rev., Renaissance Chrt. Sch., Ser. A		6.000			09/15/40		1,750		1,828,942
Greater Orlando Aviation Auth. Orlando Arpt. Facs. Rev., Spl. Purp. - JetBlue Airways Corp. Proj., AMT, Rfdg.		5.000			11/15/26		500		538,795

See Notes to Financial Statements.

Prudential Muni High Income Fund 15

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Florida (cont’d.)
Greater Orlando Aviation Auth. Orlando Arpt. Facs. Rev., Spl. Purp. - JetBlue Airways Corp. Proj., AMT, Rfdg.		5.000	%		11/15/36		4,700	$	4,980,496
Halifax Hosp. Med. Ctr. Rev., Rfdg.		4.000			06/01/46		2,000		2,049,620
Hillsborough Cnty. Indl. Dev. Auth. Rev., Hlth. Facs., Univ. Cmnty. Hosp., Ser. B, Rmkt. (Prerefunded 08/15/19)(a)		8.000			08/15/32		1,000		1,199,750
Hillsborough Cnty. Indl. Dev. Auth. Rev., Tampa Electric, Series A, Rmkt., Rfdg.		5.650			05/15/18		1,000		1,066,100
Indigo Cmnty. Dev. Dist. Cap. Impvt. Spl. Assmt.(c)(d)(e)		5.750			05/01/36		935		448,800
Jacksonville Econ. Dev. Rev., Gerdau Ameristeel U.S., Inc., AMT		5.300			05/01/37		3,000		2,893,200
Lakewood Ranch Stewardship Dist., Spl. Assmt.		4.875			05/01/45		1,000		1,032,310
Lakewood Ranch Stewardship Dist., Spl. Assmt., Vlg. Lakewood Ranch S. Proj.		4.250			05/01/26		250		255,078
Lakewood Ranch Stewardship Dist., Spl. Assmt., Vlg. Lakewood Ranch S. Proj.		5.125			05/01/46		1,500		1,554,105
Martin Cnty. Indl. Dev. Auth. Rev., Indiantown Cogeneration Proj., AMT, Rfdg.		3.950			12/15/21		1,750		1,826,492
Martin Cnty. Indl. Dev. Auth. Rev., Indiantown Cogeneration Proj., AMT, Rfdg.		4.200			12/15/25		1,000		1,043,350
Midtown Miami Cmnty. Dev. Dist. Spl. Assmt., Spl. Assmt., Pkg. Garage Proj., Ser. A, Rfdg.		5.000			05/01/37		1,980		2,102,582
North Sumter Cnty. Util. Dependent Dist., Solid Wste. Rev.		5.000			10/01/42		2,000		2,155,700
North Sumter Cnty. Util. Dependent Dist., Util. Rev.		5.750			10/01/43		1,500		1,687,485
Orange Cnty. Hlth. Facs. Auth. Rev., Orlando Hlth. Inc., Ser B., Rfdg.		4.000			10/01/45		1,000		1,039,860
Palm Beach Hlth. Facs. Auth. Rev., BRRH Corp. Oblig. Grp., Rfdg.		5.000			12/01/31		500		568,985
Palm Beach Hlth. Facs. Auth. Rev., Sinai Residences Boca Raton Proj., Ser. A, Rfdg.		7.500			06/01/49		1,000		1,219,250
Sarasota Cnty. Fla. Pub. Hosp. Dist. Hosp. Rev., Sarasota Mem. Hosp. Proj., Ser. A		5.625			07/01/39		1,000		1,092,830
South Lake Cnty. Hosp. Dist. Rev., South Lake Hosp., Rfdg.		5.250			10/01/34		1,250		1,352,913
South Lake Cnty. Hosp. Dist. Rev., South Lake Hosp., Ser. A		6.250			04/01/39		1,910		2,111,047
St. Johns Cnty. Indl. Dev. Auth. Rev., Presbyterian Retirement, Ser. A, Rfdg.		6.000			08/01/45		1,000		1,125,640
St. Petersburg Hlth. Facs. Auth. Rev., All Children’s Hosp., Ser. A (Prerefunded 11/15/19)(a)		6.500			11/15/39		1,500		1,743,135

See Notes to Financial Statements.

16

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Florida (cont’d.)
Tallahassee Hlth. Facs. Mem. Rev.		5.000	%		12/01/55		1,000	$	1,119,950
Village Cmnty. Dev. Dist. No. 7. Fla. Spl. Assmt., Rfdg.		4.000			05/01/36		1,995		2,038,750
Village Cmnty. Dev. Dist. No. 8. Fla. Spl. Assmt., Phase II, Rfdg.		6.125			05/01/39		2,215		2,533,030
Village Cmnty. Dev. Dist. No. 9. Fla. Spl. Assmt.		7.000			05/01/41		810		971,287
Village Cmnty. Dev. Dist. No. 9. Fla. Spl. Assmt., Rfdg.		5.500			05/01/42		2,190		2,494,870
Village Cmnty. Dev. Dist. No.10. Fla. Spl. Assmt.		5.125			05/01/43		1,155		1,279,451
Village Cmnty. Dev. Dist. No.10. Fla. Spl. Assmt.		6.000			05/01/44		1,000		1,175,710
Village Cmnty. Dev. Dist. No.11. Fla. Spl. Assmt.		4.500			05/01/45		1,485		1,531,421
Village Cmnty. Dev. Dist. No.12. Fla. Spl. Assmt.		3.875			05/01/47		3,000		2,872,530
									69,968,006
Georgia    0.9%
Atlanta Arpt. Rev., Gen., Ser. B, AMT, Rfdg.		5.000			01/01/30		500		551,865
Burke Cnty. Dev. Auth. Poll. Ctrl. Rev., Oglethorpe Pwr. - Vogtle Proj., Ser. B, Rfdg.		5.500			01/01/33		1,000		1,045,950
Clayton Cnty. Dev. Auth. Spl. Facs. Rev., Delta Air Lines, Ser. A, Rfdg.		8.750			06/01/29		2,000		2,418,320
Henry Cnty. Wtr. & Swr. Auth. Rev., AMBAC		6.150			02/01/20		1,000		1,120,150
Marietta Dev. Auth. Rev., Life Univ., Rfdg.		7.000			06/15/39		1,000		1,041,490
Priv. Colleges & Univs. Auth. Rev., Savannah Clg. Art & Design Proj.		5.000			04/01/44		1,500		1,683,285
									7,861,060
Guam    0.2%
Guam Govt., Ser. A, GO (Prerefunded 11/15/19)(a)		7.000			11/15/39		1,000		1,177,330
Guam Govt. Wtrwrks. Auth. Rev., Ser. A, Rfdg.		5.000			07/01/35		500		559,655
									1,736,985
Hawaii    0.8%
Hawaii Pac. Hlth. Rev., Spl. Purp., Ser. A, Rfdg.		5.500			07/01/40		1,000		1,105,560
Hawaii Pac. Hlth. Rev., Spl. Purp., Ser. B		5.750			07/01/40		500		558,250
Hawaii St. Dept. Budget & Fin., Spl. Purp. Rev., 15 Craigside Proj., Ser. A		9.000			11/15/44		1,000		1,195,580
Hawaii St. Dept. Budget & Fin., Spl. Purp. Rev., Hawaii Pacific Hlth. Oblig., Ser. A		5.500			07/01/43		2,500		2,929,350
Hawaii St. Dept. Budget & Fin., Spl. Purp. Rev., Hawaiian Elec. Co.		6.500			07/01/39		1,000		1,115,260
									6,904,000

See Notes to Financial Statements.

Prudential Muni High Income Fund 17

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Idaho    0.2%
Idaho Hlth. Facs. Auth. Rev., Madison Memorial Hosp., Rfdg.		5.000	%		09/01/37		1,000	$	1,121,900
Idaho Hlth. Facs. Auth. Rev., St. Luke’s Hlth. Sys. Proj., Ser. A		6.750			11/01/37		1,000		1,100,140
									2,222,040
Illinois    9.4%
Chicago Brd. Edu., GO, Ser. A., Rfdg.		5.250			12/01/16		500		500,885
Chicago Brd. Edu., GO, Ser. A., Rfdg.		7.000			12/01/44		2,000		2,123,980
Chicago O’Hare Int’l. Arpt. Rev., Gen.-Third Lien, Ser. C		6.500			01/01/41		1,000		1,196,270
Chicago O’Hare Int’l. Arpt. Rev., Gen.-Third Lien, Ser. C, AMT, Rfdg.		5.375			01/01/39		1,500		1,700,940
Chicago O’Hare Int’l. Arpt. Rev., Ser. C, AMT, Rfdg.		4.375			01/01/40		2,000		2,108,740
Chicago, IL, GO, Ser. 2003 B, Rmkt., Rfdg.		5.000			01/01/23		750		801,150
Chicago, IL, GO, Ser. 2005 D, Rmkt., Rfdg.		5.500			01/01/37		5,790		6,104,745
Chicago, IL, GO, Ser. 2007 E, Rmkt., Rfdg.		5.500			01/01/35		3,000		3,175,620
Chicago, IL, GO, Ser. A		4.000			12/01/16		335		335,405
Chicago, IL, GO, Ser. A		5.500			01/01/39		1,500		1,580,505
Chicago, IL, GO, Ser. A, Rfdg.		5.000			01/01/34		3,600		3,662,640
Chicago, IL, GO, Ser. C, Rfdg.		5.000			01/01/26		1,000		1,067,350
Chicago, IL, GO, Ser. C, Rfdg.		5.000			01/01/38		2,500		2,510,600
Chicago, IL Wstwtr. Transmn. Rev., Second Lien, Ser. C, Rmkt., Rfdg.		5.000			01/01/39		3,355		3,722,205
Illinois Fin. Auth. Rev., Cent. DuPage Hlth., Ser. B, Rfdg.		5.500			11/01/39		1,500		1,692,345
Illinois Fin. Auth. Rev., Field Museum of Natural History, Rmkt.		4.450			11/01/36		1,000		1,051,380
Illinois Fin. Auth. Rev., Illinois Inst. of Technology, Ser. A, Rfdg.		5.000			04/01/31		2,500		2,500,175
Illinois Fin. Auth. Rev., Illinois Inst. of Technology, Ser. A, Rfdg.		5.000			04/01/36		5,000		4,962,950
Illinois Fin. Auth. Rev., NorthWestern Mem. Hosp., Ser. A, Rfdg.		6.000			08/15/39		1,500		1,695,090
Illinois Fin. Auth. Rev., Presence Health Netw., Ser. C, Rfdg.		4.000			02/15/41		6,000		5,730,000
Illinois Fin. Auth. Rev., Provena Hlth., Ser. A (Prerefunded 05/01/20)(a)		6.000			05/01/28		1,500		1,753,185
Illinois Fin. Auth. Rev., Rush Univ. Med. Ctr. Oblig. Grp., Ser. A (Prerefunded 11/01/18)(a)		7.250			11/01/38		3,405		3,830,897
Illinois Fin. Auth. Rev., Rush Univ. Med. Ctr., Ser. C (Prerefunded 05/01/19)(a)		6.625			11/01/39		1,000		1,138,810

See Notes to Financial Statements.

18

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Illinois (cont’d.)
Illinois Fin. Auth. Rev., Silver Cross & Med. Ctrs. (Prerefunded 08/15/19)(a)		7.000	%		08/15/44		3,000	$	3,493,350
Illinois Fin. Auth. Rev., Swedish Covenant, Ser. A		6.000			08/15/38		1,500		1,655,205
Illinois Fin. Auth. Rev., Unitypoint Hlth., Ser. D, Rfdg.		4.000			02/15/46		1,500		1,545,750
Illinois Fin. Auth. Rev., Provena Hlth., Ser. A (Prerefunded 08/15/19)(a)		7.750			08/15/34		1,000		1,183,141
Illinois St., GO		4.000			06/01/36		3,000		2,809,740
Illinois St., GO		5.000			08/01/25		1,000		1,072,930
Illinois St., GO		5.000			03/01/36		1,800		1,854,180
Illinois St., GO		5.000			05/01/36		2,000		2,081,140
Illinois St., GO		5.000			02/01/39		1,500		1,552,425
Illinois St., GO		5.000			05/01/39		1,000		1,036,040
Illinois St., GO, AGM, Rfdg.		4.000			02/01/31		500		499,435
Railsplitter Tob. Settlement Auth. Rev.		6.000			06/01/28		2,250		2,642,063
Regl. Transn. Auth. Rev., Ser. A		4.000			06/01/38		4,015		4,244,216
Regl. Transn. Auth. Rev., Ser. A		4.000			06/01/39		3,015		3,182,031
Springfield Elec. Rev., Sr. Lien, Rfdg.		4.000			03/01/40		1,500		1,587,120
									85,384,633
Indiana    1.0%
Indiana St. Fin. Auth. Rev., Drexel Fndtn. Edl. Facs. Proj., Ser. A(d)		7.000			10/01/39		1,000		971,090
Indiana St. Fin. Auth. Rev., Franciscan Alliance Inc., Ser. A		4.000			11/01/51		2,500		2,565,800
Indianapolis Loc. Pub. Impt. Bd. Bk. Wtrwks. Proj., Ser. A, Rfdg.		5.750			01/01/38		1,000		1,101,320
Valparaiso, IN Rev., Pratt Paper LLC Proj., AMT		5.875			01/01/24		900		1,034,406
Valparaiso, IN Rev., Pratt Paper LLC Proj., AMT		7.000			01/01/44		1,500		1,860,210
Vigo Cnty. Hosp. Auth. Rev., Union Hosp., Inc. (Prerefunded 09/01/21)(a)		7.750			09/01/31		1,500		1,947,675
									9,480,501
Iowa    1.5%
Altoona Urban Renewal Tax Alloc., Annual Appr. (Prerefunded 06/01/18)(a)		6.000			06/01/43		1,000		1,080,320
Ames, IA Hosp. Rev, Mary Greeley Med. Ctr. (Prerefunded 06/15/20)(a)		5.250			06/15/36		1,000		1,144,340
Iowa St. Fin. Auth. Rev., Midwstrn. Disaster Area, Iowa Fertilizer Co. Proj., Rfdg.		5.000			12/01/19		785		806,478
Iowa St. Fin. Auth. Rev., Midwstrn. Disaster Area, Iowa Fertilizer Co. Proj., Rfdg.		5.250			12/01/25		4,600		4,797,754

See Notes to Financial Statements.

