Our investment approach

Backed by decades of experience and unique market insight, we aim to design and deliver solutions to meet the needs of both institutional and individual investors across the globe.
  • An innovative approach to developing, modeling, and rebalancing customized portfolio solutions to meet dynamic asset allocation needs.

  • Cross-asset solutions backed by our full capabilities and insights gathered through our global investment platform.

  • Access to proprietary tools and data to help you build better portfolios and outcome-based retirement strategies.

  • A multi-manager approach that provides optimal diversification across asset class, sector, geography, style, manager philosophy, and process.

Explore our featured asset allocation strategies.

To help ensure you have access to innovative solutions, we’ve identified these strategies for a variety of portfolios.
Diversified Real Asset
Aiming to protect purchasing power with dynamic real asset exposure, a balanced risk profile, and a potentially more consistent outcome.
Principal target date strategies
Balancing both active and passive, our target date strategies are designed to help participants get to (and through) a rewarding retirement.
Principal fintech-enabled portfolios
Integrating seamlessly into existing processes and tech stacks, our end-to-end fintech powered solution makes building custom portfolios easy.

Our commitment to ESG

When it comes to environmental, social, and governance (ESG) investing, we empower investors by offering choice, confidence, and flexibility.

We believe sustainable investing is a principles and values-based continuum that can be customized to reflect our clients’ priorities and goals. Further, we believe that active consideration of material Environmental, Social or Governance (E,S G) factors could enhance our ability to add value from a long-term risk/return perspective. Sustainable investing is one component of our disciplined portfolio construction process. Our sustainable investing process focuses on measurement, activation, and management of related factors at the asset class and strategy level.

  • Measure sustainable investing biases at the asset class and strategy level from a quantitative perspective.

  • Manage sustainable investing exposures in alignment with client-specific objectives and macro-economic views.

  • Activate sustainable investing ESG integration by developing a proprietary ESG integration rating for each underlying strategy.

Get our latest thoughts on the market.

Global outlook

Global Asset Allocation Viewpoints, 1Q 2023

Major central banks have now decelerated their tightening, but this isn’t a precursor to a less hawkish stance. The stubborn inflation story means that policy rates are rising further and will not be cut, even as recession takes hold. Against this backdrop, broad equities will likely remain challenged.

Macro views
14 min

Investing during high inflation

The Fed was caught behind the curve, and will need aggressive hikes to slow demand, and thus, inflation.

Todd Jablonski, CFA
Chief Investment Officer & Head of Asset Allocation
Seema Shah
Chief Global Strategist
9 min

Inflation, rising rates, and market volatility

Inflation is the single biggest challenge that investors face today. The sudden and sustained jump in prices has inflicted a considerable shock to the economic system, sharply pushing up interest rates, while challenging corporations and equity markets. For individuals, inflation quietly erodes the purchasing power of savings and cash, a significant problem, regardless of time horizon. For institutional investors, higher-than-expected inflation reduces real returns and makes it difficult to generate long-term forecasts to meet objectives.

Seema Shah
Chief Global Strategist

Past performance does not guarantee future results.

Asset allocation and diversification does not ensure a profit or protect against a loss.

ESG integration is considered across all actively managed asset classes, with the approach determined by each investment group’s process. This information is specific to the strategies managed by the individuals providing this content and various investment teams across Principal may have differing views of this approach.

Principal Asset Allocation is an investment team within Principal Global Investors.