Prudential Muni High Income Fund 19

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Iowa (cont’d.)
Iowa St. Fin. Auth. Rev., Midwstrn. Disaster Area, Iowa Fertilizer Co. Proj., Rfdg.		5.500	%		12/01/22		5,600	$	5,677,056
									13,505,948
Kansas    0.1%
Kansas St. Dev. Fin. Auth. Hosp. Rev., Adventist Hlth., Rfdg.		5.750			11/15/38		1,000		1,127,380
Kentucky    0.7%
Kentucky Econ. Dev. Fin. Auth. Hosp. Facs. Rev., Owensboro Med. Hlth. Sys., Ser. A		6.375			06/01/40		3,500		3,949,190
Kentucky Econ. Dev. Fin. Auth. Telecom. Rev., Sr., Next Gen. Info., Ser. A		5.000			01/01/45		1,000		1,118,060
Owen Cnty. Wtrwks. Sys. Rev., Amern. Wtr. Co. Proj., Ser. A		6.250			06/01/39		500		551,325
Owen Cnty. Wtrwks. Sys. Rev., Amern. Wtr. Co. Proj., Ser. B		5.625			09/01/39		500		548,025
									6,166,600
Louisiana    1.6%
Louisiana Loc. Govt. Envir. Facs. & Cmnty. Rev., Westlake Chem. Corp., Ser. A-2		6.500			11/01/35		1,000		1,157,140
Louisiana Loc. Govt. Envir. Facs. & Cmnty. Rev., Woman’s Hosp. Fndtn., Ser. A		6.000			10/01/44		2,000		2,319,560
Louisiana Pub. Facs. Auth. Hosp. Rev., Franciscan Missionaries Hosp. (Prerefunded 07/01/19)(a)		6.750			07/01/39		2,000		2,296,680
Louisiana Pub. Facs. Auth. Rev., Ochsner Clinic Fndtn. Proj., Rfdg.		4.000			05/15/41		1,000		1,038,590
Louisiana Pub. Facs. Auth. Rev., Ochsner Clinic Fndtn. Proj., Rfdg.		5.000			05/15/47		1,000		1,133,450
Louisiana Pub. Facs. Auth. Rev., Provident Grp. Flagship Ppty.		5.000			07/01/56		2,000		2,217,520
New Orleans Sewerage Serv. Rev.		5.000			06/01/45		500		567,070
New Orleans Sewerage Serv. Rev., Rfdg.		5.000			06/01/44		1,000		1,140,550
St. Charles Parish Gulf Zone, Opp. Zone Rev., Valero Energy Corp. (Mandatory put date 06/01/22)		4.000			12/01/40		2,500		2,730,100
									14,600,660
Maine    0.6%
Maine St. Hlth. & Higher Edl. Facs. Auth. Rev., E. Maine Healthcare, Ser. A		4.000			07/01/46		3,000		2,918,490
Maine St. Hlth. & Higher Edl. Facs. Auth. Rev., Maine General Med. Ctr.		7.500			07/01/32		2,000		2,343,420
									5,261,910

See Notes to Financial Statements.

20

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Maryland    1.6%
Anne Arundel Cnty. Tax Alloc., Vlg. South Waugh Chapel Proj.		6.250	%		07/01/40		2,000	$	2,093,780
Frederick Cnty. MD Spl. Oblig. Rev., Jefferson Tech. Park, Ser. B		7.125			07/01/43		2,000		2,257,340
Frederick Cnty. MD Spl. Oblig. Tax, Sub. Urbana Cmnty. Dev. Auth., Ser. B		5.500			07/01/40		4,615		4,858,949
Howard Cnty., MD Tax Alloc., Annapolis Junction Twn. Ctr. Proj.		6.100			02/15/44		1,420		1,535,190
Maryland Econ. Dev. Corp., Poll. Ctrl. Rev., Potomac Elect. Pwr. Co., Rfdg.		6.200			09/01/22		1,000		1,114,080
Maryland St. Hlth. & Higher Edl. Facs. Auth. Rev., Charlestown Cmnty., Rfdg.		6.250			01/01/41		1,500		1,732,140
Maryland St. Hlth. & Higher Edl. Facs. Auth. Rev., Lifebridge Hlth.		6.000			07/01/41		600		706,698
									14,298,177
Massachusetts    1.1%
Massachusetts St. Dev. Fin. Agcy. Rev., Boston Med. Ctr., Ser. E, Rfdg.		4.000			07/01/38		1,500		1,533,780
Massachusetts St. Dev. Fin. Agcy. Rev., S. Shore Hosp., Ser. I, Rfdg.		4.000			07/01/36		1,500		1,573,560
Massachusetts St. Dev. Fin. Agcy. Rev., SABIS International Chrt. Sch., Rfdg.		5.000			04/15/40		1,250		1,394,913
Massachusetts St. Dev. Fin. Agcy. Rev., Tufts Med. Ctr., Ser. I		7.250			01/01/32		2,000		2,389,360
Massachusetts St. Port Auth. Spl. Facs. Rev., Bosfuel Proj., AMT, NATL		5.000			07/01/32		3,000		3,063,960
									9,955,573
Michigan    2.9%
Great Lakes Wtr., Auth. Wtr. Sply. Sys. Rev., Sr. Lien, Ser. A		5.000			07/01/46		3,000		3,405,750
Kent Hosp. Fin. Auth. Rev., Metro Hosp. Proj., Ser. A		6.250			07/01/40		3,000		2,989,020
Michigan Fin. Auth. Rev., Henry Ford Hlth., Rfdg.		4.000			11/15/46		4,000		4,029,600
Michigan Fin. Auth. Rev., Sr., Lien, Detroit Wtr. & Swr.		5.000			07/01/35		500		563,995
Michigan Fin. Auth. Rev., Sr., Lien, Detroit Wtr. & Swr., Ser. C-1		5.000			07/01/44		1,000		1,098,550
Michigan St. Bldg. Auth. Rev., Facs. Prog., Ser. I-A, Rfdg.		5.375			10/15/41		750		861,157
Michigan St. Hosp. Fin. Auth. Rev., Henry Ford Hlth. (Prerefunded 11/15/19)(a)		5.750			11/15/39		1,000		1,139,720

See Notes to Financial Statements.

Prudential Muni High Income Fund 21

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Michigan (cont’d.)
Michigan St. Strategic Fund Rev., Var. Detroit Ed. Rmkt. Rfdg.		5.625	%		07/01/20		1,000	$	1,142,370
Oakland Cnty. Econ. Dev. Corp. Oblg. Rev., Roman Catholic Archdiocese Detroit, Rfdg.		6.500			12/01/20		1,800		1,891,746
Royal Oak Hosp. Fin. Auth. Hosp. Rev., William Beaumont Hosp., Ser. V (Prerefunded 09/01/18)(a)		8.250			09/01/39		2,150		2,438,057
Royal Oak Hosp. Fin. Auth. Hosp. Rev., William Beaumont Hosp., Ser. W (Prerefunded 08/01/19)(a)		6.000			08/01/39		1,000		1,135,760
Star Intl. Academy, Pub. Sch. Academy, Rfdg.		5.000			03/01/33		2,000		2,086,260
Summit Academy Rev., Rfdg., Pub. Sch. Academy, Rfdg.		6.250			11/01/25		2,060		2,063,317
Wayne Cnty. Arpt. Auth. Rev., Detroit Met. Arpt., Ser. D, AMT, Rfdg.		5.000			12/01/28		1,500		1,687,680
									26,532,982
Minnesota    0.5%
Hugo, MN Rev., Chrt. Sch. Lease, Noble Academy Proj., Ser. A		5.000			07/01/44		1,250		1,283,550
St. Cloud, MN Rev., Centracare Hlth., Ser. A, Rfdg.		4.000			05/01/37		1,250		1,346,238
St. Paul Hsg. & Redev. Auth., Hosp. Rev., Hlth. East Care Sys. Proj.		5.000			11/15/44		1,000		1,114,540
St. Paul Port Auth. Sol. Wste. Disp. Rev., Gerdau St. Paul Steel Mill Proj., Ser. 7, AMT, 144A		4.500			10/01/37		1,000		867,290
									4,611,618
Mississippi    0.1%
Warren Cnty. Gulf Opp. Zone, Intl. Paper Proj., Ser. A		6.500			09/01/32		1,000		1,087,240
Missouri    2.1%
Joplin Indl. Dev. Auth. Rev., Freeman Hlth. Sys., Rfdg.		5.000			02/15/35		1,000		1,138,450
Manchester Tax Increment & Transn. Rev., Hwy. 141, Manchester Rd. Proj., Rfdg.		6.875			11/01/39		1,500		1,573,635
Missouri St. Hlth. & Ed. Facs. Auth. Rev., BJC Hlth. Sys., Ser. A		4.000			01/01/45		2,010		2,111,404
Missouri St. Hlth. & Ed. Facs. Auth. Rev., Lutheran Sr. Svcs.		6.000			02/01/41		1,000		1,126,900
Missouri St. Hlth. & Ed. Facs. Auth. Rev., Lutheran Sr. Svcs., Rfdg.		5.000			02/01/44		4,000		4,346,360
Missouri St. Hlth. & Ed. Facs. Auth. Rev., Lutheran Svcs., Ser. A		5.000			02/01/46		1,000		1,118,440

See Notes to Financial Statements.

22

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Missouri (cont’d.)
Missouri St. Hlth. & Ed. Facs. Auth. Rev., St. Anthonys Med. Ctr., Ser B., Rfdg.		4.000	%		02/01/40		750	$	772,313
Missouri St. Hlth. & Ed. Facs. Auth. Rev., St. Louis Clg. Pharmacy, Ser. B		5.000			05/01/45		1,500		1,604,970
Missouri St. Hlth. & Ed. Facs. Auth. Rev., The Children’s Mercy Hosp., Rfdg.		4.000			05/15/39		1,000		1,034,490
Poplar Bluff Regl. Transn. Dev. Dist., Transn. Sales Tax Rev.		4.750			12/01/42		2,100		2,203,887
St. Louis Cnty. Indl. Dev. Auth. Rev., St. Andrews Res. Srs. Oblig., Ser. A, Rfdg.		5.125			12/01/45		1,000		1,039,710
St. Louis Cnty. Indl. Dev. Auth. Rev., Friendship Village Sunset Hills, Ser. A		5.875			09/01/43		1,000		1,160,970
									19,231,529
Nebraska    0.3%
Sarpy Cnty. Hosp. Auth. No. 1 Rev., NE Medicine, Rfdg.		4.000			05/15/51		3,000		3,108,360
Nevada 0.3%
Clark Cnty. Impt. Dist. Spl. Assmt., Dist. No. 142, Mountains Edge Loc. Impvt., Rfdg.		4.000			08/01/23		1,475		1,520,725
Nevada St. Dept. of Bus. & Ind. Rev., Somerset Acad., Ser. A, 144A		5.125			12/15/45		1,000		1,024,100
									2,544,825
New Hampshire    0.1%
New Hampshire Business Fin. Auth. Sld. Wste. Disp. Rev., Casella Wste. Sys., Inc., Rmkt., AMT (Mandatory put date 10/01/2019), 144A		4.000			04/01/29		1,000		977,770
New Jersey    8.6%
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc. Proj., AMT, Rfdg.		5.750			09/15/27		1,530		1,731,516
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc. Proj., Rmkt., AMT		5.500			06/01/33		2,000		2,248,940
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc., Proj., Spec. Facs. AMT		5.250			09/15/29		5,000		5,559,200
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc., United Airlines, Inc. Proj., AMT		4.875			09/15/19		2,150		2,265,842
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc., United Airlines, Inc. Proj., AMT		5.125			09/15/23		5,000		5,562,850
New Jersey Econ. Dev. Auth. Rev., Continental Airlines, Inc., United Airlines, Inc. Proj., Ser. A, AMT		5.625			11/15/30		2,275		2,605,785

See Notes to Financial Statements.

Prudential Muni High Income Fund 23

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
New Jersey (cont’d.)
New Jersey Econ. Dev. Auth. Rev., Goethals Bridge, AMT		5.375	%		01/01/43		1,390	$	1,579,332
New Jersey Econ. Dev. Auth. Rev., Provident Grp., Rowan Pptys. LLC, Ser. A		5.000			01/01/48		1,000		1,105,700
New Jersey Econ. Dev. Auth. Rev., Ser. WW		5.250			06/15/40		1,250		1,389,913
New Jersey Econ. Dev. Auth. Rev., Team Academy Chrt. Sch. Proj.		6.000			10/01/43		1,700		1,943,202
New Jersey Econ. Dev. Auth. Rev., Umm Energy Partners, Ser. A, AMT		5.000			06/15/37		1,500		1,584,840
New Jersey Econ. Dev. Auth. Rev., Umm Energy Partners, Ser. A, AMT		5.125			06/15/43		1,100		1,160,577
New Jersey Healthcare Facs. Fin. Auth. Rev., AHS Hosp. Corp. (Prerefunded 07/01/21)(a)		6.000			07/01/41		500		608,595
New Jersey Healthcare Facs. Fin. Auth. Rev., AHS Hosp. Corp., Rfdg.		4.000			07/01/41		1,500		1,570,185
New Jersey Healthcare Facs. Fin. Auth. Rev., Barnabas Hlth., Ser. A, Rfdg. (Prerefunded 07/01/21)(a)		5.625			07/01/37		1,000		1,201,730
New Jersey Healthcare Facs. Fin. Auth. Rev., Inspira Hlth. Obligated Grp., Ser. A, Rfdg.		4.000			07/01/41		1,500		1,562,250
New Jersey Healthcare Facs. Fin. Auth. Rev., Princeton Healthcare Sys., Ser. A, Rfdg.		5.000			07/01/39		1,000		1,158,520
New Jersey Healthcare Facs. Fin. Auth. Rev., RWJ Barnabas Healthcare Sys. Oblig., Ser. A		5.000			07/01/43		1,500		1,721,505
New Jersey Healthcare Facs. Fin. Auth. Rev., St. Joseph’s Healthcare Sys. Oblig.		4.000			07/01/48		1,500		1,508,310
New Jersey Healthcare Facs. Fin. Auth. Rev., St. Josephs Healthcare Sys. (Prerefunded 07/01/18)(a)		6.625			07/01/38		3,000		3,287,130
New Jersey Healthcare Facs. Fin. Auth. Rev., University Hosp., Ser. A, AGM, Rfdg.		5.000			07/01/46		1,500		1,698,030
New Jersey Healthcare Facs. Fin. Auth. Rev., Virtua Hlth.		5.750			07/01/33		2,000		2,211,360
New Jersey St. Edl. Facs. Auth. Univ. Med. & Dentistry, Ser. B, Rfdg. (Prerefunded 06/01/19)(a)		7.500			12/01/32		1,000		1,162,970
New Jersey St. Transn. Tr. Fd. Sys. Auth., Fed. Hwy. Reimbursement Nts., Ser. A1		5.000			06/15/28		1,250		1,399,312
New Jersey St. Transn. Tr. Fd. Sys. Auth., Trans. Sys., Ser. A		5.875			12/15/38		2,000		2,168,460
New Jersey St. Transn. Tr. Fd. Sys. Auth., Trans. Sys., Ser. AA		5.000			06/15/45		1,200		1,300,392
New Jersey St. Transn. Tr. Fd. Sys. Auth., Trans. Sys., Ser. AA		5.250			06/15/41		1,000		1,114,270

See Notes to Financial Statements.

24

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
New Jersey (cont’d.)
South Jersey Transn. Auth. LLC, Rev., Ser. A, Rfdg.		5.000	%		11/01/39		750	$	835,103
Tob. Settlement Fing. Corp., NJ Rev., Ser. 1A, Rfdg.		4.500			06/01/23		6,260		6,347,515
Tob. Settlement Fing. Corp., NJ Rev., Ser. 1A, Rfdg.		4.625			06/01/26		8,030		8,065,894
Tob. Settlement Fing. Corp., NJ Rev., Ser. 1A, Rfdg.		4.750			06/01/34		3,000		2,873,550
Tob. Settlement Fing. Corp., NJ Rev., Ser. 1A, Rfdg.		5.000			06/01/41		8,610		8,055,085
									78,587,863
New York    6.2%
Brooklyn Arena Loc. Dev. Corp. Rev., Barclays Ctr. Proj. (Prerefunded 01/15/20)(a)		6.375			07/15/43		1,250		1,457,463
Brooklyn Arena Loc. Dev. Corp. Rev., Barclays Ctr. Proj. Ser. A, Rfdg.		5.000			07/15/42		1,000		1,145,310
Build NYC Resource Corp. Rev., Pratt Paper, Inc. Proj., AMT, Rdfg., 144A		5.000			01/01/35		1,000		1,123,070
Erie Cnty. Tob. Asset Secur. Corp. Cap. Apprec., Asset Bkd., 1st Sub., Ser. B, CABS		6.740	(b)		06/01/47		5,000		658,400
Erie Cnty. Tob. Asset Secur. Corp. Cap. Apprec., Asset Bkd., 2nd Sub., Ser. C, CABS		7.670	(b)		06/01/50		4,000		319,360
Glen Cove Loc. Econ. Asst. Corp. Rev., Garvies Pt. Impt. Proj., Ser. A		5.000			01/01/56		2,105		2,123,019
Glen Cove Loc. Econ. Asst. Corp. Rev., Garvies Pt. Impt. Proj., Ser. C, CABS (Converted to Fixed on 01/01/24)		5.370			01/01/55		1,000		697,500
Long Island Pwr. Auth. Elec. Sys. Rev., Ser. A (Prerefunded 05/01/19)(a)		6.000			05/01/33		1,500		1,684,335
Nassau Cnty. Tob. Settlement Corp., Asset Bkd., Sr., Ser. A-, Rfdg.		5.125			06/01/46		2,250		2,158,042
New York Liberty Dev. Corp. Rev., 4 World Trade Center Proj., Rfdg.		5.750			11/15/51		1,750		2,052,977
New York Liberty Dev. Corp. Rev., Class 1-3 World Trade Ctr., Rfdg., 144A		5.000			11/15/44		5,000		5,624,400
New York St. Dorm. Auth. Rev., Nonst. Supported Debt, NYU Hosp. Ctr., Ser. A (Prerefunded 07/01/20)(a)		6.000			07/01/40		1,000		1,177,180
New York St. Dorm. Auth. Rev., Orange Regl. Med. Ctr., 144A		5.000			12/01/45		1,000		1,103,330
New York St. Thruway Auth. Rev., Jr. Lien, Ser. A		4.000			01/01/56		1,000		1,043,580
New York Trans. Dev. Corp. Rev., American Airlines, AMT, Rfdg.		5.000			08/01/26		2,000		2,185,400
New York Trans. Dev. Corp. Rev., American Airlines, AMT, Rfdg.		5.000			08/01/31		2,000		2,134,920

See Notes to Financial Statements.

Prudential Muni High Income Fund 25

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
New York (cont’d.)
New York Trans. Dev. Corp. Rev., Laguardia Arpt., Term B, AMT		4.000	%		07/01/41		3,000	$	3,061,500
New York Trans. Dev. Corp. Rev., Laguardia Arpt., Term B, AMT		4.000			07/01/46		4,000		4,014,800
New York Trans. Dev. Corp. Rev., Laguardia Arpt., Term B, AMT		5.000			07/01/46		1,000		1,090,010
New York Trans. Dev. Corp. Rev., Laguardia Arpt., Term B, AMT		5.250			01/01/50		2,000		2,212,360
Onondaga Civic Dev. Corp., St. Joseph Hosp. Hlth. Ctr., Ser. 2012 (Prerefunded 07/01/22)(a)		5.000			07/01/42		1,000		1,203,620
Port Auth. of NY & NJ Spl. Oblig. Rev., JFK Int’l. Air Terminal		5.000			12/01/20		500		563,340
Port Auth. of NY & NJ Spl. Oblig. Rev., JFK Int’l. Air Terminal		6.000			12/01/42		2,500		2,896,050
TSASC, Inc., Rev., Ser. 1, Rfdg.		5.000			06/01/26		865		863,400
TSASC, Inc., Rev., Ser. 1, Rfdg.		5.125			06/01/42		14,820		14,287,517
									56,880,883
North Carolina    0.3%
North Carolina Eastn. Mun. Pwr. Agcy. Pwr. Sys. Rev., Ser. C (Prerefunded 01/01/19)(a)		6.750			01/01/24		1,000		1,119,020
North Carolina Med. Care Commn. Ret. Facs. Rev., First Mtg. Galloway Ridge Proj., Ser. A		6.000			01/01/39		750		801,518
North Carolina Med. Care Commn. Rev., Pennybyrn at Maryfield, Rfdg.		5.000			10/01/35		1,000		1,095,670
									3,016,208
North Dakota    0.1%
Burleigh Cnty. Rev., St. Alexius Med. Ctr. Proj., Ser. A, Rfdg. (Prerefunded 07/01/21)(a)		5.000			07/01/35		750		877,838
Ohio    3.3%
Buckeye OH Tob. Settlement Fin. Auth. Rev., Asset Bkd. Sr. Turbo, Ser. A-2		5.125			06/01/24		4,920		4,649,351
Buckeye OH Tob. Settlement Fin. Auth. Rev., Asset Bkd. Sr. Turbo, Ser. A-2		5.375			06/01/24		2,995		2,950,225
Buckeye OH Tob. Settlement Fin. Auth. Rev., Asset Bkd. Sr. Turbo, Ser. A-2		5.875			06/01/30		6,500		6,131,710
Buckeye OH Tob. Settlement Fin. Auth. Rev., Asset Bkd. Sr. Turbo, Ser. A-2		5.875			06/01/47		2,155		2,025,764
Buckeye OH Tob. Settlement Fin. Auth. Rev., Asset Bkd. Sr. Turbo, Ser. A-2		6.500			06/01/47		2,425		2,385,303

See Notes to Financial Statements.

26

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Ohio (cont’d.)
Franklin Cnty. Hosp. Facs. Rev., Nationwide Children’s Hosp. Proj., Ser. A		4.000	%		11/01/45		2,000	$	2,108,240
Hamilton Cnty. Healthcare Facs. Rev., Christ Hosp. Proj.		5.000			06/01/42		1,250		1,413,275
Hamilton Cnty. OH Rev., Rfdg. & Impt., Life Enrishing Cmnt.		5.000			01/01/51		1,000		1,084,040
Hancock Cnty. Hosp. Facs. Rev., Blanchard Valley Hlth. Ctr., Rfdg.		6.250			12/01/34		600		699,678
Lucas Cnty. OH Hosp. Rev., Promedica Healthcare, Ser. A, Rfdg.		6.000			11/15/41		750		893,505
Lucas Cnty. OH Hosp. Rev., Promedica Healthcare, Ser. A, Rfdg.		6.500			11/15/37		875		1,067,526
Middleburg Heights Hosp. Rev., Facs. Southwest Gen., Ser. 2011, Rfdg.		5.250			08/01/41		1,200		1,322,004
Montgomery Cnty. Hosp. Facs. Rev., Kettering Hlth. Network Proj.		4.000			08/01/47		1,750		1,810,865
Ohio St. Pvt. Act. Rev., Portsmouth Bypass Proj., AMT		5.000			06/30/53		1,000		1,095,590
Ohio St. Wtr. Dev. Auth. Rev., FirstEnergy Generation, Ser. B, Rfdg. (Mandatory put date 04/01/20)		3.625			10/01/33		700		609,399
									30,246,475
Oklahoma    0.8%
Oklahoma St. Dev., Fin. Auth. Rev., St. Johns Hlth. Sys., Rfdg.		5.000			02/15/42		1,500		1,659,555
Tulsa Cnty. OK Indl. Auth. Sr. Living Cmnty. Rev., Montereau, Inc. Proj., Ser A, Rfdg.		7.125			11/01/30		1,000		1,097,440
Tulsa Mun. Arpt. Tr. Trustees Gen. Rev., American Airlines, AMT, Rfdg. (Mandatory put date 06/01/2025)		5.000			06/01/35		1,250		1,444,675
Tulsa Mun. Arpt. Tr. Trustees Gen. Rev., American Airlines, AMT, Rfdg.		5.500			06/01/35		3,000		3,384,570
									7,586,240
Oregon    0.5%
Deschutes Cnty. Hosp. Facs. Auth. Rev., St. Charles Hlth. Sys., Rfdg.		4.000			01/01/46		2,000		2,087,340
Multnomah Cnty. OR Hosp. Facs. Auth. Rev., Mirabella at South Waterfront, Ser. A., Rfdg.		5.400			10/01/44		1,000		1,106,020
Salem OR Hosp. Facs. Auth. Rev., Capital Manor, Inc., Rfdg.		6.000			05/15/42		1,000		1,112,160
									4,305,520

See Notes to Financial Statements.

Prudential Muni High Income Fund 27

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Pennsylvania    6.2%
Allegheny Cnty. Indl. Dev. Auth. Rev., Environmental Impt., Rfdg.		5.500	%		11/01/16		355	$	355,000
Butler Cnty. Hosp. Auth. Rev., Butler Hlth. Sys. Proj. (Prerefunded 07/01/19)(a)		7.250			07/01/39		1,000		1,162,600
Central Bradford Progress Auth. Rev., Guthrie Healthcare Sys., Rfdg.		5.375			12/01/41		2,700		3,061,422
Chester Cnty. Indl. Dev. Auth. Rev., Renaissance Academy Chrt. Sch., Rfdg.		5.000			10/01/44		1,000		1,074,270
Cumberland Cnty. Mun. Auth., Rev., Asbury PA Oblig. Grp., Rfdg.		5.250			01/01/41		1,000		1,057,290
Cumberland Cnty. Mun. Auth., Rev., Asbury PA Oblig. Grp., Rfdg.		6.125			01/01/45		2,000		2,135,220
Cumberland Cnty. Mun. Auth., Rev., Diakon Lutheran, Rfdg. (Prerefunded 01/01/19)(a)		6.375			01/01/39		900		1,003,005
Doylestown Hosp. Auth. Rev., Doylestown Hosp., Ser. A, Rfdg.		5.000			07/01/46		2,155		2,375,306
East Hempfield Township Indl. Dev. Auth. Rev., Student Svcs. Inc., Student Hsg. Proj.		5.000			07/01/46		1,000		1,080,490
Geisinger Auth. Hlth. Sys., Ser. A-1		5.125			06/01/41		1,450		1,603,903
Lehigh Cnty. Gen. Hosp. Rev., Lehigh Valley Health Network, Ser. A		4.250			07/01/45		1,000		1,060,220
Montgomery Cnty. Indl. Dev. Auth. Rev., Whitemarsh CCRC, Rfdg.		5.250			01/01/40		1,000		1,028,000
Moon Indl. Dev. Auth. Rev., Baptist Homes Society Oblig., Rfdg.		6.000			07/01/45		2,000		2,243,700
Northampton Cnty. Gen. Purp. Auth. Hosp. Rev., St. Luke’s Hosp. Proj., Ser. A (Prerefunded 08/15/18)(a)		5.500			08/15/35		1,000		1,080,600
Pennsylvania Econ. Dev. Fin. Auth. Rev., PA Bridges Finco. LP, AMT		5.000			06/30/42		1,500		1,659,765
Pennsylvania Econ. Dev. Fin. Auth. Rev., Res. Recov., Colver Proj., Ser. F, AMBAC, AMT, Rfdg.		4.625			12/01/18		3,500		3,511,060
Pennsylvania Econ. Dev. Fin. Auth. Rev., Swr. Sludge Disp., Philadelphia Biosolids Fac.		6.250			01/01/32		750		816,795
Pennsylvania Econ. Dev. Fin. Auth. Rev., US Airways Grp., Ser. B, Gty. Agmt.		8.000			05/01/29		490		568,336
Pennsylvania Tpk. Commn. Rev., Sub., Ser A, Rfdg.		4.000			12/01/41		3,000		3,090,390
Pennsylvania Tpk. Commn. Rev., Sub., Ser A-1, Rfdg.		5.000			12/01/46		2,000		2,238,260
Philadelphia Auth. for Indl. Dev. Rev., First Philadelphia Preparatory Chrt., Ser. A, Rfdg.		7.250			06/15/43		2,000		2,372,720
Philadelphia Auth. for Indl. Dev. Rev., Gtr. Philadelphia Hlth Action, Rfdg.		6.625			06/01/50		3,000		3,173,610

See Notes to Financial Statements.

28

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Pennsylvania (cont’d.)
Philadelphia Auth. for Indl. Dev. Rev., Mariana Bracetti Academy		7.625	%		12/15/41		2,000	$	2,274,860
Philadelphia Auth. for Indl. Dev. Rev., New Fndtn. Chrt. Sch. Proj.		6.625			12/15/41		1,000		1,123,350
Philadelphia Gas Wks. Co. Rev., General Oridinance, Ser. 14, Rfdg.		4.000			10/01/37		500		534,625
Philadelphia Hosp. & Higher Ed. Facs. Auth. Rev., Temple Univ. Hlth. Sys., Ser. A		5.625			07/01/42		6,750		7,455,983
Philadelphia Hosp. & Higher Ed. Facs. Auth. Rev., Temple Univ. Hlth. Sys., Ser. A, Rfdg.		5.000			07/01/34		4,175		4,220,716
Philadelphia Hosp. & Higher Ed. Facs. Auth. Rev., Temple Univ. Hlth. Sys., Ser. A, Rfdg.		5.500			07/01/30		500		507,135
Philadelphia Hosp. & Higher Ed. Facs. Auth. Rev., Temple Univ. Hlth. Sys., Ser. B, Rfdg.		5.500			07/01/26		750		761,400
Susquehanna Area Regl. Arpt. Auth., Arpt. Sys. Rev., Ser. A, AMT		6.500			01/01/38		1,500		1,568,415
									56,198,446
Puerto Rico    1.6%
Puerto Rico Comnwlth., Aqueduct & Swr. Auth. Rev., Sr. Lien, Ser. A, Rfdg.		5.750			07/01/37		1,350		1,041,619
Puerto Rico Comnwlth., Aqueduct & Swr. Auth. Rev., Sr. Lien, Ser. A, Rfdg.		6.000			07/01/47		1,125		864,754
Puerto Rico Comnwlth., GO, Pub. Impt., Ser. A, Rfdg.(c)		5.500			07/01/39		2,000		1,287,500
Puerto Rico Comnwlth., GO, Ser. A, Rfdg.(c)		8.000			07/01/35		6,200		4,223,750
Puerto Rico Elec. Pwr. Auth. Rev., Ser. A		6.750			07/01/36		2,000		1,360,080
Puerto Rico Elec. Pwr. Auth. Rev., Ser. XX		5.250			07/01/40		2,000		1,357,660
Puerto Rico Pub. Bldgs. Auth. Rev., Govt. Facs., Ser. M, Rfdg.(c)		6.000			07/01/20		2,500		1,531,250
Puerto Rico Sales Tax Fin. Corp. Sales Tax Rev., Cap. Apprec., Ser. A , CABS		11.850	(b)		08/01/33		5,000		727,300
Puerto Rico Sales Tax Fin. Corp. Sales Tax Rev., First Sub., Ser. A		5.375			08/01/39		1,500		763,650
Puerto Rico Sales Tax Fin. Corp. Sales Tax Rev., First Sub., Ser. A		5.750			08/01/37		1,000		515,150
Puerto Rico Sales Tax Fin. Corp. Sales Tax Rev., First Sub., Ser. A		6.000			08/01/42		2,150		1,136,705
									14,809,418

See Notes to Financial Statements.

Prudential Muni High Income Fund 29

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Rhode Island    0.3%
Rhode Island St. Hlth. & Edl. Bldg. Corp. Rev., Hosp. Fing., Lifespan Oblig., Ser. A (Prerefunded 05/15/19)(a)		7.000	%		05/15/39		2,000	$	2,299,420
Tob. Settlement Fing. Corp. Rev., Ser. A, Rfdg.		5.000			06/01/40		600		646,374
									2,945,794
South Carolina    0.5%
South Carolina Prt. Auth. Rev, AMT		4.000			07/01/45		1,500		1,562,430
South Carolina St. Pub. Svc. Auth. Rev., Ser. E, Rfdg.		5.250			12/01/55		2,500		2,946,450
									4,508,880
South Dakota    0.2%
South Dakota St. Hlth. & Edl. Facs. Auth. Rev., Avera Hlth., Ser. A, Rfdg.		5.000			07/01/42		1,655		1,828,444
Tennessee    1.3%
Chattanooga Hlth. Edl. & Hsg. Facs. Brd. Rev., Catholic Hlth., Ser. A		5.250			01/01/45		2,000		2,228,900
Johnson City Hlth. & Edl. Facs. Brd. Hosp. Rev., Mountain States Hlth. Alliance, First Mtge., Ser. A, Rfdg.		6.000			07/01/38		1,000		1,120,740
Johnson City Hlth. & Edl. Facs. Brd. Hosp. Rev., Mountain States Hlth. Alliance, First Mtge., Ser. A, NATL, ETM, Rfdg. (Escrowed to maturity date 07/01/17)(a)		6.750			07/01/17		2,000		2,071,660
Knox Cnty. Hlth. Edl. & Hsg. Facs. Brd. Hosp. Facs. Rev., Covenant Hlth., Ser. A, CABS, Rfdg.		4.420	(b)		01/01/35		1,000		407,320
Metropolitan Govt. Nashville & Davidson Cnty. Hlth. & Edl. Facs. Brd. Rev., Impt. Blakeford at Green Hills, Rfdg.		5.000			07/01/37		850		912,721
Metropolitan Govt. Nashville & Davidson Cnty. Hlth. & Edl. Facs. Brd. Rev., Vanderbilt Univ. Med. Ctr., Ser. A		5.000			07/01/46		1,000		1,154,000
Shelby Cnty. Hlth. Edl. & Hsg. Facs. Brd. Facs. Rev., Germantown Village, Rfdg.		5.250			12/01/42		1,100		1,146,409
Tennessee Energy Acquisition Corp. Gas Rev., Ser. C		5.000			02/01/22		1,000		1,146,630
Tennessee Energy Acquisition Corp. Gas Rev., Ser. C		5.000			02/01/25		1,500		1,763,265
									11,951,645
Texas    10.4%
Arlington Higher Edu. Fin. Corp. Rev., Uplift Ed., Ser. A, Rfdg.		5.000			12/01/51		3,030		3,410,538

See Notes to Financial Statements.

30

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Texas (cont’d.)
Arlington Higher Edu. Fin. Corp. Rev., Wayside Schs., Ser. A		4.625	%		08/15/46		1,050	$	1,057,329
Austin Convention Enterprises, Inc. Convention Ctr. Rev., Second Tier, Ser. B, Rfdg., 144A		5.750			01/01/24		3,405		3,419,573
Austin Convention Enterprises, Inc. Convention Ctr. Rev., Second Tier, Ser. B, Rfdg., 144A		5.750			01/01/34		1,000		1,004,490
Bexar Cnty. Hlth. Facs. Dev. Corp. Rev., Army Retmnt Rresidence Fndt., Rfdg.		5.000			07/15/41		1,250		1,381,425
Board of Managers Jt., Guadalupe Cnt., City of Seguin Hosp. Rev., Rfdg.		5.000			12/01/45		500		526,265
Brazos River Auth. Poll. Ctrl. Rev., TXU Energy Co. LLC Proj., AMT, Rmkt., Rfdg.(c)(e)		5.400			05/01/29		2,000		—	(f)
Brazos River Auth. Poll. Ctrl. Rev., TXU Energy Co. LLC Proj., Ser. A, AMT, Elec. Rmkt., Rfdg.(c)(e)		8.250			10/01/30		3,000		—	(f)
Brazos River Auth. Poll. Ctrl. Rev., TXU Energy Co. LLC Proj., Ser. D, Rfdg.(c)(e)		5.400			10/01/29		1,000		—	(f)
Capital Area Cultural Ed. Facs. Fin. Corp. Rev., Roman Catholic Diocese, Ser. B, Rmkt., Rfdg.		6.125			04/01/45		2,050		2,316,295
Central Tex. Regl. Mobility Auth. Rev., Sr. Lien (Prerefunded 01/01/20)(a)		5.750			01/01/25		1,000		1,142,290
Central Tex. Regl. Mobility Auth. Rev., Sr. Lien (Prerefunded 01/01/20)(a)		6.000			01/01/41		2,000		2,384,500
Central Tex. Regl. Mobility Auth. Rev., Sr. Lien, Ser. A		5.000			01/01/45		1,000		1,123,980
Central Tex. Regl. Mobility Auth. Rev., Sub., Rfdg.		4.000			01/01/41		1,000		1,036,500
Clifton Higher Ed. Fin. Corp. Rev., Idea Pub. Sch.		5.000			08/15/42		1,000		1,106,070
Clifton Higher Ed. Fin. Corp. Rev., Idea Pub. Sch.		5.750			08/15/41		1,000		1,117,990
Clifton Higher Ed. Fin. Corp. Rev., Idea Pub. Sch.		6.000			08/15/43		1,000		1,196,550
Clifton Higher Ed. Fin. Corp. Rev., Tejano Cmnty. Ctr., Ser. A		9.000			02/15/38		2,000		2,071,540
Clifton Higher Ed. Fin. Corp. Rev., Uplift Ed., Ser. A		6.125			12/01/40		3,000		3,390,930
Decatur Hosp. Auth. Rev., Wise Regl. Hlth. Sys., Ser. A, Rfdg.		5.250			09/01/44		1,370		1,462,461
Grand Parkway Transn. Corp., 1st Tier Toll Rev., Ser. A		5.125			10/01/43		2,000		2,225,320
Gregg Cnty. Hlth. Facs. Dev. Corp. Rev., Good Shepherd Hlth. Sys., Rfdg., 144A		4.269	(g)		10/01/29		500		500,790
Harris Cnty. Cultural Edu. Facs. Fin. Corp., Houston Methodist Hosp. Oblig.		4.000			12/01/45		1,500		1,573,320
Houston Arpt. Sys. Rev., Ser. B-1, AMT		5.000			07/15/35		2,000		2,208,340
Houston Arpt. Sys. Rev., Spl. Facs. Cont. Airlines, Inc., AMT, Rfdg.		6.625			07/15/38		1,500		1,725,165

See Notes to Financial Statements.

Prudential Muni High Income Fund 31

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Texas (cont’d.)
Houston Arpt. Sys. Rev., Spl. Facs. Cont. Airlines, Inc., Sub. Lien, Ser. A, AMT, Rfdg.		5.000	%		07/01/32		1,000	$	1,107,870
Houston Arpt. Sys. Rev., Sub. Lien, Ser. A, AMT, Rfdg.		5.000			07/01/25		250		281,473
Houston Higher Ed. Fin. Corp., Higher Ed. Rev., Cosmos Fndtn., Inc., Ser. A		5.000			02/15/42		1,250		1,372,012
Houston Higher Ed. Fin. Corp., Higher Ed. Rev., Cosmos Fndtn., Inc., Ser. A		6.500			05/15/31		465		553,796
Houston Higher Ed. Fin. Corp., Higher Ed. Rev., Cosmos Fndtn., Inc., Ser. A, (Prerefunded 05/15/21)(a)		6.500			05/15/31		535		660,902
Kerryville Hlth. Facs. Dev. Corp. Rev., Peterson Regl. Med. Ctr. Proj., Rfdg.		5.000			08/15/35		1,000		1,118,210
La Vernia Higher Ed. Fin. Corp. Ed. Rev., Kipp, Inc., Ser. A (Prerefunded 08/15/19)(a)		6.375			08/15/44		1,000		1,144,620
La Vernia Higher Ed. Fin. Corp. Ed. Rev., Lifeschools of Dallas, Ser. A (Prerefunded 08/15/19)(a)		7.500			08/15/41		2,000		2,347,840
Matagorda Cnty. Nav. Dist. No. 1, Poll. Ctrl. Rev., AEP Tex. Central Co. Proj., Ser. B-1, Rfdg.		4.000			06/01/30		1,000		1,069,860
Matagorda Cnty. Nav. Dist. No. 1, Poll. Ctrl. Rev., AEP Tex. Central Co. Proj., Ser. B-2, Rfdg.		4.000			06/01/30		1,800		1,925,748
Matagorda Cnty. Nav. Dist. No. 1, Poll. Ctrl. Rev., Bonds, Cent. Pwr. & Lt. Co. Proj., Ser. A, Rmkt., Rfdg.		6.300			11/01/29		1,000		1,118,010
Mission Econ. Dev. Corp. Rev., Sr. Lien, Natgasoline Proj., Ser. B, AMT, 144A		5.750			10/01/31		1,000		1,056,380
New Hope Cultural Ed. Facs. Corp. Rev., CHF Collegiate Housing, Tarleton St. Proj., Ser. A		5.000			04/01/47		1,000		1,076,020
New Hope Cultural Ed. Facs. Corp. Rev., Jubilee Academic Ctr., Ser. A, Rfdg.		5.000			08/15/46		2,000		2,007,120
New Hope Cultural Ed. Facs. Corp. Rev., MRC Crestview, Rfdg.		5.000			11/15/46		1,150		1,263,482
New Hope Cultural Ed. Facs. Corp. Rev., Westminster Manor Proj., Rfdg.		4.000			11/01/36		1,250		1,267,513
North Tex. Twy. Auth. Rev., First Tier, Sys., Rfdg.		6.000			01/01/38		2,000		2,344,460
North Tex. Twy. Auth. Rev., First Tier, Sys., Ser. A., Rfdg.		5.750			01/01/40		450		472,563
North Tex. Twy. Auth. Rev., First Tier, Sys., Ser. A., Rfdg.		6.250			01/01/39		195		214,449
North Tex. Twy. Auth. Rev., First Tier, Sys., Ser. A, Rfdg., (Prerefunded 01/01/19)(a)		6.250			01/01/39		1,305		1,452,361
North Tex. Twy. Auth. Rev., Ser. A, Rfdg.		4.000			01/01/38		2,000		2,124,460

See Notes to Financial Statements.

32

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Texas (cont’d.)
Pharr Higher Ed. Fin. Auth. Rev., Idea Pub. Schs., Ser. A		6.500	%		08/15/39		175	$	194,185
Pharr Higher Ed. Fin. Auth. Rev., Idea Pub. Schs., Ser. A (Prerefunded 08/15/19)(a)		6.500			08/15/39		825		944,188
Pottsboro Higher Ed. Fin. Corp. Rev., Ser. A		5.000			08/15/46		1,000		1,009,420
Sabine River Auth. Poll. Ctrl. Rev., TXU Energy Co. LLC Proj., Ser. B(c)(e)		6.150			08/01/22		1,000		—	(f)
San Juan Higher Ed. Fin. Auth. Rev., Idea Pub. Schs., Ser. A (Prerefunded 08/15/20)(a)		6.700			08/15/40		1,000		1,198,680
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Barton Creek Sr. Living Ctr., Rfdg.		5.000			11/15/40		1,100		1,217,018
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Baylor Scott & White Hlth., Ser. A, Rfdg.		4.000			11/15/42		2,750		2,915,660
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Buckingham Sr. Lvng. Cmnty. Proj., Ser. A		5.500			11/15/45		1,900		2,090,152
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Buckingham Sr. Lvng. Cmnty. Proj., Ser. B-2		3.875			11/15/20		500		503,320
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Hlth. Resources Sys. Oblig., Ser. A, Rfdg.		4.000			02/15/47		2,000		2,085,280
Tarrant Cnty. Cultural Ed. Facs. Fin. Corp. Rev., Trinity Terrace Proj., Ser. A-1, Rfdg.		5.000			10/01/44		1,000		1,112,410
Texas Mun. Gas Acq. & Sply. Corp., Gas Sply. Rev., Corp. I, Sr. Lien, Ser. A		5.250			12/15/26		4,100		4,983,960
Texas Mun. Gas Acq. & Sply. Corp., Gas Sply. Rev., Corp. I, Sr. Lien, Ser. B		1.270	(g)		12/15/26		1,500		1,405,935
Texas Priv. Activity Surface Transn. Corp. Rev., Sr. Lien, LBJ Infrastructure		7.000			06/30/40		4,670		5,509,526
Texas Priv. Activity Surface Transn. Corp. Rev., Sr. Lien, NTE Mobility Partners		6.875			12/31/39		2,000		2,323,760
Texas Priv. Activity Surface Transn. Corp. Rev., Sr. Lien, NTE Mobility Partners, AMT, Ser. 3A & 3B		6.750			06/30/43		500		610,205
Texas Priv. Activity Surface Transn. Corp. Rev., Sr. Lien, NTE Mobility Partners, AMT, Ser. 3A & 3B		7.000			12/31/38		1,500		1,855,590
Texas St. Pub. Fin. Auth. Chrt. Sch. Fin. Corp. Rev., Ed. Cosmos Fndtn., Ser. A (Prerefunded 02/15/20)(a)		6.200			02/15/40		1,000		1,163,390
									94,483,489
Utah    0.1%
Utah Chrt. Sch. Fin. Auth. Rev., Spectrum Academy Proj., 144A		6.000			04/15/45		1,000		1,053,700

See Notes to Financial Statements.

Prudential Muni High Income Fund 33

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Vermont    0.3%
Vermont Econ. Dev. Auth. Mtge. Rev., Wake Robin Corp. Proj., Rfdg.		5.400	%		05/01/33		1,100	$	1,185,261
Vermont Edl. & Hlth. Bldgs. Fin. Agcy. Rev., Univ. VT Med. Ctr. Proj., Ser. B, Green Bond		4.000			12/01/46		1,875		1,936,819
									3,122,080
Virgin Islands    0.1%
Virgin Islands Pub. Fin. Auth. Rev., Matching Fd. Ln. Diageo, Ser. A		6.750			10/01/37		750		769,185
Virginia    2.1%
City of Chesapeake Expressway Toll Road Rev., Transn. Sys., Sr. Ser. B, CABS, Rfdg.		3.940	(b)		07/15/40		1,000		802,170
Fairfax Cnty. Econ. Dev. Auth. Rev., Goodwin House Inc., Ser. A, Rfdg.		4.000			10/01/42		1,000		1,033,090
Mosaic District Cmnty. Dev. Auth. Spl. Assmt., Ser. A		6.875			03/01/36		1,250		1,419,800
Norfolk Redev. & Hsg. Auth. Multi-Fam. Rental Hsg. Facs. Rev., Sussex Apts., AMT(d)		8.000			09/01/26		3,855		3,856,195
Stafford Cnty. Econ. Dev. Auth. Rev., Mary Washington Healthcare, Rfdg.		4.000			06/15/37		1,000		1,044,680
Virginia Small Business Fin. Auth. Rev., Sr. Lien, Elizabeth River Crossings OpCo LLC Proj., AMT		5.250			01/01/32		2,055		2,309,018
Virginia Small Business Fin. Auth. Rev., Sr. Lien, Elizabeth River Crossings OpCo LLC Proj., AMT		5.500			01/01/42		3,000		3,365,760
Virginia Small Business Fin. Auth. Rev., Sr. Lien, Express Lanes LLC Proj., AMT		5.000			01/01/40		4,780		5,112,736
									18,943,449
Washington    1.6%
Port of Seattle Indl. Dev. Corp., Spl. Facs., Delta Airlines, AMT, Rfdg.		5.000			04/01/30		1,000		1,072,140
Skagit Cnty. Pub. Hosp. Dist. No. 001 Rev., Skagit Valley Hosp.		5.375			12/01/22		1,190		1,195,355
Skagit Cnty. Pub. Hosp. Dist. No. 001 Rev., Skagit Valley Hosp.		5.750			12/01/35		625		697,962
Skagit Cnty. Pub. Hosp. Dist. No. 001 Rev., Skagit Valley Hosp., Ser. A		5.000			12/01/37		3,000		3,231,300
Tob. Settlement Auth. Wash. Rev., Rfdg.		5.250			06/01/32		1,160		1,309,640
Washington St. Healthcare Facs. Auth. Rev., Kadlec Regl. Med. Ctr., Rdfg. (Prerefunded 12/01/21)(a)		5.000			12/01/42		1,000		1,185,480
Washington St. Healthcare Facs. Auth. Rev., Overlake Hosp. Med. Ctr., Rdfg.		5.000			07/01/38		1,100		1,254,484

See Notes to Financial Statements.

34

Description	Interest Rate			Maturity Date		Principal Amount (000)#		Value (Note 1)
LONG-TERM INVESTMENTS (Continued)
Washington (cont’d.)
Washington St. Healthcare Facs. Auth. Rev., Overlake Hosp. Med. Ctr., Rdfg.		5.500	%		07/01/30		1,115	$	1,256,070
Washington St. Healthcare Facs. Auth. Rev., Seattle Children’s Hosp. (Prerefunded 10/01/19)(a)		5.625			10/01/38		1,250		1,415,950
Washington St. Hsg. Fin. Comm. Rev., Rockwood Retmnt. Cmnty. Proj., Ser. A, 144A		7.375			01/01/44		2,000		2,369,600
									14,987,981
West Virginia    0.1%
West Virginia Econ. Dev. Auth. Rev., Morgantown Energy Assoc., AMT, Rfdg.		2.875			12/15/26		1,000		981,670
Wisconsin    1.2%
Pub. Fin. Auth. Arpt. Facs. Rev., Celanese Proj., Ser. C, AMT, Rfdg.		4.300			11/01/30		3,000		3,088,500
Pub. Fin. Auth. Arpt. Facs. Rev., Cornerstone Chrt. Academy Proj., Ser. A, 144A		5.125			02/01/46		1,000		1,008,750
Pub. Fin. Auth. Arpt. Facs. Rev., Bancroft Neurohealth Proj., Ser. A, 144A		5.125			06/01/48		1,000		1,010,160
Pub. Fin. Auth. Arpt. Facs. Rev., Sr. Oblig. Grp., AMT, Rfdg.		5.000			07/01/42		1,500		1,586,610
Pub. Fin. Auth. Arpt. Facs. Rev., Sr. Oblig. Grp., AMT, Rfdg.		5.250			07/01/28		1,000		1,105,160
Wisconsin Hlth. & Ed. Facs. Auth. Rev., Ascension Hlth. Credit Grp., Ser. A, Rfdg.		4.000			11/15/46		2,500		2,633,800
Wisconsin Hlth. & Ed. Facs. Auth. Rev., St. Johns Cmntys. Inc., Ser. B, Rfdg.		5.000			09/15/45		500		536,460
									10,969,440
Wyoming    0.1%
Campbell Cnty. Solid Wste. Facs. Rev., Basin Elec. Pwr. Coop., Ser. A		5.750			07/15/39		500		554,395
TOTAL INVESTMENTS    99.9% (cost $854,511,900)(Note 5)									910,645,534
Other assets in excess of liabilities    0.1%									745,996
NET ASSETS    100.0%								$	911,391,530

See Notes to Financial Statements.

Prudential Muni High Income Fund 35

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

The following abbreviations are used in the semi-annual report.

144A—Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may not be resold subject to that rule except to qualified institutional buyers. Unless otherwise noted, 144A securities are deemed to be liquid.

ACA—American Capital Access Corp.

AGC—Assured Guaranty Corp.

AGM—Assured Guaranty Municipal Corp.

AMBAC—American Municipal Bond Assurance Corp.

AMT—Alternative Minimum Tax

CABS—Capital Appreciation Bonds

CCRC—Continuing Care Retirement Communities

CDD—Community Development District

COP—Certificates of Participation

ETM—Escrowed to Maturity

GO—General Obligation

IDB—Industrial Development Bond

LIBOR—London Interbank Offered Rate

NATL—National Public Finance Guaranty Corp.

OTC—Over-the-counter

PCR—Pollution Control Revenue

# Principal amount shown in U.S. dollars unless otherwise stated.

(a) All or partial escrowed to maturity and pre-refunded issues are secured by escrowed cash, a guaranteed investment contract and/or U.S. guaranteed obligations.

(b) Represents a zero coupon or step bond. Rate quoted represents effective yield at October 31, 2016.

(c) Represents issuer in default on interest payments and/or principal repayment; non-income producing security.

(d) Indicates a security that has been deemed illiquid.

(e) Indicates a Level 3 security. The aggregate value of Level 3 securities is $448,800 and 0.0% of net assets.

(f) Less than $0.5 par.

(g) Variable rate instrument. The interest rate shown reflects the rate in effect at October 31, 2016.

Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below.

Level 1—quoted prices generally in active markets for identical securities.

Level 2—quoted prices for similar securities, interest rates and yield curves, prepayment speeds, foreign currency exchange rates and other observable inputs.

Level 3—unobservable inputs for securities valued in accordance with Board approved fair valuation procedures.

See Notes to Financial Statements.

36

The following is a summary of the inputs used as of October 31, 2016 in valuing such portfolio securities:

	Level 1		Level 2		Level 3
Investments in Securities
Municipal Bonds
Alabama	$	—	$	9,927,170	$	—
Arizona		—		31,676,164		—
California		—		95,663,677		—
Colorado		—		29,814,493		—
Connecticut		—		3,710,535		—
Delaware		—		3,112,761		—
District of Columbia		—		10,563,894		—
Florida		—		69,519,206		448,800
Georgia		—		7,861,060		—
Guam		—		1,736,985		—
Hawaii		—		6,904,000		—
Idaho		—		2,222,040		—
Illinois		—		85,384,633		—
Indiana		—		9,480,501		—
Iowa		—		13,505,948		—
Kansas		—		1,127,380		—
Kentucky		—		6,166,600		—
Louisiana		—		14,600,660		—
Maine		—		5,261,910		—
Maryland		—		14,298,177		—
Massachusetts		—		9,955,573		—
Michigan		—		26,532,982		—
Minnesota		—		4,611,618		—
Mississippi		—		1,087,240		—
Missouri		—		19,231,529		—
Nebraska		—		3,108,360		—
Nevada		—		2,544,825		—
New Hampshire		—		977,770		—
New Jersey		—		78,587,863		—
New York		—		56,880,883		—
North Carolina		—		3,016,208		—
North Dakota		—		877,838		—
Ohio		—		30,246,475		—
Oklahoma		—		7,586,240		—
Oregon		—		4,305,520		—
Pennsylvania		—		56,198,446		—
Puerto Rico		—		14,809,418		—
Rhode Island		—		2,945,794		—
South Carolina		—		4,508,880		—
South Dakota		—		1,828,444		—

See Notes to Financial Statements.

Prudential Muni High Income Fund 37

Portfolio of Investments (unaudited) (continued)

as of October 31, 2016

	Level 1		Level 2		Level 3
Municipal Bonds (continued)
Tennessee	$	—	$	11,951,645	$	—
Texas		—		94,483,489		—
Utah		—		1,053,700		—
Vermont		—		3,122,080		—
Virgin Islands		—		769,185		—
Virginia		—		18,943,449		—
Washington		—		14,987,981		—
West Virginia		—		981,670		—
Wisconsin		—		10,969,440		—
Wyoming		—		554,395		—
Total	$	—	$	910,196,734	$	448,800

During the period, there were no transfers between Level 1 and Level 2 to report.

The industry classification of investments and other assets in excess of liabilities shown as a percentage of net assets as of October 31, 2016 were as follows:

Health Care	25.9	%
Corporate Backed IDB & PCR	12.2
Tobacco Appropriated	11.1
Education	9.6
Special Tax/Assessment District	7.7
Transportation	7.3
Pre-Refunded	6.9
Power	6.4
General Obligation	4.7
Other	2.8	%
Water & Sewer	2.1
Lease Backed Certificate of Participation	1.6
Solid Waste/Resource Recovery	1.2
Housing	0.4
	99.9
Other assets in excess of liabilities	0.1
	100.0	%

See Notes to Financial Statements.

38

This Page Intentionally Left Blank

Statement of Assets & Liabilities (unaudited)

as of October 31, 2016

Assets
Unaffiliated investments (cost $854,511,900)	$	910,645,534
Cash		188,519
Interest receivable		14,914,973
Receivable for Fund shares sold		1,779,781
Receivable for investments sold		1,544,335
Prepaid expenses		9,159
Total Assets		929,082,301
Liabilities
Payable for investments purchased		12,013,786
Payable for Fund shares reacquired		4,548,147
Dividends payable		396,402
Management fee payable		391,899
Distribution fee payable		222,833
Accrued expenses		103,867
Affiliated transfer agent fee payable		12,385
Deferred trustees’ fees		1,452
Total Liabilities		17,690,771
Net Assets	$	911,391,530
Net assets were comprised of:
Shares of beneficial interest, at par	$	874,873
Paid-in capital in excess of par		884,288,313
		885,163,186
Undistributed net investment income		5,611,103
Accumulated net realized loss on investment transactions		(35,516,393	)
Net unrealized appreciation on investments		56,133,634
Net assets, October 31, 2016	$	911,391,530

See Notes to Financial Statements.

40

Class A
Net asset value and redemption price per share ($403,099,331 ÷ 38,678,351 shares of beneficial interest issued and outstanding)	$	10.42
Maximum sales charge (4.00% of offering price)		0.43
Maximum offering price to public	$	10.85
Class B
Net asset value, offering price and redemption price per share ($52,076,313 ÷ 4,994,483 shares of beneficial interest issued and outstanding)	$	10.43
Class C
Net asset value, offering price and redemption price per share ($133,763,851 ÷ 12,832,272 shares of beneficial interest issued and outstanding)	$	10.42
Class Z
Net asset value, offering price and redemption price per share ($322,452,035 ÷ 30,982,194 shares of beneficial interest issued and outstanding)	$	10.41

See Notes to Financial Statements.

Prudential Muni High Income Fund 41

Statement of Operations (unaudited)

Six Months Ended October 31, 2016

Net Investment Income (Loss)
Income
Interest income	$	21,593,532
Expenses
Management fee		2,294,306
Distribution fee—Class A		519,370
Distribution fee—Class B		140,612
Distribution fee—Class C		664,659
Transfer agent’s fees and expenses (including affiliated expense of $36,400)		280,000
Custodian and accounting fees		63,000
Registration fees		62,000
Shareholders’ reports		23,000
Audit fee		17,000
Legal fees and expenses		13,000
Trustees’ fees		11,000
Insurance expenses		4,000
Loan interest expense		1,450
Miscellaneous		9,746
Total expenses		4,103,143
Less: Custodian fee credit		(976	)
Net expenses		4,102,167
Net investment income (loss)		17,491,365
Realized And Unrealized Gain (Loss) On Investments
Net realized gain (loss) on investment transactions		(5,485,155	)
Net change in unrealized appreciation (depreciation) on investments		1,457,258
Net gain (loss) on investment transactions		(4,027,897	)
Net Increase (Decrease) In Net Assets Resulting From Operations	$	13,463,468

See Notes to Financial Statements.

42

Statement of Changes in Net Assets (unaudited)

	Six Months Ended October 31, 2016			Year Ended April 30, 2016
Increase (Decrease) in Net Assets
Operations
Net investment income (loss)	$	17,491,365		$	32,153,324
Net realized gain (loss) on investment transactions		(5,485,155	)		(594,815	)
Net change in unrealized appreciation (depreciation) on investments		1,457,258			14,546,551
Net increase (decrease) in net assets resulting from operations		13,463,468			46,105,060
Dividends from net investment income (Note 1)
Class A		(7,706,211	)		(15,806,835	)
Class B		(977,557	)		(2,336,461	)
Class C		(1,981,888	)		(3,811,311	)
Class Z		(6,264,443	)		(9,213,224	)
		(16,930,099	)		(31,167,831	)
Fund share transactions (Net of share conversions) (Note 6)
Net proceeds from shares sold		125,635,596			257,847,816
Net asset value of shares issued in reinvestment of dividends		14,362,916			26,212,662
Cost of shares reacquired		(85,528,899	)		(162,486,369	)
Net increase (decrease) in net assets from Fund share transactions		54,469,613			121,574,109
Total increase (decrease)		51,002,982			136,511,338
Net Assets:
Beginning of period		860,388,548			723,877,210
End of period (a)	$	911,391,530		$	860,388,548
(a) Includes undistributed net investment income of:	$	5,611,103		$	5,049,837

See Notes to Financial Statements.

Prudential Muni High Income Fund 43

Notes to Financial Statements (unaudited)

Prudential Investment Portfolios 4—Prudential Muni High Income Fund (the “Fund”) is an open-end management investment company, registered under the Investment Company Act of 1940, as amended (“1940 Act”). The Fund was organized as an unincorporated business trust in Massachusetts on November 3, 1986 and currently consists of one series: the Prudential Muni High Income Fund. The Fund is a diversified fund.

The investment objective of the Fund is to provide the maximum amount of income that is eligible for exclusion from federal income taxes.

Note 1. Accounting Policies

The Fund follows investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification Topic 946 Financial Services—Investment Companies. The following accounting policies conform to U.S. generally accepted accounting principles. The Fund consistently follows such policies in the preparation of its financial statements.

Securities Valuation: The Fund holds securities and other assets that are fair valued at the close of each day (generally, 4:00 PM Eastern time) the New York Stock Exchange (“NYSE”) is open for trading. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants on the measurement date. The Board of Trustees (the “Board”) has adopted Valuation Procedures for security valuation under which fair valuation responsibilities have been delegated to Prudential Investments LLC (“PI” or “Manager”). Under the current Valuation Procedures, the established Valuation Committee is responsible for supervising the valuation of portfolio securities and other assets. The Valuation Procedures permit the Fund to utilize independent pricing vendor services, quotations from market makers, and alternative valuation methods when market quotations are either not readily available or not deemed representative of fair value. A record of the Valuation Committee’s actions is subject to the Board’s review, approval, and ratification at its next regularly-scheduled quarterly meeting.

Various inputs determine how the Fund’s investments are valued, all of which are categorized according to the three broad levels (Level 1, 2, or 3) detailed in the table following the Portfolio of Investments.

Investments in open-end, non-exchange-traded mutual funds are valued at their net asset values as of the close of the NYSE on the date of valuation. These securities are classified as Level 1 in the fair value hierarchy since they may be purchased or sold at their net asset values on the date of valuation.

44

Fixed income securities traded in the OTC market are generally valued at prices provided by approved independent pricing vendors. The pricing vendors provide these prices after evaluating observable inputs including, but not limited to yield curves, yield spreads, credit ratings, deal terms, tranche level attributes, default rates, cash flows, prepayment speeds, broker/dealer quotations, and reported trades. Securities valued using such vendor prices are classified as Level 2 in the fair value hierarchy.

Bank loans are generally valued at prices provided by approved independent pricing vendors. The pricing vendors utilize broker/dealer quotations and provide prices based on the average of such quotations. Bank loans valued using such vendor prices are generally classified as Level 2 in the fair value hierarchy.

OTC derivative instruments are generally valued using pricing vendor services, which derive the valuation based on inputs such as underlying asset prices, indices, spreads, interest rates, and exchange rates. These instruments are categorized as Level 2 in the fair value hierarchy.

Centrally cleared swaps listed or traded on a multilateral or trade facility platform, such as a registered exchange, are generally valued at the daily settlement price determined by the respective exchange. These securities are classified as Level 2 in the fair value hierarchy, as the daily settlement price is not public.

Securities and other assets that cannot be priced according to the methods described above are valued based on pricing methodologies approved by the Board. In the event that unobservable inputs are used when determining such valuations, the securities will be classified as Level 3 in the fair value hierarchy.

When determining the fair value of securities, some of the factors influencing the valuation include: the nature of any restrictions on disposition of the securities; assessment of the general liquidity of the securities; the issuer’s financial condition and the markets in which it does business; the cost of the investment; the size of the holding and the capitalization of the issuer; the prices of any recent transactions or bids/offers for such securities or any comparable securities; any available analyst media or other reports or information deemed reliable by the investment adviser regarding the issuer or the markets or industry in which it operates. Using fair value to price securities may result in a value that is different from a security’s most recent closing price and from the price used by other mutual funds to calculate their net asset values.

Restricted and Illiquid Securities: Subject to guidelines adopted by the Board, the Fund may invest up to 15% of its net assets in illiquid securities, including those which are restricted as to disposition under securities law (“restricted securities”). Restricted securities are valued pursuant to the valuation procedures noted above. Illiquid securities are those that, because of the absence of a readily available market or due to legal or contractual restrictions on resale, cannot be sold within seven days in the ordinary course of business at approximately the amount at which the Fund has valued the investment.

Prudential Muni High Income Fund 45

Notes to Financial Statements (continued)

Therefore, the Fund may find it difficult to sell illiquid securities at the time considered most advantageous by its Subadviser and may incur expenses that would not be incurred in the sale of securities that were freely marketable. Certain securities that would otherwise be considered illiquid because of legal restrictions on resale to the general public may be traded among qualified institutional buyers under Rule 144A of the Securities Act of 1933. These Rule 144A securities, as well as commercial paper that is sold in private placements under Section 4(2) of the Securities Act, may be deemed liquid by the Fund’s Subadviser under the guidelines adopted by the Trustees of the Fund. However, the liquidity of the Fund’s investments in Rule 144A securities could be impaired if trading does not develop or declines.

Floating-Rate Notes Issued in Conjunction with Securities Held: The Fund may invest in inverse floating rate securities (“inverse floaters”) that pay interest at a rate that varies inversely with short-term interest rates. Certain of these securities may be leveraged, whereby the interest rate varies inversely at a multiple of the change in short-term rates. As interest rates rise, inverse floaters produce less current income. The price of such securities is more volatile than comparable fixed rate securities.

When the Fund enters into agreements to create inverse floaters and floater note securities (also known as Tender Option Bond Transactions), the Fund transfers a fixed rate bond to a broker for cash. At the same time the Fund buys (receives) a residual interest in a trust (the “trust”) set up by the broker, often referred to as an inverse floating rate obligation (inverse floaters). Generally, the broker deposits a fixed rate bond (the “fixed rate bond”) into the trust with the same CUSIP number as the fixed rate bond sold to the broker by the Fund. The “trust” also issues floating rate notes (“floating rate notes”), which are sold to third parties. The floating rate notes have interest rates that reset weekly. The inverse floater held by the Fund gives the Fund the right (1) to cause the holders of the floating rate notes to tender their notes at par, and (2) to have the broker transfer the fixed rate bond held by the trust to the Fund thereby collapsing the trust. The Fund accounts for the transaction described above as funded leverage by including the fixed rate bond in its Portfolio of Investments, and accounts for the floating rate notes as a liability under the caption “payable for floating rate notes issued” in the Fund’s “Statement of Assets and Liabilities.” Interest expense related to the Fund’s liability in connection with the floating rate notes held by third parties is recorded as incurred. The interest expense is under the caption “interest expenses and fees related to inverse floaters” in the Fund’s “Statement of Operations” and is also included in the Fund’s expense ratio. For the six months ended October 31, 2016, the Fund did not enter into any Tender Option Bond Transactions.

The Fund may also invest in inverse floaters without transferring a fixed rate bond into a trust, which is not accounted for as funded leverage. The interest rates on these securities

46

have an inverse relationship to the interest rate of other securities or the value of an index. Changes in interest rates on the other security or index inversely affect the rate paid on the inverse floater, and the inverse floater’s price will be more volatile than that of a fixed-rate bond. Additionally, some of these securities contain a “leverage factor” whereby the interest rate moves inversely by a “factor” to the benchmark rate. Certain interest rate movements and other market factors can substantially affect the liquidity of inverse floating rate notes.

The Fund’s investment policies permit investments in inverse floating rate securities. Inverse floaters held by the Fund are securities exempt from the registration requirements under Rule 144A of the Securities Act of 1933.

When-Issued/Delayed Delivery Securities: Securities purchased or sold on a when-issued or delayed-delivery basis may be settled a month or more after trade date; interest income is not accrued until settlement date. At the time a Fund enters into such transactions, it instructs the custodian to segregate assets with a current value at least equal to the amount of its when-issued or delayed-delivery purchase commitments.

Securities Transactions and Net Investment Income: Securities transactions are recorded on the trade date. Realized gains (losses) from investment transactions are calculated on the identified cost basis. Interest income, including amortization of premium and accretion of discount on debt securities, as required, is recorded on an accrual basis. Expenses are recorded on an accrual basis, which may require the use of certain estimates by management that may differ from actual.

Net investment income or loss (other than distribution fees which are charged directly to the respective class) and unrealized and realized gains (losses) are allocated daily to each class of shares based upon the relative proportion of adjusted net assets of each class at the beginning of the day.

Dividends and Distributions: The Fund declares daily dividends from net investment income and payment is made monthly. Distributions of net realized capital gains, if any, are made annually. Dividends and distributions to shareholders, which are determined in accordance with federal income tax regulations and may differ from generally accepted accounting principles, are recorded on the ex-date. Permanent book/tax differences relating to income and gain (loss) are reclassified amongst undistributed net investment income, accumulated net realized gain (loss) and paid-in capital in excess of par, as appropriate.

Taxes: For federal income tax purposes, the Fund is treated as a separate taxpaying entity. It is the Fund’s policy to continue to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable net income and capital gains, if any, to its shareholders. Therefore, no federal income tax provision is required.

Prudential Muni High Income Fund 47

Notes to Financial Statements (continued)

Custody Fee Credits: The Fund has an arrangement with its custodian bank, whereby uninvested monies earn credits which reduce the fees charged by the custodian. Such custody fee credits, if any, are presented as a reduction of gross expenses in the accompanying Statement of Operations.

Estimates: The preparation of the financial statements requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates.

Note 2. Agreements

The Fund has a management agreement with PI. Pursuant to this agreement, PI has responsibility for all investment advisory services and supervises the subadviser’s performance of such services. PI has entered into a subadvisory agreement with PGIM, Inc., which provides subadvisory services to the Fund through its Prudential Fixed Income (“PFI”) unit. The subadvisory agreement provides that PFI will furnish investment advisory services in connection with the management of the Fund. In connection therewith, PFI is obligated to keep certain books and records of the Fund. PI pays for the services of PFI, the cost of compensation of officers of the Fund, occupancy and certain clerical and bookkeeping costs of the Fund. The Fund bears all other costs and expenses.

The management fee paid to PI is accrued daily and payable monthly at an annual rate of .50% of the Fund’s average daily net assets of up to $1 billion and ..45% of the average daily net assets in excess of $1 billion. The effective management fee rate was .50% for the six months ended October 31, 2016.

The Fund has a distribution agreement with Prudential Investment Management Services LLC (“PIMS”) which acts as the distributor of the Class A, Class B, Class C and Class Z shares of the Fund. The Fund compensates PIMS for distributing and servicing the Fund’s Class A, Class B and Class C shares, pursuant to plans of distribution (the “Distribution Plans”), regardless of expenses actually incurred by PIMS. The distribution fees are accrued daily and payable monthly. No distribution or service fees are paid to PIMS as distributor of the Class Z shares of the Fund.

Pursuant to the Distribution Plans, the Fund compensates PIMS for distribution related activities at an annual rate of up to .25%, .50% and 1% of the average daily net assets of the Class A, B and C shares, respectively.

48

PIMS has advised the Fund that it has received $298,409 for Class A shares in front-end sales charges during the six months ended October 31, 2016. From these fees, PIMS paid such sales charges to affiliated broker-dealers, which in turn paid commissions to salespersons and incurred other distribution costs.

PIMS has advised the Fund that for the six months ended October 31, 2016 it received $7,771, $28,198 and $2,343 in contingent deferred sales charges imposed upon redemptions by certain Class A, Class B and Class C shareholders, respectively.

PI, PGIM, Inc. and PIMS are indirect wholly owned subsidiaries of Prudential Financial, Inc. (“Prudential”).

Note 3. Other Transactions with Affiliates

Prudential Mutual Fund Services LLC (“PMFS”), an affiliate of PI and an indirect, wholly-owned subsidiary of Prudential, serves as the Fund’s transfer agent. Transfer agent’s fees and expenses in the Statement of Operations include certain out-of-pocket expenses paid to non-affiliates, where applicable.

The Fund may enter into certain securities purchase or sale transactions under Board approved Rule 17a-7 procedures. Rule 17a-7 is an exemptive rule under the 1940 Act, that permits purchase and sale transactions among affiliated investment companies, or between an investment company and a person that is affiliated solely by reason of having a common (or affiliated) investment adviser, common directors, and/or common officers. Such transactions are subject to ratification by the Board.

Note 4. Portfolio Securities

The cost of purchases and proceeds from sales of portfolio securities, other than short-term investments, for the six months ended October 31, 2016, were $168,576,071 and $112,368,584, respectively. Although floating rate daily demand notes are shown as short-term investments in the Portfolio of Investments due to frequent reset of coupon rates, they have long-term maturities and are included in these purchases and sales amounts.

Note 5. Tax Information

The United States federal income tax basis of the Fund’s investments and net unrealized appreciation as of October 31, 2016 were as follows:

Tax Basis	$	851,149,808
Appreciation		70,564,813
Depreciation		(11,069,087	)
Net Unrealized Appreciation	$	59,495,726

The book basis may differ from tax basis due to certain tax-related adjustments.

Prudential Muni High Income Fund 49

Notes to Financial Statements (continued)

Under the Regulated Investment Company Modernization Act of 2010 (the “Act”), the Fund is permitted to carryforward capital losses realized on or after May 1, 2011 (“post-enactment losses”) for an unlimited period. Post-enactment losses are required to be utilized before the utilization of losses incurred prior to the effective date of the Act. As a result of this ordering rule, capital loss carryforwards related to taxable years ending before April 30, 2012 (“pre-enactment losses”) may have an increased likelihood to expire unused. Additionally, post-enactment capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law. No capital gains distributions are expected to be paid to shareholders until net gains have been realized in excess of such losses. As of October 31, 2016, the pre and post-enactment losses were approximately:

Post-Enactment Losses:	$	14,998,000
Pre-Enactment Losses:
Expiring 2019	$	19,389,000

Management has analyzed the Fund’s tax positions taken on federal, state and local income tax returns for all open tax years and has concluded that no provision for income tax is required in the Fund’s financial statements for the current reporting period. The Fund’s federal, state and local income and federal excise tax returns for tax years for which the applicable statutes of limitations have not expired are subject to examination by the Internal Revenue Service and state departments of revenue.

Note 6. Capital

The Fund offers Class A, Class B, Class C and Class Z shares. Class A shares were sold with a front-end sales charge of up to 4%. All investors who purchase Class A shares in the amount of $1 million or more and sell these shares within 12 months of purchase are subject to a contingent deferred sales charge (“CDSC”) of 1%. The Class A CDSC is waived for purchases by certain retirement and/or benefit plans. Class B shares are sold with a contingent deferred sales charge which declines from 5% to zero depending on the period of time the shares are held. Class B shares will automatically convert to Class A shares approximately seven years after purchase. Class B shares are closed to new purchases. Class C shares are sold with a contingent deferred sales charge of 1% on shares redeemed within the first 12 months after purchase. A special exchange privilege is also available for shareholders who qualify to purchase Class A shares at net asset value. Class Z shares are not subject to any sales or redemption charge and are offered exclusively for sale to a limited group of investors.

50

Under certain circumstances, an exchange may be made from specified share classes of the Fund to one or more other share classes of the Fund as presented in the table of transactions in shares of beneficial interest.

The Fund has authorized an unlimited number of shares of beneficial interest of each class at $.01 par value per share.

As of October 31, 2016, 5 shareholders of record held 59% of the Fund’s outstanding shares on behalf of multiple beneficial owners.

Transactions in shares of beneficial interest were as follows:

Class A	Shares			Amount
Six months ended October 31, 2016:
Shares sold		2,762,461		$	29,260,339
Shares issued in reinvestment of dividends and distributions		625,416			6,616,302
Shares reacquired		(3,157,266	)		(33,337,387	)
Net increase (decrease) in shares outstanding before conversion		230,611			2,539,254
Shares issued upon conversion from other share class(es)		328,959			3,490,039
Shares reacquired upon conversion into other share class(es)		(440,342	)		(4,663,464	)
Net increase (decrease) in shares outstanding		119,228		$	1,365,829
Year ended April 30, 2016:
Shares sold		8,364,318		$	85,816,215
Shares issued in reinvestment of dividends and distributions		1,315,807			13,493,720
Shares reacquired		(7,293,780	)		(74,678,747	)
Net increase (decrease) in shares outstanding before conversion		2,386,345			24,631,188
Shares issued upon conversion from other share class(es)		346,818			3,544,978
Shares reacquired upon conversion into other share class(es)		(737,527	)		(7,558,446	)
Net increase (decrease) in shares outstanding		1,995,636		$	20,617,720
Class B
Six months ended October 31, 2016:
Shares sold		8,198		$	86,491
Shares issued in reinvestment of dividends and distributions		70,775			749,146
Shares reacquired		(297,301	)		(3,139,899	)
Net increase (decrease) in shares outstanding before conversion		(218,328	)		(2,304,262	)
Shares reacquired upon conversion into other share class(es)		(297,591	)		(3,158,737	)
Net increase (decrease) in shares outstanding		(515,919	)	$	(5,462,999	)
Year ended April 30, 2016:
Shares sold		124,202		$	1,280,741
Shares issued in reinvestment of dividends and distributions		176,583			1,810,797
Shares reacquired		(641,094	)		(6,570,919	)
Net increase (decrease) in shares outstanding before conversion		(340,309	)		(3,479,381	)
Shares reacquired upon conversion into other share class(es)		(279,788	)		(2,861,043	)
Net increase (decrease) in shares outstanding		(620,097	)	$	(6,340,424	)

Prudential Muni High Income Fund 51

Notes to Financial Statements (continued)

Class C	Shares			Amount
Six months ended October 31, 2016:
Shares sold		1,509,986		$	15,976,291
Shares issued in reinvestment of dividends and distributions		153,796			1,627,137
Shares reacquired		(738,502	)		(7,806,847	)
Net increase (decrease) in shares outstanding before conversion		925,280			9,796,581
Shares reacquired upon conversion into other share class(es)		(93,233	)		(986,862	)
Net increase (decrease) in shares outstanding		832,047		$	8,809,719
Year ended April 30, 2016:
Shares sold		3,167,844		$	32,530,046
Shares issued in reinvestment of dividends and distributions		304,879			3,127,909
Shares reacquired		(1,630,667	)		(16,679,587	)
Net increase (decrease) in shares outstanding before conversion		1,842,056			18,978,368
Shares issued upon conversion from other share class(es)		16,272			165,810
Shares reacquired upon conversion into other share class(es)		(155,883	)		(1,596,604	)
Net increase (decrease) in shares outstanding		1,702,445		$	17,547,574
Class Z
Six months ended October 31, 2016:
Shares sold		7,595,211		$	80,312,475
Shares issued in reinvestment of dividends and distributions		508,161			5,370,331
Shares reacquired		(3,913,751	)		(41,244,766	)
Net increase (decrease) in shares outstanding before conversion		4,189,621			44,438,040
Shares issued upon conversion from other share class(es)		543,212			5,743,394
Shares reacquired upon conversion into other share class(es)		(40,149	)		(424,370	)
Net increase (decrease) in shares outstanding		4,692,684		$	49,757,064
Year ended April 30, 2016:
Shares sold		13,461,841		$	138,220,814
Shares issued in reinvestment of dividends and distributions		758,775			7,780,236
Shares reacquired		(6,308,497	)		(64,557,116	)
Net increase (decrease) in shares outstanding before conversion		7,912,119			81,443,934
Shares issued upon conversion from other shares class(es)		890,876			9,115,612
Shares reacquired upon conversion into other share class(es)		(79,348	)		(810,307	)
Net increase (decrease) in shares outstanding		8,723,647		$	89,749,239

Note 7. Borrowings

The Fund, along with other affiliated registered investment companies (the “Funds”), is a party to a Syndicated Credit Agreement (“SCA”) with a group of banks. The purpose of the SCA is to provide an alternative source of temporary funding for capital share redemptions. The SCA provides for a commitment of $900 million for the period October 6, 2016 through October 5, 2017. The Funds pay an annualized commitment fee of .15% of the unused portion of the SCA. The interest rate on borrowings under the SCA is paid monthly and at a per annum rate based upon the higher of 0.0%, the effective federal funds rate, or the One-Month LIBOR rate, plus a contractual spread. Prior to October 6, 2016, the Funds had

52

another SCA that provided a commitment of $900 million and the Funds paid an annualized commitment fee of .11% of the unused portion of the SCA. The interest rate on borrowings was substantially the same. The Fund’s portion of the commitment fee for the unused amount is accrued daily and paid quarterly.

The Fund utilized the SCA during the six months ended October 31, 2016. The average daily balance for the 37 days that the Fund had loans outstanding during the period was $798,757, borrowed at a weighted interest rate of 1.77%. The maximum loan balance outstanding during the period was $2,103,000. At October 31, 2016, the Fund did not have an outstanding loan balance.

Note 8. Recent Accounting Pronouncements and Reporting Updates

In January 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-01 regarding “Recognition and Measurement of Financial Assets and Financial Liabilities”. The new guidance is intended to enhance the reporting model for financial instruments to provide users of financial statements with more decision-useful information and addresses certain aspects of the recognition, measurement, presentation, and disclosure of financial instruments. The new standard affects all entities that hold financial assets or owe financial liabilities. The new guidance is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. At this time, management is evaluating the implications of ASU No. 2016-01 and its impact on the financial statements and disclosures has not yet been determined.

On October 13, 2016, the Securities and Exchange Commission (the “SEC”) adopted new rules and forms and amended existing rules and forms which are intended to modernize and enhance the reporting and disclosure of information by registered investment companies and to improve the quality of information that funds provide to investors, including modifications to Regulation S-X which would require standardized, enhanced disclosure about derivatives in investment company financial statements. In an effort to enhance monitoring and regulation, the new rules and forms will allow the SEC to more effectively collect and use data reported by funds. The new rules also enhance disclosure regarding fund liquidity and redemption practices. Also under the new rules, the SEC will permit open-end funds, with the exception of money market funds, to offer swing pricing, subject to board approval and review. The compliance dates of the modifications to Regulation S-X are August 1, 2017 and other amendments and rules are generally June 1, 2018 and December 1, 2018. Management is currently evaluating the impacts to the financial statement disclosures, if any.

Note 9. Notice of Dividends to Shareholders

In addition to the monthly dividends paid by the Fund, the Fund declared ordinary income dividends on November 28, 2016 to shareholders of record on November 29, 2016. The ex-dividend date was November 30, 2016. The per share amounts declared were as follows:

	Ordinary Income
Class A	$	0.00193
Class B	$	0.00193
Class C	$	0.00193
Class Z	$	0.00193

Prudential Muni High Income Fund 53

Financial Highlights (unaudited)

Class A Shares
	Six Months Ended October 31,			Year Ended April 30,
	2016			2016			2015			2014			2013			2012
Per Share Operating Performance(a):
Net Asset Value, Beginning of Period		$10.45			$10.26			$9.91			$10.47			$10.02			$9.18
Income (loss) from investment operations:
Net investment income (loss)		.21			.44			.44			.47			.47			.48
Net realized and unrealized gain (loss) on investment transactions		(.04	)		.18			.36			(.57	)		.44			.83
Total from investment operations		.17			.62			.80			(.10	)		.91			1.31
Less Dividends:
Dividends from net investment income		(.20	)		(.43	)		(.45	)		(.46	)		(.46	)		(.47	)
Net asset value, end of period		$10.42			$10.45			$10.26			$9.91			$10.47			$10.02
Total Return(b):		1.58%			6.19%			8.19%			(.71)%			9.26%			14.61%
Ratios/Supplemental Data:
Net assets, end of period (000)		$403,099			$402,933			$375,176			$373,610			$442,197			$406,033
Average net assets (000)		$412,122			$379,356			$376,328			$367,792			$432,410			$383,978
Ratios to average net assets(d):
Expenses after waivers and/or expense reimbursement		.86%	(e)		.87%			.87%			.87%			.86%			.87%
Expenses before waivers and/or expense reimbursement		.86%	(e)		.87%			.91%			.92%			.91%			.92%
Net investment income (loss)		3.86%	(e)		4.30%			4.36%			4.90%			4.55%			4.95%
Portfolio turnover rate(c)		5%	(f)		7%			10%			17%			19%			15%

(a) Calculated based on average shares outstanding during the period.

(b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each period reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to generally accepted accounting principles. Total returns for periods less than one full year are not annualized.

(c) The portfolio turnover rate including variable rate demand notes was 12% for the six months ended October 31, 2016, 9% for the year ended April 30, 2016, 17% for the year ended April 30, 2015, 24% for the year ended April 30, 2014, 39% for the year ended April 30, 2013 and 35% for the year ended April 30, 2012.

(d) Effective March 9, 2015, the contractual distribution and service (12b-1) fees were reduced from .30% to .25% of the average daily net assets and the .05% contractual 12b-1 fee waiver was terminated.

(e) Annualized.

(f) Not annualized.

See Notes to Financial Statements.

54

Class B Shares
	Six Months Ended October 31,			Year Ended April 30,
	2016			2016			2015			2014			2013			2012
Per Share Operating Performance(a):
Net Asset Value, Beginning of Period		$10.46			$10.27			$9.92			$10.48			$10.03			$9.19
Income (loss) from investment operations:
Net investment income (loss)		.19			.42			.42			.45			.44			.45
Net realized and unrealized gain (loss) on investment transactions		(.04	)		.17			.36			(.57	)		.45			.84
Total from investment operations		.15			.59			.78			(.12	)		.89			1.29
Less Dividends:
Dividends from net investment income		(.18	)		(.40	)		(.43	)		(.44	)		(.44	)		(.45	)
Net asset value, end of period		$10.43			$10.46			$10.27			$9.92			$10.48			$10.03
Total Return(b):		1.46%			5.93%			7.92%			(.95)%			8.99%			14.33%
Ratios/Supplemental Data:
Net assets, end of period (000)		$52,076			$57,613			$62,944			$67,445			$77,670			$54,084
Average net assets (000)		$55,788			$59,446			$66,035			$68,456			$67,171			$43,752
Ratios to average net assets:
Expenses after waivers and/or expense reimbursement		1.11%	(d)		1.12%			1.12%			1.12%			1.11%			1.12%
Expenses before waivers and/or expense reimbursement		1.11%	(d)		1.12%			1.12%			1.12%			1.11%			1.12%
Net investment income (loss)		3.61%	(d)		4.06%			4.11%			4.66%			4.30%			4.69%
Portfolio turnover rate(c)		5%	(e)		7%			10%			17%			19%			15%

(a) Calculated based on average shares outstanding during the period.

(b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each period reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to generally accepted accounting principles. Total returns for periods less than one full year are not annualized.

(c) The portfolio turnover rate including variable rate demand notes was 12% for the six months ended October 31, 2016, 9% for the year ended April 30, 2016, 17% for the year ended April 30, 2015, 24% for the year ended April 30, 2014, 39% for the year ended April 30, 2013 and 35% for the year ended April 30, 2012.

(d) Annualized.

(e) Not annualized.

See Notes to Financial Statements.

Prudential Muni High Income Fund 55

Financial Highlights (unaudited) (continued)

Class C Shares
	Six Months Ended October 31,			Year Ended April 30,
	2016			2016			2015			2014			2013			2012
Per Share Operating Performance(a):
Net Asset Value, Beginning of Period		$10.45			$10.27			$9.92			$10.47			$10.03			$9.19
Income (loss) from investment operations:
Net investment income (loss)		.17			.36			.37			.40			.39			.40
Net realized and unrealized gain (loss) on investment transactions		(.04	)		.17			.35			(.56	)		.44			.84
Total from investment operations		.13			.53			.72			(.16	)		.83			1.24
Less Dividends:
Dividends from net investment income		(.16	)		(.35	)		(.37	)		(.39	)		(.39	)		(.40	)
Net asset value, end of period		$10.42			$10.45			$10.27			$9.92			$10.47			$10.03
Total Return(b):		1.21%			5.31%			7.39%			(1.36)%			8.35%			13.77%
Ratios/Supplemental Data:
Net assets, end of period (000)		$133,764			$125,439			$105,708			$89,990			$120,882			$93,969
Average net assets (000)		$131,852			$111,295			$97,740			$96,402			$109,555			$82,069
Ratios to average net assets:
Expenses after waivers and/or expense reimbursement		1.61%	(d)		1.62%			1.62%			1.62%			1.61%			1.62%
Expenses before waivers and/or expense reimbursement		1.61%	(d)		1.62%			1.62%			1.62%			1.61%			1.62%
Net investment income (loss)		3.11%	(d)		3.55%			3.61%			4.15%			3.80%			4.20%
Portfolio turnover rate(c)		5%	(e)		7%			10%			17%			19%			15%

(a) Calculated based on average shares outstanding during the period.

(b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each period reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to generally accepted accounting principles. Total returns for periods less than one full year are not annualized.

(c) The portfolio turnover rate including variable rate demand notes was 12% for the six months ended October 31, 2016, 9% for the year ended April 30, 2016, 17% for the year ended April 30, 2015, 24% for the year ended April 30, 2014, 39% for the year ended April 30, 2013 and 35% for the year ended April 30, 2012.

(d) Annualized.

(e) Not annualized.

See Notes to Financial Statements.

56

Class Z Shares
	Six Months Ended October 31,			Year Ended April 30,
	2016			2016			2015			2014			2013			2012
Per Share Operating Performance(a):
Net Asset Value, Beginning of Period		$10.44			$10.25			$9.90			$10.46			$10.01			$9.17
Income (loss) from investment operations:
Net investment income (loss)		.22			.46			.47			.50			.50			.50
Net realized and unrealized gain (loss) on investment transactions		(.04	)		.18			.36			(.57	)		.44			.84
Total from investment operations		.18			.64			.83			(.07	)		.94			1.34
Less Dividends:
Dividends from net investment income		(.21	)		(.45	)		(.48	)		(.49	)		(.49	)		(.50	)
Net asset value, end of period		$10.41			$10.44			$10.25			$9.90			$10.46			$10.01
Total Return(b):		1.73%			6.48%			8.48%			(.47)%			9.54%			14.92%
Ratios/Supplemental Data:
Net assets, end of period (000)		$322,452			$274,404			$180,050			$118,489			$140,403			$106,432
Average net assets (000)		$310,497			$208,377			$152,856			$116,356			$129,038			$84,036
Ratios to average net assets:
Expenses after waivers and/or expense reimbursement		.61%	(d)		.62%			.62%			.62%			.61%			.62%
Expenses before waivers and/or expense reimbursement		.61%	(d)		.62%			.62%			.62%			.61%			.62%
Net investment income (loss)		4.11%	(d)		4.54%			4.61%			5.15%			4.80%			5.18%
Portfolio turnover rate(c)		5%	(e)		7%			10%			17%			19%			15%

(a) Calculated based on average shares outstanding during the period.

(b) Total return is calculated assuming a purchase of a share on the first day and a sale on the last day of each period reported and includes reinvestment of dividends and distributions, if any. Total returns may reflect adjustments to conform to generally accepted accounting principles. Total returns for periods less than one full year are not annualized.

(c) The portfolio turnover rate including variable rate demand notes was 12% for the six months ended October 31, 2016, 9% for the year ended April 30, 2016, 17% for the year ended April 30, 2015, 24% for the year ended April 30, 2014, 39% for the year ended April 30, 2013 and 35% for the year ended April 30, 2012.

(d) Annualized.

(e) Not annualized.

See Notes to Financial Statements.

Prudential Muni High Income Fund 57

Approval of Advisory Agreements

The Fund’s Board of Trustees

The Board of Trustees (the “Board”) of the Prudential Muni High Income Fund (the “Fund”)¹ consists of ten individuals, seven of whom are not “interested persons” of the Fund, as defined in the Investment Company Act of 1940, as amended (the “1940 Act”) (the “Independent Trustees”). The Board is responsible for the oversight of the Fund and its operations, and performs the various duties imposed on the directors of investment companies by the 1940 Act. The Independent Trustees have retained independent legal counsel to assist them in connection with their duties. The Chair of the Board is an Independent Trustee. The Board has established three standing committees: the Audit Committee, the Nominating and Governance Committee, and the Investment Committee. Each committee is chaired by, and composed of, Independent Trustees.

Annual Approval of the Fund’s Advisory Agreements

As required under the 1940 Act, the Board determines annually whether to renew the Fund’s management agreement with Prudential Investments LLC (“PI”) and the Fund’s subadvisory agreement with PGIM, Inc. (“PGIM”) on behalf of its PGIM Fixed Income (“PGIM Fixed Income”) unit. In considering the renewal of the agreements, the Board, including all of the Independent Trustees, met on June 7-9, 2016 and approved the renewal of the agreements through July 31, 2017, after concluding that the renewal of the agreements was in the best interests of the Fund and its shareholders.

In advance of the meetings, the Board requested and received materials relating to the agreements, and had the opportunity to ask questions and request further information in connection with its consideration. Among other things, the Board considered comparative fee information from PI and PGIM. Also, the Board considered comparisons with other mutual funds in relevant Peer Universes and Peer Groups, as is further discussed below.

In approving the agreements, the Board, including the Independent Trustees advised by independent legal counsel, considered the factors it deemed relevant, including the nature, quality and extent of services provided by PI and the subadviser, the performance of the Fund, the profitability of PI and its affiliates, expenses and fees, and the potential for economies of scale that may be shared with the Fund and its shareholders as the Fund’s assets grow. In their deliberations, the Trustees did not identify any single factor which alone was responsible for the Board’s decision to approve the agreements with respect to the Fund. In connection with its deliberations, the Board considered information provided by PI throughout the year at regular Board meetings, presentations from portfolio managers and other information, as well as information furnished at or in advance of the meetings on June 7-9, 2016.

¹  Prudential Muni High Income Fund is the sole series of Prudential Investment Portfolios 4.

Prudential Muni High Income Fund

Approval of Advisory Agreements (continued)

The Trustees determined that the overall arrangements between the Fund and PI, which serves as the Fund’s investment manager pursuant to a management agreement, and between PI and PGIM, which, through its PGIM Fixed Income unit, serves as the Fund’s subadviser pursuant to the terms of a subadvisory agreement with PI, are in the best interests of the Fund and its shareholders in light of the services performed, fees charged and such other matters as the Trustees considered relevant in the exercise of their business judgment.

The material factors and conclusions that formed the basis for the Trustees’ reaching their determinations to approve the continuance of the agreements are separately discussed below.

Nature, Quality, and Extent of Services

The Board received and considered information regarding the nature, quality and extent of services provided to the Fund by PI and PGIM Fixed Income. The Board considered the services provided by PI, including but not limited to the oversight of the subadviser for the Fund, as well as the provision of fund recordkeeping, compliance, and other services to the Fund. With respect to PI’s oversight of the subadviser, the Board noted that PI’s Strategic Investment Research Group (“SIRG”), which is a business unit of PI, is responsible for monitoring and reporting to PI’s senior management on the performance and operations of the subadviser. The Board also considered that PI pays the salaries of all of the officers and interested Trustees of the Fund who are part of Fund management. The Board also considered the investment subadvisory services provided by PGIM Fixed Income, as well as adherence to the Fund’s investment restrictions and compliance with applicable Fund policies and procedures. The Board considered PI’s evaluation of the subadviser, as well as PI’s recommendation, based on its review of the subadviser, to renew the subadvisory agreement.

The Board considered the qualifications, backgrounds and responsibilities of PI’s senior management responsible for the oversight of the Fund and PGIM, and also considered the qualifications, backgrounds and responsibilities of PGIM Fixed Income’s portfolio managers who are responsible for the day-to-day management of the Fund’s portfolio. The Board was provided with information pertaining to PI’s and PFI’s organizational structure, senior management, investment operations, and other relevant information pertaining to both PI and PGIM Fixed Income. The Board also noted that it received favorable compliance reports from the Fund’s Chief Compliance Officer (“CCO”) as to both PI and PGIM Fixed Income. The Board noted that PGIM Fixed Income is affiliated with PI.

The Board concluded that it was satisfied with the nature, extent and quality of the investment management services provided by PI and the subadvisory services provided to the Fund by PGIM, and that there was a reasonable basis on which to conclude that the

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Fund benefits from the services provided by PI and PGIM under the management and subadvisory agreements.

Costs of Services and Profits Realized by PI

The Board was provided with information on the profitability of PI and its affiliates in serving as the Fund’s investment manager. The Board discussed with PI the methodology utilized in assembling the information regarding profitability and considered its reasonableness. The Board recognized that it is difficult to make comparisons of profitability from fund management contracts because comparative information is not generally publicly available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions regarding allocations and the adviser’s capital structure and cost of capital. The Board further noted that the subadviser is affiliated with PI and that its profitability is reflected in PI’s profitability report. Taking these factors into account, the Board concluded that the profitability of PI and its affiliates in relation to the services rendered was not unreasonable.

Economies of Scale

PI and the Board previously retained an outside business consulting firm to review management fee breakpoint usage and trends in management fees across the mutual fund industry. The consulting firm presented its analysis and conclusions as to the Funds’ management fee structures to the Board and PI. The Board and PI have discussed these conclusions extensively since that presentation.

The Board received and discussed information concerning economies of scale that PI may realize as the Fund’s assets grow beyond current levels. The Board noted that the management fee schedule for the Fund includes breakpoints, which have the effect of decreasing the fee rate as assets increase, but that at its current level of assets the Fund does not realize the effect of those rate reductions. The Board took note that the Fund’s fee structure currently results in benefits to Fund shareholders whether or not PI realizes any economies of scale. The Board noted that economies of scale can be shared with the Fund in other ways, including low management fees from inception, additional technological and personnel investments to enhance shareholder services, and maintaining existing expense structures in the face of a rising cost environment. The Board also considered PI’s assertion that it continually evaluates the management fee schedule of the Fund and the potential to share economies of scale through breakpoints or fee waivers as asset levels increase.

The Board recognized the inherent limitations of any analysis of economies of scale, stemming largely from the Board’s understanding that most of PI’s costs are not specific to individual funds, but rather are incurred across a variety of products and services.

Prudential Muni High Income Fund

Approval of Advisory Agreements (continued)

Other Benefits to PI and PGIM Fixed Income

The Board considered potential ancillary benefits that might be received by PI and PGIM Fixed Income and their affiliates as a result of their relationship with the Fund. The Board concluded that potential benefits to be derived by PI included transfer agency fees received by the Fund’s transfer agent (which is affiliated with PI), and benefits to its reputation as well as other intangible benefits resulting from PI’s association with the Fund. The Board concluded that the potential benefits to be derived by PGIM Fixed Income included its ability to use soft dollar credits, as well as the potential benefits consistent with those generally resulting from an increase in assets under management, specifically, potential access to additional research resources and benefits to its reputation. The Board concluded that the benefits derived by PI and PGIM Fixed Income were consistent with the types of benefits generally derived by investment managers and subadvisers to mutual funds.

Performance of the Fund / Fees and Expenses

The Board considered certain additional specific factors and made related conclusions relating to the historical performance of the Fund for the one-, three-, five-, and ten-year periods ended December 31, 2015.

The Board also considered the Fund’s actual management fee, as well as the Fund’s net total expense ratio, for the fiscal year ended April 30, 2015. The Board considered the management fee for the Fund as compared to the management fee charged by PI to other funds and the fee charged by other advisers to comparable mutual funds in a Peer Group. The actual management fee represents the fee rate actually paid by Fund shareholders and includes any fee waivers or reimbursements. The net total expense ratio for the Fund represents the actual expense ratio incurred by Fund shareholders.

The mutual funds included in the Peer Universe (the Lipper High Yield Municipal Debt Funds Performance Universe) and the Peer Group were objectively determined by Broadridge, an independent provider of mutual fund data. The comparisons placed the Fund in various quartiles, with the first quartile being the best 25% of the mutual funds (for performance, the best performing mutual funds and, for expenses, the lowest cost mutual funds).

The section below summarizes key factors considered by the Board and the Board’s conclusions regarding the Fund’s performance, fees and overall expenses. The table sets forth gross performance comparisons (which do not reflect the impact on performance of fund expenses, or any subsidies, expense caps or waivers that may be applicable) with the Peer Universe, actual management fees with the Peer Group (which reflect the impact of

Visit our website at prudentialfunds.com

any subsidies or fee waivers), and net total expenses with the Peer Group, each of which were key factors considered by the Board.

Performance	1 Year	3 Years	5 Years	10 Years
	2nd Quartile	2nd Quartile	2nd Quartile	1st Quartile
Actual Management Fees: 2nd Quartile
Net Total Expenses: 2nd Quartile

• The Board noted that the Fund outperformed its benchmark index over all periods.

• The Board concluded that, in light of the above, it would be in the best interests of the Fund and its shareholders to renew the agreements.

• The Board concluded that the management fees (including subadvisory fees) and total expenses were reasonable in light of the services provided.

*    *    *

After full consideration of these factors, the Board concluded that approval of the agreements was in the best interests of the Fund and its shareholders.

Prudential Muni High Income Fund

∎   MAIL	∎   TELEPHONE	∎   WEBSITE
655 Broad Street Newark, NJ 07102	(800) 225-1852	www.prudentialfunds.com

PROXY VOTING

The Board of Trustees of the Fund has delegated to the Fund’s investment subadviser the responsibility for voting any proxies and maintaining proxy recordkeeping with respect to the Fund. A description of these proxy voting policies and procedures is available without charge, upon request, by calling (800) 225-1852 or by visiting the Securities and Exchange Commission’s website at www.sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available on the Fund’s website and on the Securities and Exchange Commission’s website.

TRUSTEES

Ellen S. Alberding • Kevin J. Bannon • Scott E. Benjamin • Linda W. Bynoe • Keith F. Hartstein • Michael S. Hyland • Stuart S. Parker • Richard A. Redeker • Stephen G. Stoneburn • Grace C. Torres

OFFICERS

Stuart S. Parker, President • Scott E. Benjamin, Vice President • M. Sadiq Peshimam, Treasurer and Principal Financial and Accounting Officer • Raymond A. O’Hara, Chief Legal Officer • Deborah A. Docs, Secretary • Chad A. Earnst, Chief Compliance Officer • Theresa C. Thompson, Deputy Chief Compliance Officer • Charles H. Smith, Anti-Money Laundering Compliance Officer • Jonathan D. Shain, Assistant Secretary • Claudia DiGiacomo, Assistant Secretary • Andrew R. French, Assistant Secretary • Peter Parrella, Assistant Treasurer • Lana Lomuti, Assistant Treasurer • Linda McMullin, Assistant Treasurer • Kelly A. Coyne, Assistant Treasurer

MANAGER	Prudential Investments LLC	655 Broad Street Newark, NJ 07102
INVESTMENT SUBADVISER	PGIM Fixed Income	655 Broad Street Newark, NJ 07102
DISTRIBUTOR	Prudential Investment Management Services LLC	655 Broad Street Newark, NJ 07102
CUSTODIAN	The Bank of New York Mellon	One Wall Street New York, NY 10286
TRANSFER AGENT	Prudential Mutual Fund Services LLC	PO Box 9658 Providence, RI 02940
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM	KPMG LLP	345 Park Avenue New York, NY 10154
FUND COUNSEL	Willkie Farr & Gallagher LLP	787 Seventh Avenue New York, NY 10019

An investor should consider the investment objectives, risks, charges, and expenses of the Fund carefully before investing. The prospectus and summary prospectus contain this and other information about the Fund. An investor may obtain a prospectus and summary prospectus by visiting our website at www.prudentialfunds.com or by calling (800) 225-1852. The prospectus and summary prospectus should be read carefully before investing.

E-DELIVERY

To receive your mutual fund documents online, go to www.prudentialfunds.com/edelivery and enroll. Instead of receiving printed documents by mail, you will receive notification via email when new materials are available. You can cancel your enrollment or change your email address at any time by visiting the website address above.

SHAREHOLDER COMMUNICATIONS WITH TRUSTEES

Shareholders can communicate directly with the Board of Trustees by writing to the Chair of the Board, Prudential Muni High Income Fund, Prudential Investments, Attn: Board of Trustees, 655 Broad Street, Newark, NJ 07102. Shareholders can communicate directly with an individual Trustee by writing to the same address. Communications are not screened before being delivered to the addressee.

AVAILABILITY OF PORTFOLIO SCHEDULE

The Fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q are available on the Commission’s website at www.sec.gov. The Fund’s Forms N-Q may also be reviewed and copied at the Commission’s Public Reference Room in Washington, D.C. Information on the operation and location of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The Fund’s schedule of portfolio holdings is also available on the Fund’s website as of the end of each month no sooner than 15 days after the end of the month.

Mutual Funds:

ARE NOT INSURED BY THE FDIC OR ANY FEDERAL GOVERNMENT AGENCY MAY LOSE VALUE ARE NOT A DEPOSIT OF OR GUARANTEED
BY ANY BANK OR ANY BANK AFFILIATE

PRUDENTIAL MUNI HIGH INCOME FUND

SHARE CLASS	A	B	C	Z
NASDAQ	PRHAX	PMHYX	PHICX	PHIZX
CUSIP	74440M104	74440M203	74440M302	74440M401

MF133E2    0300128-00001-00

Item 2 –	Code of Ethics – Not required, as this is not an annual filing.
Item 3 –	Audit Committee Financial Expert – Not required, as this is not an annual filing.
Item 4 –	Principal Accountant Fees and Services – Not required, as this is not an annual filing.
Item 5 –	Audit Committee of Listed Registrants – Not applicable.
Item 6 –	Schedule of Investments – The schedule is included as part of the report to shareholders filed under Item 1 of this Form.
Item 7 –	Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not applicable.
Item 8 –	Portfolio Managers of Closed-End Management Investment Companies – Not applicable.
Item 9 –	Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers – Not applicable.
Item 10 –	Submission of Matters to a Vote of Security Holders – Not applicable.
Item 11 –	Controls and Procedures
	(a)	It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.
	(b)	There has been no significant change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter of the period covered by this report that has materially affected, or is likely to materially affect, the registrant’s internal control over financial reporting.
Item 12 –	Exhibits
	(a)	(1)	Code of Ethics – Not required, as this is not an annual filing.
		(2)	Certifications pursuant to Section 302 of the Sarbanes-Oxley Act – Attached hereto as Exhibit EX-99.CERT.
		(3)	Any written solicitation to purchase securities under Rule 23c-1. – Not applicable.
		(4)	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act – Attached hereto as Exhibit EX-99.906CERT.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Registrant:	Prudential Investment Portfolios 4
By:	/s/ Deborah A. Docs
	Deborah A. Docs
	Secretary
Date:	December 20, 2016
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By:	/s/ Stuart S. Parker
	Stuart S. Parker
	President and Principal Executive Officer
Date:	December 20, 2016
By:	/s/ M. Sadiq Peshimam
	M. Sadiq Peshimam
	Treasurer and Principal Financial and Accounting Officer
Date:	December 20, 2016

EX-99.CERT

Item 12

Prudential Investment Portfolios 4

Semi-Annual period ending 10/31/16

File No. 811-04930

CERTIFICATIONS

I, Stuart S. Parker, certify that:

1. I have reviewed this report on Form N-CSR of the above named Fund;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report.

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and;

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

1

5. The registrant’s other certifying officers and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal controls which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

December 20, 2016

/s/ Stuart S. Parker

Stuart S. Parker

President and Principal Executive Officer

2

Item 12

Prudential Investment Portfolios 4

Semi-Annual period ending 10/31/16

File No. 811-04930

CERTIFICATIONS

I, M. Sadiq Peshimam, certify that:

1. I have reviewed this report on Form N-CSR of the above named Fund;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report.

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and;

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

3

5. The registrant’s other certifying officers and I have disclosed to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal controls which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

December 20, 2016

/s/ M. Sadiq Peshimam

M. Sadiq Peshimam

Treasurer and Principal Financial and
Accounting Officer

4

EX-99.906CERT

Certification Pursuant to 18 U.S.C. Section 1350

As Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

Name of Issuer:             Prudential Investment Portfolios 4

In connection with the Report on Form N-CSR of the above-named issuer that is accompanied by this certification, the undersigned hereby certifies, to his or her knowledge, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Issuer.

December 20, 2016

/s/ Stuart S. Parker

Stuart S. Parker

President and Principal Executive Officer

December 20, 2016

/s/ M. Sadiq Peshimam

M. Sadiq Peshimam

Treasurer and Principal Financial and
Accounting Officer